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Supreme Court of India

THE STATE OF MAHARASHTRAversusNANAKCHAND PYARMAL AND ORS.

Citation
1995 INSC 772
Decided
22 November 1995
Disposal
Disposed off

Holding

The reference application under section 28A(1) must be kept pending until the High Court decides the appeal, and the Collector may act only after that judgment.

Summary

The State of Maharashtra acquired land under a notification of the Land Acquisition Act, 1894 and the Collector made an award of compensation that the respondents accepted. One claimant later obtained a reference under section 18, and the District Judge enhanced the compensation to Rs.10 per square metre. The State appealed this award and obtained a stay. The respondents then filed an application under section 28A(1) for redetermination of compensation based on the District Judge's award. While the High Court was hearing the State's appeal, the respondents filed a writ petition seeking a declaration of the award. The Supreme Court held that because the award is already the subject of an appeal pending before the High Court, the reference application under section 28A(1) must remain pending until the High Court decides, and the Collector may act only after that judgment. The writ petition was dismissed and the appeal was disposed of without costs.

Issues considered

  • Whether a reference application under section 28A(1) of the Land Acquisition Act can be proceeded with while the award is under appeal in the High Court.
  • Whether the Collector may take action on the reference application before the High Court renders its judgment.

Legislation cited

Subjects

Land acquisitionCompensationSection 28A(1) referenceAppeal pendingCollectorHigh CourtSupreme Court

Judgment

                      THE STATE OF MAHARASHTRA                                    A
J                                       v.
                   NANAKCHAND PYARMAL AND ORS.

                             NOVEMBER 22, 1995
                                                                                  B
                [K. RAMASWAMY AND B.L. HANSARIA, JJ.]

          Land Acquisition Act, 1894:

          S.28A(l)-Reference application-Award subject matter of appeal
    pending in the High Court-Collector to take action only on the basis of the   c
    judgment that might be rendered-Directions issued.

          For certain lands acquired under a notification u/s. 4(1) of the Land
    Acquisition Act, the Collector made the award and paid compensation
    which was accepted by the respondents without protest. One of the D
    claimants covered under the same notification sought reference under
    section 18 and the District Judge, enhanced the compensation to Rs. 10
    per square meter. The State's appeal against the award was admitted and
    ad interim stay of the award and decree of the District Court was granted
    subject to certain conditions. Thereafter the respondents filed an applica- E
    tion under section 28A(l) for redetermination for the amount of compen-
    sation to their lands on the basis of the said award of the District Judge.
    The Collector made a draft award and referred the matter to the State
    Government for approval. At that stage the respondents filed a writ
    petition in the High Court, which directed the Land Acquisition Officer to
                                                                                F
    declare the award by the end of November 1992. Hence this appeal.

          Disposing of the appeal, this Court

          HELD : In view of the fact that the award of the Reference Court is
    already the subject matter of the appeal pending decision in the High         G
    Court, appropriate course would be to keep the reference application
    made under section 28A(l) of the Land Acquisition Act pending till
    disposal of the appeal in the High Court. The Collector shall take action
    only on the basis of the judgment that may be rendered by the High Court.
    Until then, the matter be kept pending. [580-H; 581-A]                        H
                                        579
    580                       SUPREME COURT REPORTS [1995) SUPP. 5 S.C.R.

A            CIVIL APPELLATE JURISDICTION: Civil Appeal No. 11425 of"
    1995.

         From the Judgm~nt and Order dated 24.8.92 of the Bombay High
    Court in W.P. No. 1802 of 1992.

B            S.M. Jadhav and D.M. Nargolkar for the Appellant.

             U.N. Bachawat, Dr. R.B. Nargolkar and K.L. Taneja for the Respon-
    dents.

             The following Order of the Court was delivered :
c
             Leave granted.

          We have heard learned counsel on both sides. Notification under
    section 4(1) of the Land Acquisition Act was published on February 4, 1970    \
    acquiring a large extent of land. The Collector made the award and paid
D   compensation which was accepted by the respondents without protest. It
    would appear that one of the claimants covered under the same notification
    sought reference under. section 18 and the District Judge, Raigarh at
    Alibag in Reference No. 183/86 enhanced the compensation to Rs. 10 per
    square meter by his award and decree dated November 6, 1987. Against
E   the said award and decree, the State carried First Appeal No. 1038/88
    which was admitted on February 16, 1989 and ad iiitelim stay of the award
    and decree of the District Court was granted subject to certain conditions.

           The respondents thereon filed an application under section 28A(l)
    on February 2, 1988 for redetermination of the amount of compensation to
F   their lands on the basis of the said award of the District Judge. It would
    appear from the record that the Collector made a draft award and referred
    the matter to the State Government for approval. At that stage the respon-
    dents filed a writ petition in the High Court. A Division Bench of the High
    Court by the impugned order dated August 24, 1922 directed the Land
G   Acquisition Officer to declare the award by the end of November 1992.
    Thus this appeal by special leave.

          In view of the fact that the award of the Reference Court, referred
    to hereinbefore, is already the subject matter of the appeal pending
    decision in the High Court, appropriate course would be to keep the
H   reference application made under section 28A(l) pending till disposal of
                  STATE v. NANAK.CHAND PYARMAL                        581

the appeal in the High Court. The Collector shall take action only on the   A
basis of the judgment that may be rendered by the High Court. Until then,
the matter be kept pending. The writ petition stands dismissed subject to
the above direction.

       The appeal is accordingly disposed of. No costs.
                                                                            B
G.N.                                                  Appeal disposed of.


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