IMPORTANT POINT
Lapse of land acquisition proceeding – Landowners who had refused to accept compensation or who sought reference for higher compensation, cannot claim that acquisition proceedings had lapsed under Section 24(2) of Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013.

JUDGMENT :

M.R. SHAH, J.

1. Feeling aggrieved and dissatisfied with the impugned judgment and order passed by the High Court of Judicature at Allahabad in Civil Miscellaneous Writ Petition No. 13927 of 2016 by which the High Court has allowed the said writ petition preferred by the respondents herein original writ petitioners and has held that the acquisition proceedings with respect to the land in question shall be deemed to have lapsed under Sub-Section (2) of Section 24 of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (hereinafter referred to as ‘the Act 2013’) the Agra Development Authority, Agra has preferred the present appeal.

2. We have heard learned counsel for the respective parties. We have perused and considered the impugned judgment and order passed by the High Court.

3. Before the High Court it was the specific case on behalf of the Agra Development Authority-appellant herein that as such the possession of the land in question was already taken over and even the name of the Authority was mutated in the revenue records. It was also the specific case on behalf of the Authority that possession of the land in question was with them but the original writ petitioners illegally occupied it again. It was also the case on behalf of the Authority that the development works have already been carried out on the land in question and the entire compensation had already been deposited with the Special Land Acquisition Officer. It was also the case on behalf of the Authority that the original writ petitioners deliberately did not take the compensation for the remaining plot measuring 6 Biswa and 15 Biswansi and therefore, on account of the fault of the writ petitioners, the acquisition proceedings cannot lapse. However, by the impugned judgment and order the High Court has held and declared that the acquisition proceedings with respect to the land in question shall be deemed to have lapsed under sub-section (2) of Section 24 of the Act, 2013 on the ground that the amount of compensation was not actually paid to the land owners. While holding so the High Court has relied upon and considered the decision of this Court in the case of Pune Municipal Corporation and Another vs. Harakchand Misirimal Solanki and Others, (2014) 3 SCC 183.

3.1 Thus, while passing the impugned judgment and order the High Court has solely relied upon the decision of this Court in the case of Pune Municipal Corporation (supra) and other decisions in which the decision in the case of Pune Municipal Corporation (supra) was followed. (Para 12 of the impugned judgment and order)

However, the decision of this Court in the case of Pune Municipal Corporation (supra) has been subsequently overruled by the Constitution Bench of this Court in the case of Indore Development Authority vs. Manoharlal and Others, (2020) 8 SCC 129. In paragraph 366 it is observed and held as under:

“366. In view of the aforesaid discussion, we answer the questions as under:

366.1. Under the provisions of Section 24(1)(a) in case the award is not made as on 1.1.2014, the date of commencement of the 2013 Act, there is no lapse of proceedings. Compensation has to be determined under the provisions of the 2013 Act.

366.2. In case the award has been passed within the window period of five years excluding the period covered by an interim order of the court, then proceedings shall continue as provided under Section 24(1)(b) of the 2013 Act under the 1894 Act as if it has not been repealed.

366.3. The word “or” used in Section 24(2) between possession and compensation has to be read as “nor” or as “and.” The deemed lapse of land acquisition proceedings under Section 24(2) of the 2013 Act takes place where due to inaction of authorities for five years or more prior to commencement of the said Act, the possession of land has not been taken nor compensation has been paid. In other words, in case possession has been taken, compensation has not be