GOVERNMENT OF NCT OF DELHIversusSUBHASH JAIN AND ORS.

630                      [2022]REPORTS
               SUPREME COURT   16 S.C.R. 630              [2022] 16 S.C.R.


A                   GOVERNMENT OF NCT OF DELHI
                                       v.
                         SUBHASH JAIN AND ORS.
                        (Civil Appeal No. 8937 of 2022)
B                           DECEMBER 02, 2022
               [M. R. SHAH AND C. T. RAVIKUMAR, JJ.]
             Right to Fair Compensation and Transparency in Land
      Acquisition, Rehabilitation and Resettlement Act, 2013: s.24(2) –
      High Court declared that the acquisition of lands in question deemed
C
      to have lapsed under s.24(2) of the Act, 2013 – Held: High Court
      failed to notice and consider the specific case on behalf of the
      State that at the relevant time, the possession could not be taken
      over due to the pending proceedings at the instance of the
      landowners challenging the acquisition proceedings, which ended
D     upto this Court – Original landowners failed in challenge to the
      acquisition proceedings upto this Court – Under the circumstances,
      when due to pendency of the land acquisition proceedings, the
      possession could not be taken over, thereafter, it will not be open
      for the landowners to contend that as the possession was not taken
      over, the land acquisition proceedings be deemed to have lapsed
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      under s.24(2) of the Act, 2013 – In view of Indore Development
      Authority v. Manoharlal and Ors., the impugned judgment passed by
      the High Court declaring that the land acquisition proceedings with
      respect to the land in question has lapsed under s.24(2) of the Act,
      2013 is unsustainable – Land Acquisition Act, 1894.
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            Allowing the appeal, the Court
            HELD: The original landowners failed in challenging the
      acquisition proceedings upto this Court. Under the circumstances,
      when due to pendency of the land acquisition proceedings, the
      possession could not be taken over, thereafter, it will not be open
G     for the landowners to contend that as the possession was not
      taken over, the land acquisition proceedings be deemed to have
      lapsed under Section 24(2) of the Act, 2013. The impugned
      judgment and order passed by the High Court declaring that the
      land acquisition proceedings with respect to the land in question
H     has lapsed under Section 24(2) of the Act, 2013 is unsustainable
                                      630
 GOVERNMENT OF NCT OF DELHI v. SUBHASH JAIN AND                             631
                     ORS.

and the same deserves to be quashed and set aside and is                    A
accordingly quashed and set aside. [Paras 2.1, 3][632-B-C; 634-
D]
      Indore Development Authority v. Manoharlal and Ors.
      (2020) 8 SCC 129 : [2020] 3 SCR 1 – followed.
      Pune Municipal Corporation and Anr. v. Harakchand                     B
      Misirimal Solanki and Ors. (2014) 3 SCC 183 : [2014]
      1 SCR 783 – referred to.
                        Case Law Reference
[2014] 1 SCR 783                  referred to               Para 2          C
[2020] 3 SCR 1                    followed                  Para 2.2

      CIVIL APPELLATE JURISDICTION: Civil Appeal No. 8937
of 2022.
                                                                            D
      From the Judgment and Order dated 20.07.2015 of the High Court
of Delhi at New Delhi in Writ Petition (C) No. 2709 of 2015.
       Atul Kumar, Rahul Pandey, Amitabh Ranjan, Rajiv Ranjan, Advs.
for the Appellant.
      Ms. Sunieta Ojha, Akansh Singh, Advs. for the Respondents.            E
      The Judgment of the Court was delivered by
      M. R. SHAH, J.
       1. Feeling aggrieved and dissatisfied with the impugned judgment
and order passed by the High Court of Delhi at New Delhi in Writ            F
Petition(C) No. 2709 of 2015 by which the High Court has allowed the
said writ petition and has declared that the land acquisition proceedings
under the Land Acquisition Act, 1894 (hereinafter referred to as “Act,
1894”) with regard to the land in question is deemed to have lapsed
under Section 24(2) of the Right to Fair Compensation and Transparency
in Land Acquisition, Rehabilitation and Resettlement Act, 2013              G
(hereinafter referred to as “Act, 2013”), the Government of NCT of
Delhi and Anr. have preferred the present appeal.
      2. From the impugned judgment and order passedby the High
Court, it appears that while declaring that the acquisition proceedings
under the Act, 1894 is deemed to have lapsed under Section 24(2) of the     H
632            SUPREME COURT REPORTS                          [2022] 16 S.C.R.


A     Act, 2013, the High Court has heavily relied upon the decision of this
      Court in the case of Pune Municipal Corporation and Anr. Vs.
      Harakchand Misirimal Solanki and Ors., (2014) 3 SCC 183.
             2.1 However, the High Court has failed to notice and consider the
      specific case on behalf of the appellants that at the relevant time, the
B     possession could not be taken over due to the pending proceedings at
      the instance of the landowners challenging the acquisition proceedings,
      which ended upto this Court. The original landowners failed in challenging
      the acquisition proceedings upto this Court. Under the circumstances,
      when due to pendency of the land acquisition proceedings, the possession
      could not be taken over, thereafter, it will not be open for the landowners
C     to contend that as the possession was not taken over, the land acquisition
      proceedings be deemed to have lapsed under Section 24(2) of the Act,
      2013.
            2.2 In the case of Indore Development Authority Vs.
      Manoharlal and Ors., (2020) 8 SCC 129, in paragraph 366, the
D     Constitution Bench of this Court has observed and held as under:-
               “366. In view of the aforesaid discussion, we answer the
            questions 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
E           the 2013 Act, there is no lapse of proceedings. Compensation has
            to be determined under the provisions of the 2013 Act.
               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
F           under Section 24(1)(b) of the 2013 Act under the 1894 Act 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
G           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. 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
H           then there is no lapse.
GOVERNMENT OF NCT OF DELHI v. SUBHASH JAIN AND                             633
             ORS. [M. R. SHAH, J.]

       366.4. The expression “paid” in the main part of Section 24(2)      A
   of the 2013 Act does not include a deposit of compensation in
   court. 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
                                                                           B
   1894 Act shall be entitled to compensation in accordance with the
   provisions of the 2013 Act. In case the obligation under Section
   31 of the Land Acquisition Act, 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         C
   the majority of holdings for five years or more, compensation under
   the 2013 Act has to be paid to the “landowners” as on the date of
   notification for land acquisition under Section 4 of the 1894 Act.
       366.5. In case a person has been tendered the compensation
   as provided under Section 31(1) of the 1894 Act, it is not open to      D
   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). The landowners who had refused to accept compensation
   or who sought reference for higher compensation, cannot claim
                                                                           E
   that the acquisition proceedings had lapsed under Section 24(2)
   of the 2013 Act.
       366.6. The proviso to Section 24(2) of the 2013 Act 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 1894 Act and          F
   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 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
                                                                           G
   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 2013 Act came into force, in a
                                                                           H
634             SUPREME COURT REPORTS                         [2022] 16 S.C.R.


A            proceeding for land acquisition pending with the authority concerned
             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 2013 Act does not give rise to new
             cause of action to question the legality of concluded proceedings
B            of land acquisition. Section 24 applies to a proceeding pending on
             the date of enforcement of the 2013 Act 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
C            acquisition.”
             3. In view of the above and for the reasons stated above, the
      impugned judgment and order passed by the High Court declaring that
      the land acquisition proceedings with respect to the land in question has
      lapsed under Section 24(2) of the Act, 2013 is unsustainable and the
D     same deserves to be quashed and set aside and is accordingly quashed
      and set aside.
             Present appeal is accordingly allowed. No costs.
             Pending application, if any, also stands disposed of.
E
      Devika Gujral                                                  Appeal allowed.
      (Assisted by : Mahendra Yadav, LCRA)




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