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2026 Supreme(MP) 79

IN THE HIGH COURT OF MADHYA PRADESH AT JABALPUR
DEEPAK KHOT, J.
Diwakar Prasad Mishra And Others – Applicant
Versus
The State of Madhya Pradesh And Others – Respondents
Writ Petition No. 5244 of 2012
Decided On : 12-05-2026

Advocates appeared:
Shri Vipin Sanghi (through VC), Shri K.C. Ghildiyal - Shri Siddharth Gulatee - Senior Advocates - assisted by Shri Gajendra Singh Thakur, Shri Awadhesh Kumar Ahirwar and Dheerendra Singh - Advocates for the petitioner No.1.
Shri Sankalp Kochar - Advocate with Shri Sughosh Bhamore - Advocate for the petitioner Nos. 1, 15, 16,17,20 and 21.
Shri Bhanu Pratap Yadav Advocate for the petitioner Nos. 11, 12,13,18, 19, 23 and 24.
Shri Sarang Soni - Advocate for the petitioner Nos. 6/L.Rs., 9, , 14 and 26/L.Rs.
Shri Prashant Singh - Advocate General with Shri Sumit Raghuvanshi - Government Advocate and Shri Jubin Prasad- Panel Lawyer for the respondents/State.
Shri Aditya Adhikari - Senior Advocate assisted by Ms Anannya Shree Adhikari - Advocate for the respondent No.4.
Shri Siddharth Sharma (through VC) with Shri Anvesh Shrivastava - Advocates for the respondent No.5.
Ms Shraddha Tiwari - Advocate for the petitioners.
Shri Prashant Singh - Advocate General with Shri Sumit Raghuvanshi - Government Advocate and Shri Jubin Prasad- Panel Lawyer for the respondents/State.
Shri Aditya Adhikari - Senior Advocate assisted by Ms Anannya Shree Adhikari - Advocate for the respondent No.4.
Shri Siddharth Sharma (through VC) with Shri Anvesh Shrivastava - Advocates for the respondent No.5.

IMPORTANT POINT
Acquisition proceedings that have attained finality, with compensation paid and possession taken, cannot be challenged after a significant delay. Furthermore, the transfer of acquired land between state entities for industrial development constitutes a valid public purpose, even if the original specific project is abandoned.

Headnote:

¼1½ Òwfe vtZu vfèkfu;e] 1894 & èkkjk 41 rFkk 42 & Òkjrh; rsy fuxe fyfeVsM dh ,yihth dh Vadh] c¨ry la;a= rFkk ç'kklfud Òou d¢ lfUuekZ.k d¢ y¨d ç;¨tu d¢ fy, Òwfe vftZr & çÒkfor O;fä;¨a@;kphx.k us çfrdj çkIr fd;k & dCtk l©aik & ckn esa daiuh us ifj;¨tuk d¨ O;ogk;Z ugÈ ik;k & fookfnr Òwfe jkT; d¢ vU; fuxe d¨ v©|¨fxd fodklkFkZ varfjr dh xà & i'pkr~orÊ fuxe dk Òh y¨d ç;¨tu Fkk] O;fäxr ugÈ & ç;¨tu d¢ ifjorZu d¢ vkèkkj ij laiw.kZ vtZu dk;Zokgh nwf"kr ugÈ & bld¢ vfrfjä] jkT; rFkk Òkjrh; rsy fuxe fyfeVsM d¢ eè; f}i{kh; djkj esa ;kphx.k i{kdkj ugÈ & og djkj d¨ èkkjk 41 rFkk 42 d¢ vèkhu vtZu vfèkfu;e dk Òkx crk dj mldk Qk;nk ugÈ ys ldrs D;¨afd Òwfe dk vtZu lqlaxr le; ij lE;d~ çfrdj çnku dj rFkk dCtk ysdj fofèk d¢ vuqdwy fd;k x;k Fkk & djkj esa ,slk d¨Ã vuqcaèk ugÈ fd rsy fuxe }kjk ifj;¨tuk can fd, tkus dh n'kk esa Òwfe ;kphx.k d¨ y©Vkà tk,xh & rFkkfi] jkT; d¨ iwo¨Zä djkj d¢ vuqlkj Òwfe d¢ vtZu d¢ dkj.k çÒkfor çR;sd ifjokj d¢ ,d lnL; d¢ fy, fu;¨tu lqdj cukus dk funs'k tkjhA ¼2020½ 8 ,llhlh 129 vuqlfjrA ¼2009½ 5 ,llhlh 368 fufnZ"VA ¼2011½ 10 ,llhlh 608 çÒsfnrA ¼iSjk 26] 29] 31 ,oa 32

¼2½ çFkk & mPp U;k;ky; d¨ led{k U;k;ihB d¢ vkns'k¨a dk vuqlj.k djuk g¨rk gS & n¨ led{k U;k;ihB¨a d¢ fofu'p;¨a d¢ eè; foj¨èk dh n'kk esa ekeyk eq[; U;k;ewfrZ d¢ le{k j[kk tkuk g¨rk gSA ¼2024½ 3 ,llhlh 224 vuqlfjrA 2003 ¼1½ ,eih,yts 513 voyafcrA ¼iSjk 27

(1) Land Acquisition Act, 1894 -- Ss. 41 and 42 -- land acquired for public purpose of construction of LPG tank, bottling plant and administrative building of Indian Oil Corporation Limited -- affected persons/petitioners received compensation -- handed over possession -- later, company found project not viable -- land in question transferred to another corporation for industrial development -- subsequent corporation also had public purpose, not individual -- entire acquisition proceeding not vitiated on ground of change of purpose -- moreover, petitioners not party to bipartite agreement executed between State and IOCL -- cannot take benefit of agreement stating it to be part of Acquisition Act u/ss. 41 and 42 because land was acquired in consonance of law by granting due compensation and taking over possession at relevant time -- no stipulation in agreement that land will be returned to petitioners in case IOCL closes down project -- however, direction issued to State to facilitate employment to one member of each affected family due to acquisition of land as per aforesaid agreement. (2020) 8 SCC 129 followed. (2009) 5 SCC 368 referred to. (2011) 10 SCC 608 distinguished. [Paras 26, 29,31 & 32

(2) Practice -- High Court has to follow orders of coordinate Bench -- matter has to be placed before Chief Justice in case of conflict between decisions of two coordinate Benches. (2024) 3 SCC 224 followed. 2003 (1) MPLJ 513 relied on. [Para 27

Table of Content
1. factual context of acquisition and subsequent project abandonment. (Para 1 , 2 , 3 , 4 , 5 , 6 , 7)
2. contentions regarding delay, public purpose, and binding nature of employment agreements. (Para 8 , 9 , 10 , 11 , 12 , 13 , 14 , 15 , 16 , 17 , 18 , 19 , 20 , 21)
3. dismissal of petition due to unexplained delay and laches in challenging acquisition. (Para 22 , 23 , 24 , 25 , 26 , 27)
4. validity of land transfer for industrial public purpose following abandonment of initial project. (Para 28 , 29 , 30 , 31)
5. dismissal of petition with advisory direction on employment facilitation. (Para 32 , 33)

ORDER

Considering the similitude of the controversy involved in both the aforesaid cases, they have been heard analogously and are being decided by this common order. However, for the sake of convenience, the facts of WP No. 5244/2012 are being taken into consideration.

2. The petitioners have filed the present petition under Article 226 of the Constitution of India seeking following relief:-

I. This Hon'ble Court may kindly be pleased to issue writ of certiorari and declare the acquisition proceedings/Notification dated 24.10.1997 issued by respondent Nos. 1 to 3 with respect to the land of the petitioner bearing Khasra No. more particularly given in the notification being Annexure P/1, in Village Bagaha, Tahsil Raghurajnagar, Satna to be null and void in the eyes of law and, II. This Hon'ble court may kindly be pleased to issue Writ of Mandamus and direct the Respondent No. 1 to 3 to de-notify the land of the petitioner bearing Khasra No. more particularly given in the notification being Annexure P-1, of Village Bagaha, Tehsil Raghurajnagar, Satna; and, III. This Hon'ble court may kindly be pleased to pass any such or the further order this Hon’ble Court may deem fit and proper in the facts and circumstances of the present case.

3. In short, the facts of the case are that the respondent No. 4 sought acquisition of the private land in question belonging to the petitioners for the purpose of construction of LPG Tank, Bottling Plant and Administrative Building under the provisions of Land Acquisition Act, 1894 (For short Act of 1894). The total extent of land sought to be acquired was 40.271 hectares as per the notification dated 24.10.1997 (Annexure P/1).

4. The respondent No. 2 entered into an agreement under Section 41 of the Act with the respondent No. 4 to the effect that respondent No. 4 shall provide Employment to at least one person of the family of Farmers from whom land has been acquired. The said condition is reflected in the Notification dated 14.08.1998 (Annexure P/2).

5. It is submitted that thereafter the land in question was acquired as per the terms and conditions provided in the Notification dated 24.10.1997 and the compensation was also determined. The petitioners received the compensation. Thereafter, the petitioners came to know that the work at the land acquired has been stopped by the respondent No. 4 because of which the delay in granting employment by the respondent No.4 was caused. Therefore, the petitioners filed WP No. 3111/2001. It is submitted that other aggrieved persons also filed WP No. 1217/2002. The respondents filed return in WP No. 1217/2002 admitting the fact of execution of agreement to the effect that employment is to be given to one of the family members whose land had been acquired. The said petition was disposed of by order dated 03.12.2001 (Annexure P/8) with direction to the respondents to decide the representation of the petitioners therein in respect of entitlement of the petitioners for employment.

6. It is submitted that the land in question was duly transferred in favour of respondent No. 4, the mutation was also done and the land is still lying recorded in the name of respondent No.4. However, later on, by letter dated 03.05.2002 (Annexure P/9), the respondent No. 4 informed the respondent No. 2 that the project has been scrapped by the management and accordingly the amount

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