Interest on delayed compensation under the Land Acquisition Act is calculated based on the effective date of possession as per the signed agreement, not earlier notifications.

JUDGMENT :

MARLI VANKUNG, J.

Heard Mr. Zoramchhana, learned counsel for the petitioners, also heard Mrs. Mary L. Khiangte, learned Govt. Advocate for the State respondents.

2. The case of the petitioners in the writ petition filed under Article 226 of the Constitution of India, is that they are the owners or the landed property at Tlabung-Kawrpuichhuah, and the respondents, for the purpose of improvement and upgradation of the Tlabung-Kawrpuichhuah Road 0.00 to 11.850 kms. to 2 Lane NH Standard under the Mizoram State Road-II Project (MSRP-II), to be funded by the World Bank, issued notification dated 13.08.2013 u/s 4(i) of the LAND ACQUISITION ACT , 1894, which was issued by the Principal Secretary to the Government of Mizoram, Revenue Department.

3. Accordingly, declaration u/s 6 of the Act, 1894 was issued on 04.02.2014 and thereafter, the respondent No. 4 passed the Draft Award No. 3 of 2014- 2015. Since, no date was indicated in the draft award, the petitioners in an application under RTI Act, was informed that the Draft Award No. 3 of 2014- 2015 was passed on 08.05.2015. The approval of the award was conveyed on 08.05.2015 and payment of the compensation to the petitioners was made on 31.05.2016. Thereafter, the petitioners sought for information through RTI, regarding the date of taking possession of the land for construction of Tlabung- Kawrpuichhuah Road, under the Mizoram State Road Project-II wherein as per the RTI reply dated 05.10.2018, it was stated that the date was on 13.08.2013.

4. The learned counsel for the petitioners thus submitted that, since the petitioners received payment of the acquisition of the land on 31.05.2016, the interest of the delayed payment should be calculated from the date of taking possession of the land, i.e., 13.08.2013, in terms of Section 34 of the LAND ACQUISITION ACT , 1894. The learned counsel also submitted that after the issuance of notice u/s 4 of the LAND ACQUISITION ACT , the petitioners could no longer utilise their landed property.

The learned counsel for the petitioners further submits that the corrigendum made by the State respondents in the letter dated 11.12.2019, to the effect that the date of taking possession of the land was mistakenly replied in the information given under the RTI Act dated 13.08.2013, which is the date of issuance of notice u/s 4 of the LAND ACQUISITION ACT , 1894 and that the correct date of taking possession of the land of the petitioners for construction of Tlabung- Kawrpuichhuah Road is the date in which an agreement was signed with the landowners, was made after the filing of the writ petition on 07.11.2019, and thus the corrigendum was made as an afterthought.

5. The learned counsel further submitted that, if there is no clarity on the date of possession of the landed property, the date of taking possession should be considered as the date on the date the Draft Award No. 3 of 2014-2015 was made, and approved on 08.05.2015. In support of this submission, the learned counsel has cited the Judgment of the Apex Court in the case of Lila Ghosh Vs. State of West Bengal reported in (2004) 9 SCC 337 (Para 19) and State of Madras Vs. K.N. Shanmugha Mudaliar and others reported in (1976) 2 SCC 406 (Para 4).

The learned counsel thus submitted that in the event of no clarity on the date of possession, the interest u/s 34 of the LAND ACQUISITION ACT , 1894 can be calculated from 08.05.2015 till the date of payment on 31.05.2016.

6. Mrs. Mary L. Khiangte, learned Govt. Advocate, on the other hand, submitted that the information furnished to the petitioners by the SPIO, PIU, PWD vide letter No. MSRP-17/PIU/RTI/2017/36 dated 05.10.2018, s