1996(4) Supreme 509
SUPREME COURT OF INDIA
K. Ramaswamy and G.B. Pattanaik, JJ.
Urban Improvement Trust, Jodhpur -Appellant
versus
Gokul Narain & Anr. -Respondents
Civil Appeal No. 6963 of 1996
(Arising out of S.L.P. (C) No. 21456 of 1994)
Decided on 10-4-1996
Held : Under Order 22, Rule 10A, href=act:10444>CPC, whenever a pleader appearing for a party to the suit comes to the knowledge of the death of the party, he has to inform about it and the court thereupon gives notice of such death to the other party and for this purpose the contract between the pleader and the deceased party is deemed to subsist. It would, therefore, be clear that though the legal representatives have been brought on record in the executing Court on May 27, 1995 pending proceedings in this Court, since the counsel for the appellant did not have had the information, on coming to know of the death after dasti service was taken out, immediately application under Order 22, Rule 4, CPC came to be filed within 30 days of the date of the knowledge. Accordingly, there is no abatement of the appeal. The State is not expected to keep watch over the survival of the respondent and lapse of counsel to intimate to the counsel appearing in this Court cannot be construed to be knowledge of death. Even if it is assumed that abatement was caused, since application was filed under Order 22, Rule 4, CPC within 30 days from the date of the knowledge there is no delay in making the application to bring the legal representatives on record in this appeal. There is, hence, no abatement by reason of the death of the respondent. The application to bring the legal representatives is accordingly ordered. (Para 4)
(ii) Rajasthan Urban Improvement Act, 1959-Section 52-Land Acquisition Act, 1894 as amended by Act 68 of 1984-Acquisition of land under Section 52 of Rajasthan Act in 1965-Award of compensation in 1976-Appeal-Compensation enhanced-Revision-High Court remanded matter-District Judge applied provisions of Land Acquisition Act as amended by Act 68 of 1984 and awarded solatium, interest and additional amount under Sections 23(2), 28 and 23(1A)-Appellant had already paid compensation amount-Respondent claiming adjustment of said amounts towards interest-Claim dismissed-High Court holding that respondent is not entitled to benefit under Act 68 of 1984-Execution for recovery of balance amount-Appellant filed objections under Section 47 C.P.C.-Whether District Judge and High Court were right in concluding that appellant was not entitled to raise objections?-(No).
Held that the Act does not provide for payment of solatium and additional amount. It empowers the Court to award interest @ 6 on the amount awarded from the date of taking possession. The appellant having allowed the enhanced compensation at Rs.11.50 per square foot, though on wrong principle, to become final, it is bound by it. The only objection raised by the appellant is as to the executability of the decree of additional benefits under Central Amendment Act 68 of 1984. The respondent is entitled only to the principal amount and interest @ 6 per annum from the date of taking possession, viz., June 22, 1965. The amounts claimed and paid have already been specified and hence need no reiteration. It is settled law by catena of decisions of this Court that determination of the compensation under Section 23(1) of the Central LA Act is towards market value of the land prevailing as on the date of the publication of the Section 4(1) notification in the Gazette. Equally, so under section 52 of the Act. (Para 6)
Further held that payment of additional amount is independent of the compensation determined for the value of the land. They are not part of the component of the compensation for value of the acquired land. They are in addition to and independent of the component of the compensation under Section 23(1) of Central L.A. Act or Section 52 of the Act. The payment of solatium, interest and additional amount under Sections 23[2], 28 and 23 [1-A] is in addition to the payment of the compensation in terms of the provisions of the Act under which the property came to be acquired. Admittedly, the Act does not provide for payment of solatium and additional benefits except interest @ 6 per annum from the date of taking possession. The Amendment Act 68 of 1984 would be applicable prospectively from August 1, 1987 to the land acquired thereafter. Act 68 of 1984 would be applicable under Section 60A to the pending cases as on August 1, 1987 to determine compensation. (Para 8)
It would be seen that under the Central Amendment Act payment of additional amount under Section 23(1-A) and of solatium under Section 23(2) cannot be applied to the award made prior to coming into force of the Rajasthan Amendment Act 29 of 1987. Section 60A provides that notwithstanding anything contained in sub-section (1) of Section 52 of the Act, where any matter relating to acquisition of land is pending on the date of the commencement of the Amendment Ordinance, viz., August 1, 1987 such matters being conducted or action taken, shall be subject to the provisions of the Central LA Act. The District Judge was, therefore, not right in applying the Amendment Act on December 18, 1989 awarding enhanced solatium and interest and additional amount. (Para 9)
Consequently held that the order awarding additional benefits is clearly without jurisdiction and thereby it is a nullity. Its nullity can be assailed at any stage including at the execution or in a collateral proceedings since it strikes at the very jurisdiction and authority of the court. (Para 10)
Under these circumstances, the District Judge and the High Court are not right and their finding that the appellant is not entitled to raise objection in the execution, is wrong in law. It should be considered in execution only under section 47 CPC and not by a separate suit. The orders of the District Judge and the High Court stand set aside. The executing Court is directed to recompute the liability of the appellant to pay the compensation and interest @ 6 from the date of taking possession i.e., June 22, 1965 and order execution accordingly. (Para 11)
Key Points: - Under Order 22, Rule 4 of the CPC, there is no abatement of an appeal if the application to bring legal representatives on record is filed within 30 days from the date of knowledge of the party's death (!) (!) . - The Central Land Acquisition Amendment Act 68 of 1984, specifically the provisions for solatium and additional amount, cannot be applied to awards made prior to the coming into force of the Rajasthan Amendment Act 29 of 1987 (!) (!) . - The District Judge and High Court erred in applying the Amendment Act of 1984 to an award made in 1965/1976, as the amendment was prospective and only applied to pending matters as of August 1, 1987 (!) (!) . - An order awarding additional benefits without jurisdiction is a nullity, and its nullity can be assailed at any stage, including during execution proceedings under Section 47 of the CPC (!) (!) . - The respondent is entitled only to the principal compensation amount and interest at 6% per annum from the date of taking possession, not to solatium or additional amounts under the 1984 Amendment Act (!) (!) . - The executing Court is directed to recompute the appellant's liability for compensation and interest and order execution accordingly without the disallowed additional benefits (!) (!) . - Payment of additional amount, solatium, and interest under specific sections of the Land Acquisition Act are independent components and not part of the compensation for the market value of the land (!) (!) . - The High Court had no power to independently award statutory benefits under the Amendment Act when confirming the award of the reference Court, making such awards without jurisdiction (!) (!) .
JUDGMENT
K. Ramaswamy, J.-Leave granted.
2. This appeal by special leave arises from the judgment dated May 27, 1994 made in Civil Revision No. 553 of 1993 by a learned single Judge of the Rajasthan High Court at Jodhpur. The admitted facts are that under Section 52 of the Rajasthan Urban Improvement Act, 1959 [for short, the Act ] the land of Gokul Narain, the first respondent, along with other lands, for construction of over-bridge, was acquired and possession thereof was taken on June 22, 1965. The Additional Collector made his award on June 30, 1976 awarding a sum of Rs. 70,699,82 as compensation which included value of the building also. On appeal, the District Judge by order dated January 27, 1978 enhanced the compensation to Rs.2/- per square foot. The appellant as well as the respondents carried the matter in revision to the High Court. By order dated March 18, 1983 the High Court remanded the matter to the District Judge, with certain directions, for fresh disposal thereof. The district judge by order dated November 19, 1985 enhanced the compensation to Rs.11.50 per square foot and on further revision and remand by the High Court by order dated December 18, 1989 also applied the provisions of the Land Acquisition Act, 1894 (Central LA Act) as amended by Act 68 of 1984 and awarded solatium, interest and additional amount under Sections 23(2), 28 and 23 (1-A) of the Central LA Act. In the meanwhile, the appellant had paid the compensation amount on March 7, 1977 in a sum of Rs.1.18,760/- and a further sum of Rs.44,195.60 on May 11, 1982. The respondent claimed adjustment of the said amounts towards interest and filed the execution for the balance amount. The High Court by order dated August 4, 1988 dismissed the revision of the respondent claiming adjustment of the amounts paid towards interest and his entitlement to claim the balance amount observing that the respondent is not entitled to benefit under Act 68 of 1984. The respondent filed the execution for recovery of the balance amount. The appellant filed objections under Section 47 of the Code of Civil Procedure, 1908 (CPC) claiming that the cost of the acquired land worked out @ Rs.11.50 per square foot to Rs.1,19,026.22 and the cost of the building was Rs.3,423.00. Interest payable @ 6 for period from June 22, 1965 upto July 3, 1977, the date of deposit, worked out to Rs.85,981,16. The total compensation payable and interest worked out to Rs.2,08,432,36. The balance excess amount as on that date including interest was Rs.89,672.38. Interest on the balance principal compensation @ 6 from that date upto May 11, 1982 worked out to Rs.90,819.12. Balance compensation amount as on May 11, 1982 and interest thereon was Rs.90,819.12. Rs.44,195.60 was paid on the said date. Balance amount of interest after deducting the said amount was Rs.46,623.62. The amount paid in compliance of the order of the High Court dated December 12, 1987 was Rs.1,23,000. Therefore, the excess amount paid to the respondent was Rs.76,376.38. Interest calculated @ 6 on the said excess amount for period from the date of the deposit till date of objections, viz., January 16, 1991 to which the appellant claims to be entitled is Rs.14,231.46. Thus the appellant claims that he is entitled to receive from the respondents a total refund of Rs.90,607.84 plus interest thereon @ 6 from January 18,1991 till date of decision. The District Judge by the impugned order dated April 25, 1984 had dismissed the objections. On revision, the High Court by the impugned order dismissed the claim. Thus this appeal by special leave.
3. The Act was amended by Rajasthan Amendment Act 29 of 1987 which came into force w.e.f. August 1, 1987. By reason thereof, the Central Amendment Act 68 of 1984 become applicable to acquisition under the Act from August 1, 1987. Section 60A of the Act, as inserted by the Amendment Act 29 of 1987, made transitory provision applicable to the pending matters. Pending t
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