Supreme Court of India (Division Bench (DB)- Two Judge)

Appeal (Civil), 4284 of 2011, Judgment Date: Nov 27, 2014



                        IN THE SUPREME COURT OF INDIA

                        CIVIL APPELLATE JURISDICTION


                                I.A.3 of 2014


                                      IN


                        CIVIL APPEAL NO.4284 OF 2011



   M/S MAGNUM PROMOTERS P. LTD.                          .........APPELLANT


                                     Vs.


   UNION OF INDIA & ORS.                               .........RESPONDENTS





                                 J U D G M E N T



V.GOPALA GOWDA, J.




This I.A. No.3 of 2014 in Civil Appeal No. 4284 of  2011  is  filed  by  the

appellant seeking for direction and appropriate orders for disposal of  this

appeal in terms of Section 24(2) of  the  Right  to  Fair  Compensation  and

Transparency in Land Acquisition, Rehabilitation and Resettlement Act,  2013

(in short 'the Act of 2013'). The appellant-land  owner  has  come  to  this

Court  questioning  the  correctness  of  the  judgment  and   order   dated

16.05.2008 passed by the High Court of Delhi in  W.P.(C)No.  3695  of  1999,

inter alia, urging various facts and legal contentions.


Brief facts of the case are stated hereunder:

The appellant is the lawful owner of the land comprised in Khasra  Nos.  750

Min (1-2 ) and 751 Min (0-18) situated in the  revenue  estate  of  Village

Malikpur, Kohi alias Rangpuri,  Tehsil  Mehrauli  in  the  National  Capital

Territory of Delhi (for short 'NCT, Delhi'). The  Municipal  Corporation  of

Delhi (MCD) vide its sanction bearing No. S.N.406/B/HQ/17/148/AE (B) HQ  III

dated 12.07.1990 gave sanction for constructing the  farmhouse  from  common

land. On 17.12.1993, the Completion Certificate  with  regard  to  the  farm

house on the land in question was issued to the appellant by  the  MCD.   On

27.06.1996,  the   Government   of   National   Capital   Territory   issued

Notification No.F.9 (12)/95 /L&B/LA/8474 dated 01.06.1995  under  Section  4

of Land Acquisition Act, 1894 (in short 'the repealed  L.A.  Act')  for  the

acquisition of the different parcels of land  including  an  area  measuring

369 bighas and 1 biswa situated in the revenue estate  of  village  Malikpur

Kohi alias Rangpuri in the NCT, Delhi. The above  said  notification  issued

for acquisition of the land covered the  land  and  building  owned  by  the

appellant bearing Khasra No. 750 for 3 bighas and  Khasra  No.751  for  3.12

bighas. The public purpose mentioned in the  said  acquisition  notification

was for development of Vasant Kunj Phase IV.


On 24th June, 1997, a declaration under Section 6(1) of  the  repealed  L.A.

Act was issued by the NCT, Delhi  in  respect  of  the  land  sought  to  be

acquired including the land owned by the  appellant.   On  9th  June,  1999,

notices under Sections 9 and 10 of the repealed L.A. Act with regard to  the

land in question were issued  by  the  Land  Acquisition  Collector  to  the

appellant. On 15th June, 1999, the appellant filed a writ petition  (c)  No.

3695 of 1999 before the High Court of Delhi,  questioning  the  legality  of

the aforesaid acquisition notifications published under Sections 4 and 6  of

the repealed L.A. Act urging various grounds. Other  similarly  placed  land

holders also challenged the said two notifications before  the  High  Court.

The writ petitions were heard together by the  High  Court  and  passed  its

judgment and  order  dated  16.05.2008  by  dismissing  the  writ  petitions

holding that the acquisition of land by the NCT, Delhi is  legal  and  valid

and did not suffer from any legal infirmities. Hence, this appeal.

It is the case of the appellant that throughout the proceedings  before  the

High Court as well as this Court,  the  appellant  has  been  in  continuous

physical possession of the land involved in  this  appeal  as  it  has  been

protected by various orders of "status quo" by the High  Court  as  well  as

this Court with respect to the possession of the land in question.


Mr. Chandra Uday Singh, the learned senior counsel appearing  on  behalf  of

the appellant placed strong reliance upon Section 24(2) of the Act  of  2013

to substantiate the plea that actual physical possession  of  land  has  not

been taken by the Land  Acquisition  Collector  even  after  5  years  being

elapsed after the award was passed as on the date of the Act of  2013  which

came into force with effect from  01.01.2014.  The  aforesaid  provision  is

extracted hereunder:-

"24(2) Notwithstanding anything contained in sub-section  (1),  in  case  of

land acquisition proceedings initiated under the  LA  Act,  where  an  Award

under the said Section 11 has been made five years  or  more  prior  to  the

commencement of this Act but the physical possession of  the  land  has  not

been taken or the compensation has not been paid the said proceedings  shall

be deemed to have lapsed and the appropriate government, if it  so  chooses,

shall  initiate  the  proceedings  of  such  land  acquisition   afresh   in

accordance with the provisions of this Act.


         Provided that whether an award has been made  and  compensation  in

respect of a majority of  land  holdings  has  not  been  deposited  in  the

account of the beneficiaries specified in the notifications for  acquisition

under Section 4 of the said  land  acquisition  and  shall  be  entitled  to

compensation in accordance with the provisions of this Act."


6.  Having  regard  to  the  facts  narrated  above  that  neither  physical

possession of the land nor compensation awarded was paid to  the  appellant,

it is contended  that  the  acquisition  proceedings  of  the  land  of  the

appellant are lapsed. In support of the aforesaid submission he  has  placed

reliance upon the decisions of this Court in the  cases  of  Pune  Municipal

Corporation and Anr. Vs. Harakchand Misirimal Solanki &  Ors.[1],  Union  of

India & others v. Shiv Raj & others[2], Bimla Devi  &  Others  v.  State  of

Haryana & Others[3], Bharat Kumar v. State of Haryana & Another[4] and  Sree

Balaji Nagar Residential Association v. State of  Tamil  Nadu  &  others[5].

Therefore, the learned senior counsel has requested for grant of  relief  as

prayed for in this application.


7.    The above said provision of the Act of  2013  quoted  above  has  been

interpreted by the three Judge Bench of this  Court  in  the  case  of  Pune

Municipal Corporation (supra), the relevant paras 20 and 21  from  the  case

are extracted hereunder:-


"20.......it is clear that the award pertaining  to  the  subject  land  has

been made by the Special Land  Acquisition  Officer  more  than  five  years

prior to the commencement of the 2013 Act.  It  is  also  admitted  position

that   compensation   so   awarded   has   neither   been   paid   to    the

landowners/persons interested nor deposited in the  court.  The  deposit  of

compensation amount in the Government treasury is of no avail and cannot  be

held to  be  equivalent  to  compensation  paid  to  the  landowners/persons

interested. We have, therefore, no hesitation in holding  that  the  subject

land acquisition proceedings shall be deemed to have  lapsed  under  Section

24(2) of the 2013 Act.


21. The argument  on  behalf  of  the  Corporation  that  the  subject  land

acquisition proceedings have been concluded in all respects under  the  1894

Act and that they are not affected at all in view of Section 114(2)  of  the

2013 Act, has no merit at all, and is noted to be rejected.  Section  114(1)

of the 2013 Act repeals the  1894  Act.  Sub-section  (2)  of  Section  114,

however, makes Section 6 of the General Clauses Act,  1897  applicable  with

regard to the effect of repeal but this is subject to the provisions in  the

2013 Act. Under Section 24(2) land acquisition proceedings  initiated  under

the 1894 Act, by legal fiction, are deemed to have lapsed  where  award  has

been made five years or more prior to the commencement of the 2013  Act  and

possession of the land is not taken or compensation has not been  paid.  The

legal  fiction  under  Section  24(2)  comes  into  operation  as  soon   as

conditions stated therein are satisfied. The applicability of Section  6  of

the General Clauses Act being subject to Section 24(2), there  is  no  merit

in the contention of the Corporation."




8.    Further, reliance was also placed on the decision  of  this  Court  in

Sree Balaji Nagar Residential Association (supra),  wherein  it  was  opined

that Section 24(2) of the Act of 2013 does not  exclude  any  period  during

which the  land  acquisition  proceedings  might  have  remained  stayed  on

account of stay or injunction or "status quo" order regarding possession  of

the  land  granted  by  any  court.  It  was  conclusively  held  that   the

Legislature has consciously omitted to  extend  the  period  of  five  years

indicated in Section 24(2) of the Act of 2013, even if the  proceedings  had

been delayed on account of an order of  stay  or  injunction  granted  by  a

court of law or for any reason.


9. It was further contended that the phrase  used  under  Section  24(2)  is

'physical possession' which means actual taking  over  possession  from  the

appellant-land owner by the Land Acquisition Collector. In support  of  this

contention he has also placed reliance upon two judgments of this  Court  in

Prahlad Singh & Ors. v. U.O.I & Ors[6] case and Raghbir Singh   Sehrawat  v.

 State of Haryana and Ors.[7].



10.   On the other hand, Ms.  Rachna  Srivastava,  the  learned  counsel  on

behalf of respondent  Nos.  2  &  3  contended  that  the  Act  of  2013  is

prospective in operation by virtue of Section 24 read with  Section  114  of

the Act of 2013. As provided under Section 24, the effect of  Section  6  of

the General Clauses Act, 1897 the action taken by respondent  Nos.  2-4  has

been saved. She submits that by reading the above two Sections of  the  Act,

it is clear that Legislature wanted to  protect  and  save  the  acquisition

proceedings initiated  under  the  repealed  L.A.  Act,  particularly  where

possession of the acquired land has been taken. It  is  submitted  that  the

intention of the Legislature in providing Section 24(2) of Act of  2013  was

never to destroy the entire acquisition proceedings in  acquiring  the  land

for the public purpose under the repealed L.A. Act, 1894.


11. It is further contended that it is a well settled position of  law  that

the proceedings initiated and culminated under the repealed Act of 1894  are

not to be disturbed by interpreting the provisions of Section 24(2)  of  the

Act of 2013 to declare the acquisition  proceeding  of  land  as  lapsed  on

account of not taking physical possession of the land after  5  year  period

or not paying compensation from the date of passing  of  the  award.   Under

the provisions of the repealed L.A. Act of 1894, by operation of Section  16

or 17 (1) of the Act as  the  case  may  be,  once  the  possession  of  the

acquired land is taken, the land will be vested with  the  State  Government

and is absolutely free from all encumbrances.  Thereafter, it  is  not  even

open for the State Government to restore the  land  to  the  land  owner  in

exercise of its power under Section 48 of the repealed L.A. Act  as,  it  is

not permissible in law.  The above said legal position is laid down by  this

Court in  the  cases  of  Satendra  Prasad  Jain  v.  State  of  UP[8].  and

Sanjeevanagar Medical and Health Emloyees' Co-operative Housing  Society  v.

Mohd. Abdul Wahab and Ors.[9]. In the aforesaid cases, this Court  has  held

that Section 11(A) of the repealed L.A. Act, is  not  applicable  (which  is

analogous to Section 24 of the Act of 2013) and that in such  circumstances,

the only consequence provided under the repealed  L.A.  Act  is  payment  of

interest under Section 34 in respect of the acquired  land.  Therefore,  the

acquisition of land cannot be deemed to have lapsed under Section  24(2)  of

the Act of 2013, in view of the law laid down in the  above  cases  referred

to  supra.   It  is  further  contended  by  the  learned  counsel  for  the

respondents that the above said judgments were not brought to the notice  of

this Court and could  not  be  considered  at  the  time  of  rendering  the

decision in the case of Pune Municipal Corporation and other cases  of  this

Court referred to supra. Therefore, the reliance placed upon the said  cases

by the appellant's senior counsel do not render any  assistance  in  support

of its case for grant of relief as prayed in the application.


12.   It is further contended by the learned counsel that if either  of  the

two negative conditions mentioned in  Section  24(2)  of  the  Act  of  2013

remains unfulfilled, the acquisition proceedings of  the  land  involved  in

this appeal cannot be held to have lapsed as it would defeat the purpose  of

acquisition and intendment of  the  L.A.  Act.   In  other  words,  the  two

negative conditions contained in Section 24(2) has to be read  conjunctively

and as such both the  conditions  are  required  to  be  fulfilled  for  the

purpose of holding the acquisition proceedings as  lapsed.  This  aspect  of

the matter has been dealt with by this Court  in  the  case  of  The  Punjab

Produce and Trading Co. Ltd.  v.  CIT,  West  Bengal,  Calcutta[10].  It  is

contended that this case was also not brought to the notice  of  this  Court

in the case of Pune Municipal Corporation (supra) and other  cases  referred

to supra and therefore the said decisions require  re-consideration  by  the

larger Bench of this Court.


13. Further, it is urged that the appellant has violated the  provisions  of

Sections 3 and 4 of the Delhi Land (Restriction on Transfer) Act, 1972.   It

is contended that during the pendency of the present  appeal  the  appellant

has sold the land admeasuring area 12 Bigha, falling in Khasra  Nos.  745(1-

18), 746 (2-14), 747 (4-8) 750 (1-16), 751 (1-4)  situated  in  the  Revenue

Estate of Village Malikpur Kohi at Rangpuri, Tehsil Vasant Vihar, New  Delhi

along with all necessary rights to  M/s.  DCBC  Properties  Pvt.  Ltd.  vide

registered sale deed No. 6539 dated  1st June, 2012  out of  which  1  Bigha

2.5 Biswas in Khasra No. 750 and 18 Biswas  in  Khasra  No.  751  have  been

acquired under acquisition notification. Sections 3 and 4  read  along  with

Section 9 of the Delhi Land (Restrictions  on  Transfer)  Act  of  1972  are

extracted hereunder for the purpose of answering the legal contention  urged

in this regard:-

"3. Prohibition on transfer of lands acquired by Central Government -


No person shall purport to  transfer  by  sale,  mortgage,  gift,  lease  or

otherwise any land or part thereof situated in the Union territory of  Delhi

which  has  been  acquired  by  the  Central  Government  under   the   Land

Acquisition Act, 1984 or under any other law providing  for  acquisition  of

land for a public purpose.


4. Regulation  on  transfer  of  lands  in  relation  to  which  acquisition

proceedings have been initiated.


No person shall, except with the  previous  permission  in  writing  of  the

competent authority, transfer or purport  to  transfer  by  sale,  mortgage,

gift, lease or otherwise any land or part  thereof  situated  in  the  Union

territory of Delhi, which is proposed to be acquired in connection with  the

Scheme and in relation to which a declaration to the effect that  such  land

or part thereof is needed for a public  purpose  having  been  made  by  the

Central Government under section 6 of the Land Acquisition  Act,  1894,  the

Central Government has not withdrawn from the acquisition under  section  48

of that Act.


......



1 9. Penalty -


If any person contravenes the provisions of  section  3  or  section  4,  he

shall be punishable with imprisonment for a term which may extend  to  three

years or with fine or with both."




14.   Further the learned counsel for the  respondents  2  to  4  sought  to

distinguish the two decisions in the  case  of  Prahlad  Singh  (supra)  and

Raghbir Singh  Sehrawat (supra) and further if  this  Court  had  to  differ

from the decision as per Sita Ram Bhandar Society, New Delhi  v.  Lieutenant

Governor, Government Of NCT, Delhi And  Others[11]  the  said  cases  should

have been referred to the larger Bench, that has not been done.   Therefore,

reliance placed upon the aforesaid decisions on behalf of the appellant  are

of no avail in support of the plea taken that  physical  possession  of  the

land is not  taken  by  respondent  nos.2,  3  and  4.  Therefore,  she  has

requested this Court for  the  dismissal  of  the  application  filed  under

Section 24(2) of the Act of 2013 as it has no application  in  the  case  on

hand.


15.   We have carefully gone through  the  legal  submissions  made  by  the

learned counsel on behalf of the  parties  in  respect  of  the  application

filed by the  appellant  under  Section  24(2)  of  the  Act  of  2013  with

reference to the averments made therein and the  objection  statement  filed

by respondent Nos. 2-4  and  response  affidavit  of  the  Land  Acquisition

Collector. The official original record produced before us for  our  perusal

as per our direction, discloses that the  "Kabza  Karyavahi"  or  possession

taking proceedings of the acquired land was started on  27.12.2013.  As  per

the record, on 27.12.2013, the taking over of possession was  done  only  to

the extent of the  vacant  portion  of  the  appellant's  land  whereas  the

building structure situated on the land could not be taken on  that  day  as

the demolition squad was not available for  respondent  No.4.  Thus,  it  is

clear from the said document available on record that the possession of  the

building structure situated on the appellant's land was not taken by him  on

27.12.2013. As per the possession  memo  available  in  the  record,  it  is

recorded in the said proceeding that the  further  action  for  taking  over

possession in respect  of  the  land  were  to  be  continued  by  the  Land

Acquisition Collector on 28.12.2013 and there is no record  to  show  as  to

whether the action continued on  28.12.2013  in  this  regard.  The  alleged

taking over of possession of the land involved in this appeal  was  done  on

31.12.2013, as per the document  annexure  R-1  memo  of  possession  taking

possession of the acquired land  in  Award  no.07/98-99  is  signed  by  the

officers of the Land and Building Department of the  third  respondent;  the

same was alleged to have immediately been delivered  to  the  DDA  officials

i.e. respondent no.5 on the same day. According to respondent Nos. 3 and  4,

the possession of the land involved in this appeal has been allegedly  taken

by them without any objections being  raised  by  the  appellant-owner.  The

above said plea taken by them cannot be  accepted  by  us  as  the  same  is

wholly contrary to the factual position regarding possession  of  the  land.

The question of raising objection to respondent Nos.  3  and  4  for  taking

possession of the land by the appellant did not arise at all for the  reason

that notice in this regard was not issued to it calling upon it to  handover

possession of the land  to  the  Land  Acquisition  Collector.  The  reasons

stated at paragraphs 8 and 9 in the response  affidavit  filed  by  one  Mr.

Vivek Kumar Tripathi, who is the Land Acquisition  Collector-respondent  No.

4 in these proceedings with regard to  limits  of  the  then  existing  sub-

divisions Tehsils in Delhi being modified, consequently the  revenue  estate

of the boundaries of village Malikpur Kohi Rangpuri which previously  formed

part of District South, due to the said reorganisation, sub-division,  Delhi

Cantonment and  sub-division,  Vasant  Vihar  which  were  earlier  part  of

District of South West have become part of District New Delhi.  Resultantly,

village Rangapuri which was part of  sub-division  Vasant  Vihar  under  the

jurisdiction of  Land  Acquisition  Collector,  South-West  fell  under  the

jurisdiction of District New Delhi. The notification  dated  11.09.2012  was

issued by the first  respondent  creating  11  districts  by  altering  sub-

divisions Tehsils in Delhi. Land Acquisition of the land involved  in  these

proceedings   was  transferred  from  District  South-West  to  the   office

         of  respondent  no.4  on  21.12.2012  and  remaining   records   on

14.01.2014. The above said          make believe story narrated by the  Land

Acquisition  Collector  in  his  affidavit  is  a  deliberate  intention  to

misrepresent facts to justify the alleged  taking  over  possession  of  the

land  on  31.12.2013.  The  aforesaid  explanation  furnished  by  the  Land

Acquisition  Collector  in  his  affidavit  for  the  alleged  taking   over

possession  of  acquired  land  is  wholly   unnecessary   and   irrelevant.

Therefore, the said explanation  by  him  cannot  be  accepted  by  us.  The

averments made at para 10 of the  response  affidavit  of  Land  Acquisition

Collector are contrary to  the  "Kabza  Karyavahi  (possession  taking  over

proceedings) dated 27.12.2013 and the reason stated  in  the  said  memo  is

that the Land  Acquisition  Collector  could  not  take  possession  of  the

building structure  situated  on  the  acquired  appellant's  land,  as  the

demolition squad was not available on that day. The possession of  the  land

taking  over  document  Annexure  R-1  to  the  response   affidavit   dated

31.12.2013 produced by the Land Acquisition Collector in which it is  stated

that the possession  of  the  land  of  the  appellant  has  been  taken  on

31.12.2013 the said averment  in  the  affidavit  is  contradictory  to  the

"kabza karyavahi"  document  dated  27.12.2013  available  in  the  original

record. The contradictory statements made by the Land Acquisition  Collector

in his response affidavit at para 10 cannot be  accepted  by  us.  The  plea

sworn by the  Land  Acquisition  Collector  in  the  affidavit  is  a  false

statement of fact for the reason that the physical possession  of  the  land

is in fact not taken and could not have been taken by the  Land  Acquisition

Collector from the appellant when the interim order  of  "status  quo"  with

regard to the possession of land of the appellant was passed by  this  Court

on 04.08.2008. The said  order  being  well  within  the  knowledge  of  the

respondent Nos. 2-5 is evident from the record of proceedings of this  Court

dated  24.09.2010  as  the  names  of  learned  counsel  on  behalf  of  the

respondent Nos. 1-5 is shown in this  Court's  record  of  proceedings.  The

further plea taken by him at para 10 of the said affidavit that  the  second

respondent enquired about the litigation status  in  respect  of  the  order

passed in relation to this case and other cases  of  village  Rangpuri  from

the 5th respondent-DDA and did not receive any  response  from  it  is  once

again  a  false  statement  of  fact.  Therefore,  the  office  of  the  3rd

respondent being unaware of any interim order of "status quo" is once  again

a false statement and the same has been deliberately made by him to  justify

his action as stated in the respondent affidavit. Hence,  the  statement  of

facts sworn to at paras 8-10 are  liable  to  be  rejected  and  accordingly

rejected. Therefore, the plea  of  the  Additional  District  Collector/Land

Acquisition  Collector  and  its  officers  to  have  allegedly  taken  over

possession of the land as stated at paragraph 10 of the  response  affidavit

is false and it amounts to contempt of this  Court  committed  by  them,  as

they  have  wilfully  disobeyed  the  interim  order  of  this  Court  dated

04.08.2008. Therefore, the plea of taking over possession  of  land  of  the

appellant either on 27.12.2013 as per the original record or  on  31.12.2013

as per document Annexure R1 cannot be accepted by us. The  respondents  have

misrepresented certain relevant facts to this  Court  by  filing  the  above

referred response affidavit with an oblique  motive  to  deny  the  valuable

statutory right accrued in favour of the appellant under  Section  24(2)  of

the Act of 2013. Hence, the conduct of respondent No.  4  and  officials  of

respondent No.3 in misrepresenting facts is deprecated by us.



16.   The document of Annexure  R-1  to  the  response  affidavit  has  been

falsely created by respondent Nos. 3 and 4 with  a  malafide  intention  not

only to defeat the statutory right of the appellant-land  owner  accrued  in

its favour under the provision of Section 24(2) of the Act of 2013,  but  it

is a clear case of misrepresentation of facts to this Court with an  oblique

motive to deprive the valuable constitutional right of the appellant to  the

land  involved  in  these  proceedings.  This  conduct   of   the   ADM/Land

Acquisition Collector is  highly  objectionable  and  reprehensible  as  his

action in creating false official documents to  deny  the  legitimate  right

accrued in favour of the appellant, which conduct of him amounts  to  breach

of trust reposed with him by the public to discharge  his  public  functions

in the larger interest of  public.  The  public  officers  are  required  to

maintain the public record honestly, truly  and  correctly,  the  Additional

District Magistrate cadre indulging in such  unlawful  acts  will  discredit

the credibility of the public office from maintaining trust  and  confidence

in the public office which is most important  and  necessary  for  the  good

administration of the second respondent. This has not been done in the  case

on hand by the Land Acquisition Collector which  cannot  be  appreciated  by

this Court.



17.   Further, the reliance is placed  upon  the  judgment  by  the  learned

senior counsel on behalf of the appellant on Prahlad  Singh's  case  (supra)

to show that the alleged taking over of the possession of the  land  is  not

legally correct. The relevant paragraph reads thus:-


"13. We have given our serious thought to the entire  matter  and  carefully

examined the records. Section 16 lays down that once the Collector has  made

an award under Section 11, he can take  possession  of  the  acquired  land.

Simultaneously, the section declares that  upon  taking  possession  by  the

Collector, the acquired land shall vest absolutely in  the  Government  free

from all encumbrances. In terms of  the  plain  language  of  this  section,

vesting of the acquired land in  the  Government  takes  place  as  soon  as

possession is taken by the Collector after passing an  award  under  Section

11. To put it differently, the vesting of land under Section 16 of  the  Act

presupposes actual taking  of  possession  and  till  that  is  done,  legal

presumption of vesting enshrined in Section 16 cannot be  raised  in  favour

of the acquiring authority. Since the Act does not prescribe  the  mode  and

manner of taking possession of the acquired land by the Collector,  it  will

be useful to notice some of the judgments  in  which  this  issue  has  been

considered."

                                           (emphasis supplied by this Court)



At para 19 of the above case, it has been  further  clearly  held  that  the

memo of taking over possession of the acquired land must be in the  presence

of independent witnesses,  undisputedly  the  same  has  not  been  done  by

respondent Nos. 2, 3 and 4 in the case on hand. Therefore, in  view  of  the

principles laid down in the above case, the plea of the respondents that  as

per memo of possession dated 31.12.2013 the possession of the said  land  of

the appellant was taken and handed over to the DDA-respondent  no.4  on  the

same day is not accepted by us as it is not done in fact and could not  have

been done in view of the interim order referred to supra and also  the  same

has not been done in the presence of independent witnesses  as  required  in

law.



18. Further, this Court held at para 26 in Raghuvir  Singh  Sehravat's  case

(supra) as under:-


"26. Bhagwati, J. (as he then  was)  and  Gupta,  J.,  who  constituted  the

majority did not agree with Untwalia, J. and  observed  as  under:  (Balwant

Narayan Bhagde case, SCC pp. 711-12, para 28)

"28. ... We think it is enough to state that when  the  Government  proceeds

to take possession of the land acquired by it  under  the  Land  Acquisition

Act, 1894, it must take actual possession of the land, since  all  interests

in the land are sought to be acquired by it. There can  be  no  question  of

taking  'symbolical'  possession  in  the  sense  understood   by   judicial

decisions under the Code of Civil Procedure. Nor would possession merely  on

paper be enough. What the Act contemplates as a [pic]necessary condition  of

vesting of the land in the Government is the taking of actual possession  of

the land. How such possession may be taken would depend  on  the  nature  of

the land. Such possession would have to be taken as the nature of  the  land

admits of.........."

                                               (emphasis laid by this Court)


Thus, in view of the above decisions, this Court has clearly laid  down  the

legal principle as to how taken over physical  possession  of  the  acquired

land means the actual taking of  possession  of  it  of  it  from  the  land

owners/interested persons.


19. The learned counsel on behalf of respondent Nos. 2,3  and  4  sought  to

distinguish the said judgments by placing reliance upon the judgment in  the

case of Sita Ram Bhandar Society (supra) wherein this Court opined thus:-

"28. A cumulative reading of  the  aforesaid  judgments  would  reveal  that

while taking possession, symbolic and notional  possession  is  perhaps  not

envisaged under the Act but the manner in which possession is taken must  of

necessity depend upon the facts of each case. Keeping this  broad  principle

in mind, this Court in T.N. Housing Board v.  A.  Viswam  after  considering

the judgment in Narayan Bhagde case, observed that while  taking  possession

of a large area of land (in this case 339 acres) a pragmatic  and  realistic

approach had to be taken. This Court then examined the context  under  which

the judgment in Narayan Bhagde case had been rendered  and  held  as  under:

(Viswam case, SCC p. 262, para 9)


9. It is settled law by series of judgments of this Court that  one  of  the

accepted modes of taking possession of the acquired land is recording  of  a

memorandum or panchnama by the LAO in the presence of  witnesses  signed  by

him/them and that would constitute taking  possession  of  the  land  as  it

would be impossible to take physical possession of the acquired land. It  is

common knowledge that in some cases the owner/interested person may  not  be

cooperative in taking possession of the land.


29. In Balmokand Khatri Educational and Industrial Trust v. State of  Punjab

yet again the question was as to  the  taking  over  of  the  possession  of

agricultural land and it was observed thus: (SCC p. 215, para 4)


4. It is seen that the entire gamut of  the  acquisition  proceedings  stood

completed by 17-4-1976 by which date possession of the land had been  taken.

No doubt, Shri Parekh has contended that the appellant still retained  their

possession. It is now well-settled legal position that it  is  difficult  to

take physical possession of  the  land  under  compulsory  acquisition.  The

normal mode of taking possession is drafting the panchnama in  the  presence

of panchas and taking possession and giving delivery  to  the  beneficiaries

is the accepted mode of taking possession of the land.  Subsequent  thereto,

the retention of possession would tantamount only  to  illegal  or  unlawful

possession."



20.    Further, on the plea taken by the learned counsel on  behalf  of  the

respondent nos. 2 and 3 regarding contravention of Sections 3 and 4  of  the

Act of 1972 for transfer of the land in question  by  the  appellant  during

the pendency of the proceedings as it was acquired by the NCT on  behalf  of

the  Central  Government  by  placing  reliance  on  Article  239AA  of  the

Constitution, with respect to the contention of 1972 Act is  concerned,  the

same has no  application  to  the  fact  situation.  In  view  of  the  said

provision, it has been contended by the learned counsel  on  behalf  of  the

respondent nos. 2, 3 and 4 that the land and home subject-matters  that  are

in Delhi are still with the Central Government  and  therefore,  acquisition

of land by NCT is the acquisition made  by  it  on  behalf  of  the  Central

Government.  This  is  far-fetched  argument  of  the  learned  counsel  and

therefore, the same cannot be  accepted  by  us  for  the  reason  that  the

acquisition notification available in  the  original  record  would  clearly

show that the land is acquired by the NCT, Delhi and not on  behalf  of  the

Central Government. Hence, the said contention is liable to be rejected  and

accordingly rejected.



21.   Apart from the said reason, even assuming for  the  sake  of  argument

that the Act of 1972 is applicable, it has been specifically stated  by  the

learned senior counsel that the competent authority has given permission  to

the appellants to transfer the land in favour of subsidiary company  of  the

appellant. The same can be seen in para 5 of the sale deed  produced  before

this Court which reads thus:-


"5.  The vendor have  obtained  NOC  under  provisions  of  the  Delhi  Land

(Restriction     on    transfer)    Act,    1972    from    the    concerned

department/Tehsildar Notification Delhi and shall obtain all such  necessary

clearance/permission as may be required  for  effectively  transferring  and

conferring the title on the Vendee."


Therefore, the provisions of Sections 3, 4, and 9  have  no  application  to

the fact situation on hand and there is no substance in  this  plea  of  the

respondent and the same is rejected.


22. In view of the aforesaid  findings  and  reasons  recorded  by  us,  the

prayer made in this application is allowed. The acquisition  proceedings  in

respect of the appellant's land have  lapsed.  Consequently  the  appeal  is

also allowed quashing the acquisition proceeding  notifications  in  respect

of the appellant's land. No costs.





..................................................................J.

                         [V. GOPALA GOWDA]






..................................................................J.


                         [C. NAGAPPAN]



New Delhi, 
November 27 ,2014









ITEM NO.1C-For Judgment     COURT NO.9           SECTION XIV


               S U P R E M E  C O U R T  O F  I N D I A


                       RECORD OF PROCEEDINGS


I.A. No. 3 in Civil Appeal  No(s).  4284/2011


M/S MAGNUM PROMOTERS P.LTD.                   Appellant(s)


                                VERSUS


UNION OF INDIA & ORS.                         Respondent(s)


Date : 27/11/2014 This appeal was called on for JUDGMENT today.


For Appellant(s)     Mr. Senthil Jagadeesan,Adv.


For Respondent(s)    M/s Saharya & Co.


                     Ms. Sushma Suri,Adv.


                     Mrs. Anil Katiyar,Adv.


                     Ms. Sushma Suri,Adv.




            Hon'ble Mr. Justice V.Gopala Gowda pronounced  the  judgment  of

the Bench comprising His Lordship and Hon'ble Mr. Justice C. Nagappan.


            I.A. No. 3/2014 is allowed.


            The appeal is allowed in terms of the signed order.



    (VINOD KUMAR)                          (MALA KUMARI SHARMA)     COURT

MASTER                                  COURT MASTER


          (Signed Reportable judgment is placed on the file)


-----------------------

[1]    (2014) 3 SCC 183

[2]    (2014) 6 SCC 564

[3]    (2014) 6 SCC 583

[4]    (2014) 6 SCC 586

[5]    2014 (10) SCALE 388

[6]     (2011) 5 SCC 386

[7]    (2012) 1 SCC 792

[8]      (1993) 4 SCC 369

[9]    (1996) 3 SCC 600

[10]     (1971) 2 SCC 540

[11]   (2009) 10 SCC 501



-----------------------

| REPORTABLE  |