2024 Supreme(AP) 845
IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
DHIRAJ SINGH THAKUR, C.J., R. RAGHUNANDAN RAO, J
E. Sridhar Reddy, S/o.Srinivasula Reddy – Appellant
Versus
The Union of India – Respondent
W.P.(PIL).No.4 of 2017, W.P.No.14105 of 2017 & W.P.No.16482 of 2020
Decided on : 06-05-2024
Advocate Appeared:
For the Appellant : Sri L. Ravichender, learned Senior Counsel appearing for Sri
Srinivas Bobbili, Sri Srinivas Bobbili
For the Respondent: Sri E. Madan Mohan Rao, Sri C.V. Mohan Reddy, Sri Ms. Saroj, Mr. B. Vijayasen Reddy, learned Senior Counsel
IMPORTANT POINT
The court affirmed that land acquisition for public purpose is valid, and changes in land use can be permitted under specific circumstances, provided they follow legal procedures.
Headnote:
Land - Allotment and Use - Andhra Pradesh Agricultural Land (Conversion for Non Agricultural Purposes) Act, 2006; SEZ Act - The court examined the legality of land allotment and conversion for SEZ, emphasizing adherence to public purpose and procedural compliance in land acquisition.
Fact of the Case:
The petitioners challenged the allotment of land to a cooperative society for a fertilizer plant, alleging malafide transfer and lack of compensation for land taken from local farmers. They also contested the change of land use to an SEZ.
Finding of the Court:
The court found that the land acquisition was for a public purpose, and the change of use to SEZ was permissible due to the inability to establish the fertilizer plant. The court upheld the government's actions as not arbitrary.
Issues: Whether the land allotment and subsequent change of use to SEZ were lawful and in compliance with relevant laws and public interest.
Ratio Decidendi: The court held that the land acquisition was valid as it served a public purpose, and the change of use was justified given the circumstances surrounding the fertilizer plant's establishment.
Result: Writ Petitions No. 14105 of 2017 and W.P. (PIL) No. 4 of 2017 are dismissed; W.P.No. 16482 of 2020 is closed.
ORDER :
(per Hon’ble Sri Justice R.Raghunandan Rao)
Heard Sri L. Ravichender, learned Senior Counsel appearing for Sri Srinivas Bobbili, learned counsel for the petitioners in W.P.(PIL).No.4 of 2017, Sri Srinivas Bobbili, learned counsel appearing for the petitioners in W.P.Nos.14105 of 2017, Sri E. Madan Mohan Rao, learned Senior Counsel for respondent No.17/M/s. Indian Farmers Fertilizer Cooperative Limited in W.P.(PIL).No.4 of 2017 and learned counsel for the petitioners in W.P.No.16482 of 2020, Sri C.V. Mohan Reddy, learned Senior Counsel for respondent No.18/M/s.IFFCO Kisan SEZ Limited in W.P.(PIL).No.4 of 2017, Sri Ms. Saroj, learned counsel for respondent Np.19/Hindustan Coca Cola Beverages Private Limited in W.P.(PIL) No.4 of 2017, Sri. B. Vijayasen Reddy, learned Senior Counsel for Respondent No.20/M/s.Gamesh Renewable Private Limited in W.P.(PIL).No.4 of 2017 and the learned Advocate General appearing for respondents 1 and 2 in W.P.(PIL).No.4 of 2017. The parties to these writ petitions are being referred to as they are arrayed in PIL No. 4 of 2017.
2. Respondent No.17 M/s. Indian Farmers Fertilizer Cooperative Limited (IFFCO), a Cooperative Society, which operates fertilizer plants in India had sought to establish an Ammonia-Urea plant in Nellore District, with an estimated cost of Rs.2000 crores (approximately). An extent of 2776.23 acres of land is said to have been allotted to the 17th respondent in various villages of Alluru and Kodavaluru Mandals of erstwhile Nellore District. The land is said to have been handed over to the 17th respondent by the 9th respondent Special Tahsildar on 07.05.1997.
3. The Petitioners in W.P.(PIL).No.4 of 2017 challenged the handing over of the said land to the 17th respondent apart from various concessions and incentives given to the 17th respondent and the subsequent 18th respondent. It is the case of the petitioners in W.P.(PIL).No.4 of 2017 that the transfer of the said land apart from various concessions given by the authorities are actuated by malafides and with an intention to help the 17th respondent which is actually a private entity interested in making profits. The petitioners also assail the said transfer apart from the other incentives on the ground that the said transfer of land and grant of incentives suffer from various infirmities which are set out in detail below.
4. The petitioners in W.P.No.14105 of 2017 are said to be persons whose lands have been taken over by the Government for the purposes of handing over the same to the 17th respondent, without payment of proper compensation to the petitioners and the same is arbitrary, illegal and consequently the Government should either pay compensation @ 56 lakhs per acre or the land should be given back to the petitioners therein.
5. The 18th respondent had sought permission for a company called M/s E.V. Mia Electrical Private Limited, to establish a unit in the SEZ of the 18th respondent. The Development Commissioner informed the 18th Respondent, by a letter dated 13.08.2020 that the said application would be kept pending till PIL No. 4 of 2017 and the other cases pending before this court are decided. Aggrieved by this communication the 18th Respondent had filed W.P.No.16482 of 2020.
6. It is necessary to look at the time line of events before considering the grounds raised by the petitioners.
7. The 17th respondent, for the purpose of establishing an Ammonia-Urea plant had sought an extent of about 2000 acres to be allotted to it in the year 1994. In response, the Government issued G.O.Ms.No.407 dated 19.08.1995 directing the transfer of 2672.05 acres of land. This G.O also recorded that there is a dispute in relation to about a thousand acres of land and the said dispute had been resolved in favour of Sri Kodanda Rama Swamyvari Temple, Kovur. However, this land was also directed to be handed over in advance. Subsequently, advance possession was handed over to the 17th respondent by way of G.O.Ms.No.794 and proceedings of th