N.Chandri vs State Of Kerala
2021 Latest Caselaw 1990 Ker

               IN THE HIGH COURT OF KERALA AT ERNAKULAM

                               PRESENT

           THE HONOURABLE MR. JUSTICE ANIL K.NARENDRAN

    TUESDAY, THE 19TH DAY OF JANUARY 2021 / 29TH POUSHA, 1942

                     W.P.(C) No.29218 OF 2020(B)

PETITIONERS:

      1        N.CHANDRI,
               AGED 72 YEARS,
               DEVI BHAVAN,
               THALIKKAVBU, KANNUR-670 001.

      2        K.ANUP,
               AGED 56 YEARS,
               DEVI BHAVAN,
               THALIKKAVU, KANNUR-670 001.

      3        K.SHEARISH,
               AGED 50 YEARS,
               SAISREE,
               NEAR S.N. PARK, KANNUR-670 001.

      4        K.MEARISH,
               AGED 52 YEARS,
               SREERUDRAM,
               NEAR LALITHA MOTORS, KANNUR-670 002.

      5        JULLA PRANEEL,
               AGED 54 YEARS,
               KIRTHI BUNHALAVE,
               NEAR AGRASEN CHOWK, AGARWAL NAGAR,
               DHULE, MAHARASHTRA-424 004
               REPRESENTED BY POWER OR ATTORNEY HOLDER
               N.CHANDRI, DEVI BHAVAN,
               THALIKKAVU, KANNUR-670 001.

               BY ADV. SRI.BASANT BALAJI

RESPONDENTS:

      1        STATE OF KERALA
               REPRESENTED BY THE SECRETARY TO GOVERNMENT,
               REVENUE DEPARTMENT,
               GOVERNMENT SECRETARIAT,
               THIRUVANANTHAPURAM-695 001.

      2        THE DISTRICT COLLECTOR,
               COLLECTORATE, KANNUR-670 002.
 W.P.(C) No.29218 OF 2020(B)
                                -2-

       3       THE SPECIAL TAHSILDAR,
               LA GENERAL,
               OFFICE OF THE SPECIAL TAHSILDAR,
               3RD FLOOR, MINI CIVIL STATION,
               THALASSERY-670 101.

       4       THE STATE BANK OF INDIA,
               SME BRANCH, KANNUR,
               FIRST FLOOR, SBI BUILDING,
               FORT ROAD, KANNUR-670 001
               REPRESENTED BY ITS BRANCH MANAGER.

       R4      BY ADV. SMT.BINDUMOL JOSEPH
       R4      BY ADV. SRI.B.S.SYAMANTHAK

               SRI.K.V.SOHAN, STATE ATTORNEY

     THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION
ON 19.01.2021, THE COURT ON THE SAME DAY DELIVERED THE
FOLLOWING:
 W.P.(C) No.29218 OF 2020(B)
                                 -3-


                              JUDGMENT

The petitioners, who are co-owners of 532.98 Ares of land in

Re.Sy. Nos.2/1, 4/1 and 4/2 of Pinarayi Village, have filed this writ

petition under Article 226 of the Constitution of India, seeking a

writ of mandamus commanding respondents 2 and 3 to pass final

award incorporating the 4th respondent also as an interested party

in the land acquisition proceedings and to transfer the entire

amount of compensation to the loan account of the petitioners

with the 4th respondent, within a time limit to be fixed by this

Court. The petitioner has also sought for a writ of mandamus

commanding the 4th respondent to handover the original title

deeds of the property of the petitioners, having an extent of

532.98 Ares of land in Re.Sy.Nos.2/1, 4/1 and 4/2 of Pinarayi

Village, so as to enable the 3 rd respondent to pass final award in

respect of the property under acquisition.

2. On 29.12.2020, when this writ petition came up for

admission, the learned Government Pleader and also the learned

Standing Counsel for the 4th respondent Bank sought time to get

instructions.

3. On 06.01.2021, when this writ petition came up for

consideration, the learned Standing Counsel for the 4 th respondent W.P.(C) No.29218 OF 2020(B)

Bank sought time to get instructions as to whether the Bank is

prepared to produce the original title deeds of the property before

the 3rd respondent Land Acquisition Officer, on the said respondent

issuing appropriate proceedings for the deposit of the entire

compensation, with the Bank.

4. On 12.01.2021, the learned State Attorney submitted

that based on the instructions already received, a statement on

behalf of the 3rd respondent Special Tahsildar will be placed on

record by 19.01.2021. The learned State Attorney has also

submitted that, in the meantime, the award amount shall not be

deposited in Court.

5. Along with a memo filed by the learned State Attorney,

a statement dated 13.01.2021 of the 3 rd respondent Special

Tahsildar is placed on record, wherein it is stated that the

Government vide G.O.(Rt) No.3959/2020/RD dated 25.12.2020

accorded advance sanction under sub-rule (2) of Rule 27 of the

Right to Fair Compensation and Transparency in Land Acquisition,

Rehabilitation and Resettlement (Kerala) Rules, 2015 to pass the

award, since the award amount exceeds to Rs.20 crores.

Accordingly, the 2nd respondent District Collector, vide proceedings

No.C6-830/18/DCKNR dated 26.12.2020, approved the award of W.P.(C) No.29218 OF 2020(B)

compensation. In view of the pendency of this writ petition, the

award amount has not been deposited in the Additional District

and Sessions Court, Thalassery. In the statement, the 3 rd

respondent has stated that the entire compensation amount can

be deposited in the State Bank of India, SME Branch, Kannur, on

the request and consent of the petitioner, only on releasing the

original title deeds to the 3rd respondent.

6. The 4th respondent Bank has filed a statement dated

18.01.2021, wherein it is stated that the petitioners are

maintaining joint account No.39940383074 with SME Branch,

Kannur and the 3rd respondent may be directed to transfer the

award amount to the said account. The Bank can mark a lien on

the due amount in connection with the loans/credit facilities

availed by the borrower, namely, M/s.Sreechand Speciality Hospital

(P) Ltd., as on the date of transfer of the amount, and if the

petitioners wish to discharge their liability in respect of the loans,

then the Bank can transfer the amount from the above account to

the respective loan accounts. In the statement, it is stated that the

acquired property is not mortgaged for any other loan granted by

the 4th respondent, except the loans/credit facilities availed by

M/s.Sreechand Speciality Hospital (P) Ltd., referred to in W.P.(C) No.29218 OF 2020(B)

paragraph 3 of the statement. On receipt of the award amount,

the Bank will produce the original title deeds before the authority

concerned, within two working days.

7. Heard the learned counsel for the petitioner, the learned

State Attorney for respondents 1 to 3 and also the learned

Standing Counsel for the 4th respondent Bank.

8. Section 77 of the Right to Fare Compensation and

Transparency in Land Acquisition, Rehabilitation and Resettlement

Act, 2013 deals with payment of compensation or deposit of same

in Authority. As per sub-section (1) of Section 77, on making an

award under Section 30, the Collector shall tender payment of

compensation awarded by him to the persons interested entitled

thereto according to the award and shall pay it to them by

depositing the amount into their Bank accounts unless prevented

by some one or more of the contingencies mentioned in sub-

section (2). As per sub-section (2) of Section 77, if the person

entitled to compensation shall not consent to receive it or if there

be no person competent to alienate the land, or if there be any

dispute as to the title to receive the compensation or as to the

apportionment of it, the Collector shall deposit the amount of the

compensation in the Authority to which a reference under Section W.P.(C) No.29218 OF 2020(B)

64 would be submitted. As per the first proviso to sub-section (2),

any person admitted to be interested may receive such payment

under protest as to the sufficiency of the amount. As per the

second proviso to sub-section (2), no person who has received the

amount otherwise than under protest shall not be entitled to make

an application under sub-section (1) of Section 64. As per the third

proviso to sub-section (2), nothing contained in sub-section (2)

shall affect the liability of any person who may receive the whole

or any part of the compensation awarded under this Act, to pay

the same to the person lawfully entitled thereto.

9. In the instant case, the property included in Ext.P4 draft

award passed by the 3rd respondent Special Tahasildar is

mortgaged to the State Bank of India, SME Branch, Kannur. As per

Ext.P4 draft award, the total compensation payable comes to

Rs.40,51,09,366/-. As per Ext.P7 letter dated 18.12.2020 of the

4th respondent Bank, addressed to the 3rd respondent Special

Tahasildar, the total amount outstanding as on 18.12.2020 comes

to Rs.24,84,68,331/-. By Ext.P5 letter dated 09.12.2020, the 2 nd

respondent District Collector sought advance sanction under sub-

rule (2) of Rule 27 of the Right to Fare Compensation and

Transparency in Land Acquisition, Rehabilitation and Resettlement W.P.(C) No.29218 OF 2020(B)

(Kerala), Rules, 2015 for advance sanction to pass award, since

the award amount exceeds to Rs.20,00,00,000/- and the

Government vide order dated 25.12.2020 accorded advance

sanction. Accordingly, the 2nd respondent vide proceeding dated

26.12.2020 approved the award of compensation.

10. The 4th respondent Bank made Ext.P7 request dated

18.12.2020 before the 3rd respondent for disbursing part of the

award amount to discharge the liability due towards the Bank. The

petitioners have filed Ext.P8 request dated 21.12.2020 before the

3rd respondent expressing their no-objection in transferring the

entire amount to the 4th respondent Bank. In Ext.P8, the

petitioners have also stated that they are prepared to give any

undertaking, as directed by the 3 rd respondent, for transferring the

award amount to the 4th respondent Bank. Ext.P7 request made by

the 4th respondent Bank and Ext.P8 request made by the

petitioners are now pending consideration before the 3 rd

respondent. Therefore, the 3rd respondent has to take appropriate

decision on those requests and pass final award, taking note of the

provisions under Section 77 of Right to Fare Compensation and

Transparency in Land Acquisition, Rehabilitation and Resettlement

Act.

W.P.(C) No.29218 OF 2020(B)

11. In such circumstances, this writ petition is disposed of

by directing the 3rd respondent to take an appropriate decision on

the request made by the petitioners in Ext.P8 and that of the 4 th

respondent Bank in Ext.P7 and pass final award, with notice to the

petitioners and also the Branch Manager of the 4th respondent

Bank, taking note of the provisions under Section 77 of Right to

Fare Compensation and Transparency in Land Acquisition,

Rehabilitation and Resettlement Act, as expeditiously as possible,

at any rate, within a period of ten days from the date of receipt of

a certified copy of this judgment.

No order as to cost.

Sd/-

ANIL K. NARENDRAN JUDGE bpr W.P.(C) No.29218 OF 2020(B)

APPENDIX PETITIONERS' EXHIBITS:

EXHIBIT P1 TRUE COPY OF THE NOTICE NO.K2027/18 DATED 23.10.2020 OF THE 3RD RESPONDENT.

EXHIBIT P2 TRUE COPY OF THE COVERING LETTER DATED 23.11.2020 SENT BY THE PETITIONERS TO THE 3RD RESPONDENT.

EXHIBIT P3 TRUE COPY OF THE CLAIM STATEMENT DATED 07.12.2020 SENT BY THE PETITIONERS TO THE 3RD RESPONDENT.

EXHIBIT P4 TRUE COPY OF THE DRAFT AWARD NO.04/2020 IN FORM NO.12.

EXHIBIT P5 TRUE COPY OF THE LETTER DTED 09.12.2020 SENT BY THE 2ND RESPONDENT TO THE 1ST RESPONDENT OBTAINED UNDER THE RIGHT TO INFORMATION ACT.

EXHIBIT P6 TRUE COPY OF THE LETTER DATED 16.12.2020 SENT BY THE 4TH PETITIONER TO THE 4TH RESPONDENT.

EXHIBIT P7 TRUE COPY OF THE LETTER DATED 18.12.2020 SENT BY THE 4TH RESPONDENT TO THE 3RD RESPONDENT.

EXHIBIT P8 TRUE COPY OF THE LETTER DATED 21.12.2020 SENT BY THE PETITIONERS TO THE 3RD RESPONDENT.

RESPONDENTS' EXHIBITS: NIL