IN THE HIGH COURT OF JUDICATURE AT BOMBAY
M.S. SONAK, KAMAL KHATA, JJ.
Yusuf Yunus Kantharia – Petitioner
Versus
Bombay Housing and Area Development Authority – Respondent
Writ Petition No. 700 of 2003
Decided On : 01-08-2024
Compensation - Property Acquisition - Maharashtra Housing and Area Development Act, 1976 - Sections 44, 46, 48 - The court emphasized the obligation to pay timely compensation for property acquisition, interpreting statutory provisions to ensure compliance with constitutional rights, leading to a directive for immediate payment.
Fact of the Case:
The Petitioner owned a property acquired by MHADA in 1988, but has not received any compensation for over 36 years, prompting legal action to address this delay.
Finding of the Court:
The court found that the Respondents failed to comply with statutory obligations to determine and pay compensation, violating the Petitioner's constitutional rights.
Issues: Whether the Petitioner is entitled to compensation for the acquisition of property and the implications of the delay in payment.
Ratio Decidendi: The court held that the failure to pay compensation for an extended period constitutes a violation of constitutional rights, necessitating immediate action to rectify the situation.
Result: The Respondents must pay the Petitioner Rs. 31,00,000/- within 15 days.
JUDGMENT :
M.S. SONAK, J.
1. Heard learned counsel for the parties.
2. The Petitioner was the owner of a plot of land measuring 979 sq. metres bearing survey No. 314 (part) Dharavi Division, Bombay, together with the chawl known as Kantharia Chawl at 29-C, Kattawadi, Dharavi Division, Dharavi Cross Lane (Municipal Ward No. GN-6322), hereafter referred to as the “said property.”
3. By order dated 14th July 1988 issued by Special Land Acquisition Officer (SLAO), Maharashtra Housing and Area Development Authority (“MHADA”) (Respondent No. 3), the Petitioner’s said property was acquired by MHADA under Section 93(5) of the Maharashtra Housing and Area Development Act, 1976 (“MHADA Act”). The Petitioner has raised several objections regarding such an acquisition. However, at this point in time, such challenges cannot be gone into. The only grievance that survives consideration is that the Petitioner has not been paid compensation whatsoever for the acquisition of the said property, though almost 36 years have passed. This is quite callous and insensitive, apart from the same violating Articles 14, 21 and 300-A of the Constitution.
4. This Petition was first considered by the Division Bench comprising R.M. Lodha, J. (as His Lordship then was) and A.S. Aguiar, J. on 22nd July 2003. The matter was adjourned to enable the Respondents to file their affidavits.
5. The SLAO, MHADA (Respondent No. 3), filed an affidavit on 2nd August 2003. After perusing the same, the Division Bench of RM Lodha and AS Aguiar JJ made the following order on 5 August 2003, which is transcribed below for the convenience of reference:
2. We are distressed to observe that the reply affidavit filed by Special Land Acquisition Officer, MHADA on 2nd August, 2003 virtually leads us nowhere. The said respondent even does not know whether for compulsory acquisition of petitioner’s land of which possession was taken way back in the year 1989, the award has been passed or not. There is no justification in the submission that the original records of the acquisition are not traceable. An expropriated owner cannot be defeated of his right of compensation because of the deficiencies in the functioning in the office of Special Land Acquisition Officer. In the affidavit it is stated thus:
“The possession of the said land and the building thereon was taken by the Collector, Survey Branch and the same was handed over to the Executive Engineer, UR-II, PMGP, MHADA on 5th June, 1989 and the said fact was thereafter intimated to the Superintendent, Bombay City Survey and Land Records, vide his letter dated 5th September, 1989. I say that since the records are presently pending with the SLAO, Bombay Building Repairs and Reconstruction Board, it would have to be verified after going through the entire gamut of records whether any Award has been passed and this fact cannot be ascertained unless the original records are traceable. I say that the concerned officer from the office of the Executive Engineer, RU-III, Bombay Building Repairs & Reconstruction Board, who is on deputation in my office has been strenuously taking all steps along with the concerned staff of the SLAO, Bombay Building Repairs & Reconstruction Board, to trace out the original file. It is humbly submitted that a period of 4 weeks be granted to my office to trace out the said records to verify whether any Award has been passed. In the event, the said records are traced and an Award has been passed, then the said fact shall be communicated to the respondent No. 1 to deposit the amount with my office within a period of 4 weeks thereafter. In the event, the said records are not traceable, then my office would have to follow the procedure prescribed for determining the compensation and pass the Award which can be done either by obtaining the necessary information in respect of the prevailing rent for the relevant period from the office of the M
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