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2017 Supreme(Online)(SC) 1530

SUPREME COURT
Unknown, J
Special Land Acquisition Officer KIADB Mysore and Another v. Anasuya Bai (D) by Lrs. and Others
writ petition | LAC No. 13 of 2007



Advocates:
For the Appellants/Petitioners: Unknown
For the Respondents: Unknown

The lack of consent from all landowners for compensation fixed by the Advisory Committee invalidates the agreement, resulting in the lapse of acquisition proceedings under the New LA Act.

Headnote:(A) Right to Fair Compensation and Transparency in Land Acquisition Rehabilitation and Resettlement Act, 2013 - Karnataka Industrial Areas Development Act, 1966 - Applicability of New LA Act to acquisitions under KIAD Act considered. (Para 1)

(B) Compensation determination - No consent from all landowners for compensation fixed at Rs.6,50,000/- per acre; acquisition proceedings lapsed due to non-passing of an award within the required timelines. (Paras 12, 26)

(C) Legal distinction between the self-contained nature of the KIAD Act and the provisions of the Old LA Act. (Para 24)

Facts of the case:
The appellants acquired land from the respondents for industrial development under the KIAD Act, having issued notifications in 2000 and 2005. Disputes over compensation led to a court case after the respondents denied consent to the compensation agreement.

Findings of Court:
The court upheld that the respondents did not give consent for the Advisory Committee's decision; thus, the acquisition lapsed due to failure to timely pass an award.

Issues: The main issue was whether the New LA Act applies to KIAD Act acquisitions and whether the respondents consented to the fixed compensation.

Ratio Decidendi: The court found that consent must be clear, and the lack thereof, compounded by statutory requirements of award timelines, meant that acquisition proceedings lapsed under the New LA Act.

Result: Appeal allowed; judgment of the Division Bench set aside.

Table of Content
1. factual basis regarding land acquisition process (Para 2 , 3 , 4 , 5 , 6)
2. details of compensation negotiations and disputes (Para 8 , 9)
3. writ petition against notifications (Para 10)
4. new la act's applicability and implications (Para 11 , 12)
5. arguments regarding consent and compensation processes (Para 13 , 14 , 15)
6. determination of consent in compensation fixation (Para 16 , 17)
7. undisputed facts concerning notifications and repercussions (Para 18 , 19)
8. dispute resolution process regarding compensation (Para 21 , 22)
9. court's opinion on high court's judgment (Para 23)
10. final judgment and direction for compensation determination (Para 24 , 25 , 26 , 27)

1. The question of law that has been raised in this appeal by the appellants, for consideration by this Court, is:
Whether provisions of the Right to Fair Compensation and Transparency in Land Acquisition Rehabilitation and Resettlement Act, 2013 (for short, "New LA Act"), are applicable in the instant case when the land is acquired under the provisions of KIAD Act?

2. Factual narration that is required to be noted, giving rise to the aforesaid question of law, is stated hereinbelow:
Respondents is the owner of land bearing Sy. No. 123/1 measuring 4 acres 9 guntas and Sy. No. 123/2 measuring 1 acre situated at Anganahalli Village, Belagola Hobli, Srirangapatna Taluk, Madhya District, Karnataka.

3. The appellants issued a preliminary notification under S.28(1) of the Karnataka Industrial Areas Development Act, 1966 (hereinafter referred to as "KIAD Act") as it wanted to acquire certain lands, including that of the respondents for the purpose of developing the said lands as an Industrial Area and the same was published in the Karnataka Gazette on 15th September, 2000.

4. After issuing the necessary notices and following the procedure prescribed under the KIAD Act, a final notification under S.28(4) was issued on 15th June, 2005 in respect of total 153 acres 10 guntas of land.

5. S.29 of the KIAD Act deals with compensation. S.29(2) provides that where the compensation has been determined by agreement between the State Government and the person to be compensated, it shall be paid in accordance with such an agreement. In case, where no agreement is arrived at, the State Government is to refer the case to the Deputy Commissioner for determination of the amount of compensation to be paid. This scheme of acquisition of land is contained in S.29 and S.30 which are reproduced below:
"28. Acquisition of land. - (1) If at any time, in the opinion of the State Government, any land is required for the purpose of development by the Board, or for any other purpose in furtherance of the objects of this Act, the State Government may by notification, give notice of its intention to acquire such land.
(2) On publication of a notification under sub-section (1), the State Government shall serve notice upon the owner or where the owner is not the occupier, on the occupier of the land and on all such persons known or believed to be interested therein to show cause, within thirty days from the date of service of the notice, why the land should not be acquired.
(3) After considering the cause, if any, shown by the owner of the land and by any other person interested therein, and after giving such owner and person an opportunity of being heard, the State Government may pass such orders as it deems fit.
(4) After orders are passed under sub-section (3), where the State Government is satisfied that any land should be acquired for the purpose specified in the notification issued under sub-section (1), a declaration shall, by notification in the official Gazette, be made to that effect.
(5) On the publication in the official Gazette of the declaration under sub-section (4), the land shall vest absolutely in the State Government free from all encumbrances.
(6) Where any land is vested in the State Government under sub-section (5), the State Government may, by notice in writing,








































































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