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2023 Supreme(Bom) 153

IN THE HIGH COURT OF JUDICATURE AT BOMBAY (AURANGABAD BENCH)
Sharmila U. Deshmukh, J.
Kondabai Shripati Mane - Appellant
Versus
State Of Maharashtra & Ors. - Respondents
Writ Petition No. 14667 of 2021
Decided On : 02-02-2023

Advocates:
Counsel for Appearing Parties
Vivekanand V. Ingale, Advocate, S.N. Morampalle, Advocate

The main legal point established is that the reference Court must decide the claim on merits and determine the market value afresh based on the material produced before it, following the guidelines set out in the Land Acquisition Act and relevant case law.

Headnote:

Land Acquisition Act - Challenge to Award - Section 18, Section 53, Section 54 - The court discussed the provisions of Section 18, Section 53, and Section 54 of the Land Acquisition Act. It highlighted the requirement for reference to the court, applicability of the Code of Civil Procedure, and the right to appeal from the award. The court also referred to relevant case law to establish the legal framework for dismissal of reference for non-prosecution and the procedure for determining compensation.

Fact of the Case:

The petition challenged the Award passed by the Civil Judge Senior Division, Omerga in L.A.R. No.864 of 2005, which dismissed the reference under Section 18 of the Land Acquisition Act. The petitioner contended that the reference cannot be dismissed for non-prosecution and sought quashing of the Award.

Finding of the Court:

The court found that the reference Court did not decide the claim on merits and dismissed the reference due to the claimant's failure to adduce evidence. It also addressed the delay in filing the petition and the objection to maintainability raised by the respondent.

Issues: The issues included the dismissal of the reference, delay in filing the petition, and the burden of proof for proving inadequacy of compensation.

Ratio Decidendi: The court held that the reference Court must determine the market value afresh on the basis of material produced before it and that the dismissal of the reference for non-adducing of evidence cannot be considered a decision on merits. It also considered the applicability of the Code of Civil Procedure and the need for a fresh determination of compensation.

Final Decision: The court quashed and set aside the Award, restored the Land Acquisition Reference to its original position, and directed the Reference Court to permit the claimant and the respondent to lead evidence. It also disallowed interest on the enhanced amount of compensation and allowed the writ petition.

JUDGMENT

Sharmila U. Deshmukh, J. - Rule. Rule made returnable forthwith. Mr. S.N. Morampalle, learned AGP waives service on behalf of the respondent - State. At the joint request of learned counsels appearing for the parties, the matter is heard finally at the admission stage.

2. The challenge in the petition is to the Award dated 02.04.2012 passed by the Civil Judge Senior Division, Omerga in L.A.R. No.864 of 2005 dismissing the reference.

3. Heard Mr. Vivekanand V. Ingale, learned Advocate for the petitioner and Mr. S.N. Morampalle, AGP for the respondent - State.

4. The learned counsel for the Petitioner submits that reference under Section 18 of the Land Acquisition Act, 1894 cannot be dismissed for non-prosecution. He would further urge that the reference Court has not decided the claim on merits and dismissed the reference on the ground that the claimant has not bothered to pursue the matter for establishing his claim and has thus failed to adduce any evidence for the purpose of redetermination of the market value of the acquired property. As such, he would contend that the Award passed by the Reference Court is liable to be quashed and set aside and the matter be remanded for consideration afresh. On the ground of delay in filing the present petition which is filed in the year 2021 whereas the Award has been passed in the year 2012, he would submit that the proceeding was filed by the petitioner at Osmanabad and after the establishment of Lower Court at Omerga, it was transferred to that Court, which was not intimated to the petitioner. He would submit that the petitioner got knowledge from some other claimants about the dismissal of the proceedings and thereafter he has approached this Hon'ble Court.

5. Per contra, learned AGP raised objection as to maintainability on the ground that the decision of the reference Court is on merits and therefore the appeal would lie under Section 54 of the Land Acquisition Act and the present Petition has been filed to avoid payment of Court fees. It was urged that there is considerable delay in filing the present Petition and no sufficient explanation has been tendered. The learned AGP would contend that in reference proceedings, the burden was upon the claimant to adduce evidence showing that the compensation awarded in respect of the acquired property was inadequate and insufficient and in absence of any such evidence, the material on record has been considered and the reference has been decided on merits and award is directed to be drawn up accordingly. The attention of this Court is invited to the provisions of Order-XVII, Rule-2 and 3 of Code of Civil Procedure, 1908 and it is submitted that the procedure prescribed under the Code of Civil Procedure (hereinafter in short 'Code'), the reference Court has proceeded to dispose of the suit in accordance with the provisions of Order-IX of the Code.

6. Before adverting to the merits of the case, it is necessary to refer to Section 18 of the Act which contemplates reference to Court by a person who has not accepted the Award and reads thus:

    '18. Reference to Court.- (1) Any person interested who has not accepted the award may, by written application to the Collector, require that the matter be referred by the Collector for the determination of the Court, whether his objection be to the measurement of the land, the amount of the compensation, the person to whom it is payable, or the apportionment of the compensation among the persons interested.

    (2) The application shall state the grounds on which objection to the award is taken:

    Provided that every such application shall be made,-

    (a) if the person making it was present or represented before the Collector at the time when he made his award, within six weeks from the date of the Collector's award;

    (b) in other cases, within six weeks of the receipt of the notice from the Collector under sectio

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