Citation : 2023 Latest Caselaw 4728 Bom
Judgement Date : 4 May, 2023
2023:BHC-AS:13676-DB
2727.22 WP.doc
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
Iresh
CIVIL APPELLATE JURISDICTION
WRIT PETITION NO. 2727 OF 2022
1. Manekbben Rama Tandel
Age. 72, Occ. Housewife,
R/o - House No. 8/260, Parkota
Sheri, Nani Daman, Daman - 396210
2. Dharmesh Sukkar Tandel,
Age. 44, Occ. NIL,
R/o. House No. 8/260, Parkota
Sheri, Nani Daman, Daman - 396210 ....Petitioners
V/s.
1. The Collector,
Daman, Union territory of Dadra
& Nagar Haveli and Daman & Diu
2. Union territory of Dadra & Nagar
Haveli and Daman & Diu, through
its Administrator of Union territory
of Dadra & Nagar Haveli and Daman
and Diu.
3. Directorate of Medical Health Services,
Primary Health Centre, Fort Area, Moti
Daman 396 210, Union Territory of
Dadra & Nagar Haveli and Daman & Diu
4. Public Works Department, Daman,
Union Territory of Dadra & Nagar Haveli
and Daman & Diu ....Respondents
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Mr. T. D. Deshmukh along with Mr. H. D. Chavan and Mr. Sagar Kursija
and Ms. S. S. Mohanty for the Petitioner.
Mr. H. S. Venegaonkar along wiith Mr. Aayush Kedia for Respondent Nos.
1 to 4.
CORAM: R. D. DHANUKA &
GAURI GODSE, JJ.
RESERVED ON: 14TH MARCH 2023 FURTHER ARGUMENT ON: 20TH APRIL 2023 AND 27TH APRIL 2023 PRONOUNCED ON: 4TH MAY 2023
JUDGMENT: (PER: GAURI GODSE J)
1. Rule. Mr Venegaonkar waives service for Respondents. Rule is
made returnable forthwith. By consent, the petition is taken up for final
disposal.
2. This Petition challenges two separate preliminary notifications,
both dated 17th November 2021, issued under Section 11 of The Right to
Fair Compensation and Transparency in Land Acquisition, Rehabilitation
and Resettlement Act, 2013 ('Act of 2013') and two separate declarations
both dated 14th February 2022 under Section 19 of the Act of 2013. By
way of amendment, Petitioners challenged two separate Awards declared
under Section 23 of the Act of 2013, both dated 25 th April 2022. Both
these notifications and the Awards are affecting two separate areas of
Petitioner's property.
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CASE OF THE PETITIONERS:
3. Petitioners are the owners of the land bearing survey Nos. 8, 10/1,
11/2, 11/3 of village Kathiria, Daman, admeasuring 12917 square meters
and 4091 square meters ("said property") which are the subject matter of
the acquisition under the Act of 2013.
4. On 15th February 2019, a notification was issued under Section 4 of
the Act of 2013 for the preparation of a Social Impact Assessment ("SIA")
for the purpose of expansion of a government hospital, proposing to
acquire lands bearing survey nos. 19/1, 19/2, 19/5, 19/6, 19/7 and 19/8 of
village Kathiria, Nani Daman. The Petitioners are not concerned with
these properties. The said property was not mentioned in the said
notification dated 15th February 2019.
5. In the month of March 2019, the Petitioners received notice of
eviction for their hotel structure as the same was affected by the proposed
construction of a coastal road. Hence the Petitioners challenged the
action of the Respondents by filing Writ Petition No. 3886 of 2019. By
order dated 27th March 2019, interim protection was granted to the
Petitioners.
6. It is the case of the Petitioners that without any SIA report with
respect to the said property, two separate notifications under Section 11 of
the Act of 2013 were issued on 12 th September 2019, which included the
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said property for the first time to the extent of 12917 square meters and
4091 square meters for the purpose of expansion of government hospital
and nursing college hostel. On 5 th November 2019, the Petitioners
submitted objections to the said preliminary notifications. On 13 th
December 2019 report under Section 15 was submitted by Respondent
No. 1. On 6th May 2020, a notification under Section 19 was issued.
Petitioners received a notice dated 7 th October 2020 issued under Section
21.
7. Hence the Petitioners filed Writ Petition Stamp No. 94689 of 2020
for challenging notifications dated 12 th September 2019 issued under
Section 11, report dated 13th December 2019 submitted under Section 15
and declaration dated 6th May 2020 issued under Section 19 of the Act of
2013. In the said Writ Petition, a statement was made on behalf of
Respondents that acquisition proceedings in respect of the said property
are dropped, and fresh acquisition proceedings are initiated. Hence said
Writ Petition was disposed of as infructuous on 7 th January 2021.
8. Consent terms dated 4th May 2021 were filed in the earlier Writ
Petition No. 3886 of 2019, which was filed against an eviction notice for
the construction of a coastal road. It is the case of the Petitioners that
pursuant to the consent terms, the Petitioners were permitted to shift their
hotel structure to the backside. In view of the consent terms, Petitioners
had agreed to hand over their land for the purpose of the coastal road
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without any monetary consideration, as the Petitioners were allowed to
shift their hotel structure on the backside. Thus, the Petitioners handed
over 30 meter stretch without any monetary consideration.
9. On 17th November 2021, without any SIA report, two separate
notifications under Section 11 of the Act of 2013 were issued for acquiring
the said property for the purpose of a nursing college hostel of the
government hospital. There were two separate notifications issued under
Section 11 of the same date for an area admeasuring 12917 square
meters and for an area admeasuring 4091 square meters. Hence
Petitioners submitted objections on 13 th January 2022. On 14th February
2022, two separate declarations under Section 19 were issued. On 15 th
February 2022, a notice for possession was issued under Section 21.
Hence the Petitioners filed the present Petition challenging the
notifications under Section 11 as well as the declarations issued under
Section 19 of the Act of 2013. During the pendency of the Petition, two
separate Awards were declared on 25 th April 2022. Hence by way of
amendment, Petitioners also challenged the two separate Awards
declared on 25th April 2022.
SUBMISSIONS ON BEHALF OF PETITIONERS:
10. The learned counsel for the Petitioners submitted that in the
notification dated 15th February 2019 under Section 4, Petitioners' said
property was not included. Hence the Petitioners had filed objections on
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5th November 2019 to the aforesaid earlier notifications issued on 12 th
September 2019 under Section 11. It was the Petitioners' contention that
though suitable lands were available adjoining the government hospital,
including the government land being survey number 6/2, said property
was arbitrarily included in the said notifications. It is the Petitioners' case
that the said property has hundreds of coconut trees, and the land is not
contiguous and is located on the opposite side of the road. During the
pendency of the said Writ Petition Stamp No. 94689 of 2020, thereby
challenging the change in site and inclusion of the said property in the
notifications under Sections 11, 15 and 19, the Respondents had made a
statement that the acquisition with respect to the said property was
dropped and the fresh acquisition was initiated. Hence in view of the
statement made, the said Writ Petition was disposed of on 7 th January
2021, thereby granting liberty to the Petitioners to challenge the fresh
acquisition.
11. The Petitioners contended that a notice dated 24th November 2020
was issued for withdrawing acquisition proceedings. However, a perusal
of the said notice shows that only the SIA notification dated 15 th February
2019 was withdrawn, which never included the said property. There was
no separate notice issued for the withdrawal of the acquisition
proceedings initiated by issuing notice dated 12 th September 2019 under
Section 11 in respect of the said property.
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12. The learned counsel for the Petitioners submitted that the
Petitioners had raised specific objections that though there was
alternative land available adjacent to the government hospital, the said
property, which is not adjacent to the government hospital, was sought to
be acquired. It was the Petitioners' contention that they are running a
hotel on the said property, and the said property also has about 100
coconut trees.
13. Learned counsel for the Petitioners submitted that Sub-Section 3 of
Section 4 and Sub-Section 1 of Section 6 require that the SIA report
should be made available to the land owner. He further submitted that
under Sub-Section 3 of Section 11, the notification should contain a
summary of the SIA report so as to enable the landowners to raise
effective objections. However, neither the SIA report was published nor
did the notification under Section 11 contain any summary of the SIA
report. Thus, it was submitted on behalf of the Petitioners that the
acquisition process violated the principles of natural justice.
14. Learned counsel for the Petitioners submitted that Section 15 of
the Act of 2013, read with Rule 6 of the Rules of 2015 framed under the
Act of 2013, mandates that the objections raised by the landowners
should be considered and decided. He submitted that these objections
are akin to the objections that are required to be decided under Section
5A of the Land Acquisition Act 1894. Therefore, non-consideration of the
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objections raised by the Petitioners has also violated the principles of
natural justice.
15. Learned counsel further submitted that pursuant to the consent
terms, the Petitioners were permitted to shift their hotel structures to the
backside. In the present acquisition proceedings, the land where the hotel
structures were shifted on the backside is sought to be acquired. Learned
counsel submitted that in view of the consent terms, Petitioners had
agreed to hand over their land for the purpose of coastal Road without
any monetary consideration as the Petitioners were allowed to shift their
hotel structure on the backside. Thus, the Petitioners handed over 30
meter stretch without any monetary consideration.
16. Learned counsel for the Petitioners submitted that in the first round
of acquisition, survey number 19 was shown affected in the notification
under Section 4. However, in notifications issued under Sections 11 and
19, survey number 19 was deleted, and the said property was included
without any justifiable reasons. He submitted that there is no reason why
the lands adjacent to the government hospital, including government-
owned land, are not considered for the nursing hostel. He further
submitted that the SIA report is not provided to the Petitioners as is
required under Sections 4 and 6 of the Act of 2013. Learned counsel
submitted that a summary of the SIA report is conspicuously absent in the
notification under Section 11, which is a mandatory requirement. He thus
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submitted that the objection raised by the Petitioners is also decided
without assigning any reasons. Section 15 of the Act of 2013 provides
that a hearing is to be given to the landowners on the objections filed by
them. Thus, it was submitted that the action on the part of the
Respondents to acquire the said property is a clear case of malafide, as
the action of the Respondents defeats the consent terms which were filed
in Writ Petition No. 3886 of 2022.
17. It was also submitted that the said property is not contagious as
there is a road between the government hospital and the nursing college
hostel and the Petitioners' land proposed to be acquired. Thus, it was
submitted that the whole process of the present acquisition is illegal,
perverse and against the settled principles of law as the same is based on
non-application of mind, as can be seen from the report under Section 15
of the Act of 2013.
18. Learned counsel submitted that the report prepared by the learned
Collector under Section 15 is without assigning any reasons. He
submitted that Rule 6 of 2015 Rules framed under the Act of 2013
provides for giving a reasonable opportunity of hearing for deciding the
objections of interested parties. However, Respondent No. 2, without
giving any opportunity for hearing and without assigning any reasons, has
decided the objections filed by the Petitioners. Thus, the conduct of the
Respondents shows the malafide action and colourable exercise of
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power. Thus, the Petitioners submitted that notifications issued under
Section 11 and the declarations issued under Section 19 of the Act of
2013 as well as two separate Awards passed on 25 th April 2022, deserve
to be quashed and set aside.
CASE OF THE RESPONDENTS:
19. There is an Affidavit-in-Reply filed on behalf of Respondents
opposing the prayers in the Petition. The Respondents contended that the
Petitioners had encroached on the Government land and hence there was
no question of granting monetary compensation. Hence, the earlier Writ
Petition No. 3886 of 2019 was disposed of by filing consent terms. The
Petitioners stated that notification for the SIA was issued on 15 th February
2019 and the SIA meeting was held on 5 th March 2019 and all the
concerned land holders were intimated regarding the same. It was thus
contended that thereafter preliminary notification dated 12 th September
2019 was issued and published under Section 11. It was also contended
that another meeting of the SIA was convened on 24 th May 2021 after
issuing notice on 20th May 2021. The Respondents contended that on 3 rd
December 2019 the Petitioner was present before the Collector and
thereafter a report was issued on 13 th December 2019 under Section 15.
Thus, the objections of the Petitioners were disposed of on merits.
Notification under Section 19 dated 6th May 2020 was served on all the
parties having interest in the land and also uploaded on the official
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website. Thereafter notice dated 7 th October 2020 was issued under
Section 21 and was served on all the persons interested. It was
contended that it was also uploaded on the official website. The Affidavit-
in-Reply further referred to Notification dated 17 th November 2021 inviting
objections. Affidavit-in-Reply further referred to objections filed by the
Petitioners on 13th January 2022 and hearing given to the Petitioners on
18th January 2022. The Affidavit-in-Reply further stated that after following
due process of law, said property has been selected after proper
examination and SIA report as per Section 8 of the Act of 2013. Thus, the
prayers in the Writ Petition were opposed on the ground that the
objections raised by the Petitioners were vague and had no merits.
SUBMISSIONS ON BEHALF OF THE RESPONDENTS:
20. Mr. Venegaonkar, learned counsel for the Respondents, submitted
that the proceedings were initiated after following the due process
provided under the Act of 2013, and at every stage, the Petitioners were
given a hearing. Learned counsel submitted that perusal of dates in a
chronological manner would show that all the procedures as prescribed
under the Act of 2013 are followed. Learned counsel invited our attention
on the following dates by placing on record a list of dates and events as
under:
15th February 2019: Notification under Section 4(3) of the Act of
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2013 was issued for the purpose of the SIA study.
13th December 2019: The Collector submitted a report under
Section 15 of the Act of 2013 for the acquisition of the land for the
purpose of the nursing hostel.
7th October 2020: Notification under Section 21 of the Act of 2013
was issued.
24th November 2020: Notification was issued for the purpose of
withdrawal of the land acquisition proceedings, which were initiated
by notification dated 15th February 2019.
14th December 2020: Notification under Section 4 was issued for
the purpose of an SIA study for the acquisition of 12917 square
meters of land.
11th January 2021: Notification under Section 4 was issued for the
SIA study for the acquisition of 4091 square meters of land.
4th May 2021: Writ Petition No. 3886 of 2019, filed by the
Petitioners for challenging the eviction notice issued to the
Petitioners, was disposed of in terms of the consent terms.
24th May 2021: A hearing was given on the objections filed by the
Petitioners. The Petitioner's son-in-law was present for the hearing,
being constituted attorney of the Petitioners. Hearing given to the
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Petitioners through their constituted attorney is part of the record.
17th November 2021: Preliminary notification under Section 11 of
the Act of 2013 was issued.
13th January 2022: Petitioners filed objections to notification under
Section 11.
17th January 2022: The learned Collector had scheduled a hearing
for Petitioners on the objections filed by them. However, an
adjournment was sought by the Petitioners, and hence, the same
was adjourned to 18th January 2022.
18th January 2022: Petitioner No. 2 appeared and was given a
hearing by the learned Collector.
25th January 2022: The Petitioners had filed Writ Petition No. 2271
of 2022 for challenging the acquisition proceedings at the stage of
notification under Section 15. However, the said Writ Petition was
not pursued on behalf of the Petitioners.
4th February 2022: A report under Section 15 was published after
considering the objections filed by the Petitioners for the
acquisition of 4091 square meters.
7th February 2022: After considering the objections filed by the
Petitioners, a report under Section 15 was published with regard to
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the acquisition of 12917 square meters of land.
14th February 2022: Two separate declarations under Section 19
were issued with respect to two separate areas, which are the
subject matter of acquisition.
15th February 2022: Notice indicating the hearing scheduled under
Section 21 before taking possession of the land was fixed on 22 nd
March 2022.
4th March 2022: Present Petition was filed for challenging two
separate notifications issued under Section 11 and two separate
declarations under Section 19.
22nd March 2022: Though the Petitioners were served with a notice
for the scheduled hearing, the Petitioners failed to appear. Hence,
the hearing was rescheduled on 24th March 2022.
24th March 2022: Petitioner No. 1 appeared and submitted a
letter to the learned Collector, thereby raising objections with
respect to the quantum of compensation.
10th May 2022: As the Petitioners refused to accept the amount of
compensation, the learned Collector filed a Reference under
Section 64 of the Act of 2013.
16th May 2022: After filing the Reference, possession of lands
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which were the subject matter of the acquisition was taken.
20th May 2022: The amount of compensation is deposited in the
Reference Court.
21. Thus, it was submitted by Mr. Venegaonkar that all the mandatory
provisions mentioned in Chapter IV of the Act of 2013 are followed.
Learned counsel further submitted that the SIA report was also provided
to the Petitioners, and thus the submissions made on behalf of the
Petitioners with respect to the same have no merit. The learned counsel
submitted that the allegations made by the Petitioners regarding not
following the due procedure are baseless and vague. Learned counsel
invited our attention to the provisions under Chapter IV of the Act of 2013
and submitted that the dates and events with respect to the present case
would show that all the procedures were followed in the acquisition of the
Petitioners' land after giving due opportunity of hearing at all the relevant
stages. He submitted that objections raised by the Petitioners are only in
the nature of suggestions. He, therefore, submitted that there is no valid
ground raised in the Petition for challenging the acquisition proceedings
with respect to the Petitioners' land. He thus submitted that the Writ
Petition has no merit and the same be rejected. Mr Venegaonkar, in
support of his submissions, relied upon the decision of this Court in the
case of Godrej & Boyce Manufacturing Co. Ltd Vs. State of Maharashtra,
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through the Government Pleader and Others1.
CLARIFICATIONS AND FURTHER ARGUMENTS:
22. We heard both parties at length. The arguments were concluded,
and the Petition was closed for Order. For clarification, on the aspect of
issuance of notification under Section 4 and publication of the SIA report
as contemplated under Section 6, the matter was listed for further
hearing. Mr Venegaonkar, on instructions submitted that with respect to
the said property, there was no notification published under Section 4, and
the SIA study report, as contemplated under Section 6, was also not
published. He, however, submitted that the summary of the SIA report
formed part of the notification under Section 8 of the Act of 2013. He thus
submitted that the Petitioners were aware of the contents of the SIA report
before filing objections and hearing given on the objections conducted
under Section 15.
23. Mr. Venagaonkar submitted that the Petitioners were given an
opportunity of hearing at every stage. He submitted that much water had
flown after the publication of the Award. He submitted that the contract is
also executed for the commencement of work. The acquisition is for a
project of public importance. Hence, any adverse order in this Petition will
delay the work of public importance. He submitted that the objections
raised by the Petitioners in this Petition are regarding technical lapses,
1 2023 SCC OnLine Bom 341
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and no prejudice is caused to the Petitioners due to non-publication of
notification under Section 4 and non-publication of the SIA report as
contemplated under Section 6. He submitted that even otherwise, in the
objections dated 24th March 2022, the Petitioners have only raised a
grievance regarding the quantum of compensation. Hence, the objections
of the Petitioners can be taken care of at the time of deciding the
enhancement, if any, of the quantum of the compensation amount. He,
therefore, submitted that no interference is warranted in this Petition.
24. Mr. Deshmukh submitted that the publication of the notification
under Section 4 and the publication of the SIA study report as
contemplated under Section 6 are not empty formalities. He submitted
that no effective objections can be raised in the absence of an SIA study
report. He submitted that even the notification under Section 11 did not
contain the summary of the SIA report. He further submitted that the
objections filed by the Petitioners are rejected with a one-line Order. He
submitted that publication of the SIA report is a mandatory requirement
under the Act of 2013. He submitted that exemption from undertaking an
SIA study is provided under Section 9 only when the urgency clause is
invoked. Mr Deshmukh thus submitted that the publication of the
notification under Section 4 and the report under Section 6 are not mere
technical compliances. He submitted that non-compliance with the
mandatory procedures under the Act of 2013 vitiates the entire acquisition
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proceedings. He submitted that in the objections dated 24 th March 2022,
the Petitioners have also intimated about the pendency of the present
Petition and have reserved their right to raise objections. Hence the Writ
Petition be allowed, and the impugned notifications and Awards be
quashed and set aside.
CONSIDERATION OF SUBMISSIONS AND CONCLUSIONS:
25. We have considered the submissions made on behalf of both
parties. The submissions made on behalf of the Petitioners are twofold.
Firstly, regarding the suitability of the land proposed for acquisition and,
secondly, regarding the hardships and prejudices caused to the
Petitioners.
26. On perusal of the record, it is clear that earlier, there was an
acquisition of the Petitioner's land for a coastal road. Pursuant to the
consent terms filed in the writ petition challenging the eviction notice
issued to the Petitioners for coastal road, consent terms were filed. As per
the consent terms, the Petitioners were permitted to shift their hotel
structure which was affected by the coastal road, to the backside. In view
of the consent terms, the Petitioners handed over 30 meter stretch of their
property without any monetary consideration. The Respondents have not
disputed the Petitioner's contention that the land where the Petitioners
were allowed to shift their hotel structure is now affected by the
acquisition proceedings for the purpose of a proposed nursing college
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hostel.
27. The Respondents have contended that due opportunity of hearing
was given to the Petitioners at the relevant stages, and all the procedures
under the Act of 2013 were followed. However, admittedly notification
under Section 4 was not published, and the SIA report was also not
published as contemplated under Section 6. A perusal of the notification
under Section 11 of the Act of 2013 shows that it does not contain the
summary of the SIA report.
28. A perusal of Sub-Section (1) of Section 4 shows that publication of
a notification for a preliminary investigation for determination of the social
impact and public purpose, as contemplated under Chapter II of the Act of
2013, is not a mere empty formality or a technical requirement. Sub-
Section (2) of Section 4 provides that the notification issued under Sub-
Section (1) for commencement of the SIA study is required to be made
available in the local language to the concerned Panchayat, Municipality
or Municipal Corporation as well as in the offices of the District Collector,
Sub-Divisional Magistrate and the Tehsil and shall also be published in
the affected areas in such a manner as may be prescribed and also
uploaded on the website of the Appropriate Government. Sub-Section (5)
of Section 4 provides that while undertaking an SIA study, various aspects
are required to be taken into consideration, which includes the livelihood
of affected families, public and community properties etc. Thereafter
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Section 5 contemplates a public hearing for the SIA study. Section 5
provides for a mandatory requirement for giving a public hearing at the
affected area after giving adequate publicity about the date, time and
venue for the public hearing to ascertain the views of the affected families
to be recorded and included in the SIA study report.
29. Though it is argued on behalf of the Respondents that the
opportunity of hearing was given to the Petitioner at every stage, nothing
is produced on record to show that notice was published as required
under Section 4 before the public hearing as contemplated under Section
5 was conducted. As per the list of dates and events submitted by Mr
Venegaonkar after the notification dated 24 th November 2020, thereby
withdrawing the earlier notification under Section 4, two notifications
dated 14th December 2020 and 11th January 2021 were issued, and SIA
hearing was conducted on 24th May 2021. However, when the matter was
listed for further hearing for the purpose of clarifications regarding the
issuance and publication of notification under Section 4 and publication of
the SIA report under Section 6 regarding the said property, Mr.
Venegaonkar, on instructions, admitted that no such notifications and SIA
report were published.
30. Section 6 provides that the SIA report and the social impact
management plan referred to in Sub-Section (6) of Section 4 are required
to be prepared and made available in the local language to the concerned
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Panchayat, Municipality or Municipal Corporation and the concerned
Government offices and shall also be published in the affected areas and
uploaded on the website of the Appropriate Government.
31. Section 7 provides for appraisal of the SIA report by an expert
group. Thereafter Section 8 provides for the examination of proposals for
land acquisition and SIA report by the Appropriate Government. Section
11 provides for the publication of preliminary notification and the powers
of the officers thereupon. Sub-Section (3) of Section 11 provides that the
notification under Sub-Section (1) of Section 11 shall contain a statement
on the nature of the public purpose involved and a summary of the SIA
report. Thereafter, Section 12 provides for a preliminary survey of land
and the power of officers to carry out the survey. Section 14 provides that
if preliminary notification under Section 11 is not issued within 12 months
from the date of appraisal of the SIA study report submitted by the expert
group under Section 7, then the such report shall be deemed to have
lapsed, and a fresh SIA study is required to be undertaken.
32. Section 15 provides for a hearing of the objections submitted by
interested persons. Sub-Section (2) of Section 15 provides that objection
under Sub-Section (1) shall be made to the Collector, and the Collector
would give the objector an opportunity of being heard and after hearing of
such objections and after making such further inquiry, if necessary, make
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a report in respect of the land which has been notified for acquisition.
33. In the present case, the notification under Section 4 for conducting
the SIA study and SIA report as contemplated under Section 6 of the Act
of 2013 regarding the said property is admittedly not published. Though
the Affidavit-in-Reply on behalf of the Respondents refers to a notification
under Section 4(1), admittedly, the said notification was not in respect of
the present acquisition proceedings. Mr Venegaonkar has placed on
record a report under Section 8 and submitted that the said report
contained a summary of the SIA report. Thus, he submitted that the
Petitioners were aware of the contents of the SIA report before they filed
objections under Section 15. He further submitted that Petitioners were
given a hearing on the objections filed under Section 15. Thus, according
to him, in such circumstances, non-publication of Section 4(1) notification
and non-publication of the SIA report is a technical lapse, and the same
will not vitiate the entire acquisition proceedings.
34. We have perused the copy of the report under Section 8 placed on
record at the time of further arguments. The said report does not contain
summary of the SIA report. It only contains the reason for land acquisition
and a brief reference to the observations and recommendations made by
Appraisal Committee. In our view, the procedures contemplated from the
stage of Section 4 are not empty formalities. Non-compliance with the
procedures prescribed prior to the stage of Section 15 will make the
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submission of objections by interested parties and hearing on such
objections meaningless.
35. Thus, there is a substance in the submissions made by Mr
Deshmukh that the acquisition proceedings are vitiated due to non-
compliance with the necessary provisions of the Act of 2013. The
objections raised by the Petitioners are twofold. Firstly, regarding the
hardships and prejudices caused to the Petitioners. Secondly, on the
suitability of the land proposed to be acquired. Considering the exhaustive
procedure prescribed for the SIA study contemplated under the Act of
2013, the nature of objections filed by the Petitioners relates to the
subjects for consideration in the SIA study as contemplated under Sub-
Sections (4) and (5) of Section 4. On perusal of the objections raised by
the Petitioners and the reasons assigned by the Collector for rejection of
the objections as recorded in the report under Section 15(2), we find
substance in the arguments made by Mr Deshmukh that the objections
raised by the Petitioners are not taken into consideration.
36. Mr Venegaonkar pointed out that the hearing for the SIA study was
conducted on 24th May 2021, and the Petitioner's son-in-law remained
present during the hearing before the learned Collector. He pointed out
that after the publication of the notification under Section 11, Petitioners
were given a hearing on 18 th January 2022. Thereafter a report was
submitted under Section 15 on 4th February 2022. It is necessary to
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mention here that on 7th January 2021, during the hearing of Writ Petition
Stamp No. 94689 of 2020 (filed for challenging the earlier notifications
under Sections 11, report under Section 15 and declaration under 19
issued regarding the said property), the Respondents had made a
statement that acquisition proceedings with respect to said property was
dropped and fresh acquisition proceedings were initiated. A perusal of the
notification dated 24th November 2020 shows that only the notification
dated 15th February 2019 under Section 4 is withdrawn. It is pertinent to
note that admittedly this notification dated 15 th February 2019 did not
mention the said property, and this notification did not pertain to the
present acquisition proceedings.
37. Thus, as per the statement made on 7th January 2021, if acquisition
proceedings in respect of the said property were withdrawn and fresh
acquisition proceedings were initiated, the same was required to be
initiated from the stage of Section 4 by withdrawing all the earlier
notifications. However, the Respondents have not done so and have
bypassed the mandatory stage for preparation of the SIA as contemplated
under Section 4 and publication of the SIA report as contemplated under
Section 6. A plain reading of Section 15 shows that the purpose of
hearing objections is to consider the objections filed by interested persons
based on Section 11 notification. Section 11 mandates that the
notification shall contain summary of SIA report. Section 15 reads as
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under:
"15. Hearing of objections.--(1) Any person interested in any land which
has been notified under sub-section (1) of Section 11, as being required
or likely to be required for a public purpose, may within sixty days from
the date of the publication of the preliminary notification, object to--
(a) the area and suitability of land proposed to be acquired;
(b) justification offered for public purpose;
(c) the findings of the Social Impact Assessment report.
(2) Every objection under sub-section (1) shall be made to the Collector in
writing, and the Collector shall give the objector an opportunity of being
heard in person or by any person authorised by him in this behalf or by an
Advocate and shall, after hearing all such objections and after making
such further inquiry, if any, as he thinks necessary, either make a report in
respect of the land which has been notified under sub-section (1) of
Section 11, or make different reports in respect of different parcels of
such land, to the appropriate Government, containing his
recommendations on the objections, together with the record of the
proceedings held by him along with a separate report giving therein the
approximate cost of land acquisition, particulars as to the number of
affected families likely to be resettled, for the decision of that
Government.
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(3) The decision of the appropriate Government on the objections made
under sub-section (2) shall be final."
emphasis applied
38. A perusal of Section 11 shows that the notification should contain a
summary of the SIA report. Publication of Section 11 notification precedes
the provisions for the SIA study. As per Section 9, the only exception for
the exemption from social impact assessment is the invocation of the
urgency clause under Section 40. In the present case, there is no such
urgency clause invoked. Thus, the procedure for acquisition is required to
be initiated from the stage of publication of notification under Section 4.
39. The learned counsel for the Respondents has relied upon the
decision of this Court in the case of Godrej & Boyce Manufacturing Co.
Ltd. The issue with respect to any irregularities in the procedure followed
by the concerned authorities in acquiring the land for the infrastructural
project is dealt with in the said case. This Court was dealing with the
irregularities, if any, in following the second part of Section 25 of the Act of
2013. This Court has taken the view that in the case of procedural
difficulties, if any, the same would, at the most, affect the quantum of
compensation and not the validity of acquisition. The observations made
by this Court, in the case of Godrej Boyce, are in the context of the facts
of that case where the Bullet Train Project is an Infrastructural and Public
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Project of national importance. Thus, the principles laid down by this
Court in the case of Godrej Boyce are not applicable to the facts of the
present case.
40. Mr Deshmukh has relied upon the decisions of the Hon'ble
Supreme Court in the case of Chairman, Indore Vikas Pradhikaran Vs
Pure Industrial Coke and Chemical Ltd.2, Gojer Brothers Pvt. Ltd. Vs
State of West Bengal3 and Hindustan Petroleum Corporation Ltd Vs
Darius Shapur Chenai 4.
41. The Hon'ble Supreme Court, in the case of Chairman, Indore Vikas
Pradhikaran, was dealing with the provisions of the Madhya Pradesh
Nagar Tatha Gram Nivesh Adhiniyam concerning the compulsory
acquisition of land required for the purpose connected with the matters in
the said Act. Mr Deshmukh has relied upon paragraphs 56 to 58 of the
said decision, which read as under:
"56. Property, while ceasing to be a fundamental right would, however, be given express recognition as a legal right, provisions being made that no person shall be deprived of his property save in accordance with law.
57. The Act being regulatory in nature as by reason thereof the right of an owner of property to use and develop stands restricted, requires strict construction. An owner of land ordinarily would be entitled to use or develop the same for any purpose unless there exists certain
2 (2007) 8 SCC 705 3 (2013) 16 SCC 660 4 (2005) 7 SCC 627
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regulation in a statute or statutory rules. Regulations contained in such statute must be interpreted in such a manner so as to least interfere with the right to property of the owner of such land. Restrictions are made in larger public interest. Such restrictions, indisputably must be reasonable ones. (See Balram Kumawat v. Union of India [(2003) 7 SCC 628] ; Krishi Utpadan Mandi Samiti v. Pilibhit Pantnagar Beej Ltd. [(2004) 1 SCC 391] and Union of India v. West Coast Paper Mills Ltd. [(2004) 2 SCC 747] ) The statutory scheme contemplates that a person and owner of land should not ordinarily be deprived from the user thereof by way of reservation or designation.
58. Expropriatory legislation, as is well-known, must be given a strict construction."
42. The Hon'ble Supreme Court, in the case of Gojer Brothers Pvt.
Ltd., was dealing with the challenge to the acquisition proceedings on the
ground of non-consideration of objections of the land owner and scope of
Section 5-A of the Land Acquisition Act 1894, regarding hearing of
objections. The Hon'ble Supreme Court, after referring to the catena of
Judgments on the scope of Section 5-A, has held in paragraphs 20 and
21 as under:
"20. If the report prepared by the Land Acquisition Collector is scrutinised in the light of the principles laid down in the aforementioned judgments, we do not find any difficulty in holding that the learned Single Judge and the Division Bench of the High Court committed serious error by approving the acquisition proceedings ignoring that the report was prepared in clear violation of mandate of Section 5-A and the State Government mechanically accepted the report leading to the issue of declaration issued under Section 6(1). In
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the original and supplementary objections filed by it, the appellant had claimed that the entire exercise of acquisition was vitiated due to mala fides and colourable exercise of power. The history of litigation between the parties was also cited by the appellant to substantiate its plea that the acquisition proceedings were initiated only after the management of the School lost legal battle up to this Court. It was also pleaded that the acquisition was meant to bypass the direction given by this Court to the management of the School to hand over the possession of the School. Unfortunately, the Land Acquisition Collector did not deal with any of the objections and summarily rejected the same as if compliance with Section 5-A(2) was an empty formality. The State Government also did not apply mind and mechanically approved the one-line recommendation made by the Land Acquisition Collector.
21. In our view, non-consideration of the objections filed under Section 5-A(1) has resulted in denial of effective opportunity of hearing to the appellant. The manner in which the Joint Secretary to the Government approved the recommendation made by the Land Acquisition Collector favouring acquisition of the property is reflective of total non- application of mind by the competent authority to the recommendation made by the Land Acquisition Collector and the report prepared by him."
emphasis applied
43. The Hon'ble Supreme Court, in the case of Hindustan Petroleum
Corporation Ltd, has also taken a similar view on the scope of Section 5-A
of the Land Acquisition Act 1894 and held in paragraphs 8, 9, 28 and 29
as under:
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"8. The conclusiveness contained in Section 6 of the Act indisputably is attached to a need as also to the purpose and in this regard ordinarily, the jurisdiction of the court is limited but it is equally true that when an opportunity of being heard has expressly been conferred by a statute, the same must scrupulously be complied with. For the said purpose, Sections 4, 5-A and 6 of the Act must be read conjointly. The court in a case, where there has been total non-compliance or substantial non-compliance with the provisions of Section 5-A of the Act, cannot fold its hands and refuse to grant a relief to the writ petitioner. Sub-section (3) of Section 6 of the Act renders a declaration to be a conclusive evidence. But when the decision-making process itself is in question, the power of judicial review can be exercised by the court in the event the order impugned suffers from well-known principles viz. illegality, irrationality and procedural impropriety. Moreover, when a statutory authority exercises such enormous power it must be done in a fair and reasonable manner.
9. It is trite that hearing given to a person must be an effective one and not a mere formality. Formation of opinion as regards the public purpose as also suitability thereof must be preceded by application of mind as regards consideration of relevant factors and rejection of irrelevant ones. The State in its decision-making process must not commit any misdirection in law. It is also not in dispute that Section 5- A of the Act confers a valuable important right and having regard to the provisions contained in Article 300-A of the Constitution it has been held to be akin to a fundamental right.
28. Although assignment of reasons is the part of principles of natural justice, necessity thereof may be taken away by a statute either expressly or by necessary implication. A declaration contained in a notification issued under Section 6 of the Act need not contain any reason but such a notification must precede the decision of the
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appropriate Government. When a decision is required to be taken after giving an opportunity of hearing to a person who may suffer civil or evil consequences by reason thereof, the same would mean an effective hearing.
29. The Act is an expropriatory legislation. This Court in State of M.P. v. Vishnu Prasad Sharma [(1966) 3 SCR 557 : AIR 1966 SC 1593] observed that in such a case the provisions of the statute should be strictly construed as it deprives a person of his land without consent. [See also Khub Chand v. State of Rajasthan [(1967) 1 SCR 120 : AIR 1967 SC 1074] and CCE v. Orient Fabrics (P) Ltd. [(2004) 1 SCC 597] ] There cannot, therefore, be any doubt that in a case of this nature due application of mind on the part of the statutory authority was imperative."
emphasis applied
44. Mr Venegaonkar has relied upon the decision of the Hon'ble
Supreme Court in the case of Ramniklal Bhutta Vs State of Maharashtra 5,
and submitted that the Courts have to weigh the public interest vis-à-vis
the private interest while exercising powers under Article 226 of the
Constitution of India. He submitted that even if this Court find that the
acquisition is vitiated on account of non-compliance with any statutory
requirement, quashing of the acquisition proceedings is not the only
remedy and that the Petitioners can be adequately compensated for the
damages or loss.
45. In the present case, the Petitioners have raised objections
5 (1997) SCC 134
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regarding procedural lapses committed by the Respondents and have
also challenged the acquisition proceedings on the ground of arbitrariness
by giving specific and cogent reasons. In our view, the powers of the
Court under Article 226 of the Constitution of India are discretionary, and
the Court can exercise the discretionary power in view of the fact that it
can be exercised in furtherance of the interests of justice. It is always
open to this Court to quash and set aside the acquisition proceedings on
the ground that the acquisition was vitiated on account of non-compliance
with mandatory requirements contemplated under the Act of 2013. The
procedural requirements contemplated under Chapter II of the Act of 2013
are exhaustive in nature and are contemplated with a specific purpose,
which has a direct bearing on the further procedure under Sections 11 to
15 of Chapter IV. Hence, the principles laid down by the Hon'ble Supreme
Court in the case of Ramniklal Bhutta are not applicable to the facts of
the present case.
46. We have already observed that the objections raised by the
Petitioners were related to the subjects of consideration prescribed under
Section 4 for the SIA study. Thus, the objections of the Petitioners would
have been a matter of consideration in the SIA study. A perusal of the
record shows that the procedure for the SIA study adopted by the
Respondents is not in compliance with the mandatory requirements
prescribed under the relevant provisions of the Act of 2013. There is no
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explanation given by Mr Venegaonkar on behalf of the Respondents for
the non-publication of notification under Section 4 and non-publication of
the SIA report under Section 6. It is contented by the Respondents that no
prejudice is caused to the Petitioners due to non-publication of notification
under Section 4 and non-publication of the SIA report under Section 6 as
the Petitioners were aware of the summary of the SIA report, as the report
under Section 8 contained the summary of the SIA report. There is no
merit in this submission for an obvious reason. A perusal of the report
under Section 8 shows that it does not contain any summary of the SIA
report. Even otherwise, any summary of the SIA report, if any, in the
report under Section 8 cannot be termed as due compliance with the
mandatory requirements of publication of the notification under Section 4
and publication of the SIA report as contemplated under Section 6.
47. The letter dated 9th December 2021 is relied upon by Mr.
Venegaonkar in support of his submission that the contract is already
executed for the commencement of work and the acquisition being for a
project of public importance any adverse order in this Petition will delay
the work of public importance. A perusal of the said letter and its date of
issuance shows that much before giving the so-called hearing on 18 th
January 2022, under Section 15, the Respondents had already awarded
the work contract. Such hurried action on the part of Respondents to
award the contract even before completing the acquisition proceedings
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shows that the public hearing and consideration of objections filed by the
Petitioners was done only as an eye wash to show that statutory
procedures were followed. The Respondents never intended to effectively
follow the statutory procedures for completing the acquisition proceedings
as contemplated under the Act of 2013. Thus, in the facts of the present
case, the principles laid down by the Hon'ble Supreme Court in the cases
of Chairman, Indore Vikas Pradhikaran, Gojer Brothers Pvt. Ltd. and
Hindustan Petroleum Corporation Ltd., squarely apply to the facts of the
present case.
48. At this stage, we find it necessary to refer to the well-established
principle that if a statute requires a thing to be done in a particular
manner, it should be done in that manner or not at all, Other methods of
performance are necessarily forbidden. This principle squarely applies to
the facts of the present case. This doctrine is applied in various cases
commencing from Taylor v. Taylor6 , Nazir Ahmad v. King Emperor 7, A.R.
Antulay v. Ramdas Sriniwas Nayak 8, upto Municipal Corpn. of Greater
Mumbai v. Abhilash Lal 9.
49. For the reasons recorded above, it is clear that the Respondents
have failed to follow the mandatory requirements for the acquisition of the
6 (1876) 1 Ch D 426 7 1936 SCC OnLine PC 41 8 (1984) 2 SCC 500 9 (2020) 13 SCC 234
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said property, as contemplated under the various provisions of the Act of
2013, which has vitiated the entire acquisition proceedings. The aforesaid
facts and circumstances of the case also show that there is violation of
the principles of natural justice. In a case of compulsory acquisition where
the Petitioners are deprived of their valuable property, they are entitled to
the opportunity of due hearing as contemplated under the various
provisions of the Act of 2013. The Act of 2013 is a complete code in itself.
Therefore, the acquisition process begins from the stage of publication of
Section 4 notification. Sections 4 and 6 show that public participation, as
well as the participation of local bodies, is expected before the
appropriate Government takes a decision for the acquisition of a particular
land. The stage under Sections 7 and 8 is also crucial, where a
Government is expected to apply mind if the acquisition is required after
taking into consideration the SIA report. Non-compliance with the
mandatory procedures prior to the stage of the decision of the
Government to acquire a particular land would vitiate the entire
acquisition process. The object of the mandatory procedures prescribed
under the provisions of the Act of 2013 ensures that the property of a
citizen is not taken away without proper inquiry. There are various
safeguards provided at various stages. Transparency is expected at every
stage.
50. In the present case, the very process of preparation of the SIA
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report is illegal, and the very object of Sections 4 and 6 is defeated. Public
at large was not put to notice about the SIA study and the SIA report.
Thus, the process of filing objections and the opportunity of giving a
hearing was rendered meaningless. Thus, in our view, this is a fit case to
exercise our discretionary powers under Article 226 of the Constitution of
India. Thus, we are inclined to accept the submissions made on behalf of
the Petitioners.
51. Hence, we pass the following order.
(I) Writ Petition is allowed in terms of prayer (b) and (b)(i), which
reads thus:
(b) By grant of appropriate writ, order or direction, this
Hon'ble Court may be pleased to quash and set aside
following notifications -
a. Preliminary Notification No. 3/56/2019/LND-ACQ/2018-
19/5417 dated 17.11.2021 (Under Section 11 of the Act).
b. Preliminary Notification No. 3/56/2019/LND-ACQ/2018-
19/5419 dated 17.11.2021 (Under Section 11 of the Act).
c. Declaration dated 14.02.2022 bearing No. 3/93/LND-
ACQ/2020-21/927 (under Section 19 of the Act).
d. Declaration dated 14.02.2022 bearing No. 3/93/LND-
ACQ/2020-21/928.
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and further be pleased to quash and set aside entire land
acquisition proceedings so undertaken subsequent to
these notification;
(b)(i) This Hon'ble Court may kindly be pleased to quash
and set-aside impugned award bearing no. 3/93/LND-
ACQ/2020-21/1917 and award bearing no. 3/93/LND-
ACQ/2020-21/1918 both dated 25/04/2022 issued by
Respondent.
(II) Respondents are at liberty to adopt appropriate proceedings for the
purpose of acquiring the said property as reflected in the impugned
Awards by following due procedure of law under the Act of 2013.
(III) Respondents will be at liberty to file appropriate Application for
withdrawal of the amount which is deposited before the Competent
Authority.
(IV) Rule is made absolute in the above terms. There will be no order
as to costs.
(GAURI GODSE, J.) (R. D. DHANUKA, J.)
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