Andhra Pradesh High Court
Judges : K.RAMASWAMY
Special Deputy Collector - Appellant
Versus
Balaiah - Respondent
Decided On : 12-29-83
LAND ACQUISITION ACT, 1894 - SECTION 23 - COMPENSATION - PAYMENT - PROCEDURE - COURT DIRECTED BANK ACCOUNT - TO BE FOLLOWED BY LAND ACQUISITION COLLECTORS AND CIVIL COURTS - TO ENSURE CLAIMANTS RECEIVE FULL FRUITS OF AWARD - TO CURB MIDDLEMEN AND IMPROVE ADMINISTRATION OF JUSTICE.
Fact of the Case:
Petitioner sought interim stay of enhanced compensation and costs awarded by the court in a land acquisition case.
Finding of the Court:
The court held that to avoid criticism against courts and to ensure claimants receive the full fruits of awards, a procedure should be followed where claimants open a Savings Bank account and the court or collector deposits the awarded amount to that account.
Issues: Whether a procedure should be established to ensure claimants receive the full fruits of awards in land acquisition cases.
Ratio Decidendi: The court relied on previous decisions of the court which held that middlemen and persons involved in the adjudicatory process often take advantage of claimants' illiteracy and ignorance, resulting in claimants not receiving the full amount of awards. The court held that to curb this practice and maintain the administration of justice, a procedure should be followed where claimants open a Savings Bank account and the court or collector deposits the awarded amount to that account.
Final Decision: The court ordered that the procedure indicated by the court shall be followed by Land Acquisition Collectors and Civil Courts, and that the amount awarded to claimants shall be deposited to the credit of their Savings Bank account.
( 1 ) SRI R Thimmareddy, learned counsel, is taking notice for respondent. After hearing both the counsel, I am satisfied that this is a fit case, where interim stay is to be granted, on condition that the petitioner deposits the entire amount of enhanced compensation and costs, if any, within two months from today. The respondent is entitled to draw the entire amount of enhanced compensation and costs without furnishing any security.
( 2 ) IT is now repeatedly held by this Court that with a view to avoid persistent criticism against the courts that the adjudicatory process to determine compensation of market value of the lands acquired has become gold mine to middle men and in some cases to persons invol- ved in that process indulging in practices which make the claimants not to realise the full fruits of the award granted by the courts.
( 3 ) IN Srisailam Devasthanam vs. Bhavani Pramilamma (1) AIR 1983 A. P, 297 at page 309, a Division Bench of this court has held that: "before parting with the case we have to state that in recent times it is a wide talk in the corridors of the courts and elsewhere that the benefits in the award are not being received in full by the legal representatives of the deceased or the victims of the accident. The middlemen and in some rases, the persons involved in the adjudicatory process are making hay taking advantage of the illiteracy ignorance and innocence of the legal representatives of the deceased or the victims of the accident. Many of thand poor citizens are ignorant of their right and are not aware of how to vindicate their right and realise the fruits thereof. As a result, a major part of the amount awarded is being knocked off by the middlemen and in some cases the persons involved in the adjudicatory process and only a paltry sum is being received by the legal representatives of the deceased or the victims as the case may be. With a view to put an end to this pernicious evif percolating into the portals of the Courts to maintain the administration of justice, we feel it expedient and absolutely necessary to indicate that the claims. Tribunals should take care to see that the amount awarded is received in full by the legal representatives of the deceased or the victims of the accident. In that process, we are of the opinion that one of the methods is that the Claims Tribunal should direct the claimants or the legal representatives to open a Savings Bank account either in the nearest nationalised bank or the post office and the number of that account should be furnished to the tribu :al and the Tribunal should deposit the respective shares of the claimants to the said account so that the fruit of award would be realised by the claimants to mitigate their hardship.
( 4 ) THE same view was followed by another Division Bench of this Court in a decision reported in Polavarapu somarajyam and Others vs A P S R T C hyderabad AIR 1983 A P 407 in para 75.
( 5 ) THESE two decisions were con- sidered by another Division Bench of this court in E. Lakshmisaraswathi and Others v. State Bank of India (3),c. M. A. 193/77 dt. 19-12-^983 where the Division Bench has held:"we are informed that the directions had their solitary effect and the Tribunals are adhering to the same as a rule. Therefore, it has become incumbent to all the tribunals concerning determination of the compensation, be they Motor Accidents claims Tribunals or Civil Courts dealing under the Acquisition or Requisition Acts, to follow the above Procedure so that the persistent criticism against the Courts would be effectively silenced. "
( 6 ) WHEN I have, indicated as to why the above procedure would not be followed, the learned counsel for the respondent contended that there is no such practice in vogue hitherto and to have uniformity the old procedure of payment out should be continued, I am unable to agree with the learned counsel. To evoke respect and continue to preserve the confidence of the litigant public in the
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