Bombay High Court
S.P.BHARUCHA
Atmaram Marya Bhoir - Appellant
Versus
State of Maharashtra - Respondent
Decided On : 08/17/1983
Land Acquisition - Release of Land from Acquisition - The court held that the order withdrawing the land from acquisition, which was conveyed to the co-operative society and the owners, and acted upon by them, could not be cancelled by the Government. The cancellation order and the stop work notice issued by the Municipal Corporation were struck down.
Fact of the Case:
The petitioners were the owners of lands in Bombay, which were noticed for acquisition. The land had been agreed to be sold to a co-operative housing society, and representations were made for the release of the land from acquisition. Subsequently, the Government decided to release the land, and the owners provided an undertaking stating that they would claim no damages on account of the withdrawal of the land from acquisition. However, the Government later decided to cancel the release order, and a stop work notice was issued by the Municipal Corporation.
Finding of the Court:
The court found that the order of cancellation of the withdrawal from acquisition and the stop work notice were unjustified and must be struck down.
Issues: The issues involved the cancellation of the withdrawal order from land acquisition and the validity of the stop work notice issued by the Municipal Corporation.
Ratio Decidendi: The court held that the withdrawal order, once conveyed and acted upon, could not be cancelled by the Government. It emphasized that there was no legal or equitable reason to support the Government's entitlement to cancel the withdrawal from acquisition.
Final Decision: The court allowed the petition, struck down the cancellation order, and directed the 1st respondents to pay the petitioners' costs.
2. On 11th May, 1981 the Deputy Secretary wrote to the chief promoter referring to the letters of 4th June and 26th June, 1980 with regard to the release of the land from acquisition and stated that, on reconsideration of the matter, the Government had decided to cancel the orders contained therein. On 11th June, 1981 the Municipal Corporation of Greater Bombay, the 4th respondent, served upon the petitioners' architect a notice under S.354A of the Bombay Municipal Corporation Act calling for immediate cessation of construction work. It is clear from the affidavit filed on behalf of the Corporation that this was done at the instance of the Government.
3. On 29th Sept. 1981 this petition was filed impugning the cancellation order and the stop work notice.
4. An affidavit was filed by the Deputy Secretary at the stage of admission which has been utilised at the hearing. The affidavit states that by the letter dt. 4th June, 1980 an administrative decision of the Government was conveyed to the petitioners. However, the statutory order was yet to be passed by the Commissioner under the Land Acquisition Act. Since the adnstrakivr order was not backed by a statutory order, the former could be amended or modified or reversed.
5. It is now not in dispute that there is no requirement of any statutory order for withdrawing from acquisition. Mr. Vyas, learned counsel for the respondents, however, referred to a judgment in Khan Bhahadur Chowkaran Keloth Mammad Koyi v. province of Madras, AIR 146 Mad 450. The court there held that under R.5 of the Rules framed under the Land Acquisition Act it was compulsory for Government to publish a notification of its decision under S.48 (1) withdrawing from acquisition. No rules framed by the appropriate Government, that is to say, the State of Maharashtra, have been pointed out to me which contain some similar provision. In fact, the Manual of Land Acquisition for the State of Maharashtra states in para 303B, "As the Land Acquisition Act does not prescribe any formality for withdrawing from acquisition under S.48, mere cessation of proceedings is sufficient. When Government/Commissioner decides to withdraw, and the decision is communicated to the owner of the land, it should be held that Government/Commissioner, has withdrawn from the acquisition and that if it is deemed necessary to acquire the land again, fresh proceedings must be started."
6. In the instant case the order withdrawing the land from acquisition was conveyed to the chief promoter of the co-operative society, who along with the owners had asked for such release. Further, the owners and the co-operative society have acted upon the withdrawal order and have commenced construction
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