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

Appeal (Civil), 14248 of 2015, Judgment Date: Dec 09, 2015

                                                              NON-REPORTABLE

                        IN THE SUPREME COURT OF INDIA
                        CIVIL APPELLATE JURISDICTION
                       CIVIL APPEAL NO. 14248 OF 2015
       (Arising out of Special Leave Petition (Civil) No.8583 of 2013)



Sri Ch. Narasimha Rao & Ors.                                 .....Appellants



                                   Versus

Land Acquisition Officer, Eluru & Ors.                        …..Respondents



                               J U D G M E N T

ANIL R. DAVE, J.



1.    Leave granted.



2.    Being aggrieved by  the  judgment  delivered  by  the  High  Court  of
Judicature of Andhra Pradesh at Hyderabad dated 10th October, 2012, in  Writ
Appeal No.1274 of 2012, this appeal has been preferred by the  land  owners,
whose lands have been acquired.

3.    The issue involved in this appeal is  whether  Reference  Applications
filed by the appellants under Section 18 of the Land Acquisition  Act,  1894
(hereinafter referred to as “the Act”), was  beyond  statutory  period.  For
the purpose of ascertaining the said fact, it would be necessary  to  record
some of the relevant facts pertaining to the acquisition proceedings.

4.    Notification under Section 4 of the Act for the purpose  of  acquiring
the land for establishment of Auto Nagar at Eluru had been  issued  on  27th
August, 1993.  In pursuance of the  said  notification,  notification  under
Section 6 of the Act had been published on 8th October,  1993.   Looking  at
the facts of the case,  the  Authorities  had  invoked  urgency  clause  and
enquiry under Section 5-A of the Act had been dispensed with.

5.    Being aggrieved by the aforestated acquisition proceedings,  the  land
owners i.e. the appellants  had  challenged  the  validity  of  notification
under Section 6 of the Act and had also  challenged  invocation  of  urgency
clause, whereby enquiry under Section 5-A of  the  Act  had  been  dispensed
with. The said petition had  been  allowed  by  the  High  Court  of  Andhra
Pradesh and declaration under Section 6 of the Act  had  been  quashed.   It
was held by the High Court that enquiry under Section 5-A  of  the  Act  had
been mechanically dispensed with and it  was  also  directed  that  such  an
enquiry should be held.  The High  Court  had  also  given  time  limit  for
holding the enquiry.

6.    In pursuance of the aforestated direction  of  the  High  Court,  once
again, declaration under Section 6(1) of  the  Act  had  been  made  on  7th
August, 1996 and subsequently Award No.2  of  1998  had  been  made  on  7th
January, 1998.

7.    Once again, Writ Petition No.32806 of 1998  challenging  the  validity
of notification under Section 6 had been filed  in  November,  1998  on  the
ground that the said notification was  not  issued  within  the  time  limit
prescribed under the Act.  Ultimately, the said petition had been  dismissed
on 27th August, 1999, but being aggrieved by the order  of  dismissal,  Writ
Appeal No.1337 of 1999 had been filed  by  appellants  before  the  Division
Bench of Andhra Pradesh High Court.  The said appeal  had  been  allowed  by
the High Court on 23rd July, 2001 and thereby  the  acquisition  proceedings
had come to an end.  The  review  application  filed  against  the  judgment
delivered by the Division Bench had also been rejected by the High Court.

8.     In  the  aforestated  circumstances,   a   Special   Leave   Petition
challenging the abovestated  judgment  had  been  filed  by  Andhra  Pradesh
Industrial Infrastructure Corporation Limited  (APIIC),  for  whose  benefit
the land was sought to be acquired for establishment of Auto  Nagar.   Leave
was granted in the said Special Leave Petition, which was recorded as  Civil
Appeal Nos.304-305 of 2005.  An interim order was also passed  in  the  said
appeals for maintaining status-quo with regard to possession as  it  existed
on 10th January, 2005.  During  the  pendency  of  the  aforestated  appeals
before this Court, the Land Acquisition Officer had filed a  petition  under
Section 31(2) of the Act before the District  Court.  The  said  proceedings
had been rejected by the District Judge on the ground that  the  acquisition
proceedings were pending before the Supreme Court and the Supreme Court  had
given a direction for maintaining status-quo.

9.    Ultimately, this Court allowed Civil Appeal  Nos.304-305  of  2005  on
15th September, 2011, whereby the judgment delivered by the  Division  Bench
of Andhra Pradesh High Court in Writ Petition No.1337 of 1999 had  been  set
aside.  Thus, ultimately, the acquisition proceedings were  upheld  by  this
Court.

10.   As the acquisition proceedings had been upheld, the appellants,  being
aggrieved by the amount of compensation, had  filed  Reference  Applications
under Section 18(1) of the Act on 17th October, 2011.   The  said  reference
applications  had  been  rejected  on  the  ground  of  delay  by  the  Land
Acquisition Officer on 21st January, 2012 as the Award  in  respect  of  the
lands in question had been made on 18th January, 1998.

11.   The aforestated proceedings, whereby the  reference  applications  had
been rejected by the Land Acquisition Officer, had  been  challenged  before
the High Court of  Andhra  Pradesh  on  4th  August,  2012  by  filing  Writ
Petition No.24806 of 2012.  The said writ petition had been rejected by  the
learned Single Judge of the High Court on 13th August, 2012  on  the  ground
that the reference applications under Section 18(1) of the Act had not  been
filed within the time  prescribed  under  the  said  section.  The  judgment
delivered by the  learned  Single  Judge  on  13th  August,  2012  had  been
challenged by the present  appellants/land  owners  by  filing  Writ  Appeal
No.1274 of 2012, which was  also  dismissed  on  the  same  ground  on  10th
October, 2012.

12.   Being aggrieved by the aforestated judgment dated 10th October,  2012,
this appeal has been filed by the land owners.

13.   The learned counsel appearing  for  the  appellants  mainly  submitted
that the applications for reference under Section 18(1)  of  the  Act  ought
not to have been rejected on the  ground  of  delay.   The  learned  counsel
fairly admitted that the applications under Section 18 of the Act  were  not
filed within the time prescribed.  According to him, the  said  applications
could not be said to have been filed beyond the  period  of  limitation  for
the  reason  that  the  proceedings  regarding  acquisition  had  not   been
finalized and were pending before different courts, namely before  the  High
Court and  before  the  Apex  Court  and  stay  was  operating  against  the
acquiring body.

14.   The learned counsel submitted that the acquisition had been set  aside
by the High Court and only by an order dated 15th September, 2011 passed  by
this Court in Civil Appeal Nos.304-305 of 2005,  the  acquisition  had  been
confirmed.  The learned counsel further submitted that till the  aforestated
judgment  was  delivered  by   this   Court   confirming   the   acquisition
proceedings, there was no question of filing any application  under  Section
18(1) because till that time there was  no  land  acquisition  at  all.   By
virtue of the order passed by the Division Bench of the Andhra Pradesh  High
Court, the acquisition proceedings had been held to be  null  and  void  and
therefore, the question of filing any application  under  Section  18(1)  of
the Act did not arise.

15.   Though the Award had been made  earlier  on  7th  January,  1998,  the
acquisition proceedings had been thereafter set aside.  The  claimants,  who
are the land owners, did not collect the amount  of  compensation  as  their
lands had not been acquired and therefore, there was no reason for  them  to
be aggrieved by quantification of the amount of  compensation.   He  further
added that only upon getting intimation of the order passed  by  this  Court
dated 15th September, 2011, whereby land acquisition proceedings  have  been
confirmed and whereby the lands stood acquired, the question with regard  to
getting the amount of compensation from the District Court  arose  and  only
at that time the appellants-the land owners, could have  thought  about  the
quantum of compensation awarded to them in respect of their lands acquired.

16.   In the aforestated circumstances only  on  15th  September,  2011,  by
virtue of the judgment delivered in Civil Appeal Nos. 304-305 of 2005,  this
Court finally declared that the lands of the appellants stood  acquired  and
therefore, the appellants filed applications under Section 18(1) of the  Act
on 17th October, 2011.   He,  therefore,  submitted  that  the  applications
under Section 18(1) of the Act were not beyond the period  prescribed  under
the Act.

17.   On the other hand, the learned counsel appearing for  the  respondent-
Authorities could not deny the aforestated factual  aspect  with  regard  to
the proceedings which had taken place and the final  judgment  delivered  by
this Court on 15th September, 2011.

18.   Upon hearing the learned counsel and looking at the peculiar facts  of
the case, in our opinion, this appeal deserves to be allowed.

19.   It is an admitted fact  that  the  acquisition  proceedings  had  been
finally  confirmed  by  the  judgment  delivered  by  this  Court  on   15th
September, 2011.  Till the said judgment was delivered by this Court,  there
was no acquisition of the land and therefore, there  was  no  need  for  the
appellants to file any application under Section 18(1)  of  the  Act.   Upon
knowing the fact that the lands had been acquired by virtue of the  judgment
dated 15th September, 2011 delivered by this  Court,  the  appellants  filed
the applications under Section 18(1) of Act on 17th October, 2011.   In  the
aforestated circumstances, in our  opinion,  the  applications  filed  under
Section 18(1) of the Act should not have been rejected as  they  were  filed
immediately after pronouncement of the judgment by this Court.

20.   For the aforestated reasons, we allow the appeal  and  set  aside  the
judgment delivered by the High Court and we direct that without  going  into
the issue of delay or limitation, the applications filed by  the  appellants
under Section 18(1) of the Act shall be entertained in accordance with law.

21.   The appeal stands disposed of as allowed with no order as to costs.



                                                             ………..……………………J.
                                            (ANIL R. DAVE)



                                                            ………..…………………….J.
                                         (ADARSH KUMAR GOEL)
NEW DELHI
DECEMBER 09, 2015.