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2026 Supreme(Mad) 480

IN THE HIGH COURT OF JUDICATURE AT MADRAS
MOHAMMED SHAFFIQ, J.
A.Selvaraj – Petitioner 
Versus 
The Government Of Tamil Nadu, Rep. By The Secretary To Government, Housing And Urban Development Department – Respondent 
W.P.No.11921 of 2024, W.M.P.No.13023 of 2024
Decided On : 24-11-2025

Advocates Appeared:
For the Petitioner: Mr.AK.Sriram, Senior Counsel For Dr.Yagna Moorthi
For the Respondent: Mr.P.Sathish, Additional Government Pleader, Mr.D.Veerasekaran Standing Counsel For Tnhb

Land acquisition proceedings lapse under Section 24(2) when compensation is not paid and possession is not taken for over five years, clarifying definitions of 'paid' and 'deposited'.

Headnote:(A) Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 - Section 24(2) - Land Acquisition proceedings alleged to have lapsed due to non-payment of compensation and possession not taken - Petitioners owners of land, contending acquisition lapsed after 30 years of Award - Applicability of earlier legislation's provisions considered along with recent Supreme Court rulings clarifying definitions of 'paid' and 'deposited' within statutory framework. (Paras 6.1, 6.2, 9 and 10)

(B) Land Acquisition - Possession and Compensation - Court observed no possession taken by State nor compensation paid to petitioners, thus ruling acquisition proceedings lapsed - Clarifications on procedural errors in compensation deposit were discussed. (Paras 7.1, 9)

(C) Judicial Review - Courts interpretation on land acquisition laws emphasizes actual financial transaction and physical possession critical in determining the legitimacy of acquisition and subsequent claims for lapsation. (Paras 8, 10)

Table of Content
1. overview of petitioners' land ownership and acquisition history. (Para 2)
2. arguments of the petitioners regarding possession and compensation. (Para 3)
3. respondents' counterarguments concerning prior challenges to acquisition. (Para 4)
4. analysis of section 24(2) of the new act. (Para 6)
5. court's findings on possession and compensation payment. (Para 7 , 8 , 9)
6. conclusion regarding lapse of acquisition proceedings. (Para 10)
7. final order disposing of the writ petition. (Para 11)

ORDER :

MOHAMMED SHAFFIQ, J.

The present writ petition is filed to declare the land acquisition proceedings in respect of the lands comprised in S.F.No.226/1 (Now 226/1B) situated at Vilankurichi Village, Coimbatore North Taluk, measuring an extent of 3.22 Acres covered by Award No.3/1995, dated 20.11.1995, as having lapsed in terms of sub section (2) to Section 24 of The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act , 2013 (hereinafter referred to as the “New Act”.

2. Brief Facts:

2.1. Petitioners are the owners of lands comprised in S.F.No.226/1 (Now 226/1B), situated at Vilankurichi Village, Coimbatore North Taluk, measuring an extent of 3.22 Acres. The subject property was acquired by the petitioners vide following Sale Deeds :

S.No.Sale Deed No. and DateExtent
1.

Sale Deed No. 3143 of 1987 dated 27.07.1987

55 cents
2.Sale Deed No. 3147 of 1987 dated 27.07.198750 ¾ cents
3.Sale Deed No. 3146 of 1987 dated 27.07.198750 ¾ cents
4.Sale Deed No. 3144 of 1987 dated 27.07.198728 cents & 287 Sq.ft
5.Sale Deed No. 3149 of 1987 dated 27.07.198741 cents
6.Sale Deed No. 3145 of 1987 dated 27.07.198728 cents & 287 Sq.ft
7.Sale Deed No. 3148 of 1987 dated 27.07.198750 ¾ cents

2.2. Petitioners have been in continuous possession of the subject property since their purchase made in 1987. Whileso, Government of Tamil Nadu issued a notification dated 22.09.1992 under Section 4 (1) of the Land Acquisition Act, 1894 (hereinafter referred to as the “Old Act”) vide G.O.Ms.No.650 Housing and Urban Development (LA-III) Department, notifying various lands including subject lands as required for formation of Ganapathy Neighbourhood Scheme Phase 3. Above notification was published in the Gazette on 21.10.1992 and Tamil Newspapers on 02.01.1992. Thereafter, a notice under Section 5A of the “Old Act” was issued during February 1992 and served on petitioners sometime in April 1993, calling upon the petitioners to submit their objections. Petitioners submitted their objection to the said notice. An enquiry under of the "Old Act" was conducted on 04.05.1993. Petitioners reiterated their objection during the enquiry. Thereafter, a declaration dated 15.11.1993, came to be issued under Section 6 of the "Old Act" in G.O.Ms.No.939, Housing and Urban Development (LA-III) Department. Above notification was challenged before this Court by petitioners 1, 3 and 6 herein in W.P.No.6887 of 1995. The said writ petition was dismissed vide order dated 03.07.1995. Writ Appeal No.977 of 1995 came to be filed challenging the above order in the writ petition. th Writ Appeal also stood dismissed vide order dated 17.09.1997. 11 petitioner herein also filed a writ petition in W.P.No.1880 of 1995 and the same was also dismissed. Writ Appeal filed challenging the order of nd dismissal of writ petition also came to be dismissed. 2 respondent passed an Award in Award No.3/1995 dated 20.11.1995.

2.3. It is submitted that petitioners were not served either with the Award or notices in terms of Section 12 (2) of the Old Act.

2.4. It is submitted that possession was not taken by the State or the Housing Board pursuant to the acquisition proceedings instead petitioners continued to remain in possession of subject properties and converted the same into layouts /colonies as could be seen from the following table:

S.No.S.F.Nos.Area(Hectares)Present Colonies with Names
1222/11.95.5J.S.Garden
2222/21.02.0J.S.Garden
3222/31.08.0J.S.Garden
4223/21.93.0Sakthi Ga

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