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2021 Supreme(SC) 1129

SUPREME COURT OF INDIA
A.M. KHANWILKAR, SANJIV KHANNA, JJ.
Raghubir Singh and Another – Appellants
Versus
State of Haryana and Others – Respondents
Civil Appeal Nos. 2714-2715, 2717-2718, 2719, 2720, 2721-2722, 2723, 2724, 2725 of 2021, SLP (C) Nos. 6411-6412, 6628-6629, 6668, 7417, 8852, 10783 of 2021, 14802-14803, 15383 of 2020, Diary No. 3210 of 2021
Decided On : 15-07-2021

Advocates:
Advocate Appeared:
For the Petitioners: Mr. Rao Ranjit, Mr. Narender Hooda, Mr. Vikas Goyat, Ms. Seema, Mr. Amit Sahni, Dr. Surender Singh Hooda, Mr. Siddhartha Dave, Mr. Ankur Mittal, Mr. Nidhi Mittal, Mr. Ankur Saboo, Mr. Mahabir Singh, Mr. S.P.S. Chauhan, Ms. Preeti Singh, Mr. Sunklan Porwal, Ms. Saumya Dwivedi, Mr. Karan Kapur, Mr. Manik Kapoor, Mr. Akshay Munjal, Mr. Subham Bhalla, Ms. Usha Nandini V.
For the Respondents: Mr. B.K. Satija, Mr. Himanshu Satija, Mr. Sanjay Kumar Visen, Dr. Monika Gusain, Ms. Adira A. Nair, Mr. Veena Bansal, Mr. Sorav Jindal, Mr. Abhishek Garg, Mr. Akshay Goyal, Mr. Alok Sangwan, Mr. Sumit Kumar Sharma, Mr. Anurag Kulharia.

The central legal point established in the judgment is the interpretation of Section 101A of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013, emphasizing the State's power to denotify acquired land if it becomes unviable or non-essential in public interest.

Headnote:

Land Acquisition - Denotification - Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 - Section 101A

Fact of the Case:

The court considered whether the landowners could withdraw their writ petitions seeking declaration of lapsing of acquisition of their lands and approach the State of Haryana to denotify the acquisition of lands under Section 101A of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013.

Finding of the Court:

The Division Bench of the High Court held that the landowners cannot approach the State of Haryana for denotifying acquisition of their lands after it had vested in the State, citing the Constitution Bench's decision in Indore Development Authority vs. Manoharlal. However, the Supreme Court set aside the judgment, allowing the landowners to approach the State Government under Section 101A of the 2013 Act, emphasizing the State's power to denotify acquired land if it becomes unviable or non-essential in public interest.

Issues: The primary issue was whether the landowners could seek denotification of their acquired lands under Section 101A of the 2013 Act after the lands had vested in the State.

Ratio Decidendi: The court interpreted Section 101A of the 2013 Act, emphasizing the State's power to denotify acquired land if it becomes unviable or non-essential in public interest, and clarified that the provision does not give a vested right to the landowners regarding denotification.

Final Decision: The Supreme Court set aside the High Court's judgment and allowed the landowners to approach the State Government under Section 101A of the 2013 Act, emphasizing the State's power to denotify acquired land if it becomes unviable or non-essential in public interest.

ORDER :

Civil Appeals @ SLP (C) Nos. 6411-6412 of 2021

1. Leave granted.

2. These appeals take exception to the judgment and order passed by the Division Bench of the High Court of Punjab and Haryana at Chandigarh dated 01.10.2020 in C.M. No. 9051 of 2020 in Writ Petition (C) No. 22241 of 2016 and C.M. No. 9059 of 2020 in Writ Petition (C) No. 22247 of 2016.

3. The question considered by the High Court is: whether the writ petitioners can be allowed to withdraw the writ petitions filed by them primarily seeking declaration of lapsing of acquisition of their lands and as an alternative relief to allow them to approach the respondent-State of Haryana urging to invoke its power to denotify the acquisition of lands in question under Section 101A of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (for short “2013 Act”) as applicable to the State of Haryana?

4. It is not in dispute that such liberty was granted in other cases by the coordinate Bench of the same High Court. In the present cases, however, the High Court relying on the dictum of the Constitution Bench of this Court in the Indore Development Authority vs. Manoharlal and Others, (2020) 8 SCC 129, held that after vesting of lands in the State consequent to taking over possession thereof, the land owners cease to have any right over the land in dispute, especially when the acquisition proceedings have been upheld in the same or earlier round of litigation. Resultantly, no liberty can be given to such land owners to approach the State of Haryana for denotifying acquisition in respect of their lands after it had vested in the State. That would be in violation of the settled legal position including the spirit of the Land Acquisition Act, 1894 (for short “1894 Act”) in particular Section 48 thereof.

5. While so observing, the Division Bench of the High Court also took note of the fact that the coordinate Benches of the High Court in some other cases had granted such liberty to the land owners - to make representation to the State of Haryana for invoking power under Section 101A of the 2013 Act, as applicable to the State of Haryana. But then, the Court in the impugned judgment went on to observe that it did not agree with that approach. This observation of the High Court, in the impugned judgment, has also been questioned before us by learned counsel appearing for the land owners. They would urge that, in such a situation, judicial discipline warranted making reference to a larger Bench of the High Court for an authoritative pronouncement.

6. After hearing learned counsel for the parties, we have no hesitation in observing that the conclusion reached by the Division Bench of the High Court in the impugned judgment is not an accurate statement of law. Indeed, the Constitution Bench considered the question of lapsing of acquisition proceedings in reference to Section 24 of the 2013 Act. While examining that question, it had also noticed Section 101 of the 2013 Act, which deals with return of unutilised land. In that context, the Constitution Bench had observed that Section 101 of the 2013 Act cannot apply to acquisition made under the 1894 Act. However, it had no occasion to deal with the efficacy of Section 101A of the 2013 Act, as applicable to the State of Haryana. Whereas, in the present cases, the land owners had approached the High Court with twin reliefs. The primary relief being for a declaration of lapsing of acquisition proceedings under the 1894 Act and in the alternative to permit them to approach the State of Haryana for invoking power under Section 101A of the 2013 Act as applicable to the State of Haryana, which has come into force w.e.f. 01.01.2014 vide publication of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement (Haryana Amendment) Act, 2017 - inserted w.e.f. 24.05.2018. Section 101A of the 2013 Act as applicable to the State of Haryana reads thus:

    “101

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