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Supreme Court of India

UNION OF INDIAversusJAGDISH AND ORS.

Citation
1995 INSC 191
Decided
21 March 1995
Disposal
Appeal(s) allowed

Holding

Claimants are not entitled to the additional amount under Section 23(1‑A) because the award predates the amendment, rendering the provision inapplicable.

Summary

The Union of India appealed against the Delhi High Court’s order granting claimants an additional amount at 12% per annum under Section 23(1‑A) of the Land Acquisition Act, 1894. The claimants sought this interest for the period between the notification of acquisition and the award of compensation. The Supreme Court observed that the Collector’s award in both cases was made before the Land Acquisition (Amendment) Act 68 of 1984, which introduced Section 23(1‑A), came into force on 24 September 1984. Consequently, the amendment could not be applied retrospectively, and the claimants were not entitled to the additional amount. The Court set aside that portion of the High Court’s judgment while confirming the remainder, and dismissed any costs.

Issues considered

  • Whether claimants are entitled to the additional amount payable at 12% per annum under Section 23(1‑A) of the Land Acquisition Act when the award was made before the amendment introducing that provision came into force.

Legislation cited

Subjects

Land acquisitionAmendment ActAdditional compensationInterestSection 23(1‑A)Retrospective applicationSupreme Court

Judgment

A                              UNION OF INDIA
                                     v.                                                     r


                              JAGDISH AND ORS.                                          ~

                                MARCH 21, 1995

B              [K. RAMASWAMY, N. VENKATACHALA AND
                          · S. SAGHIR AHMAD, JJ.]

          Land Acquisition Act, 1894
                                                                                      ....,.._
            S.23(1-A) as amended by Amending Act 68 of 1984-Additional
c   ·amount at the rate of 12% per annum-Grant of-Held:claimants not entitled
     to since the award was made prior to coming into force of the Amending Act
     68 of 1984.

          In these two appeals preferred by the Union of India, the grant of
D additional amount under Section 23(1·A) of the Land Acquisition Act by
    the High Court, has been challenged.

          Allowing the· appeals, this Court.

          HELD: 1. Admittedly, the award of the Collector in both these cases
E were made well before the Land Acquisition (Amendment) Act 68 of 1984
    came into force on September 24, 1984. Therefore, the claimants are not
    entitled to get the additional amount payable at the rate of 12% per annum
    under S.23(1·A) of the Land Acquisition Act for the period between the
    date of notification and the date of award whichever is earlier. [927-C]
F        2. The judgment of the High Court to the extent of grant of additional
    amount under s.23 (l·A) is set aside. In other respects, the judgment         \.-.-,...,
    stands confirmed. [927-G]

          CIVIL APPELLATE JURISDICTION: Civil Appeal No. 4188 of                      r-
G   1995 etc.

        From the Judgment and Order 20.9.93 of the Delhi High Court in
    RF.A. No. 343 of 1985.
                                                                                       ~·
          N.N. Goswami, Sr. Adv., Ms. Bindu Tamta and S.N. Terdol with him
H   for the Appellant.
                                      926
)
                               U.0.1. v. JAGDISH                            927
           The following Order of the Court was delivered :

           CA.' No. 4188/95 (@ SLP 740/95)

           Leave granted.

          Notification under s.4(1) of the Land Acquisition Act was published B
    in the Gazette on November 1, 1978. The award of the Collector bears No.
    26 of !980-81. Therefore, the award is made weil before the Land Acquisi-
    tion (Amendment) Act 68/1984 came into force on September 24, 1984. In
    consequence, the claimants are not entitled to get the additional amount
    payable at the rate of 12% per annum under s.23(1-A) for the period C
    between the date of the notification and the date of the award or the date
    of taking possession whichever is earlier; yet the same is awarded by the ~
    High Court. The appeal is, accordingly, allowed. The judgment to the
    extent of grant of additional amount under s.23(1-A) stands set aside. In
    other respects, the judgment stands confirmed. No .costs.
                                                                                    D
           CA. NO. 4189/95 (@SLP 8736/94 (CC 28723)

          Admittedly, the notification under s.4(1) of the Land Acquisition Act
    was published on June 4, 1977. The award of the Collector under s.11 was
    made on 22.7.81, i.e. before s.23 (1- A) of the Land Acquisition Act as         E
    amended by Amendment Act 68/84. had come into force. Under those
    circumstances, the claimants are not entitled to the payment of additional
    amount at 12% per annum under s.23(1-A) on such market value for the
    period commencing on and from the date of the publication of the notifica-
    tion under s.4(1) in respect of such land to the date of the award of the
    Collector or the date of the taking possession of the land whichever is         F
    earlier. Since the award of the Collector was earlier in point of time to the
    date of the Amendment Act coming into force, the respondent is not
    entitled to the additional amount as envisaged under s.23(1-A). The High
    Court, therefore, was not right in awarding the additional amount. The
    appeal is allowed and the decree to the extent of awarding additional
    amount under s.23(1-A) is set aside. In other respects, the award as upheld     G
    by the High Court, stands confirmed. No costs.

    G.N.                                                        Appeal allowed.


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