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R.Elangovan Rep.By vs The State Of Tamilnadu Rep
2025 Latest Caselaw 4412 Mad

Citation : 2025 Latest Caselaw 4412 Mad
Judgement Date : 26 March, 2025

Madras High Court

R.Elangovan Rep.By vs The State Of Tamilnadu Rep on 26 March, 2025

Author: N.Anand Venkatesh
Bench: N.Anand Venkatesh
    2025:MHC:878



                                                                                      WP.No.7423 of 1986
                                                                                          etc. cases



                                     In the High Court of Judicature at Madras

                                        Reserved on :              Delivered on :
                                          26.3.2025                  03.04.2025




                                                           Coram :

                                  The Honourable Mr.Justice N.ANAND VENKATESH

                                   Writ Petition Nos.7423, 7424 & 8171 of 1986
                                                  & 16510 of 1990


                     R.Elangovan rep.by
                     power of attorney agent
                     K.Ramaranganathan.                                               ...Petitioner in
                                                                                      WP.No.7423 of
                                                                                      1986

                     Parthiban rep.by power of
                     attorney agent Mrs.Saradamani                                    ...Petitioner in
                                                                                      WP.No.7424 of
                                                                                      1986

                     1.L.Bakthavatsal (died)
                     2.L.Jaganathan (died)
                     3.L.Venkatapathi (died)
                     4.Tmt.Manickammal (died)                                         ...P1 to P4 in
                                                                                      WP.No.8171 of
                                                                                      1986

                     5.Vasundra
                     6.B.Vijay Venkatasamy
                     7.B.Lakshmi Narayanan

                        (brought on record as the legal heirs


                     1/53




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                                                                                    WP.No.7423 of 1986
                                                                                        etc. cases



                        of deceased P1 - Mr.L.Bakthavatsal
                        in WP.No.8171 of 1986 vide this order)                      ...P5 to P7 in
                                                                                    WP.No.8171 of
                                                                                    1986

                     8.Mrs.Geethalakshmi
                     9.Mr.Thulasidharan
                     10.Mrs.Yashodha
                     11.Mrs.Kiruthika

                        (brought on record as the legal heirs
                        of deceased P2 - Mr.L.Jaganathan
                        in WP.No.8171 of 1986 vide this order)                      ...P8 to P11 in
                                                                                    WP.No.8171 of
                                                                                    1986

                     12.Mrs.V.Vasanthamani
                     13.Mr.V.Rajkumar
                     14.Mr.V.Muralidharan

                        (brought on record as the legal heirs
                        of deceased P3 - Mr.L.Venkatapathi
                        in WP.No.8171 of 1986 vide this order)                      ...P12 to P14 in
                                                                                    WP.No.8171 of
                                                                                    1986

                     15.Mrs.Santha
                     16.Mrs.Dheena
                     17.Mrs.Padamalochana
                     18.Mrs.Shakuntala

                        (brought on record as the
                        legal heirs of deceased P4 -
                        Tmt.Manickammal in
                        WP.No.8171 of 1986 vide
                        order dated 26.3.2025 in
                        WMP.No.10626 of 2025 by
                        NAVJ)                                                       ...P15 to P18 in
                                                                                    WP.No.8171 of

                     2/53




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                                                                                     WP.No.7423 of 1986
                                                                                         etc. cases



                                                                                     1986
                     1.G.K.Vijayakumar (deceased)
                     2.V.Rajeshwari
                     3.V.Rajagopal
                     4.Arthi Anand
                     5.Tharini Vijayakumar

                        (P2 to P5 were substituted as the
                        legal heirs of the deceased 1st
                        petitioner as per order dated
                        21.12.2024 in WMP.No.38115
                        of 2024 by PTAJ)                                             ...Petitioners in
                                                                                     WP.No.16510 of
                                                                                     1990
                                                              Vs

                     1.The State of Tamilnadu rep.
                       by its Commissioner & Secretary
                       to Government, Housing and Urban
                       Development Department,
                       Fort St.George, Madras-9.

                     2.The Special Tahsildar (Land
                       Acquisition), Housing Scheme II,
                       Collectorate, Coimbatore-18.                                  ...R1 & R2 in
                                                                                     all the WPs

                     3.The Tamilnadu Housing Board
                       rep.by its Administrative Officer,
                       Coimbatore Housing Unit, Coimbatore.                          ...R3 in WP.Nos.
                                                                                     7423, 7424 &
                                                                                     8171 of 1986
                     4.Lakshmi Card Clothing Manufacturing
                       Company Pvt Ltd. rep by its Joint
                       Managing Director, Kuppusamynaidupuram,
                       Palladam Taluk, Coimbatore.

                        (R4 impleaded vide court order dated
                        16.11.2018 in both WPMP.Nos.105

                     3/53




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                                                                                            WP.No.7423 of 1986
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                        & 106 of 2015 respectively in both
                        WP.Nos.7423 & 7424 of 1986 by RMDJ)                                 ...R4 in WP.Nos.
                                                                                            7423 & 7424 of
                                                                                            1986

                     5.V.N.A.S.Chandran
                     6.C.Selvarani
                     7.Subashini
                     8.Sreedharan

                        R4 to R6 rep.by their power agent
                        - R3 - Mr.V.N.A.S.Chandran

                        (R3 to R6 impleaded as per order
                        dated 05.11.2024 in WMP.No.
                        17764 of 2016 by PTAJ)                                              ...R3 to R6 in
                                                                                            WP.No.16510 of
                                                                                            1990

                     9.The Joint Director of Town
                       & Country Planning Office,
                       I & II Floor, No.50, FCI Road,
                       Gandhimaanagar, Ganapathy,
                       Coimbatore-641004.

                        (suo motu impleaded as a party
                        respondent in all the above WPs
                        vide order dated 26.2.2025
                        by NAVJ)                                                            ...Respondent
                                                                                            in all the WPs


                                  PETITIONS under Article 226 of The Constitution of India praying

                     for the issuance of

                                  (i) a Writ of Certiorarified Mandamus to call for the records of the

                     1st respondent in G.O.Ms.No.905 Housing and Urban Development

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                                                                                            WP.No.7423 of 1986
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                     dated 23.6.1986, quash the said proceedings dated 23.6.1986 and

                     consequently direct the exclusion of the lands of the petitioner from

                     Uppilipalayam Housing Scheme Phase-IV in 55, Uppilipalayam Village

                     Coimbatore Taluk Coimbatore District (WP.Nos.7423 & 7424 of 1986);

                                  (ii) a Writ of Certiorarified Mandamus to call for the records of

                     the 1st respondent in G.O.Ms.No.905 Housing and Urban Development

                     dated 23.6.1986, quash the said proceedings dated 23.6.1986 and

                     consequently direct the respondents the exclusion of the lands of the

                     petitioners from Uppilipalayam Integrated Urban Development Project

                     Scheme, Upplipalayam Village, Coimbatore Taluk, Coimbatore District

                     (WP.No.8171 of 1986) and

                                  (iii) a Writ of Certiorari to call for the records of the 1st

                     respondent G.O.Ms.No.196 Housing and Urban Development dated

                     02.3.1988 Notification under Section 4(1) of the Land Acquisition Act

                     and G.O.Ms.No.287 Housing and Urban Development dated 23.3.1989

                     Declaration under Section 6 of the Land Acquisition Act and quash the

                     same (WP.No.16510 of 1990).



                                  For Petitioners in both
                                  WP.Nos.7423 & 7424
                                  of 1986                              :         Mr.N.Chandrasekharan

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                                                                                              WP.No.7423 of 1986
                                                                                                  etc. cases



                                  all the four petitioners in
                                  WP.No.8171 of 1986 died

                               For newly impleaded P5 to P7
                              in WP.No.8171 of 1986;

                                  For newly impleaded P8 to P11
                                  in WP.No.8171 of 1986; &

                                  For newly impleaded P15 to P18
                                  in WP.No.8171 of 1986       :                   Mr.T.R.Rajagopalan, SC
                                                                                  for Ms.P.Veena Suresh

                                  For newly impleaded P12
                                  in WP.No.8171 of 1986                 :         Mr.V.Raghavachari, SC for
                                                                                  M/s.ARK Law Associates
                                                                                  Advaidh Nela Kanttan
                                                                                  Sahaana Srivatsan

                                  For newly impleaded P13
                                  in WP.No.8171 of 1986                 :         Mr.P.H.Aravind Pandian, SC
                                                                                  Mr.S.V.Pravin Rathinam

                                  For newly impleaded P14
                                  in WP.No.8171 of 1986                 :         Mr.V.Karthik, SC for
                                                                                  M/s.B.Ravi Raja

                                  For P2 to P5 in
                                  WP.No.16510 of 1990
                                                                        :         Mr.P.R.Ramakrishnan, for
                                                                                  Ms.P.Veena Suresh


                                  For State                             :         Mr.A.Selvendran, SGP

                                  For Housing Board                     :         Mr.P.Kumaresan, AAG
                                                                                  assisted by Mr.V.Gunasekar,
                                                                                  Standing Counsel


                     6/53




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                                                                                                     WP.No.7423 of 1986
                                                                                                         etc. cases



                                  For R4 in both WP.Nos.
                                  7423 & 7424 of 1986
                                                                        :         Mr.V.Sanjeevi


                                  For R3 to R6 in WP.No.
                                  16510 of 1990                         :         Mr.J.Sivanandaraaj, SC for
                                                                                  Mr.Roshan Balasubramanian


                                                           COMMON ORDER

These writ petitions have been filed assailing the Notification

issued under Section 4(1) of the Land Acquisition Act, 1894

(hereinafter referred to as the Old Act) dated 02.3.1988 and the

Declarations under Section 6 of the Old Act dated 23.6.1986 and

23.3.1989 and seeking for a consequential direction for the exclusion

of the lands belonging to the respective writ petitioner from

Sowripalayam and Uppilipalayam Integrated Urban Development

Project Scheme.

2. The properties that are covered in these writ petitions are

situated at Sowripalayam and Uppilipalayam Villages. They were

acquired for Uppilipalayam Neighbourhood Scheme through a

Notification under Section 4(1) of the Old Act in G.O.Ms.No.196 dated

02.3.1988 measuring 43.19 acres at Sowripalayam Village. Similarly, a

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Notification under Section 4(1) of the Old Act was issued in

G.O.Ms.No.534 dated 28.5.1985 measuring 36.79 acres at

Uppilipalayam Village. Pursuant to that, after completing the

formalities, an enquiry under Section 5A of the Old Act was conducted

by the Land Acquisition Officer, in which, all the land owners raised

their objections for the acquisition of lands.

3. Thereafter, the objections of the land owners were

communicated to the Requisitioning Body, which recommended to

reject those objections. On considering the objections raised, the

Government overruled the same and the draft Declarations under

Section 6 of the Old Act were approved (i) in G.O.Ms.NO.287 dated

23.3.1989 in so far as Sowripalayam Village is concerned and (ii) in

G.O.Ms.No.905 dated 23.6.1986 in so far as Uppilipalayam Village is

concerned. The same were published in the Gazette and the substance

of the Declarations was also published in the newspapers. On

completion of the formalities, the draft Notification under Section 7 of

the Old Act was approved by the Collector through proceedings (i)

dated 02.6.1989 for Sowripalayam Village and (ii) dated 19.3.1987 for

Uppilipalayam Village.

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4. Thereafter, notices were issued under Sections 9(3) and 10 of

the Old Act to all the persons interested and an award enquiry under

Section 11 of the Old Act was conducted by the Land Acquisition

Officer. After completion of the award enquiry, the award was

pronounced vide (i) award No.1 of 1991 dated 22.3.1991 for

Sowripalayam Village and (ii) award No.1 of 1989 dated 23.5.1989 for

Uppilipalayam Village.

5. Pursuant to that, writ petitions were filed challenging the

acquisition proceedings and interim orders were granted safeguarding

dispossession of the land owners.

6. A batch of writ petitions came up for hearing and in W.P.No.

3693 of 1989 etc. cases dated 08.10.1991, the Notification under

Section 4(1) of the Old Act was quashed on the ground that it suffered

from vagueness. Pursuant to the said order, W.P.Nos.7423, 7424 and

8171 of 1986 along with other connected cases came up for hearing

on 22.10.1991 and by relying upon the earlier order, the acquisition

proceedings were quashed. Later, W.P.Nos.16510 and 16511 of 1990

came up for hearing and following the earlier orders, the acquisition

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proceedings were quashed by order dated 26.11.1991. Thus, the

acquisition proceedings that were put to challenge in these writ

petitions were quashed in the year 1991.

7. After the writ petitions were allowed, Mr.G.K.Vijayakumar -

the original petitioner in W.P.No.16510 of 1990 sold the lands in

favour of respondents 3 to 6 therein through the sale deeds executed

on 27.1.1994.

8. Aggrieved by the orders passed in the above writ petitions

and other writ petitions, the Tamil Nadu Housing Board (TNHB) filed

W.A.No.1568 of 1994 etc. cases. The said batch of writ appeals came

up for hearing before the Hon'ble First Bench of this Court on

12.1.2015, on which date, they were disposed of by a common

judgment by remitting the matters back to the Writ Court with the

following directions :

"9. Thus, while allowing the writ appeals, we remit the matter back to the learned Single Judge with the following directions :

1. Learned counsels for the private respondents are granted three weeks time to urge

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additional grounds as prayed for.

2. Counter affidavit by the appellant/ Government Department will be filed within two weeks thereafter.

3. The respondents are at liberty to raise all the grounds as are available to them arising from the factual and legal situation post passing the impugned order.

4. The appellants will also administratively examine the plea raised before us by the learned counsel for the private respondents/land owners that on account of subsequent developments and the ground reality of adjacent land, it is impracticable today to utilize the land of the respondents before us and as to whether the appellants really now want to acquire the lands.

Such examination will take place within three weeks of the communication of the order.

5. All the writ petitions will be listed for directions/hearing on 04.3.2015 and it is for the learned Single Judge to take up the matters for final hearing on that day or any other convenient day at the earliest, which the learned Judge finds feasible.

6. In view of the age of the matters and the requirement of expeditious disposal, these matters be placed before R.Mahadevan,J on the said date.

7. The interim orders operating in favour of

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the respondents during the pendency of the writ petitions would stand revived and would continue till the disposal of the writ petitions."

9. Pursuant to the said common judgment of the Hon'ble First

Bench of this Court dated 12.1.2015, the matters were listed for final

hearing before this Court.

10. Mr.T.R.Rajagopalan, learned Senior Counsel appearing on

behalf of the legal heirs of deceased petitioners 1, 2 & 4 in W.P.No.

8171 of 1986 made the following submissions :

(a) Petitioners 1 and 3 in W.P.No.8171 of 1986 namely

Mr.L.Bakthavatsal and Mr.L.Venkatapathi died during the pendency of

the relevant writ appeal and M.P.No.42 and 43 of 2010 in W.A.No.

1324 of 1995 were filed to impead their respective legal heirs. The

second petitioner in W.P.No.8171 of 1986 namely Mr.L.Jaganathan

also died during the pendency of the relevant writ appeal and it was

recorded while allowing the said miscellaneous petitions by common

order dated 12.1.2015 subject to payment of Rs.5,000/- each towards

costs to the legal heirs by the State within three weeks. But, this

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conditional order was not complied with and a memo was filed in this

regard. Since the said miscellaneous petitions and W.A.Nos.1568 of

1994 etc. cases were disposed of on the same day, but by two

separate orders, the names of the legal heirs were erroneously

recorded in the final common judgment passed in the said batch of

writ appeals without ascertaining as to whether the cost was paid as

was directed by the First Bench of this Court by way of a separate

order.

(b) Since the cost was not paid and the condition has not been

complied with, W.A.No.1324 of 1995 stood abated and consequently,

W.P.No.8171 of 1986, which was earlier allowed, will revive and the

order passed thereon will be binding on the official respondents. The

First Bench, while disposing of the writ appeals on 12.1.2015, gave a

specific direction in paragraph 9 of the common judgment directing the

TNHB to come up with a specific stand as to whether they really

wanted to utilize the lands considering the various subsequent

developments that had taken place. But, till date, no such stand has

been taken by the TNHB and this direction also has not been complied

with.

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(c) The TNHB had taken a specific stand before the Hon'ble Apex

Court in the appeals filed by the land owners in S.L.P.(Civil) Nos.

13927 & 13928 of 1996 dated 27.9.2001 by filing an affidavit to

the effect that out of 455.08 acres, only 31.84 acres were taken

possession and utilized, that there was no land available to implement

the integrated scheme and that in spite of the same, the Government

has not abandoned the scheme. A similar stand was also taken

through the communication dated 28.1.2003 sent by the Executive

Engineer, Special Division-II, TNHB to the Managing Director, TNHB,

Nandhanam, Chennai-35 recommending for dropping the entire

acquisition proceedings. This decision was taken since several buildings

including hospitals, school buildings with playground and multi storied

buildings were put up by getting proper sanction and the funds allotted

to the project were also lying as a dead capital. However, after having

acquired a large extent of land in both Sowripalayam and

Uppilipalayam Villages, the TNHB is not giving up the land acquisition

proceedings since the original object of having an integrated urban

development scheme has become unworkable.

(d) There is a reference to an errata dated 14.8.1985 and it is

not known as to what amendment was made to the Notification under

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Section 4(1) of the Old Act and no publication was made and it is not

even available in the records. No one knows as to whether this errata

is for merely carrying out some corrections or a material change was

made to the Notification under Section 4(1) of the Old Act, in which

case, the land owners should have been put on notice while inquiring

under Section 5A of the Old Act.

(e) Various objections were raised during the inquiry conducted

under Section 5A of the Old Act and none of the objections was

considered and they were mechanically rejected. On this ground alone,

the acquisition proceedings are liable to be quashed by this Court. To

substantiate this submission, he relied upon the judgment of the

Division Bench of this Court in the case of State of Tamil Nadu Vs.

Velayuthamudaliar [reported in 2024 (1) CTC 495].

(f) No counter was filed in W.P.No.8171 of 1986 right through.

The counter came to be filed only in January 2025 and for the first

time, a stand was taken to the effect that the compensation amount

was deposited in revenue deposit. However, no revenue deposit was

made and no possession was taken. Therefore, the proceedings itself

will lapse under Section 24(2) of the Right to Fair Compensation and

Transparency in Land Acquisition, Rehabilitation and Resettlement Act

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2013 (Central Act 30 of 2013) (for short, the 2013 Act). To

substantiate this submission, he relied upon a judgment rendered by

me in the case of M.Palanisamy Vs. State of Tamil Nadu

[reported in 2020 (7) MLJ 734].

(g) The publication was not properly effected in the local

newspapers and hence, both the Notification under Section 4(1) and

the Declaration under Section 6 of the Old Act stand vitiated. To

substantiate this submission, he relied upon the decision of the First

Bench of this Court in the case of Krishnan Vs. Government of

Tamil Nadu [reported in 2001 (4) CTC 108] and the decision of a

learned Single Judge of this Court in the case of Chinnayya Gounder

Vs. State rep. by the Secretary to Government of Tamil Nadu,

Housing & Urban Development Department [reported in 2003

(2) MLJ 481].

(h) As per the integrated scheme, the entire lands are required

as a compact block, without which, the scheme will not be complete.

However, the proceedings have been dropped in some cases and in

many other cases, the lands have been withdrawn from the acquisition

proceedings and this cannot be done in an arbitrary fashion since it will

violate Article 14 of The Constitution of India. To substantiate this

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submission, he relied upon a common order passed by a learned Single

Judge of this Court in the case of Kovai Medical Centre Research &

Educational Trust rep.by its Trustee & Others Vs. State rep. by

the Secretary to Government of Tamil Nadu, Housing & Urban

Development Department [W.P.Nos.16417 of 1998 etc. cases

dated 30.8.2010] and

(i) There is absolutely no material available to show that the

State Government permitted the TNHB to proceed with any other

alternative scheme, in the absence of which, the TNHB cannot utilize

the lands, which are lying scattered, for any other purpose other than

the purpose, for which, the acquisition was made by the State.

11. Mr.V.Karthik, learned Senior Counsel appearing on behalf of

the newly impleaded 14th petitioner in WP.No.8171 of 1986, apart

from adopting the arguments of Mr.T.R.Rajagopalan, learned Senior

Counsel, submitted that in none of the counter affidavits that were

earlier filed, there was any reference to payment of compensation,

that for the first time, such a stand had been taken in the counter that

was filed in January 2025, that there is no material to show that the

compensation was deposited in the revenue deposit, that as a

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consequence, the compensation had not been paid and the possession

had not been taken and that therefore, the entire acquisition

proceedings will stand lapsed.

12. Mr.P.H.Aravind Pandian, learned Senior Counsel appearing

on behalf of the newly impleaded 13th petitioner in W.P.No.8171 of

1986 adopted the arguments of Mr.T.R.Rajagopalan, learned Senior

Counsel.

13. Mr.V.Raghavachari, learned Senior Counsel appearing on

behalf of the newly impleaded 12th petitioner in W.P.No.8171 of 1986,

made the following submissions :

(a) There is a selective release of lands by the Government in an

integrated scheme and the TNHB, instead of carrying out the main

object behind the acquisition, is attempting to use the scattered lands

for a different purpose and the same is not sustainable. To

substantiate this submission, he relied upon the decision of the First

Bench of this Court in the case of Tamil Nadu Housing Board Vs.

Uma Maheswari Ramasamy [reported in 2011 (5) CTC 503].

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(b) Such discrimination will fall foul under Article 14 of The

Constitution of India. Once the scheme is not able to be implemented,

as is apparent from the stand taken by the TNHB in the affidavit filed

before this Court, the land acquisition proceedings will have to be

entirely given up and it cannot be done in a pick and choose manner.

To substantiate this submission, he relied upon the judgment of the

Hon'ble Apex Court in the case of State of Tamil Nadu Vs.

L.Krishnan [reported in 1996 (7) SCC 450].

(c) No new plan has been given for going ahead with a different

scheme till date in the available lands. The compensation amount has

not been paid and the possession has not been taken. Therefore, the

acquisition proceedings stand lapsed under Section 24(2) of the 2013

Act. To substantiate this submission, he relied upon the judgment of

the Division Bench of this Court in the case of N.Devanathan &

Others Vs. State of Tamil Nadu rep.by its Secretary to

Government, Chennai & Others [reported in 2023 (2) MLJ 277].

14. Mr.V.Sanjeevi, learned counsel appearing for the fourth

respondent in both WP.Nos.7423 & 7424 of 1986 made the following

submissions :

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(a) The respective writ petitioner namely Mr.R.Elangovan &

Mr.Parthiban were the original owners of the lands in Uppilipalayam

Village and the fourth respondent, through the registered sale deeds

dated 20.8.1993, purchased the lands measuring nearly acres 2.87

cents nearly after two years of allowing the writ petitions in 1991.

Subsequently, an extent of 7 cents of land was sold by the fourth

respondent in the year 2002 and the purchaser also constructed a

house in the said land.

(b) The writ appeals were filed with a substantial delay only in

the year 1994/1995 by the TNHB and in the meantime, the fourth

respondent purchased the property and their name got mutated in the

revenue records. Thereafter, the fourth respondent developed the

property by getting proper planning permission and the building plan

approval from the concerned Authorities and an apartment complex

was constructed consisting of six floors with 98 flats and all the 98

flats are occupied by the purchasers along with the undivided share.

(c) The property belonging to the fourth respondent falls in

Phase IV of Block No.4 in Uppilipalayam Village. In so far as Block No.1

is concerned, only an extent of acres 19.04 cents was taken over

possession, but it was not utilized. In Block No.2, out of acres 46.99

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cents, an extent of acres 12.05 cents has been excluded. Out of this,

for acres 12.03 cents, the proceedings were quashed and the

Government excluded these lands and the remaining area of acres

20.57 cents was allowed to lapse. In Block No.3, the entire lands have

been developed and no land has been taken over possession. In Block

No.4, an extent of acres 4.60 cents has been taken over possession

out of acres 61.82 cents. In so far as Block No.5 is concerned, no land

acquisition proceedings were initiated since the entire extent of land

has been developed.

(d) Thus, the object, with which, the acquisition proceedings

were initiated for an integrated scheme no longer subsists.

He also adopted the arguments of Mr.T.R.Rajagopalan, learned Senior

Counsel with respect to the other aspects of challenge.

15. Mr.P.R.Ramakrishnan, learned counsel appearing for

petitioners 2 to 5 in W.P.No.16510 of 1990, apart from adopting the

arguments of Mr.T.R.Rajagopalan, learned Senior Counsel, submitted

as follows :

(a) There are totally three blocks involved in Sowripalayam

Village, out of which, the lands in Blocks Nos.2 and 3 have already

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been dropped from the acquisition proceedings. What is available as on

date is only Block No.1 consisting of acres 43.91 cents and it is only

through this block, the access is available Block Nos.2 and 3. If Block

No.1 alone is subjected to acquisition, the lands in Block Nos.2 and 3

cannot be utilized.

(b) The inquiry under Section 5A of the Old Act was conducted in

a mechanical fashion and the objections were rejected and that itself is

a ground for interfering with the acquisition proceedings. There was an

order of stay of dispossession granted on 26.11.1991 whereas for the

first time, the TNHB has come up with the counter stating that

possession was taken over on 20.11.1991, which is six days prior to

the interim order granted by this Court.

(c) In the earlier counter affidavits, there was no whisper about

the possession being taken over by the TNHB. Apart from that, in the

reply that was filed in W.A.No.1568 of 1994, the TNHB took a very

specific stand that the scheme will be implemented only after taking

over possession of the land. Therefore, it is evident that no possession

was taken by the TNHB. The compensation amount also was not paid

and therefore, the the entire acquisition proceedings has lapsed under

Section 24(2) of the 2013 Act.

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(d) The stand taken at paragraph 22 of the counter affidavit, by

relying upon the judgment of the Hon'ble Supreme Court, will not

apply to the petitioners since that was a case where initially, the owner

had invoked Section 48B of the Old Act seeking for reconveyance and

later resorted to Section 24(2) of the 2013 Act. It was held that both

the stands cannot co-exist and that the Court did not go into the

question of deposit of compensation.

16. Mr.Sivanandaraaj, learned Senior Counsel appearing on

behalf of respondents 3 to 6 in W.P.No.16510 of 1990 made the

following submissions :

(a) The property was purchased only after the acquisition

proceedings were quashed in the year 1991. The objections that were

raised under Section 5A of the Old Act were not considered and they

were rejected in a mechanical fashion. The ground that was taken in

paragraph 3 of the affidavit filed in support of the writ petition and the

reply that was given in the counter affidavit at paragraph 7 would

show that the objections were not considered. Hence, the land

acquisition proceedings must be interfered on that ground alone. To

substantiate this submission, he relied upon the jugment of the

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Hon'ble Supreme Court in the case of Surender Singh Brar Vs.

Union of India [reported in 2013 (1) SCC 403].

(b) There is no parity while releasing the lands, which were the

subject matter of the same acquisition proceedings. The above writ

petitions were dealt along with W.P.No.16511 of 1990 whereas the

lands covered therein were released through G.O.Ms.No.179 dated

04.10.2024. If that is so, the lands covered in W.P.No.16510 of 1990

should also be released. To substantiate this submission, he relied

upon the decisions of the Hon'ble Supreme Court in the case of Hari

Ram Vs. State of Haryana [reported in 2010 (3) SCC 621] and in

the case of State of Haryana Vs. Niranjan Singh [reported in

2023 SCC OnLine SC 186].

17. Per contra, the learned Additional Advocate General

appearing on behalf of the TNHB made the following submissions :

(a) The objections that were raised during the enquiry under

Section 5A of the Old Act were properly considered and only

thereafter, they were overruled and the Declaration was published

under Section 6 of the Old Act. Subsequently, the award enquiry was

completed and the award was also pronounced and the notice was also

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served under Section 12(2) of the Old Act to the land owners.

(b) In the meantime, the acquisition proceedings came to be

challenged and an interim order was passed not to dispossess the land

owners. Thus, the entire procedure was properly followed and there is

no ground to interfere with the acquisition proceedings.

(c) After the First Bench pronounced the orders in the batch of

writ appeals directing the TNHB to administratively examine the

feasibility of continuing with the acquisition proceedings and

considering the subsequent developments, a physical audit was

conducted and a report was given by the Executive Engineer

concerned. The relevant portions in the report that was relied upon by

the learned Additional Advocate General are extracted as hereunder :

“In Coimbatore District, Sowripalayam Village and Uppilipalayam Village, the land was acquired for Uppilipalayam Neighbourhood Scheme. The acquired land spliced as Phase I to Phase IV. The subjected case filed in the lands covered in Phase IV. The lands situated in Phase IV further divide as a block by follow :

Block Extent in Award Award Possession Possession Scheme Remarks No. Acres passed not handed not implemented Extent passed over handed over Sowripalayam Village I 43.19 43.19 - 39.57 3.62 - WP.16510 of 1990 II 46.99 - 46.99 - - -








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                             III      69.75          -          69.75           -                 -                -
                                                                    Uppilipalyam Village
                             IV       61.82       61.82           -           4.60             57.22              4.60        WP.7423,
                                                                                                                               7424 &
                                                                                                                               8171/

                             V        58.61          -          58.61             -               -                -

As per the reference cited above, para 9(4) in WA 1568, 1324, 1323 & 1322 of 1994 order dt. 12.01.2015 the site was inspected on 18.12.2024 by Thiru G.Jacob Nayagam, the Executive Engineer & Ado and Thiru P.Vijayan, Assistant Engineer of Coimbatore Housing Unit and find out the feasibility of housing scheme as follows:

I.WP.16510 of 1990 – Sowripalayam Village: 1 Petitioner Name : G.K.Vijayakumar & Others

3 Extent : 12.20 acres 4 Present status of land : 1. Land is still vacant and full of light jungles

2. The land have the main road approach and located nearer to residential area

3. The bus stand, railway station, hospital, major educational institution and airport are all within the 10 Km radius of the subject land

4. The housing scheme to be implemented in the subject land is very much helpful to the general public 5 Google map & inspection : Enclosed photos

II. WP 8171 of 1986 – Uppilipalyam Village: 1 Petitioner Name : 1. L.Bakthavatsal & Others 2 S.F.No. : 181, 183/1, 184/1, 185, 187, 189, 190, 191 & 192 3 Extent : 36.79 acres 4 Present status of land 1. All portion of the land is still vacant

2. One temporary structure construction work is under process in the northern portion of the land (SF.No.181)

3. The land have the main road approach and

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located nearer to residential area

4. The housing scheme was already implemented mid portion of the subject lands

5. The bus stand, railway station, hospital, major educational institution and airport are all within the 10 Km radius of the subject land.

6. The housing scheme to be implemented in the subject land is very much helpful to the general public.

5 Google map & inspection : Enclosed photos

III. WP.7423 of 1986 – Upplipalayam Village

IV. WP.7424 of 1986 – Sowripalayam Village : 1 Petitioner Name : 1. R.Elangovan

2. R.Parthiban

3 Extent : 12.92 acres 4 Present status of land : 1. The main road was formed named as perk’s road over the subject lands of S.F.No.205, 206, 207 & 208.

2. In SF.No.205 part of southern part is still vacant

3. Remaining portion of SF.No.205 four RCC building and one portion of mansrover apartment was constructed

4. One old asbestos godown is still there

5. In SF.No.206, mansrover apartment was constructed

6. In SF.No.207 six RCC buildings was constructed the portion between the building are still vacant

7. In SF.No.208, major portion covered as machester apartments, perks enclave building

8. The minor area used as a play ground by a perks sports academy

9. The land have the main road approach and located nearer to residential area

10. The bus stand, railway station, hospital major

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education institution and airport are all within the 19 Km radius of the subject land

11. The housing scheme to be implemented in the vacant portion of the southern side of the lands is very much helpful to the general public.

5 Google map & inspection photos : Enclosed"

(d) In so far as W.P.No.8171 of 1986 pertaining to

Uppilipalayam Village is concerned, an extent of acres 36.79 cents is

available and there are only some temporary structures on the

northern portion of the land. The land has the main road approach and

it is located in close proximity to bus stand, railway station, hospital,

airport, etc. The TNHB is ready to implement the housing scheme in

the available vacant land.

(e) In so far as W.P.No.16510 of 1990 is concerned, an extent of

nearly acres 41.49 cents is available and it is located near a residential

area and it is in proximity to bus stand, railway station, hospital,

airport, etc. and the housing scheme can be implemented in the

subject lands.

(f) In so far as W.P.Nos.7423 and 7424 of 1986 are concerned, a

major portion of the lands has been utilized for putting up

constructions and in S.F.No.205, a small portion on the southern side

is still vacant and the same can be utilized for implementing the

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housing scheme.

(g) There was no selective release of lands and wherever it was

found that it was not feasible to utilize the lands under the acquisition

proceedings, they were released and in so far as the petitioners are

concerned, a large extent of vacant land is available for implementing

the housing scheme.

(h) Even though originally the acquisition proceedings were

initiated for the integrated township, due to various developments that

took place subsequently, certainly the TNHB can implement the

housing scheme and the same will not, in any way, defeat the main

object of the original acquisition and the lands that were acquired for a

public purpose can also be utilized for any other public purpose.

(i) Possession has been taken over in accordance with law and

the lands have been handed over to the TNHB and the compensation

amount has also been deposited and withdrawn on the side of the

petitioners. Hence, there is no question of acquisition proceedings

getting lapsed under Section 24(2) of the 2013 Act.

(j) In order to substantiate his submissions, the learned

Additional Advocate General relied upon the following :

(i) judgment of the Hon’ble Apex Court in the

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case of Chandraguda Ramgonda Patil and Another Vs. State of Maharashtra and Others [reported in 1996 (6) SCC 405];

(ii) judgment of the Hon’ble Apex Court in the case of C.Padma & Others Vs. The Deputy Secretary to The Government of Tamil Nadu & Others [reported in 1997 (2) SCC 627];

(iii) judgment of the Hon’ble Apex Court in the case of Northern Indian Glass Industries Vs. Jaswant Singh [reported in 2003 (1) SCC 335];

(iv) judgment of the Hon’ble Apex Court in the case of Tamil Nadu Housing Board Vs. Keeravani Ammal & Others [reported in 2007 (9) SCC 255];

(v) judgment of the Hon’ble Apex Court in the case of Afcons Infrastructure Ltd Vs. Nagpur Metro Rail Corporation Ltd. & Another [reported in 2016 (16) SCC 818];

(vi) judgment of the Hon’ble Apex Court in the case of Indore Development Authority Vs. Manoharlal And Others [reported in 2020 (8) SCC 129];

(vii) judgment of the Hon’ble Apex Court in the case of Galaxy Transport Agencies Vs. New J.K.Roadways, Fleet Owners & Transport Contractors [reported in 2021 (16) SCC 808];

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(viii) judgment of the Hon’ble Apex Court in the case of Delhi Development Authority Vs. Anita Singh & Others [reported in 2023 (6) SCC 113];

(ix) judgment of the Hon’ble Apex Court in the case of NOIDA Vs. Darshan Lal Bohra [reported in 2024 SCC OnLine SC 1690];


                                             (x) common judgment of the Division Bench
                                       of   this   Court     in    the    case      of    the       Member
                                       Secretary,            CMDA,               Chennai-8              Vs.
                                       K.G.Chinnaiya         Naidu        (deceased)            &    Others
                                       [W.A.Nos.1679              to   1682        of     2015       dated
                                       09.8.2023];

(xi) judgment of the Division Bench of this Court in the case of the Member Secretary, CMDA, Chennai-8 Vs. P.R.S.Andal & Others [W.A.No.3520 of 2019 dated 20.9.2023].

18. During the course of hearing, this Court suo motu impleaded

the Joint Director of Town and Country Planning Office, Coimbatore by

order dated 26.2.2025 and directed him to provide the particulars of

the various developments that had taken place during the pendency of

these writ petitions after getting necessary approval from the Planning

Authority and the building approval from the Corporation and as to

how the entire topography underwent a change. This Court wanted a

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report in order to satisfy itself as to whether, considering the

subsequent developments where several properties, which originally

formed part of the scheme, have been developed, the TNHB will be

able to implement the original object of an integrated township in the

available lands.

19. Pursuant to the above order, Mr.Selvendran, learned Special

Government Pleader took notice on behalf of the Town and Country

Planning Authority and thereafter, a report was submitted before this

Court. The relevant portions in the report are extracted as hereunder :

“…..

3. I state that pursuant to the directions of this Hon’ble Court, inspection was done by this respondent and this respondent has segregated the various survey numbers in various blocks.

During inspection, it was found that following development have taken place in the following survey number and the same is extracted hereunder. I am also annexing the plan map for perusal of this Hon’ble Court:

S.No Survey No. & Writ Planning approval details Remarks . Petition No. 1 WP.No.16510/1990 Nil Entire property is vacant and Block I S.No.45, 46/1, there is no development and the 55, 56, 57, 58 and property has an access road

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63/1, Savaripalayam Village, Singanallur Taluk, Coimbatore District measuring 12.20 acres 2 WP.No.16510/1990 No approval granted by this Residential houses, commercial Block II respondent Coimbatore & Assistant

(b) S.No.205/3A & 205/3E Commissioner, East, Coimbatore residential apartment Corporation.

approval granted vide Since most of the land are planning approval No.351/ developed, there is no scope for 2006 fresh development by the

(c) S.No.205/1, 205/2, Housing Board 206/2, 207/2 pt, 207/3, 208/3pt., 212/1Apt. approval for construction of residential apartment vide approval

(d) S.No.208/1A, residential apartment granted vide

(e) S.No.208/1A and 19/1A Building, temple, burial ground, residential house approval Government liquor shop are granted vide approval available at present and no No.45/2018 further development can take

(f) S.No.208/1 pt., 209/pt., place 210pt., school building 3 WP.No.16510/1990 No approval granted by this Residential houses and plots are Block III respondent available, no further development can take place 4 WP.No.8171/1986 Residential plot approval Except the land for which Block IV (a) S.No. 181, granted vide approval No.LP/ approval was granted the rest of 183/1, 184/1, 185, DTCP/No.84/1993 measuring the land are vacant and 185, 187, 189, 190, 4.6 acres development can take place 191 and 192, Uppilipalayam Village, Coimbatore measuring 36.79 acres 5 WP.No.7423, 7424/ (a) Residential apartment Approval was granted after 1986 Block IV(b) approval granted vide verifying the no objection S.No.205, 206, 207 & approval No.LP/DTCP No. certificate issued by Special

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208, Uppilipalayam 256/2004 measuring 9472 Tahsildar (Land Acquisition). Village, Coimbatore sq.mtrs. approval granted measuring 12.92 acres vide approval No.24/2019.

6. Block V No approval granted by this Residential houses and plots are respondent available, no further development can take place.

4. I state that as per the directions of this Hon’ble Court, this respondent has conducted survey and filing the present affidavit with regard to developments that had taken place in the present writ petitions.

Hence, it is therefore prayed that this Hon’ble Court may be pleased to accept the present status report and pass appropriate orders as this Hon’ble Court deems fit and thus render justice.”

20. Along with the above report, the google map of

Uppilipalayam Neighbourhood Scheme and certain photographs have

also been annexed showing the various developments that have taken

place both in Uppilipalayam and Sowripalayam Villages and the lands

that are presently lying vacant.

21. This Court has carefully considered the submissions of the

learned counsel on either side and perused the materials available on

record and more particularly the impugned orders.

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22. The following issues arise for consideration in these writ

petitions :

(1) Whether the non payment of costs that

was imposed for impleading the legal heirs of

the deceased petitioners 1 to 3 in W.P.No.8171

of 1986 has rendered the entire proceedings as

abated and consequently, the original order

that was passed in W.P.No.8171 of 1986 in the

year 1991 gets revived ?

(2) Whether the specific direction that was

issued by the First Bench at paragraph No.9 of

the common judgment dated 12.1.2015 to

examine as to whether the available lands can

be utilized effectively to implement the original

scheme has been satisfactorily explained by

the TNHB ?

(3) Whether the TNHB, after having taken

a specific stand before the Hon’ble Apex Court

in S.L.P.(Civil) Nos.13927 & 13928 of

1996 dated 27.9.2001 and also in the

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communication dated 28.1.2003 stating that

out of acres 455.08 cents, only an extent of

31.84 acres was taken over possession and

utilized, that there was no land available to

implement the integrated scheme and that the

Government has not abandoned the scheme

despite recommending for dropping the entire

acquisition proceedings, can now turn around

and take a stand that with the available lands,

they will now go ahead with the housing

scheme ?

(4) Whether the Government had released

the lands selectively in an arbitrary manner

and thereby such an action has vitiated the

entire acquisition proceedings ?

(5) Whether the objections that were

raised during the enquiry under Section 5A of

the Old Act were properly considered or they

were rejected in a mechanical fashion ? and

(6) Whether the acquisition proceedings

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itself has lapsed since no possession was taken

over and no compensation was tendered/

deposited to the land owners?

Issue No.(1) :

23. In so far as the first issue is concerned, the fact remains that

the cost imposed by the First Bench was not properly tendered and

that unnecessary confusion was created by attempting to pay the costs

to the counsel, who was appearing on behalf of the petitioners in

WP.No.8171 of 1986. However, this Court does not want to get hooked

on such technicalities since there are other substantial grounds that

can be considered instead of foreclosing this litigation on a technical

ground.

24. This is more so since this litigation has been going on from

the year 1986 and the parties must know where they stand at this

length of time. In view of the same, the order passed by the First

Bench impleading the legal heirs of the deceased petitioners 1

to 3 in W.P.No.8171 of 1986 is acted upon and they are

brought on record now. Accordingly, the submissions made on

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behalf of the legal heirs by the respective learned Senior Counsel are

taken into consideration for the purpose of dealing with the substantial

issues that have been raised in these writ petitions. The first issue is

answered accordingly.

Issue No.(2)

25. The First Bench, while disposing of the writ appeals and

remanding the matters back to the Writ Court, specifically took into

consideration the fact that there are substantial subsequent

developments, which had taken place in the course of time and

therefore, a direction was given to the TNHB to administratively

examine as to whether it is practicable to utilize the lands for the

integrated township scheme, for which, the lands were originally

acquired and a time frame was given to submit a report in this regard.

26. Even though no report was submitted within the time frame,

this Court insisted the TNHB to submit a report during the course of

hearing. This Court also insisted the Town and Country Planning

Authority to submit a report in order to ascertain as to whether it is

administratively practicable to continue with the acquisition

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proceedings with respect to the available lands.

27. In so far as the Sowripalayam – Uppilipalayam Integrated

Urban Development Scheme is concerned, it consisted of four phases.

Each phase consisted of different blocks of lands. Phase I consisted of

acres 27.24 cents of land in Uppilipalayam Village, which was acquired

and fully utilized for the scheme. In Phase II consisting of acres 60.47

cents of land, acquisition proceedings were initiated for acres 32.05

cents and only an extent of acres 2.88 cents was taken over by the

TNHB and it could not be utilized by the TNHB. Phase III consisted of

acres 87.01 cents of wet lands and no acquisition took place for the

entire extent of land.

28. In so far as Phase IV is concerned, it covered a total extent

of acres 280.36 acres divided into 5 blocks. Block No.1 at

Sowripalayam Village had an extent of acres 43.19 cents, out of which,

an extent of acres 19.04 cents was sought to be utilized, but it was

never utilized. In block No.2 at Sowripalayam Village, out of acres

46.99 cents, an extent of acres 12.03 cents was excluded from the

acquisition proceedings. Subsequently, even the remaining extent of

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lands was allowed to lapse. With respect to block No.3 at

Sowripalayam Village measuring an extent of acres 69.75 cents, the

entire stretch of lands was utilized for constructing hospitals,

residential houses, commercial establishments, etc. and accordingly,

the entire block No.3 at Sowripalayam Village remained unutilized.

With respect to block No.4, which pertains to Uppilipalayam Village, a

total extent of acres 61.82 cents was sought to be acquired whereas

only an extent of acres 4.60 cents was taken over possession and the

remaining extent continued to be in possession and enjoyment of the

respective land owners. The last block namely block No.5 of

Uppilipalayam Village covered acres 58.61 cents and the acquisition

itself did not take place since it consisted of built up area and the

layouts, which were granted approval by the Coimbatore Municipal

Corporation.

29. Thus, out of the entire extent of acres 280.36 cents, from

block Nos.1 to 5 in Phase IV, the only extent of acres 32.22 cents was

handed over to the TNHB, out of which, only an extent of acres 4.60

cents was utilized and the remaining extent of acres 27.62 cents has

not been utilized. Further, the extent of acres 140.39 cents out of

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acres 280.36 cents is not available for implementation of the scheme.

30. The above was the status that was given by the Special

Tahsildar, Mettupalayam while filing the common counter affidavit in

the writ appeals during their pendency before the First Bench of this

Court. In the said counter affidavit, it was even stated that the

Government has not abandoned the scheme though sufficient lands

were not available to implement the scheme. It was under these

circumstances the First Bench of this Court had directed the TNHB to

take a practicable view as to whether they wanted to continue with the

acquisition proceedings.

31. The report that was submitted before this Court and which

has been extracted supra would show that in so far as Sowripalayam

Village is concerned, an extent of acres 12.20 cents is available. In so

far as Uppilipalayam Village is concerned, an extent of acres 36.79

cents is available. In so far as W.P.Nos.7423 and 7424 of 1986, which

pertain to Uppilipalayam Village, are concerned, a small portion is

available on the southern side and the balance portion is developed

after getting proper sanction.

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32. It is also relevant to take note of the status report filed by

the Joint Director of Town and Country Planning, Coimbatore. The

relevant portions have been extracted supra.

33. In so far as Sowripalayam Village is concerned, it is stated

that if at all any development is possible, it can be done only in block

No.1 covering acres 12.20 cents. The entire stretch of other lands are

all developed and there is no scope for the TNHB for undertaking any

such development. With respect to Uppilipalayam Village, out of acres

36.79 cents, approval was granted to the residential plots for an

extent of acres 4.60 cents and only the balance portion is available if

at all any development is undertaken by the TNHB.

34. Similarly, with respect to the lands covered under W.P.Nos.

7423 & 7424 of 1986, which also fell within block No.4, approvals have

been granted for residential apartments after the no objection

certificate was issued by the Special Tahsildar and in so far as this

portion of the land is concerned, there is no scope for any further

development by the TNHB. Similarly, for block No.5, it is made clear

that the residential houses and plots are available and there is no

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scope for any further development by the TNHB.

35. The TNHB, after being aware of the above developments, is

now coming up with a new idea of housing scheme in the available

lands instead of proceeding with the integrated scheme, which was the

original objective of the land acquisition proceedings.

36. The integrated township means a self sustained township

planned and developed containing work place, places of residence

along with all attendant and infrastructure facilities like hospitals,

schools and other educational institutions. Considering the large extent

of lands that were originally planned to be acquired for the

Sowripalayam/Uppilipalayam Integrated Urban Development Scheme,

the object of the scheme was to have all these components of an

integrated township whereas over a period of time, the entire

topography of the place has completely changed due to various

developments that had taken place and what are available today are

some vacant lands at Uppilipalayam and Sowripalayam Villages to an

extent of nearly acres 36.79 cents and acres 12.20 cents respectively.

In view of the same, the TNHB is talking about a housing scheme,

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which was not the original intent of the land acquisition proceedings.

37. In the light of the above discussions, this Court holds that

the TNHB has not satisfactorily explained about the practical feasibility

of proceeding further with the acquisition proceedings with the

available extent of lands. The second issue is answered

accordingly.

Issue No.(3) :

38. In so far as the third issue is concerned, the above

discussions, while dealing with the second issue, also substantially

answer the third issue. The TNHB itself, at one stage, took a stand that

there was no land available to implement the integrated scheme.

However, it continued with the acquisition proceedings since the

Government did not abandon the project. In fact, a communication

was exchanged recommending for dropping the entire acquisition

proceedings in view of the subsequent developments that took place

and the funds allotted to the project were lying as a dead capital.

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39. The original object of the acquisition proceedings has already

been lost and it has become unworkable for the TNHB to satisfy the

original object, for which, the acquisition proceedings were initiated.

Therefore, the TNHB cannot be now allowed to change the whole

object of acquisition and utilize the remaining lands for a housing

scheme. No such permission has been granted by the State

Government in this regard and the TNHB cannot independently take

such a decision.

40. In order to appreciate the above findings, the following

tabular column containing the details of the extent of lands that were

acquired and what are now available is necessary :

Sowripalayam Total area 4(1) Lapsed Acquisition Stay Possession Possession Uppilipalayam approved fresh proceedings granted taken but taken but IUDP Scheme by TNHB proceeds yet dropped due by High lands un- lands to initiate by to private Court (in utilized (in utilized (in TNHB (in buildings (in acres) acres) acres) acres) acres) Phase I 27.24 - - - - 27.24 Phase II 60.47 28.42 - 29.17 2.88 -

                           Phase III          87.01            -              87.01             -           -              -
                          Phase IV -
                            Block 1           43.19          3.62               -            39.57          -               -
                            Block 2           46.99          20.57            26.42            -            -               -
                            Block 3           69.85            -              69.85            -            -               -
                            Block 4           61.82            -                -            57.22          -             4.60
                            Block 5           58.61            -              58.61            -            -               -
                             Total           455.18          52.61           241.89         125.96        2.88           31.84









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                                                                                                etc. cases



41. It is true that the lands that are acquired for a public purpose

can be utilized for a different purpose. However, the Court must

always keep in mind the main objective behind the acquisition

proceedings and in the case in hand, the objective no more subsists

due to various subsequent developments. Small portions of lands that

are available cannot be permitted to be utilized for a completely

different purpose, which will defeat the object of the very acquisition

proceedings itself. The third issue is answered accordingly.

Issue No.(4) :

42. The fourth issue pertains to the arbitrary manner, in which,

the various extents of lands were released over a period of time by the

Government. It is quite evident from the records that a large extent of

lands was released for one reason or the other and thereby, out of the

original extent of acres 280.36 cents, what is sought to be utilized is

only an extent of acres 36.79 cents in Uppilipalayam Village and an

extent of acres 12.20 cents in Sowripalayam Village. In fact, one of the

adjacent lands, for which, W.P.No.16511 of 1990 was filed, came to be

released and as a result, W.P.No.16511 of 1990 itself was closed by

order dated 27.1.2025.

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etc. cases

43. Thus, the lands have been selectively released from the

acquisition proceedings and it brings in arbitrariness on the part of the

TNHB in retaining certain lands alone and attempting to implement the

housing scheme in respect of the retained lands. The various land

owners, whose lands were acquired, stand on the same footing and if

the lands belonging to some of the land owners were released and for

some others, the lands are retained, obviously there is a discrimination

among the equals without there being a reasonable classification. This

obviously brings in the element of arbitrariness where the discretion

has been exercised according to the whims of the Authorities. This

attitude has been repeatedly deprecated by both the Hon’ble Apex

Court as well as this Court on various occasions. Thus, the retention of

the lands belonging to the petitioners alone for coming up with a

housing scheme suffers from patent arbitrariness, which is violative of

Article 14 of The Constitution of India. The fourth issue is answered

accordingly.

Issue Nos.(5) & (6) :

44. It is not necessary for this Court to go into the other

two issues in the light of the findings rendered for issue Nos.2

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etc. cases

to 4. Issue Nos.(5) and (6) are answered accordingly.

45. The entire confusion had taken place only due to the attitude

on the part of the TNHB. The above writ petitions came to be allowed

by order of this Court in the year 1991 and the acquisition proceedings

were quashed. The Government did not choose to file any appeal and

it is only the TNHB, which had chosen to file the writ appeals after a

substantial delay in the year 1994/1995. During the interregnum

period, third party interests came into existence like respondents 3 to

46. That apart, there was no occasion to take over possession of

the properties right through. As a result, there was absolutely no

progress. It was under those circumstances, the First Bench of this

Court thought it fit to direct the TNHB to first take a decision on the

feasibility to proceed with the acquisition proceedings. This Court has

already held supra that the original object has been lost and that there

is no practicable feasibility to proceed further with the acquisition

proceedings towards the integrated scheme.

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etc. cases

47. Even in so far as the payment of compensation is concerned,

a huge controversy has arisen as to who has actually withdrawn the

compensation amount from the Court. A specific stand has been taken

by the parties by filing sworn affidavits to the effect that there was an

unholy alliance between the advocates, who had knocked off the entire

compensation amount without the concurrence of the parties. The

report that was received from the First Additional Sub- Court,

Coimbatore also states that none of the relevant original records was

available and that they are missing.

48. In view of the same, during the pendency of these writ

petitions, this Court acted upon the affidavits filed by one

Mr.R.Santhana Gopal along with the relevant documents and also the

sworn affidavit filed by one Ms.Aarthi Anand - P4 in W.P.No.16510 of

1990, had also taken into consideration the report received from the

First Additional Sub-Court, Coimbatore and initiated a separate inquiry

against two advocates namely Mr.Govindaraju and Mr.P.Shanmugam.

A total sum of nearly Rs.8 Crores has been withdrawn from the Court

without the concurrence of the clients. Notices were sent to both the

advocates and a separate inquiry is under progress.

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etc. cases

49. Thus, neither the possession has been taken over effectively

nor the compensation amount has been tendered effectively and this

also becomes a ground so as not to permit the acquisition proceedings

to continue any further.

50. In the upshot of the above discussions, the acquisition

proceedings stands quashed and these writ petitions are

allowed as prayed for. No costs.

51. The compensation amount has been deposited by the State.

In view of the acquisition proceedings being quashed by this Court in

this common order, it has to go back to the Government. The question

that remains is as to who will repay back the amount to the

Government. The petitioners are taking a very specific stand that they

have not withdrawn the compensation nor had authorized any

advocate to appear for them and withdraw the compensation amount.

It is very clear from the records that the two advocates had withdrawn

the amount purportedly on behalf of their clients. The inquiry is

pending in this regard. Depending upon the final result in the inquiry,

directions will be issued to repay back the compensation to the State.

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etc. cases

52. With respect to the alleged misconduct that has been

committed in the withdrawal of the compensation amount for more

than Rs.8 Crores, a separate inquiry is being conducted and if, prima

facie, the materials satisfy this Court and the explanation given by the

concerned two advocates are not found to be satisfactory, this Court

will independently pass orders directing the Bar Council of Tamil Nadu

and Puducherry to initiate disciplinary proceedings against them. Apart

from that, this Court will also direct initiation of such necessary

proceedings against the concerned two advocates.

53. For passing further orders with respect to the inquiry

pending against the two advocates, post on 28.4.2025 at 2.15 PM.

03.04.2025

Office to Note :

Carry out necessary amendments before issuing the certified copies

Index : Yes Neutral Citation : Yes

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etc. cases

To

1.The State of Tamil Nadu rep.

by its Commissioner & Secretary to Government, Housing and Urban Development Department, Fort St.George, Madras-9.

2.The Special Tahsildar (Land Acquisition), Housing Scheme II, Collectorate, Coimbatore-18.

3.The Tamilnadu Housing Board rep.by its Administrative Officer, Coimbatore Housing Unit, Coimbatore.

4.The Joint Director of Town & Country Planning Office, I & II Floor, No.50, FCI Road, Gandhimaanagar, Ganapathy, Coimbatore-641004.

RS .

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etc. cases

N.ANAND VENKATESH,J

RS

P.D.Common Order in

etc. cases

03.04.2025

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