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1994 Supreme(SC) 1036

SUPREME COURT OF INDIA
UTTAR PRADESH STATE INDUSTRIAL DEVELOPMENT CORPORATION Limited
VERSUS
State of Uttar Pradesh
DECIDED ON: October 19, 1994

The proper course for the LAO in determining compensation under Section 28-A of the Land Acquisition Act is to keep the applications under Section 28-A(1) pending until the appeal filed against the award of the District Judge is disposed of by the High court, and then to take action as per Section 28-A(2).

Headnote:

Land Acquisition Act - Compensation Determination - The court held that the proper course for the Land Acquisition Officer (LAO) is to keep the applications under Section 28-A(1) pending until the appeal filed against the award of the District Judge is disposed of by the High court, and then to take action as per Section 28-A(2). The High court was not right in dismissing the writ petitions, and the award of the Collector made under Section 28-A(2) was quashed.

Fact of the Case:

The controversy revolved around the determination of compensation under Section 28-A of the Land Acquisition Act, 1894. Some claimants received compensation without protest, while others received it under protest and sought references under Section 18 to the Civil court. The Additional District Judge enhanced the compensation, and the State filed an appeal which was pending disposal in the High court.

Finding of the Court:

The court held that the High court was not right in dismissing the writ petitions, set aside the order of the High court, and quashed the award of the Collector made under Section 28-A(2). The LAO was directed to keep the application filed under Section 28-A(1) pending until the disposal of the appeal, and then determine the compensation based on the final judgment according to law.

Issues: The main issue was whether the Collector was right in determining the compensation under Section 28-A of the Land Acquisition Act.

Ratio Decidendi: The proper course for the LAO is to keep the applications under Section 28-A(1) pending until the appeal filed against the award of the District Judge is disposed of by the High court, and then to take action as per Section 28-A(2).

Final Decision: The appeals were allowed, and the LAO was directed to determine the compensation based on the final judgment according to law.

( 1 ) LEAVE granted.

( 2 ) THESE appeals arise from the judgment of the High court of Allahabad dated 29/1/1992 made in WP No. 16908 of 1989 and batch. The only controversy in these cases is whether the Collector was right in determining the compensation under Section 28-A of the Act. The notification under section 4 (2 of the Land Acquisition Act, 1894, Act No. 1 of 1894, for short the Act, was published on 9/2/1962. The Collector passed the awards relating to three villages on different dates determining the compensation. Some of the claimants received the compensation without protest and some on protest. Those who received the compensation under protest sought for " and secured references under Section 18 to the Civil court. The Additional district Judge, Ghaziabad in his award and decree dated 23/5/1987 enhanced the compensation. The State filed FA No. 668 of 1987 which is pending disposal in the High court at Allahabad. The claimants who received the compensation without protest made applications under Section 28-A (1 of the Act. Following the award of the District court, the Land Acquisition officer passed the award under Section 28-A (2 of the Act. This was challenged by the appellants in the High court in the writ petitions which were dismissed. Thus these appeals by special leave.

( 3 ) THE entire controversy has been considered by this court in Babua Ram v. State of U. P. dated 4/10/1994 rendered in CA No. 563 of 1994 and batch and held that since an appeal has been preferred by the State against e the award of the District Judge made under Section 26 of the Act, the proper course open to the LAO, on an application made under Section 28-A (1 of the Act, would be to keep the applications under Section 28-A (1 pending till the appeal filed against the award of the District Judge is disposed of by the High court and then to take action as per Section 28-A (2 of the Act. Following the law laid down therein and subject to directions contained therein, we hold that the High court was not right in dismissing the writ petitions. Therefore, the order of the High court is set aside. The award of the Collector made under Section 28-A (2 is quashed. The Collector/lao is directed to keep the application filed under Section 28-A (1 of the Act pending till the disposal of the appeal. On receipt of the judgment from the High court or in an appeal by this court the LAO is directed to determine a the compensation based on the final judgment according to law.

( 4 ) THE appeals are accordingly allowed. But in the circumstances without costs.

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