IN THE HIGH COURT OF RAJASTHAN (JAIPUR BENCH)
Sabina, Chandra Kumar Songara, JJ.
State of Rajasthan and Ors. - Appellants
Vs.
Sita Ram and Ors. - Respondent
D.B. Special Appeal (Writ) No. 1058/2019 in S.B. Civil Misc. Writ Review Petition No. 1/2018 in S.B. Civil Writ Petition No. 8310/2007
Decided On : 20-10-2020
LAND ACQUISITION - RIGHT TO FAIR COMPENSATION AND TRANSPARENCY IN LAND ACQUISITION REHABILITATION AND RESETTLEMENT ACT, 2013 - SECTION 24(1)(A) - DETERMINATION OF COMPENSATION - DATE OF NOTIFICATION UNDER SECTION 4 OF THE LAND ACQUISITION ACT, 1894 - MARKET VALUE AS ON 1.1.2014.
Fact of the Case:
Appellant-State challenged the order allowing the writ petition filed by the respondents, claiming that the compensation amount should be determined on the date of Notification under Section 4 of the Land Acquisition Act, 1894, and not as per the Right to Fair Compensation and Transparency in Land Acquisition Rehabilitation and Resettlement Act, 2013.
Finding of the Court:
The court held that the compensation was liable to be determined in terms of the Act of 2013, and the market value of the land was to be taken as it existed on 1.1.2014, relying on previous judgments of the Allahabad High Court and the Supreme Court.
Issues: 1. Whether the compensation amount should be determined on the date of Notification under Section 4 of the Land Acquisition Act, 1894, or as per the Right to Fair Compensation and Transparency in Land Acquisition Rehabilitation and Resettlement Act, 2013? 2. Whether the market value of the land should be taken as it existed on the date of Notification under Section 4 of the Act of 1894 or as on 1.1.2014?
Ratio Decidendi: 1. Section 24(1)(a) of the Act of 2013 provides that where no award under Section 11 of the Act of 1894 has been made, all provisions of the Act of 2013 relating to the determination of compensation shall apply. 2. The Government of India, in exercise of powers conferred by Section 113 of the Act of 2013, clarified that the reference date for calculation of market value under Section 24(1)(a) should be 01.01.2014, the date of commencement of the Act of 2013.
Final Decision: The appeal was dismissed, upholding the order of the learned Single Judge, who had allowed the writ petition filed by the respondents.
JUDGMENT :
1. Appellant-State has filed the appeal challenging the order dated 11.7.2017 passed by the learned Single Judge, whereby, the writ petition filed by the respondents was allowed.
2. Learned State Counsel has submitted that the learned Single Judge has erred in allowing the writ petition filed by the respondents. In-fact, the compensation amount was liable to be determined on the date the Notification under Section 4 of the Land Acquisition Act, 1894 (hereinafter referred to as 'Act of 1894') had been issued, i.e., on 13.1.2003. Possession of the land in question was taken in the year 2004 after issuance of Notification under Section 6 of the Act of 1894 and 80% of the amount of compensation had already been disbursed to the claimants. As per Section 24(1)(a) of the Right to Fair Compensation and Transparency in Land Acquisition Rehabilitation and Resettlement Act, 2013 (hereinafter referred to as 'Act of 2013'), where no award under Section 11 of the Act of 1894 has been made, then all provisions of this Act relating to determination of compensation shall apply. Learned counsel has further submitted that as per Section 113 (2) of the Act of 2013, every order made under the said provision was liable to be laid before each House of the Parliament.
3. Learned counsel for the respondents, on the other hand, has opposed the appeal and has submitted that the question involved in the present case is no longer res integra. The learned Single Judge rightly held that the compensation was liable to be determined in terms of the Act of 2013 and the market value of the land was to be taken as it existed on 1.1.2014. Learned counsel has placed reliance on the judgments of Allahabad High Court as well as the Hon'ble Supreme Court, placed on record with the reply filed by the respondents.
4. Learned counsel for the respondents has further submitted that so far as Section 113(2) of the Act of 2013 is concerned, the same was merely directory and not mandatory. In support of his argument, learned counsel has placed reliance on decision of the Hon'ble Supreme Court in M/s. Atlas Cycle Industries Ltd. & Ors. vs. The State of Haryana, (1979) 2 SCC 196, wherein it was held as under:-
"32. From the foregoing discussion, it inevitably follows that the Legislature never intended that non-compliance with the requirement of laying as envisaged by sub-section (6) of Section 3 of the Act should render the order void. Consequently non-laying of the aforesaid notification fixing the maximum selling prices of various categories of iron and steel including the commodity in question before both Houses of Parliament cannot result in nullification of the notification. Accordingly, we answer the aforesaid question in the negative. In view of this answer, it is not necessary to deal with the other contention raised by the respondent to the effect that the aforesaid notification being of a subsidiary character, it was not necessary to lay it before both Houses of Parliament to make it valid."
5. Facts in the present case are not in dispute. Notification for acquisition of land in question under Section 4 of the Act of 1894 was issued on 13.1.2003. Notification under Section 6 of the Act of 1894 was issued on 5.10.2004. Possession of the land was taken from the respondents in the year 2004. 80% of the amount of compensation was paid to the respondents on 29.11.2005. However, when the respondents filed the writ petition and till the decision of the writ petition, no award was passed by the Collector. Admittedly, the award has been passed by the Collector on 1.2.2018.
6. The question that requires consideration in the present case is that when no award has been passed on the date of coming in force of the Act of 2013, then what would be the date for determining the amount of compensation. The question involved in the present appeal is no longer res integra. The same question came up for consideration before Allahabad High Court in case titled Krishna Autar & 5 Ors
M/s. Atlas Cycle Industries Ltd. & Ors. vs. The State of Haryana
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