IN THE HIGH COURT OF KARNATAKA AT BENGALURU
KRISHNA S.DIXIT, J.
THE KARNATAKA INDUSTRIAL AREAS DEVELOPMENT BOARD - Petitioner
Vs.
SRI.BYREGOWDA S/O. LATE CHIKKATHAMMEGOWDA - Respondent
WRIT PETITION NO. 55485 OF 2017 (LA-KIADB)
C/W
WRIT PETITION NO. 11178 OF 2016 (LA-RES)
Decided On : 20-11-2018
Land Acquisition Act, 1894 - Section 18 – Acquisition of Land - compensation - After service of notice respondents have entered appearance through their counsel who resist these petitions on ground that petitioners have an alternate and equally efficacious remedy of statutory appeal and therefore they should be relegated to same - In support their submissions although they banked upon certain decisions which directly have not considered questions that arise from these cases as stated in the paragraph infra - Whether the beneficiaries acquisition lands are entitled to be heard by Reference Court in considering the reference matters regardless of they being parties to proceedings or not – Once reference court makes the judgment and award enhancing compensation, whether aggrieved can maintain writ petition statutory appeal provision Section Act notwithstanding – Held, Right given under subsection of Section is addition to and not in substituting in derogation to all incidental logical and consequential rights flowing from concept of fair and just procedure consistent with principles natural justice - Consistent thread that runs through all decisions of this Court starting from Himalayan Tiles case that beneficiary local authority or company coop - Society registered relevant State law statutory authority is person interested to determine just and proper compensation for the acquired land and is an aggrieved person - It flows from it that beneficiary has right to be heard by Collector or Court - If compensation is enhanced it is entitled to canvass its correctness by filing an appeal or defend award of Collector - If it is not made a party, it is entitled to seek leave of the Court and file the appeal against the enhanced award and decree of Civil Court Section or of judgment and decree Section or is entitled to file petition under Art and assail its legality or correctness - In above circumstances these petitions succeed in part Writ of Certiorari issues quashing the impugned judgment and awards rendered by Reference Court matter is remanded for consideration afresh within an outer limit of four months after providing an opportunity of hearing to beneficiaries of acquisition - Parties are put on notice to appear before the jurisdictional Reference Court instructions in Reference Proceedings – Order accordingly
In these writ petitions, the grievance of the writ petitioners who happen to be the beneficiaries of land acquisition in question is against the impugned judgment and award of the Reference Court made under Section 18 of the Land Acquisition Act, 1894, (hereafter “Act” for short) whereby the amount of compensation ultimately payable by the said beneficiaries has been enhanced without affording any opportunity of hearing to them.
2. After service of notice, the respondents have entered appearance through their counsel, who resist these petitions on the ground that the petitioners have an alternate and equally efficacious remedy of statutory appeal and therefore, they should be relegated to the same. In support of their submissions although they banked upon certain decisions, which directly have not considered the questions that arise from these cases, as stated in the paragraph infra.
3. The following two questions arise for consideration of this Court in these matters:
“i) whether the beneficiaries of the acquisition of lands are entitled to be heard by the Reference Court in considering the reference matters, regardless of they being parties to the proceedings or not?; and
(ii) once, the reference court makes the judgment and award enhancing the compensation, whether the aggrieved can maintain a writ petition, the statutory appeal provision under Section 54 of the Act notwithstanding?”
4. Learned Senior Advocate, Sri. S.S.Naganand submits that the first question above being a pure question of law is answered by Section 20(2)(c) of the Karnataka Amendment to the Act; even otherwise also principles of natural justice mandate an opportunity of hearing since the compensation payable under the award made by the LAO/SLAO and the enhanced compensation awarded by the Reference Court are payable ultimately by the beneficiaries of acquisition, the State being only the acquiring body.
5. Learned Senior Advocate, Sri. Naganand submits that the second question as to nonsuiting of the petitioner on the ground of availability of an alternate and equally efficacious remedy by way of appeal under Section 54 of the Act again is no longer res integra having been already answered by the Apex Court in the case of M/s.Neyvely Lignite Corpn. Ltd. v. Special Tahsildar (land Acquisition), Neyvely and others AIR 1995 SC 1004 holding that the writ petition under Articles 226 and 227 of the Constitution of India is maintainable. He hastens to add that even otherwise also there has been a catena of decisions wherein the Apex Court has held that in Certiorari proceedings especially founded on the principles of natural justice, the availability of alternate remedy does not constitute a sole ground for declining to exercise the power of judicial review.
6. The learned counsel appearing for the opposing parties in these writ petitions in chorus submit that since disputed questions of facts are involved in these writ petitions, the parties be relegated to the appellate remedies that are statutorily available especially in the absence of any explanation by the petitioners for not availing the same. They further submit that on merits also, the writ petitions are liable to be dismissed there being no error apparent on the face of the record warranting grant of writ remedy.
7. I have heard the learned Senior Advocate Sri.S.S.Naganand, appearing on behalf of the learned counsel appearing for the petitioners on record and the learned counsel appearing for the opposing parties. I have perused the writ petition papers and the decisions cited at the Bar.
8. The contention of the learned Senior Advocate that the beneficiary of the acquisition of the land is entitled to be heard and that a duty is cast on the Reference Court to hear the beneficiary finds support from the text of Section 20(2)(c) of the Karnataka Amendment to the Act vide Mysore Act 17 of 1961 w.e.f. 24.08.1961, which reads as under:
“20. Service of notice – The Court shall thereupon cause a notice specifyi
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