Gujarat High Court
General Manager, Mehsana Project vs Special Land Acquisition Officer on 2 July, 2025
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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
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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
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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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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
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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
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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
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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
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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
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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
