Quashing of Deemed Lapse of Land Acquisition Proceedings

Having heard learned counsel appearing on behalf of the respective parties and having gone through the impugned judgment and order passed by the High Court it can be seen that by the impugned judgment and order the High Court has declared that the acquisition with respect to the land in question is deemed to have lapsed on the ground that neither the possession of the land in question was taken nor the compensation has been tendered/paid and relying upon the earlier decision of this Court in the case of Pune Municipal Corporation and Anr. However, it is required to be noted that before the High Court it was the specific case on behalf of the appellant(s) and so recorded by the High Court in paragraph 4 of the impugned judgment and order that the physical possession could not be taken because of the operation of stay order passed in writ petitions which the stay order was continuing.

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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)

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.

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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).

The provisions of Section 24(2) providing for a deemed lapse of proceedings are applicable in case authorities have failed due to their inaction to take possession and pay compensation for five years or more before the 2013 Act came into force, in a proceeding for land acquisition pending with the authority concerned as on 1-1-2014.

Now so far as the reliance placed upon the decision of this Court in the case of Pune Municipal Corporation (supra) by the High Court and the decision of the High Court in the case of Gyanender Singh (supra) are concerned, the decision of this Court in the case of Pune Municipal Corporation (supra) has been overruled by the Constitution Bench of this Court in the case of Indore Development Authority (supra).

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The impugned judgment and order passed by the High Court allowing the writ petition and declaring that the acquisition in respect of the land in question is deemed to have lapsed under Section 24(2) of the Act, 2013 is hereby quashed and set aside.

Case Title: LAND ACQUISITION COLLECTOR Vs. ASHOK KUMAR (2023 INSC 220)

Case Number: C.A. No.-000482-000482 / 2023

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