IN THE HIGH COURT OF GUJARAT AT AHMEDABAD R/SPECIAL CIVIL APPLICATION NO. 3426 of 2024 ==================================================
PRAVINKUMAR JAGJIVANBHAI PATEL & ORS.
Versus THE STATE OF GUJARAT & ORS.
==================================================
Appearance:
MR RAKESH R PATEL(3239) for the Petitioner(s) No. 1,2,3,4,5,6,7,8,9 for the Respondent(s) No. 3,4 MS HETAL PATEL ASSISTANT GOVERNMENT PLEADER for the Respondent(s)
No. 1,2 ==================================================
CORAM:HONOURABLE THE CHIEF JUSTICE MRS. JUSTICE SUNITA AGARWAL and HONOURABLE MR. JUSTICE PRANAV TRIVEDI Date : 02/07/2024
ORAL ORDER
(PER : HONOURABLE THE CHIEF JUSTICE MRS. JUSTICE SUNITA AGARWAL)
1. The present petition has been filed seeking a direction in the nature of mandamus commanding the respondent authorities to award statutory interest over the awarded amount as per Section 80 of the Right To Fair Compensation And Transparency In Land Acquisition, Rehabilitation and Resettlement Act, 2013 [“Act of 2013” for short] effectively from the date of possession of the land in question till the date of its realization.
2. It is argued by the learned counsel for the petitioners that statutory interest of 9% & 15% from the date of taking possession until the awarded amount is paid or deposited, is necessarily to be included in the land acquisition award which has been prepared under Section 23 of the Act of 2013. The contention is that this element of interest for deprivation of the right of the petitioners to enjoy the land till the awarded amount is deposited, cannot be denied by the award making authority.
3. On the said submission made by the learned counsel for the petitioners when we have gone through the award dated 04.05.2022 it is evident that all other elements of compensation, except statutory interest under Section 80 of the Act of 2013 have been included. A perusal of the award indicates that proceedings for acquisition were initiated with notifications dated 27.02.2020 and 29.01.2021 under Sections 11(1) and 19(1) of the Act of 2013. The present is a case where the petitioners have been dispossessed of their landed property and the acquisition notification had been issued on 27.02.2020 and thus, the determination of compensation under the award dated 04.05.2022 has been made under the Act of 2013.
4. It is submitted by the learned AGP appearing for the State respondents that, in those cases, where the possession is given by the land owners, for the period of dispossession i.e. until the date of issuance of the acquisition notification, the rent of the land in question is being paid to the tenure holders at the rate of 9% of the market value. The submission is that there is, thus, no requirement of payment of interest under Section 80 of the Act of 2013 as rent for the period of dispossession at the rate of 9% of the current market value has already been determined.
5. Taking note of the above submissions, we find that in this case the petitioners have been deprived of their landed property, and the determination of compensation under the award dated 04.05.2022 has been made after an inordinate delay. The State respondents cannot get away by saying that they would pay 9% of the current market value as rent as applicable in those cases where the tenure holders parted away their lands under agreement.
6. For the forcible dispossession of the petitioners and dereliction on the part of the State respondents in payment of compensation, they are liable to pay statutory interest as payable under Section 80 of the Act of 2013, i.e. at the rate of 9% for the period of 1 year from the date of taking possession and at the rate of 15% after a period of 1 year from the date of taking possession till the date of payment or deposit of compensation.
7. As the dispute is legal in nature, we dispose of the instant writ petition at the admission stage itself without calling for the counter affidavit, issuing direction to the respondent No.2 to modify the award dated 04.05.2022 as per the observations made herein-above. Fresh computation of statutory interest under Section 80 of the Act of 2013 is to be made by the respondent No.2 and the amount determined under the award as rent at the rate of 9% shall be adjusted towards the fresh computation to be made under this order. The payment, if due, shall be made to the petitioners under the award in question after adjustment of payment made under the earlier computation.
8. We find substance in the further submission of the learned counsel for the petitioners that 9% and 15% statutory interest provided under Secti
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