IMPORTANT POINTS
A party on whom the notice for agreement on market price was not served cannot be held to have consented to the agreement.
In proceedings initiated under KIAD Act provisions of section 11A, Land Acquisition Act, 1894 as also Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition Rehabilitation and Resettlement Act, 2013 become applicable.

JUDGMENT

A.K. Sikri, J.

The question of law that has been raised in this appeal by the appellants, for consideration by this Court, is:

Whether provisions of the Right to Fair Compensation and Transparency in Land Acquisition Rehabilitation and Resettlement Act, 2013 (for short, "New LA Act"), are applicable in the instant case when the land is acquired under the provisions of KIAD Act?

2. Factual narration that is required to be noted, giving rise to the aforesaid question of law, is stated hereinbelow:

Respondents is the owner of land bearing Sy. No. 123/1 measuring 4 acres 9 guntas and Sy. No. 123/2 measuring 1 acre situated at Anganahalli Village, Belagola Hobli, Srirangapatna Taluk, Madhya District, Karnataka.

3. The appellants issued a preliminary notification under Section 28(1) of the Karnataka Industrial Areas Development Act, 1966 (hereinafter referred to as "KIAD Act") as it wanted to acquire certain lands, including that of the respondents for the purpose of developing the said lands as an Industrial Area and the same was published in the Karnataka Gazette on 15th September, 2000.

4. After issuing the necessary notices and following the procedure prescribed under the KIAD Act, a final notification under Section 28(4) was issued on 15th June, 2005 in respect of total 153 acres 10 guntas of land.

5. Section 29 of the KIAD Act deals with compensation. Section 29(2) provides that where the compensation has been determined by agreement between the State Government and the person to be compensated, it shall be paid in accordance with such an agreement. In case, where no agreement is arrived at, the State Government is to refer the case to the Deputy Commissioner for determination of the amount of compensation to be paid. This scheme of acquisition of land is contained in Sections 29 and 30 which are reproduced below:

"28. Acquisition of land.- (1) If at any time, in the opinion of the State Government, any land is required for the purpose of development by the Board, or for any other purpose in furtherance of the objects of this Act, the State Government may by notification, give notice of its intention to acquire such land.

(2) On publication of a notification under sub-section (1), the State Government shall serve notice upon the owner or where the owner is not the occupier, on the occupier of the land and on all such persons known or believed to be interested therein to show cause, within thirty days from the date of service of the notice, why the land should not be acquired.

(3) After considering the cause, if any, shown by the owner of the land and by any other person interested therein, and after giving such owner and person an opportunity of being heard, the State Government may pass such orders as it deems fit.

(4) After orders are passed under sub-section (3), where the State Government is satisfied that any land should be acquired for the purpose specified in the notification issued under sub-section (1), a declaration shall, by notification in the official Gazette, be made to that effect.

(5) On the publication in the official Gazette of the declaration under sub-section (4), the land shall vest absolutely in the State Government free from all encumbrances.

(6) Where any land is vested in the State Government under sub-section (5), the State Government may, by notice in writing, order any person who may be in possession of the land to surrender or deliver possession thereof to the State Government or any person duly authorised by it in this behalf within thirty days of the service of the notice.

(7) If any person refuses or fails to comply with an order made under sub-section (5), the State Government or any officer authorised by the State Government in this behalf may take possession of the land and may for that purpose use such force as may be necessary.

(8) Where the land has been acquired for the Board, the State Government, after it has taken possession of the land, may transfer the land to the Board for the purpose for