Summary
The Delhi High Court, relying on Pune Municipal Corporation v. Harakchand Misirimal Solanki, declared that acquisition proceedings under the Land Acquisition Act, 1894 had lapsed under Section 24(2) of the 2013 Act for non-payment of compensation and that the landowners were entitled to compensation under the 2013 Act, although it was undisputed that physical possession had been taken and the land used to build the Bankner Link Drain and the petitioners had confined their prayer to compensation. The Supreme Court allowed the appeal of the NCT of Delhi and the Land Acquisition Collector: Pune Municipal Corporation stands overruled by the Constitution Bench in Indore Development Authority v. Manoharlal, under which there is no lapse where possession has been taken even if compensation remains unpaid, so the High Court's judgment was contrary to binding law.
Issues
- Whether acquisition proceedings can be declared to have lapsed under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 where physical possession of the land has been taken and the land put to public use but compensation has not been paid.
Provisions considered
- Section 24(2), Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013Following paragraphs 365 and 366 of Indore Development Authority, the word 'or' between possession and compensation is read as 'nor' or 'and', so deemed lapse occurs only where neither possession was taken nor compensation paid for five years before 01.01.2014; once possession is taken there is no lapse and no divesting of land vested in the State. (¶¶ 2, 3)
Held
- The Land Acquisition Collector and the beneficiary Irrigation and Flood Control Department showed, and the writ petitioners never disputed, that possession of the land was taken and the Bankner Link Drain built on it; applying Indore Development Authority there can be no lapse of the acquisition, and the High Court's declaration founded on the overruled decision in Pune Municipal Corporation is unsustainable. (¶¶ 2, 3)
Result
Appeal allowed without costs; Delhi High Court judgment dated 03.01.2018 in WP (C) No. 12118 of 2015 quashed and set aside and the writ petition dismissed; pending applications disposed of.