Gujarat High Court
General Manager, Mehsana Project vs Special Land Acquisition Officer on 2 July, 2025
NEUTRAL CITATION
C/FA/847/2010 JUDGMENT DATED: 02/07/2025
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IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/FIRST APPEAL NO. 847 of 2010
With
R/FIRST APPEAL NO. 848 of 2010
With
R/FIRST APPEAL NO. 977 of 2010
With
R/FIRST APPEAL NO. 978 of 2010
With
R/FIRST APPEAL NO. 979 of 2010
With
R/FIRST APPEAL NO. 980 of 2010
With
R/FIRST APPEAL NO. 981 of 2010
FOR APPROVAL AND SIGNATURE:
HONOURABLE MR. JUSTICE HEMANT M. PRACHCHHAK Sd/-
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Approved for Reporting Yes No
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GENERAL MANAGER, MEHSANA PROJECT
Versus
SPECIAL LAND ACQUISITION OFFICER & ORS.
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Appearance:
MR RAJNI H MEHTA(468) for the Appellant(s) No. 1
MS ROSHNI PATEL AGP for the Defendant(s) No. 1
NOTICE SERVED for the Defendant(s) No. 2.1,2.2,2.3,2.4,2.5
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CORAM:HONOURABLE MR. JUSTICE HEMANT M. PRACHCHHAK
Date : 02/07/2025
ORAL JUDGMENT
1. Since the issues involved in all these appeals are identical and common in nature, all these appeal are Page 1 of 9 Uploaded by SURESH SOLANKI(HC00208) on Tue Jul 08 2025 Downloaded on : Tue Jul 08 22:59:10 IST 2025 NEUTRAL CITATION C/FA/847/2010 JUDGMENT DATED: 02/07/2025 undefined being disposed of by this common judgment treating the First Appeal No.847 of 2010 as lead matter.
2. Present appeals are filed by the appellant - Oil and Natural Gas Corporation Limited against the judgment and award dated 4.8.1999 passed by the learned Assistant Judge, Mehsana (hereinafter referred to as 'the Reference Court') in Land Acquisition References Nos. 2597 of 1993 to 2604 of 1993 whereby, the Reference Court partly allowed the Reference Cases filed by the original applicants and directed that all the original applicants are entitled to get the amount of rent at the rate of Rs.2.00 per sq. mtr p.a. with interest at the rate of 9% p.a. from date of taking over possession till one year and, thereafter, at the rate of 15% p.a. till its retaliation from the date of award.
3. Since First Appeal No. 847 of 2010 is being treated as lead matter, the facts mentioned in the said appeal are taken into consideration. The appellant had acquired temporarily certain land belonging to respondent No.2 Page 2 of 9 Uploaded by SURESH SOLANKI(HC00208) on Tue Jul 08 2025 Downloaded on : Tue Jul 08 22:59:10 IST 2025 NEUTRAL CITATION C/FA/847/2010 JUDGMENT DATED: 02/07/2025 undefined and the said land had been taken by the appellant by private negotiation on 29.08.1989. The lands of the claimants were accordingly temporarily acquired by the appellant. That, the respondent No.1 - Special Land Acquisition Officer, vide award dated 29.8.1989 in LAQ Case No. 17 of 1989 has awarded crop compensation and rental compensation @ Rs.75/- per Are per years i.e. Rs.0.75 per sq. mtr per year.
3.1 Being aggrieved and dissatisfied with the above decision of the Land Acquisition Officer, the claimants had sought reference on 6.10.1993 i.e after period of more than 7 years claiming rental compensation @ Rs.700 per Are per year.
3.2 After hearing both the parties and after evaluating the evidence placed on record, the Reference Court passed an order awarding rental compensation @ Rs.200/- per Are per year i.e. Rs.2.00 per sq. mtr. with additional compensation @ 1.25 per sqs. Mtr. i.e. Rs. 125/- per Are per annum.
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NEUTRAL CITATION C/FA/847/2010 JUDGMENT DATED: 02/07/2025 undefined 3.3 Being aggrieved and dissatisfied with the aforesaid judgment and award passed by the Reference Court, the appellant ONGC has filed all these First Appeals under Section 54 of the Land Acquisition Act and Section 96 of the Code of Civil Procedure.
4. Heard learned advocate Mr. Ajay Mehta, appearing for the appellant - ONGC and learned Assistant Government Pleader Ms.Roshni Patel, appearing for the respondent No.1. Though served other respondents have chosen not to appear before this Court.
5. Learned advocate Mr. Mehta, appearing for the appellant ONGC, has submitted that the appellant had acquired some lands for temporary acquisition for the purpose of constructing well, for which, notification was issued under Section 4 of the Act, whereby, the Reference Court awarded compensation in favour of the respondents
- original claimants. He has submitted that the Reference Court has not properly considered the facts of the present Page 4 of 9 Uploaded by SURESH SOLANKI(HC00208) on Tue Jul 08 2025 Downloaded on : Tue Jul 08 22:59:10 IST 2025 NEUTRAL CITATION C/FA/847/2010 JUDGMENT DATED: 02/07/2025 undefined case and also not considered the fact that it was not for permanent acquisition but, it was a temporary acquisition and therefore, the Reference Court has completely ignored this aspect while recording the findings and has not properly considered the submissions made on behalf of the appellant while passing the impugned judgment and award and has committed a serious error of law and on facts. He has further submitted that there was a huge delay in preferring the Reference before the Reference Court, however, the Reference Court has not properly appreciated the said aspect while passing the impugned judgment and award.
5.1 Learned advocate Mr. Mehta has referred and relied upon the decision of Division Bench of this Court rendered in case of Deputy General Manager vs. Bakaji Jivaji and Anr. in First Appeal No.1037 of 2009 decided on 12.02.2014, wherein, identical issue is involved. He has also referred and relied upon the decision of this Court rendered in case of Oil and Natural Gas Corporation Ltd. vs. Sankarji Hemani and Anr., reported Page 5 of 9 Uploaded by SURESH SOLANKI(HC00208) on Tue Jul 08 2025 Downloaded on : Tue Jul 08 22:59:10 IST 2025 NEUTRAL CITATION C/FA/847/2010 JUDGMENT DATED: 02/07/2025 undefined in [2008] 2 GLR 1226 and one another decision rendered in case of Dy. General Manager vs. Patel Anil Bachubhai and Anr., reported in [2008] 2 GLH 767 and submitted that in light of the above referred decisions, present appeal be remitted back to the Reference Court for fresh consideration. He has submitted the trial Court has exceeded its jurisdiction by awarding compensation and interest thereon.
6. I have heard the learned advocates appearing for the respective parties and perused the material placed on record. It appears that the controversy raised in the present appeal is now not res integra in view of the two reported decisions relied upon by this Court in First Appeal No.1037 of 2009, wherein, it was specifically held that while considering the scope and ambit of Reference Court in a reference under section 35(3) of the Act that Collector or Reference Court has no jurisdiction to determine and decide the rental beyond the period of 3 years from the date of taking the possession. It was further held that the Reference Court also has no Page 6 of 9 Uploaded by SURESH SOLANKI(HC00208) on Tue Jul 08 2025 Downloaded on : Tue Jul 08 22:59:10 IST 2025 NEUTRAL CITATION C/FA/847/2010 JUDGMENT DATED: 02/07/2025 undefined jurisdiction to award mesne profits for the occupation and possession of the land beyond 3 years. It is further held that it has no jurisdiction to pass an order for restoring the possession of the land. It was further held that a dispute whether there is an extension of an implied contract/agreement or not also cannot be decided by Reference Court. After so holding the Division Bench of this Court has quashed and set aside the award determining the rental beyond the period of 3 years from the date of taking the possession and has remanded the matters to the Reference Court to decide the references afresh in accordance with law and on merits and to decide the rental considering the observations made in the aforesaid decisions.
7. In view of the above undisputed facts and the facts in the present appeal, where the case is similar and identical, the impugned the judgment and award dated 4.8.1999 passed by the Reference Court in Land Acquisition References Nos. 2597 of 1993 to 2604 of 1993 are hereby quashed and set aside and the matters Page 7 of 9 Uploaded by SURESH SOLANKI(HC00208) on Tue Jul 08 2025 Downloaded on : Tue Jul 08 22:59:10 IST 2025 NEUTRAL CITATION C/FA/847/2010 JUDGMENT DATED: 02/07/2025 undefined are remanded back to the learned Reference Court to decide and dispose of the reference afresh in accordance with law and on merits and determine the rental and quantum of compensation for the period of 3 years from the date of taking the possession and considering the observations made in the aforesaid two decisions. Learned advocate appearing on behalf of the ONGC to place on record the aforesaid two reported decisions cited in First Appeal No.1037 of 2009 by the Division Bench of this Court before the Reference Court for its kind consideration so that the reference on remand can be decided in light of the observations made in the aforesaid two decisions.
8. Present First Appeals are allowed to the aforesaid extent. In the facts and circumstances of the case, Registry is directed to return the Record and Proceedings of each case to the Reference Court immediately. 8.1 It is also to be noted that pursuant to the interim order passed by this Court, if, the appellant has deposited Page 8 of 9 Uploaded by SURESH SOLANKI(HC00208) on Tue Jul 08 2025 Downloaded on : Tue Jul 08 22:59:10 IST 2025 NEUTRAL CITATION C/FA/847/2010 JUDGMENT DATED: 02/07/2025 undefined the amount of compensation as per the impugned judgment and award passed by the learned Reference Court [which is now set aside], and if the same is lying in the Nazir department, the same shall be continued to be invested in cumulative fixed deposit as ordered earlier subject to the ultimate outcome of the reference, when the matters are remanded back to the Reference Court and any amount of compensation that may be awarded by the Reference Court on remand, shall be appropriated from the said fixed deposit, subject to obtaining appropriate interim order by the higher Court/Forum.
Sd/-
(HEMANT M. PRACHCHHAK,J) SURESH SOLANKI Page 9 of 9 Uploaded by SURESH SOLANKI(HC00208) on Tue Jul 08 2025 Downloaded on : Tue Jul 08 22:59:10 IST 2025