Bombay High Court
ARUN DADASO GOREversusSOU. NANDINIRAJE NIRANJAN TORASKAR
- Disposal
- Disposed Off
Holding
The petition is dismissed as the deposit of compensation in the PLA account satisfies one of the twin conditions under Section 24(2), so the acquisition has not lapsed.
Summary
The petitioner, Sou. Nandiniraje Niranjan Toraskar, filed a writ petition seeking a mandamus directing the State of Maharashtra to cancel land allotments made from his land and to declare that the acquisition of a portion of his land had lapsed under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013. The State argued that compensation had been deposited in the PLA account in 2006, satisfying one of the twin conditions under Section 24(2) as interpreted by the Supreme Court in Indore Development Authority v. Manoharlal and subsequent cases. The High Court examined the Supreme Court’s pronouncements that a deposit of compensation (not merely a court deposit) fulfills the condition and that possession had not been taken, so the acquisition did not lapse. Relying on these authorities, the Court held that the twin condition was satisfied, the acquisition remained valid, and dismissed the petition with costs. The interim application was also disposed.
Issues considered
- Whether the land acquisition proceedings have lapsed under Section 24(2) of the RFCTLARR Act, 2013 due to the manner of compensation deposit.
- Whether a deposit of compensation in the PLA account satisfies the 'payment of compensation' condition under Section 24(2).
- Whether the petitioner is entitled to a mandamus directing cancellation of land allotments.
Legislation cited
Subjects
- land acquisition
- Section 24(2)
- compensation deposit
- mandamus
- RFCTLARR Act 2013
- High Court judgment
- lapse of acquisition
Judgment
2026:BHC-KOL:9332-DB
(1) 2wp7721.19
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
CIRCUIT BENCH AT KOLHAPUR
CIVIL APPELLATE JURISDICTION
WRIT PETITION NO. 7721 OF 2019
Sou. Nandiniraje Niranjan Toraskar ….Petitioner
VERSUS
The State of Maharashtra
Through Secretary, Rehabilitation Dept. And Ors …..Respondents
WITH
INTERIM APPLICATION NO. 525 OF 2026
IN
WRIT PETITION NO. 7721 OF 2019
Arun Dadaso Gore .....Applicant
VERSUS
Sou. Nandiniraje Niranjan Toraskar .....Respondent
Mr. Vishwanath Talkute i/b Mr. Pradeep Salgar a/w Ms. Vaishnavi A. Shelke,
Advocate for the Petitioner
Mr. A. A. Kumbhakoni, Senior Advocate a/w Mr. Akshay Shinde i/b Mr.
Siddharth Karpe, Advocate for the Respondent Nos. 7 to 9
Mr. Ketan Joshi a/w Mr. Vishwajeet Mohite, Advocate for the
Respondent No. 11
Mr. Siddheshwar B. Kale, AGP for the Respondent-State
CORAM : RAJESH S. PATIL &
ABHAY J. MANTRI, JJ.
DATE : 21 SEPTEMBER 2026
PER COURT :
1. The present Petition is filed seeking the writ of mandamus,
thereby directing the respondent No.4 / SDO, Satara to forthwith withdraw
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and/or cancel the order dated 28-05-2019 thereby the respondent Nos.7 and 8
have allotted the lands out of the land of the Petitioner, bearing Gat number
44/1 admeasuring 8- Hectares 3-R at village Kolki, Taluka Phaltan, District
Satara. So also, writ has been sought for a declaration that the acquisition of
the land admeasuring 3-Hectares 18-R from land bearing Gat number 44/1 at
village Kolki has been lapsed as per the provisions of Section 24(2) of the
Right to Fair Compensation and Transparency in Land Acquisition,
Rehabilitation and Resettlement Act, 2013.
2. We have heard counsels for both the sides and with their help,
we have gone through the affidavits-in-reply along with additional affidavit
and rejoinder. We have also been shown the following the judgments:
i. Harayana State Industrial and Infrastructural Development
Corporation (HSIIDC) and Ors Vs M/s. Janta Oil Company and Ors [Civil
Appeal Nos.1147-1149 of 2025]
ii. Indore Development Authority Vs Manoharlal & Ors1
iii. Land Acquisition Collector (South), New Delhi and another Vs
Suresh B. Kapur And others2
3. The Supreme Court in the judgment of Indore Development
(supra) in paragraph No. 366 has held as under:
“366. In view of the aforesaid discussion, we answer the question as
under :
366.1. Under the provisions of Section 24(1)(a) in case the
award is not made as on 1.1.2014 the date of commencement
of Act of 2013, there is no lapse of proceedings. Compensation
has to be determined under the provisions of Act of 2013.
1 (2020) 8 SCC 129
2 (2023) 2 SCC 155
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366.2. In case the award has been passed within the window
period of five years excluding the period covered by an
interim order of the court, then proceedings shall continue as
provided under Section 24(1)(b) of the Act of 2013 under the
Act of 1894 as if it has not been repealed.
366.3. The word ‘or’ used in Section 24(2) between possession
and compensation has to be read as ‘nor’ or as ‘and’. The
deemed lapse of land acquisition proceedings under Section
24(2) of the Act of 2013 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. In other words, in case
possession has been taken, compensation has not been paid
then there is no lapse. Similarly, if compensation has been
paid, possession has not been taken then there is no lapse.
366.4. The expression “paid” in the main part of Section
24(2) of the Act of 2013 does not include a deposit of
compensation in court. The consequence of non-deposit is
provided in proviso to Section 24(2) in case it has not been
deposited with respect to majority of land holdings then all
beneficiaries (landowners) as on the date of notification for
land acquisition under Section 4 of the Act of 1894 shall be
entitled to compensation in accordance with the provisions of
the Act of 2013. In case the obligation under Section 31 of the
Land Acquisition Act of 1894 has not been fulfilled, interest
under Section 34 of the said Act can be granted. Non-deposit
of compensation (in court) does not result in the lapse of land
acquisition proceedings. In case of non-deposit with respect to
the majority of holdings for five years or more, compensation
under the Act of 2013 has to be paid to the “landowners” as
on the date of notification for land acquisition under Section 4
of the Act of 1894.
366.5. In case a person has been tendered the compensation
as provided under Section 31(1) of the Act of 1894, it is not
open to him to claim that acquisition has lapsed under Section
24(2) due to non-payment or non-deposit of compensation in
court. The obligation to pay is complete by tendering the
amount under Section 31(1). Land owners who had refused to
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accept compensation or who sought reference for higher
compensation, cannot claim that the acquisition proceedings
had lapsed under Section 24(2) of the Act of 2013.
366.6. The proviso to Section 24(2) of the Act of 2013 is to be
treated as part of Section 24(2) not part of Section 24(1)(b).
366.7. The mode of taking possession under the Act of 1894
and as contemplated under Section 24(2) is by drawing of
inquest report/ memorandum. Once award has been passed on
taking possession under Section 16 of the Act of 1894, the
land vests in State there is no divesting provided under Section
24(2) of the Act of 2013, as once possession has been taken
there is no lapse under Section 24(2).
366.8. 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 Act of 2013
came into force, in a proceeding for land acquisition pending
with concerned authority as on 1.1.2014. The period of
subsistence of interim orders passed by court has to be
excluded in the computation of five years.
366.9. Section 24(2) of the Act of 2013 does not give rise to
new cause of action to question the legality of concluded
proceedings of land acquisition. Section 24 applies to a
proceeding pending on the date of enforcement of the Act of
2013, i.e., 1.1.2014. It does not revive stale and time-barred
claims and does not reopen concluded proceedings nor allow
landowners to question the legality of mode of taking
possession to reopen proceedings or mode of deposit of
compensation in the treasury instead of court to invalidate
acquisition.”
4. As far as the present proceeding is concerned, para 366.9 refers
to an amount being deposited in a PLA account.
5. The Respondent-State in its affidavit dated 09 June 2026 in
paragraph Nos. 4 and 5 has stated that the amount of compensation has been
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deposited in P.L.A. account maintained by the District Treasury Office,
Satara, by an enclosure of Exhibit-R1. There is a mention about Village Kolki
and the amount mentioned in front of that village is Rs. 99,52,241/-. The said
amount been deposited by way of cheque No. 662771 dated 29 April 2006.
The said amount also includes the compensation amount payable to the
present Petitioner, being an amount of Rs. 5,33,355/-.
6. In the present proceeding, the award was passed on 01
December 2000 and there is no dispute that the said award has not been
challenged by the Petitioner.
7. Compensation amount deposited in the P.L.A. account on 09
May 2006. Therefore, one of the twin conditions as mentioned by the
Supreme Court in the judgment of Indore Development (supra) has been
satisfied. The judgment of the Supreme Court in Indore Development
(supra) has been further followed by the Supreme Court in the judgment of
Suresh Kapoor (Supra). In paragraph No.10, there is a discussion about the
conclusion arrived at by the High Court following the judgment of
Gyanender Singh v. Union of India3. By concluding the said judgment, the
Bench considered the view taken by the Supreme Court in the judgment of
Indore Development (supra) which overruled the earlier judgment of Pune
Municipal Corporation v. Harakchand Solanki4, and further, it also
3 2014 SCC OnLine Del 1694
4 (2014) 2 SCC (Civ) 496
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overruled the view taken in Gyanendra Singh (Supra). Similarly, in the
latest judgment of the Supreme Court in Haryana State Industrial And
Infrastructure Development Corporation (supra) the Supreme Court
considered the facts wherein the acquiring department had deposited the
entire compensation in the account of L.A.C.-cum-D.R.O., and the entitled
person to get their compensation from office. A similar kind of argument has
been made before us which was advanced considered in the said judgment
wherein it was held that the deposit of the entire compensation in the account
of L.A.C.-cum-D.R.O. does amount to deposit in terms of Land Acquisition
Act of 2013. The Bench considering the view taken by the Constitution
Bench in Indore Development (supra) held that amount deposited in the
account of L.A.C.-cum-D.R.O., at least one of the conditions of the twin
conditions under Section 24(2) of the Land Acquisition Act, 2013 stands
satisfied. The view taken in both the judgments are squarely applicable to the
present proceeding.
8. As far as the judgments referred by the learned counsel
appearing for the petitioner, in Namdeo Bhagwan Khedkar Vs State of
Maharashtra and Ors5 and Annaso Deogonda Patil Vs State of
Maharashtra and Ors [WP/2506/2019 dated 03-08-2026], in the facts of
both these judgments, admittedly, there was no deposit made by the
5 2026 SCC OnLine Bom 11468
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State/acquiring body. Hence, one of the twin conditions as mentioned in the
judgment of Indore Development (Supra) was not satisfied. Hence, the view
taken in both the judgments would not be applicable in the present
proceedings where, admittedly, the amount has been deposited in PLA. As far
as the other judgments cited on behalf of the Petitioner are concerned, these
are the judgments delivered before the judgment of the Constitution Bench
delivered its judgment in Indore Development (Supra). Hence, those
judgments would not be applicable to the present case.
9. In view of the same, the Petition fails and the same stands
dismissed with cost of Rs.25,000/-.
10. In view of the dismissal of the petition, pending Interim
Application stand disposed of.
[ABHAY J. MANTRI, J. ] [RAJESH S. PATIL, J.]
VishalK/2wp7721.19
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