Interpretation of Section 24(2) of the 2013 Land Acquisition Act

We have heard the learned counsel appearing on behalf of the respective parties at length and perused the impugned judgment and order passed by the High Court.

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While passing the impugned judgment and order, the High Court has heavily relied upon the earlier decision of this Court in the case of Pune Municipal Corporation and Anr.

2 Apart from the above, even in the case of Indore Development Authority (supra), the Constitution Bench of this Court has observed and held that for attracting the provisions of Section 24(2) of the Act, 2013, twin conditions of not taking over of possession and not tendering/paying the compensation are to be satisfied and if one of the conditions is not satisfied, there shall not be deemed lapse of acquisition.

Harakchand Misirimal Solanki, (2014) 3 SCC 183] is hereby overruled and all other decisions in which Pune Municipal Corpn.

Harakchand Misirimal Solanki, (2014) 3 SCC 183] has been followed, are also overruled. The deemed lapse of land acquisition proceedings under Section 24(2) of the 2013 Act takes place where due to inaction of authorities for five years or more prior to commencement of the said Act, the possession of land has not been taken nor compensation has been paid. The consequence of non-deposit is provided in the proviso to Section 24(2)

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in case it has not been deposited with respect to majority of landholdings then all beneficiaries (landowners) as on the date of notification for land acquisition under Section 4 of the 1894 Act shall be entitled to compensation in accordance with the provisions of the 2013 Act.

Once award has been passed on taking possession under Section 16 of the 1894 Act, the land vests in State there is no divesting provided under Section 24(2) of the 2013 Act, as once possession has been taken there is no lapse under Section 24(2).

Section 24(2) of the 2013 Act does not give rise to new cause of action to question the legality of concluded proceedings of land acquisition.

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Pending applications, if any, also stand disposed of.

Case Title: DELHI DEVELOPMENT AUTHORITY Vs. NEM CHAND SHARMA (2023 INSC 73)

Case Number: C.A. No.-000395-000395 / 2023

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