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2026 Supreme(Online)(P&H) 77705

IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
Alka Sarin, Ramesh Chander Dimri, JJ
SHIV ENTERPRISES – Appellant
Versus
STATE OF HARYANA AND ORS – Respondent
CWP-26769-2015 (O&M)



Advocates:
For the Appellants/Petitioners: Bhumika Khatri, Ram Darshan Yadav
For the Respondents: Saurabh Mago, Ankur Mittal, Sharvi Dadhwal, Siddhanth Arora

Land acquisition proceedings under the 1894 Act do not lapse under Section 24(2) of the 2013 Act if either the possession of the land has been taken or the compensation has been paid, regardless of whether the landowner actually lifted the compensation.

Headnote:(A) Land Acquisition - Deemed Lapse - Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition Rehabilitation and Resettlement Act, 2013 - Land acquisition proceedings do not lapse if either the possession of the land has been taken or the compensation has been paid. (Para 7, 9)

(B) Possession - Mode of taking possession - Entry in the rapat roznamcha constitutes valid taking of possession under the 1894 Act, thereby preventing the lapse of acquisition proceedings under the 2013 Act. (Para 7, 8, 9)

Issues: Whether the land acquisition proceedings lapsed under Section 24(2) of the Act of 2013 given that possession was taken and compensation was paid.

Table of Content
1. background of land acquisition and procedural history of the writ petition. (Para 1 , 2 , 3)
2. arguments regarding physical possession and payment of compensation. (Para 4 , 5)
3. application of the rule that payment or possession prevents the lapse of acquisition. (Para 6 , 7 , 8 , 9)
4. final dismissal of the petition based on the established legal principles. (Para 10)

ALKA SARIN, J. (ORAL)

1. The present writ petition has been filed seeking issuance of a writ in the nature of certiorari for quashing the Notification dated 05.12.2005 issued under Section 4 read with Section 17 of the Land Acquisition Act, 1894 (hereinafter referred to as ‘Act of 1894’) and for declaring that the acquisition proceedings to have lapsed in view of Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition Rehabilitation and Resettlement Act, 2013 (hereinafter referred to as ‘Act of 2013’).

2. Initially, the present writ petition was allowed by this Court vide order dated 04.12.2017 and the proceedings were deemed to have lapsed under Section 24(2) of the Act of 2013. Aggrieved by the same the respondents herein filed an appeal before the Supreme Court. The said Civil Appeal being CA No.2566 of 2024 (SLP (C) No.5889-2019) titled as ‘Haryana State Industrial Infrastructure Development Corporation Ltd. & Ors. Versus Shiv Enterprises’ was disposed off vide order dated 16.02.2024. The matter was remanded to the High Court for deciding it afresh on the other issues in the light of the judgment in Indore Development Authority vs. ManoharLal & Ors. [(2020) 8 SCC 129 = 2020 (4) RCR (Civil) 668]

3. Briefly the facts relevant to the present lis are that the petitioner is said to be the owner in possession of Khewat No.3/3, Khatoni No.3, Mustil No.43, Killa No.3/2 (3-16), Killa No.4 (8-0) Killa No.5/1 (2-4) total measuring 14 Kanal, share of 25/280 total measuring 1 Kanal 5 Marla situated at Banipur Chowk in the revenue estate of Village Chirhara, Tehsil Bawal, District Rewari. Notification under Section 4 of the Act of 1894 (Annexure P-1) was issued on 05.12.2005. The purpose of the acquisition was for the extension of Industrial Growth Center, Bawal to be planned as an integrated complex for industrial, recreational and other public utilities. Declaration under Section 6 of Act of 1894 (Annexure P-2) was issued on 13.03.2006. The award was announced on 23/25.05.2006. Thereafter, possession was taken vide rapat roznamcha dated 07.07.2006. Admittedly, as stated in para No.8 of the writ petition, the amount of compensation for the land in question was taken by the petitioner. However, it is stated that the petitioner is ready to return the same.

4. The Supreme Court remanded the matter for a decision on other issues in the light of the judgment in the case of Indore Development Authority (supra). On a perusal of the writ petition it is apparent that there is no other issue arising in the present case besides the one covered by the judgment in the case of Indore Development Authority (supra). The only argument raised by the learned counsel appearing on behalf of the petitioner is that the petitioner is in physical possession of the land and is ready to return the enhanced compensation.

5. Per contra the learned senior counsel appearing for respondent Nos.2 and 3 would contend that the entire compensation, admittedly, stands paid to the petitioner admittedly. It is further contended that the possession was also taken and entry in the rapat roznamcha was duly made.

6. We have heard learned counsel for the parties and have carefully gone through the records.

7. Their Lordships in the case of Indore Development Authority (supra) held as under :

“366. In view of the aforesaid discussion, we answer the questions as under:

366.1. Under the provisions of Section 24(1)(a) in case the award is not made as on 1-1-2014, the date of commencement of the 2013 Act, there is no lapse of proceedings. Compens

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