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Land Acquisition Act, 1894

 Introduction to Land Acquisition Act

1. Short title, extent and commencement

(1) This Act may be called the Land Acquisition Act, 1894.


(2) It extends to the whole of India 1[except the State of Jammu and Kashmir]


(3) It shall come into force on the 1st day of March 1894.


——————–


1. Subs. by Act No. 68 of 1984, (w.e.f. 24-9-1984).

 


2. Repeal and saving

[Repealed partly by the Repealing and Amending Act, 1914 (X of 1914) Section 3 and Sch. II and partly by the Repealing Act, 1938 (1 of 1938 Section 2 and Sch.]

 


3. Definitions

In this Act, unless there is something repugnant in the subject or context, –


(a) The expression “land” includes benefits to arise out of land and things attached to the earth or permanently fastened to anything attached to the earth;


1[“(aa) The expression “local authority” includes a town planning authority (by whatever name called) set up under any law for the time being in force];


(b) The expression “person interested” includes all persons claiming an interest in compensation to be made because of the acquisition of land under this Act-, and a person shall be deemed interested in land if he is interested in an easement affecting the land;


(c) The expression “Collector” means the Collector of a district, and includes a Deputy Commissioner and any officer specially appointed by the Appropriate Government to perform the functions of a Collector under this Act;


1[(cc) The expression “corporation owned or controlled by the State” means any body corporate established by or under a Central, Provincial or State Act, and includes a Government company as defined in Section 617 of the Companies Act, 1956 (1 of 1956), a society registered under the Societies Registration Act, 1860 (21 of 1860). or under any corresponding law for the time being in force in a state being a society established or administered by Government and a cooperative society within the meaning of any law relating to co-operative societies for the time being in force in any State, being a co-operative society in which not less than fifty-one per centum of the paid-tip share capital is held by the Central Government, or by any State Government or Governments, or partly by the Central Government and partly by one or more State Governments,]”


(d) The expression “Court” means a principal Civil Court of original jurisdiction, unless the Appropriate Government has appointed (as it is hereby empowered to do) a special judicial officer within any specified local limits to perform the functions of the Court under this Act;


(e) The expression “company” means-


(i) A company as defined in Section 3 of the Companies Act, 1956 (1 of 1956), other than a Government company referred to in clause (cc);


(ii) A society registered under the Societies Registration Act, 1860 (21 of 1860), or under any corresponding law for the time being in force in a State, other than a society referred to in clause (cc);


(iii) A co-operative society within the meaning of any law relating to co-operative societies for the time being in force in any State, other than a co-operative society referred to in clause (cc);


(ee) The expression “appropriate Government” means in relation to acquisition of land for the purposes of the Union the Central Government, and, in relation to acquisition of land for any other purposes, the State Government;


2[(f) The expression “public purpose” includes-


(i) The provision of village-sites, or the extension, planned development or improvement of existing village-sites;


(ii) The provision of land for town or rural planning;


(iii) The provision of land for planned development of land from public funds in pursuance of any scheme or policy of Government and subsequent disposal thereof in whole or in part by lease, assignment or outright sale with the object of securing further development as planned;


(iv) The provision of land for a corporation owned or controlled by the State;


(v) The provision of land for residential purposes to the poor or landless or to persons residing in areas affected by natural calamities, or to persons displaced or affected by reason of the implementation of any scheme undertaken by Government, any local authority or a corporation owned or controlled by the State;


(vi) The provision of land for carrying out any educational, housing, health or slum clearance scheme sponsored by Government, or by any authority established by Government for carrying out any such scheme, or, with the prior approval of the appropriate Government, by local authority, or a society registered under the Societies Registration Act, 1860 (21 of 1860), or under any corresponding law for the time being in force in a State, or a co-operative society within the meaning of any law relating to co-operative societies for the time being in force in any State;


(vii) The provision of land for any other scheme of development sponsored by Government or, with the prior approval of the appropriate Government, by a local authority;


(viii) The provision of any premises or building for locating a public office, but does not include acquisition of land for companies]


(g) The following persons shall be deemed persons “entitled to act” as and to the extent hereinafter provided (that is to say)-


Trustees for other persons beneficially interested shall be deemed the persons entitled to act with reference to any such case, and that to the same extent as the persons beneficially interested could have acted if free from disability; a married woman, in cases to which the English law is applicable, shall be deemed the person so entitled to act, and, whether of full age or not, to the same extent as if she were unmarried and of full age; and the guardians of minors and the committees or managers of lunatics or idiots shall be deemed respectively the persons so entitled to act to the same extent as the minors, lunatic or idiots themselves, if free from disability, could have acted:


Provided that-


(i) No person shall be deemed “entitled to act” whose interests in the subject matter shall be shown to the satisfaction of the Collector or Court to be adverse to the interest of the person interested for which he would otherwise be entitled to act;


(ii) In every such case the person interested may appear by a next friend, or, in default of his appearance by a next friend, the Collector or Court, as the case may be, shall appoint a guardian for the case to act on his behalf in the conduct thereof,


(iii) The provisions of 2[Order XXXI of the first schedule to the Code of Civil Procedure, 1908 (5 of 1908)], shall, mutatis mutandis, apply in the case of persons interested appearing before a Collector or Court by a next friend, or by a guardian for the case, in proceedings under this Act; and


(iv) No person “entitled to act” shall be competent to receive the compensation money payable to the person for whom he is entitled to act, unless he would have been competent to alienate the land and receive and give a good discharge for the purchase money on a voluntary sale.


——————–


1. Ins by Act No.68 of l984, sec. 3 (w.e.f. 24-9-1984).


2. Subs. by Act No.68 of 1984, (w.e.f. 24-9-1984).

 


4. Publication of preliminary notification and powers of officers there upon

(1) Whenever it appears to the appropriate Government that land in any locality is needed or is likely to be needed for any public purpose or for a company a notification to that effect shall be published in the official Gazette 1[and in two daily newspapers circulating in that locality of which at least one shall be in the regional language] and the Collector shall cause public notice of the substance of such notification to be given at convenient places in the said locality 1[the last of the dates of such publication and the giving of such public notice, being hereinafter referred to as the date of publication of die notification].


(2) Thereupon it shall be lawful for any officer, either, generally or specially authorised by such government in this behalf, and for his servants and workers, to enter upon, survey, and take levels of any land in such locality;


To dig or bore in the sub-soil;


To do all other acts necessary to ascertain whether the land is adapted for Such Purposes;


To set out the boundaries of the land proposed to be taken and the intended line of the work (if any) proposed to be made thereon;


To mark such levels, boundaries and line by placing marks and cutting trenches and, where otherwise the survey cannot be completed and the levels taken and the boundaries and line marked, to cut down and clear away any part of any standing crop, fence and jungle:


Provided that no person shall enter into any building or upon any enclosed court or garden attached to a dwelling house (unless with the consent of the occupier thereof) without previously giving such occupier at least seven day’s notice in writing of his intention to do so.


——————–


1. Ins by Act No. 68 of 1984 sec.4 (w.e.f. 24-9-1984).

 


5. Payment for damage

The officer so authorised shall at the time of such entry pay or tender payment for all necessary damage to be done as aforesaid, and in case of dispute as to the sufficiency of the amount so paid or tendered, he shall at once refer the dispute to the decision of the Collector or other Chief Revenue officer of the district and such decision shall be final.

 


5A. Hearing of objections

(1) Any person interested in any land which has been notified under Section 4, sub-section (1), as being needed or likely to be needed for a public purpose or for a company may, within thirty days form the date of the publication of the notification, object to the acquisition of the land or of any land in the locality, as the case may be.


(2) Every objection under subsection (1) shall be made to the Collector in writing and the Collector shall give the objector, an opportunity of being heard in person or by any person authorised by him in this behalf or by pleader and shall, after hearing all such objections and after making such further inquiry, if any, as he thinks necessary, either make a report in respect of the land which has been notified under Section 4, subsection (1), or make different reports in respect of different parcels of such land, to the appropriate Government containing his recommendations on the objections, together with the record of the proceedings held by him. for the decision of that Government. The decision of the Appropriate Government on the objections shall be final.


(3) For the purposes of this section, a person shall he deemed to be in load who would be entitled to claim an interest in compensation if the land were acquired under this Act.

 


6. Declaration that land is required for a public purpose

(1) Subject to the provisions of’ Part VII of this Act, when the Appropriate Government is satisfied after considering the report, if any, made under Section 5A, subsection (2), that any particular land is needed for a public purpose, or for a company, a declaration shall be made to that effect under the signature of a Secretary to such Government or of some officer duly authorised to certify its orders and different declarations may be made from time to time in respect of different parcels of any land covered by the same notification under Section 4, sub section (1), irrespective of whether one report or different reports has or have been made (wherever required) under Section 5-A, sub-section (2):


1[Provided that no declaration in respect of any particular land covered by a notification under Section 4, subsection (1), –


(i) Published after the commencement of the Land Acquisition (Amendment and Validation) Ordinance, 1967 but before the commencement of the Land Acquisition (Amendment) Act, 1984 shall he made after the expiry of three years front the date of the publication of the notification; or


(ii) Published after the commencement of the Land Acquisition (Amendment) Act, 1984, shall be made after the expiry of one year from the date of the publication of the notification:


Provided further that no such declaration shall be made unless the compensation to be awarded for such property is to be paid by a company, or wholly or partly out of public revenues or some fund controlled or managed by a local authority,


2[Explanation 1


In computing any of the periods referred to in the first proviso the period during which any action or proceeding to be taken in pursuance of the notification issued under Section 4, subsection (1), is stayed by an order of a Court shall be excluded.


Explanation 2


Where the compensation to be awarded for such property is to he paid out of the funds of a corporation owned or controlled by the State, such compensation shall be deemed to be compensation paid out of public revenues].


(2) Every declaration shall be published in the Official Gazette, 1[and in two daily newspapers circulating in the locality in which the land is Situate of which at least on, shall be in the regional language, and the Collector shall cause public notice of the substance of such declaration to be given at convenient places in the said locality (the last of the date of such publication and the giving of such public notice, being herein after referred to as the date of publication of the declaration), and such declaration shall state] the district or other territorial division in which the land is situate, the purpose for which it is needed, its approximate area, and where a plan shall have been made of the land, the place where such plan may be inspected.


(3) The said declaration shall be conclusive evidence that the land is needed for a public purpose or for a company, as the case may be; and, after making such declaration the Appropriate Government may acquire the land in a manner hereinafter appearing.


——————–


1. Subs. by Act No. 68 of 1984, sec. 6 (w.e.f. 24-9-1984).


2. Ins by Act No. 68 of 1984, sec. 6 (w.e.f. 24-9-1984).

 


7. After declaration, Collector to take order for acquisition

Whenever any land shall have been so declared to be needed for a public purpose or for a company, the appropriate Government or some officer authorised by the appropriate Government in this behalf, shall direct the Collector to take order for the acquisition of the land.

 


8. Land to be marked out, measured and planned

The Collector shall thereupon cause the land (unless it has been already marked out under Section 4), to he marked out. He shall also cause it to be measured, and (if no plan has been made thereof), a plan to be made of the same.

 


9. Notice to persons interested

(1) The Collector shall then cause public notice to be given at convenient places on or near the land to be taken, stating that the Government intends to take possession of the land, and that claims to compensation for all interests in such land may be made to him.


(2) Such notice shall state the particulars of the land so needed, and shall require all persons interested in the land to appear personally or by agent before the Collector at a time and place therein mentioned (such time not being earlier than fifteen days after the date of publication of the notice), and to state the nature of their respective interests in the land and the amount and particulars of their claims to compensation for such interests, and their objections (if any) to the measurements made under Section 8. The Collector may in any case require such statement to be made in writing and signed by the party or his agent.


(3) The Collector shall also serve notice to the same effect on the occupier (if any) of such land and on all such persons known or believed to be interested therein, or to be entitled to act for persons so interested, as reside or have agents authorised to receive service on their behalf, within the revenue district in which the land is situate.


(4) In case any person so interested resides elsewhere, and has no such agent the notice shall be sent to him by post in A letter addressed to him at his last known residence, address or place of business and1[registered under Sections 28 and 29of the Indian Post Office Act, 1898 (6 of 1898)].


——————–


1. Subs. by Act 68 of 1984, sec. 7 (w.e.f. 24-9-1984).

 


10. Power to require and enforce the making of statements as to names and interests

(1) The Collector may also require any such person to make or deliver to him, at a time and place mentioned (such time not being earlier than fifteen days after the date of the requisition), a statement containing, so far as may be practicable, the name of every other person possessing any interest in the land or any part thereof as co-proprietor, mortgagee, tenant or otherwise, and of the nature of such interest, and of the rents and profits (if any) received or receivable on account thereof for three years next preceding the date of the statement.


(2) Every person required to make or deliver a statement under this section or Section 9 shall be deemed to be legally bound to do so within the meaning of Sections 175 and 176 of the Indian Penal Code.


Enquiry into measurements, value, claims, and award by the Collector.

 


11. Enquiry and award by Collector

1[(1)] On the day so fixed, or any other day to which the enquiry has been adjourned, the Collector shall proceed to enquire into the objections (if any) which any person interested has stated pursuant to a notice given under Section 9 to the measurements made under Section 8, and into the value of the land and at the date of the publication of the notification under Section 4, subsection (1), and into the respective interests of the persons claiming the compensation, and shall make an award under his hand of-


(i) The true area of the land;


(ii) The compensation which in his opinion should be allowed for the land; and


(iii) The apportionment of the said compensation among all the persons known or believed to he interested in the land, of whom, or of whose claims, he has information, whether or not they have respectively appeared before him:


2[Provided that no award shall be made by the Collector under this subsection without the previous approval of the appropriate Government or of such officer as the appropriate Government may authorise in this behalf:


Provided further that it shall be competent for the Appropriate Government to direct that the Collector may make such award without such approval in such class of cases as the Appropriate Government may specify in this behalf];


3[(2) Notwithstanding anything contained in sub-section (1), if at any stage of the proceedings, the Collector is satisfied that all the persons interested in the land who appeared before him have agreed in writing on the matters to be included in the award of the Collector in the form prescribed by rules made by the appropriate Government, he may, without making further enquiry, make an award according to the terms of such agreement.


(3) The determination of compensation for any land under sub-section (2) shall not in anyway affect the determination of compensation in respect of other lands in the same locality or elsewhere in accordance with the other provisions of this Act.


(4) Notwithstanding anything contained in the Registration Act, 1908 (16 of 1908) no agreement made under subsection (2) shall be liable to registration under that Act.]


——————–


1. Section 11 re-numbered as sub-section (1) thereof by Act No. 68 of 1984, sec. 8.


2. Ins. by Act No. 68 of 1984, (w.e.f. 24-9-1984).

 


11A. Period within which an award shall be made

1[11A. Period within which an award shall be made. (1) The Collector shall make an award under Section 11 within a period of two years from the date of the publication of the declaration and if no award is made within that period, the entire proceedings for the acquisition of the land shall lapse:


Provided that in a case where the said declaration has been published before the commencement of the Land Acquisition (Amendment) Act, 1984, the award shall he made within a period of two years from such commencement.


Explanation


In computing the period of two years referred to in this section the period during which any action or proceeding to be taken in pursuance of the said declaration is stayed by an order of a Court shall be excluded.).


——————–


1. Ins. by Act No. 68 of 1984, sec. 9 (w.e.f. 24-9-1984).

 


12. Award of Collector when to be final

(1) Such award shall be filed in die Collector’s office and shall, except as hereinafter provided, be final and conclusive evidence, as between the Collector and the persons interested, whether they have respectively appeared before the Collector or riot, of the true area and value of the land, and apportionment of the compensation among the persons interested.


(2) The Collector shall give immediate notice of his award to such of the persons interested as are not present personally or by their representatives when the award is made.

 


13. Adjournment of enquiry

The Collector may, for any cause he thinks fit, from time to time, adjourn the enquiry to a day to be fixed by him.


1[13A. Correction of clerical errors, etc.


(1) The Collector may, at any time but not later than six months from the date of the award, or where he has been required under Section 18 to make a reference to the Court, before the making of such reference, by older, correct any clerical or arithmetical mistakes in the award or errors arising therein either on his own motion or on the application of any person interested or a local authority:


Provided that no correction, which is likely to affect prejudicially any person, shall be made unless such person has been given a reasonable opportunity of making a representation in the matter.


(2) The Collector shall give immediate notice of any correction made in the award to all the persons interested,


(3) Where any excess amount is proved to have been paid to any person as a result of the correction made under sub-section (1), the excess amount so paid shall be liable to be refunded and in the case of any default or refusal to pay, the same may he recovered as all arrear of’ land revenue.]


——————–


1. Ins by Act No. 68 of 1984, sec. 10 (w.e.f. 24-9-1984).

 


14. Power to summon and enforce attendance of witnesses and production of documents

For the purpose of enquiries under this Act the Collector shall have power to summon and enforce the attendance of witnesses, including tree parties interested or any of them, and to compel the production of documents by the same means, and (so far as may be) in the same mariner as is provided in the case of a Civil Court under the 1[Code of Civil Procedure, 1908 (5 of 1908).]


——————–


1. Subs by Act No. 68 of 1984. sec. 11 (w.e.f. 24-9-1984).

 


15. Matters to be considered and neglected

In determining the amount of compensation, the Collector shall be guided by the provisions contained in Sections 23 and 24.

 


15A. Power to call for records, etc

1[15A. Power to call for records, etc. The appropriate Government may at any time before the award is made by the Collector under Section 11 call for any record to any proceedings (whether by way of enquiry or otherwise) for the purpose of satisfying itself as to the legality or propriety of any finding or order passed or as to the regularity of such proceedings and may pass such order or issue such direction in relation thereto as it may think fit:


Provided that the appropriate Government shall not pass or issue any order or direction prejudicial to any person without affording such person a reasonable opportunity of being heard.]


——————–


1. Ins by Act No. 68 of 1984., sec.12 (w.e.f. 24-9-1984).

 


16. Power to take possession

When the Collector has made an award under Section 11, he may take possession of the land, which shall thereupon vest absolutely in the Government, free from all encumbrances.

 


17. Special powers in cases of urgency

(1) In cases of urgency, whenever the Appropriate Government so directs, the Collector, through no such award has been made, may, on the expiration of fifteen days from the publication of the notice mentioned in Section 9, sub-section (1), 1[take possession of any land needed for a public purpose] Such land shall thereupon vest absolutely in the Government, free from all encumbrances.


(2) Whenever owing to any sudden change in the channel of any navigable river or other unforeseen emergency, it becomes necessary for any Railway administration to acquire the immediate possession of any land for the maintenance of their traffic or for the purpose of making thereon a river-side or ghat station, or of providing convenient connection with or access to any such station, 2[or the appropriate Government considers it necessary to acquire the immediate possession of any land for the purpose of maintaining any structure or system pertaining to irrigation, water supply, drainage, road communication or electricity,] the Collector may, immediately after the publication of the notice mentioned in sub-section (1) and with the previous sanction of the appropriate Government, enter upon and take possession of such land, which shall thereupon vest absolutely in the Government free from all encumbrances.


Provided that the Collector shall not take possession on any building or part of a building under this sub-section without giving to the occupier thereof at least forty-eight hours’ notice of his intention so to do, or such longer notice as may be reasonably sufficient to enable such occupier to remove his movable property from such bundling without unnecessary inconvenience.


(3) In every case under either of the proceeding subsections the Collector shall at the time of taking possession offer to the persons interested, compensation for the standing crops and trees (if any) on such land and for any other damage sustained by them caused by such sudden dispossession and not excepted in Section 24; and, in case such offer is not accepted, the value of such crops and trees and the amount of such other damage, shall be allowed for in awarding compensation for the land under the provisions herein contained,


2[(3A) Before taking possession of any land under subsection (1) or subsection (2), the Collector shall, without prejudice to the provisions of sub-section (3), –


(a) Tender payment of eight per centum of the compensation for such land as estimated by him to the persons interested entitled thereto, and


(b) Pay it to them, unless prevented by some one or more of the contingencies mentioned in Section 31, sub-section (2), and where the Collector is so prevented, the provisions of Section 31, subsection (2), (except the second proviso thereto), shall apply as they apply to the payment of compensation under that section.


(3-B) The amount paid or deposited under sub-section (3A), shall be taken into account for determining the amount of compensation required to he tendered under Section 31, and where the amount so paid or deposited exceeds the compensation awarded by the Collector under Section II, the excess may, unless refunded within three months from the date of the Collector’s award, be recovered as an arrear of land revenue.]


(4) In the cases of any land to which, in the opinion of the appropriate Government, the provisions of subsection (1), or subsection (2) are applicable, the appropriate Government may direct that the provisions of Section 5A shall not apply, and, if it does so direct, a declaration may be made under Section 6 in respect of the land at any time 1[after the date of the publication of the notification] under Section 4 subsection (1)


——————–


1. Subs. by Act No. 68 of 1984, (w.e.f. 24-9-1984).


2. Ins. by Act No.68 of 1984 (w.e.f. 24-9-1984).

 


18. Reference to Court

(1) Any person interested who has not accepted the award may, by written application to the Collector, require that the matter be referred by the Collector for the determination of the Court, whether his objection be to the measurement of the land, the amount of the compensation, the persons to whom it is payable, or the apportionment of the compensation among the persons interested.


(2) The application shall state the grounds on which objection to the award is taken:


(a) If the person making it was present or represented before the Collector at die time when he made his award, within six weeks from the date of the Collector’s award;


(b) In other cases, within six weeks of the receipt of the notice from the Collector under Section 12, sub-section (2); or within six months from the date of the Collector’s award, whichever period shall first expire.

 


19. Collector’s statement to the Court

(1) In making the reference, the Collector shall state, for the information of the Court, in writing under his hand-


(a) The situation and extent of the land, with particulars of any trees, buildings or standing crops thereon;


(b) The names of the persons whom he has reasons to think interested in such land;


(c) The amount awarded for damages and paid or tendered under Sections 5 and 17, or either of them, and the amount of compensation awarded under Section 11; 1[* * *]


2[(cc) The amount paid or deposited under subsection (3A) of Section 17; and]


(d) If the objection be to the amount of the compensation, the grounds on which the amount of compensation was determined.


(2) To the said statement, shall be attached a Schedule giving the particulars of the notices served upon, and of the statements in writing made or delivered by the parties interested, respectively.


——————–


1. The word “and” omitted by Act No. 68 of 1984, (w.e.f. 24-9-1984). Sec. 14


2. Ins. by Act No. 68 of 1984, sec. 14 (w.e.f. 24-9-1984.

 


20. Service of notice

The Court shall thereupon cause a notice, specifying the day on which the Court will proceed to determine the objection, and directing their appearance before the Court on that day, to be served on the following person, namely, –


(a) The applicant;


(b) All persons interested in the objection, except such (if any) of them as have consented without protest to receive payment of the compensation awarded; and


(c) In the objection is in regard to the area of the land or to the amount of compensation, the Collector.

 


21. Restriction on scope of proceedings

The scope of the inquiry in every such proceeding shall be restricted to a consideration of the interests of the persons affected by the objection.

 


22. Proceedings to be in open Court

Every such proceeding shall take place in open court, and all persons entitled to practice in any Civil Court in the State shall he entitled to appear, plead and act (as the case may be) in such proceeding.

 


23. Matters to be considered in determining compensation

(1) In determining the amount of compensation to be awarded for land acquired under this Act, the Court shall take into consideration-


First, the market value of the land at the date of the publication of the notification under Section 4, sub-section (1);


Secondly, the damage sustained by the person interested, by reason of the taking of any standing crops or trees which may be on the land at the time of the Collector’s taking possession thereof,


Thirdly, the damage (if any), sustained by the person interested, at the time of the Collector’s taking possession of the land, by reason of severing such land from his other land;


Fourthly, the damage (if any), sustained by the person interested, at the time of the Collector’s taking possession of the land, by reason of the acquisition injuriously affecting his other property, movable or immovable, in any other manner, or his earnings;


Fifthly, if, in consequence of the acquisition of the land by the Collector, the person interested is compelled to change his residence or place of business, the reasonable expenses (if any) incidental to such change; and


Sixthly, the damage (if any) bona fide resulting from diminution of the profits of the land between the time of the publication of the declaration under Section 6 and the time of the Collector’s taking possession of the land.


1[(1A) In addition to the market value of the land above provided, the Court shall in every case award an amount calculated at the rate of twelve per centum per annum of such market-value for the period commencing on and from the date of the publication of the notification under Section 4, sub-section (1), in respect of such land to the date of the award of the Collector or the date of taking possession of the land, whichever is earlier.


Explanation


In computing the period referred to in this sub-section, any period or periods during which the proceedings for the acquisition of the land were help up on account of any stay or injunction by the order of any court shall be excluded.]


(2) In addition to the market value of the land, as above provided, the court shall in every case award a sum of 2[thirty per centum] on such market value, in consideration of the compulsory nature of the acquisition.


——————–


1. Ins by Act No. 68 of 1984, sec. 15 (w.e.f. 24-9-1984), regarding its application to proceedings pending on or after 30. 4.1982.


2. Subs. by Act No. 68 (w.e.f. 24-9-1984).

 


24. Matters to be neglected in determining compensation

But the court shall not take into consideration-


First, the degree of urgency, which has led to the acquisition;


Secondly, any disinclination of the person interested to part with the land acquired;


Thirdly, any damage sustained by him, which, if caused by a private person, would not tender such person liable to a suit;


Fourthly, any damage which is likely to be caused to the land acquired, after the date of the publication of the declaration under Section 6, by or in consequence of- the use to which it will be put;


Fifthly, any increase to the value of the land acquired likely to accrue from the use to which it will be put when acquired;


Sixthly, any increase to the value of the other land of the person interested likely to accrue from the use to which the land acquired will be put;


Seventhly, any outlay or improvements on, or disposal of, the land acquired, commenced, made or effected without the sanctified of the Collector after the date of the publication of the notification under Section 4, sub-section (1); or]


1[Eighthly, any increase to the value of the land on account of its being Hart to ally use which is forbidden by land or opposed to public policy.)


——————–


1. Ins. by Act No. 68 of 1984, sec. 16 (w.e.f. 24-9-1984).

 


25. Amount of compensation awarded by Court not to be lower than the amount awarded by the Collector

1[25. Amount of compensation awarded by court not to be lower than the amount awarded by the Collector.


The amount of compensation awarded by the court shall not be less than the amount awarded by the Collector under Section 11.]


——————–


1. Sub by Act No. 68 of 1984 sec. 17 (w.e.f. 24-9-1984).

 


26. Form of awards

(1) Every award under this Part shall be in writing signed by the Judge, and shall specify the amount awarded under clause first of subsection (1) of Section 23, and also the amounts (if any) respectively awarded under each of the other clauses of the same subsection, together with the grounds of awarding each of the said amounts.


(2) Every such award shall be deemed to be a decree and the statement of the grounds of every such award a judgment within the meaning of Section 2, clause (2) and Section 2, clause (9), respectively, of the Code of Civil Procedure, 1908.

 


27. Costs

(1) Every such award shall also state the amount of costs incurred in the proceedings, under this Part, and by what persons and in what proportions they are to be paid.


(2) When the award of the Collector is not upheld, the costs shall ordinarily be paid by the Collector, unless the Court shall be of opinion that the claim of the applicant was so extravagant or that he was so negligent in putting his case before the Collector that some deduction from his costs should be made or that he should pay a part of the Collector’s costs.

 


28. Collector may be directed to pay interest on excess compensation

1[28. Collector may be directed to pay interest on excess compensation. If the sum which, in the opinion of the court, the Collector ought to have awarded as compensation is in excess of the sum which the Collector did award as compensation, the award of the Court may direct that the Collector shall pay interest on such excess at the rate of 1[nine per centum] per annum from the date on which he took possession of the land to the date of payment of such excess into court.


2[Provided that the award of the Court may also direct that where such excess or any part thereof is paid into Court after the date of expiry of a period of’ one year from die date on which possession is taken, interest at the rate of’ fifteen per centum per Minimal, shall be payable from the date of expiry of the said period of one year on the amount of such excess or part thereof which has not been paid into Court before the date of such expiry.


——————–


1. See act 68, sec. 30 (20, regarding its application to certain awards made and orders passed after 30.4.1982.


2. Ins by Act No. 68 of 1984 sec.18 (w.e.f. 24-9-1984).

 


28A. Re-determination of the amount of compensation on the basis of the award of the Court

1[28A. Re-determination of the amount of compensation on the basis of the award of the Court. (1) Where in an award under this Part, the Court allows to die applicant any amount of compensation in excess of the amount awarded by the collector under Section 11, the persons interested in all die other land covered by the Sallie notification under Section 4 subsection (1) and who are also aggrieved by the award of the Collector within three months from the date of the application to the Collector require that the amount of compensation payable to deep may be re-determined on the basis of the amount of compensation awarded by the Court:


Provided that in computing the period of three months within which an application to the Collector shall be made under this sub section, the day on which the award was pronounced and the ‘lime requisite for obtaining a copy of the award shall be excluded.


(2) The Collector shall, on receipt of an application under sub section (1), inquiry after giving notice to all the persons interested and giving them a reasonable opportunity of being heard, and make an award determining the amount of compensation payable to the applicants.


(3) Any person who has not accepted the award under subsection (2) may, by written application to the Collector, require that the matter be referred by the Collector for die determination of the Court and the provisions of Sections 18 to 28 shall, so fir as may be, apply to such reference as they apply to reference under Section 18.]


——————–


1. Ins by Act No. 68 of 1984 sec.19 (w.e.f. 24-9-1984).

 


29. Particulars of apportionment to be specified

Where there are several persons interested, if such persons agree in the apportionment of the compensation, the Particulars of such apportionment shall be specified in the award, and as between such persons the award shall he conclusive evidence of the correctness of the apportionment.

 


30. Dispute as to apportionment

When the amount of compensation has beer) settled under Section 11, it any dispute arises as to the apportionment of the same or any part thereof, or as to the persons to whom the same or any part thereof, is payable, the Collector may refer such dispute to the decision of the court.

 


31. Payment of compensation or deposit of same in Court

(1) On making an award under Section 11, the Collector shall tender payment of the compensation awarded by him to the persons interested entitled thereto according to the award, and shall pay it to them unless prevented by some one or more of the contingencies mentioned in the next sub-section.


(2) If they shall not consent to receive it, or if there be no person competent to alienate the land, or if there be any dispute as to the title to receive the compensation or as to the apportionment of it, the Collector shall deposit the amount of the compensation in the court to which a reference under Section 18 would be submitted:


Provided that any person admitted to be interested may receive such payment under protest as to the sufficiency of the amount:


Provided also that no person who has received the amount otherwise than under protest shall be entitled to make any application under Section 18:


Provided also that nothing herein contained shall affect the liability of any person, who may receive the whole or any part of any compensation awarded under this Act, to pay the same to the person lawfully entitled thereto.


(3) Notwithstanding anything in this section, the Collector may, with the sanction of appropriate Government instead of awarding a money compensation in respect of any land, make any arrangement with a person having a limited interest in such land, either by the grant of other lands in exchange, the remission of land revenue on other lands held under the same title, or in such other way as may be equitable having regard to the interest of the parties concerned.


(4) Nothing in the last foregoing sub-section shall be construed to interfere with or limit the power of the Collector to enter into any arrangement with any person interested in the land and competent to contract1in respect thereof.


——————–


1. As to who are competent to contract, see section 11 of the Indian Contract Act, 1872 (9 of 1872).

 


32. Investment of money deposited in respect of lands belonging to persons incompetent to alienate

(1) If any money shall be deposited in Court under sub-section (2) of the last preceding section and it appears that the land in respect whereof the same was awarded belonged to any person who had no power to alienate the same, the Court shall-


(a) Order the money to be invested in the purchase of other lands to be held under the like title and conditions of ownership as the land in respect of which such money shall have been deposited, was held, or


(b) If such purchase cannot be effected forthwith, then in such Government or other approved securities as the Court shall think fit;


And shall direct the payment of the interest or other proceedings arising from such investment to the person or persons who would for the time being have been entitled to the possession of the said land, and such moneys shall remain so deposited and invested until the same be applied, –


(i) In the purchase of such other lands its aforesaid; or


(ii) In payment to any person or persons becoming absolutely entitled thereto.


(2) In all cases of moneys deposited to which this section applies, the Court shall order the costs of the following matters, including therein all reasonable charges and expenses incidental thereto, to be paid by the Collector, namely. –


(a) The costs of such investments as aforesaid;


(b) The costs of the orders for the payment of the interest or other proceeds, of the securities upon which such moneys are for the time being invested, and for the payment out of Court of the principal of such moneys, and of all proceedings relating thereto, except such as may be occasioned by litigation between adverse claimants.

 


33. Investment of money deposited in other cases

When any money shall have been deposited in Court under this Act for any cause other than that mentioned in the last preceding section, the Court may, on the application of any party interested of claiming an interest in such money, order the same to be invested in such Government or other approved securities as it may think proper, and may direct the interest or other proceeds of any such investment to be accumulated and paid in such manner as it may consider will give the parties interested therein the same benefit therefrom as they might have had from the land in respect whereof such money shall have been deposited or as near thereto as may be.

 


34. Payment of interest

When the amount of such compensation is not paid or deposited on or before taking possession of the land, the Collector shall pay the amount awarded with interest thereon at the rate of 1[nine per centum per annum from the time of so taking possession until it shall have been so paid or deposited.


2[Provided that if such compensation or any part thereof is not paid or deposited within a period of one year from the date on which possession is taken, interest at the rate of fifteen per centum per annum shall be payable from the date of expiry of the said period of one year on the amount of compensation or part thereof which has not been paid or deposited before the date of such expiry”.]


——————–


1. See Act No. 68 of 1984, sec. 30 (3)regarding it’s application to certain cases of possession of acquired land before, on or after 30-4-982.


2. Ins by Act No. 68 of 1984, sec. 20 (w.e.f 24-9- 1984).

 


35. Temporary occupation of waste or arable land, procedure when difference as to compensation exists

(1) Subject to the provisions of Part VII of this Act, whenever it appears to the appropriate Government that the temporary occupation and use of any waste or arable land are needed for any public purpose, or for a company, the appropriate Government may direct the Collector to procure the occupation and use of the same for such terms as it shall think fit, not exceeding three years from commencement of such occupation.


(2)


The Collector shall thereupon give notice in writing to the persons interested in such land of the purpose for which the same is needed, and shall, for the occupation and use thereof, for such term as aforesaid, and for the materials (if any) to he taken therefrom, pay to them such compensation, either in a gross sum of money, or by monthly or other periodical payments, as shall be agreed upon in writing between him and such persons respectively.


(3) In case the Collector and the persons interested differ as to the sufficiency of the compensation or apportionment thereof, the Collector shall refer such difference to the decision of the Court.

 


36. Power to enter and take possession, and compensation on restorations

(1) On payment of such compensation, or on executing such agreement, or on making a reference under section 35, the Collector may enter upon and take possession of the land, and use or permit the use thereof in accordance with the terms of the said notice.


(2) On the expiration of the term, the Collector shall make or tender to the persons interested compensation for the damage (if any) done to the land and not provided for by the agreement, and shall restore the land to the persons interested therein:


Provided that, if the land has become permanently unfit to be used for the purpose for which it was used immediately before the commencement of such term, and if the persons interested shall so require, appropriate Government shall proceed under this Act to acquire the and as if it was needed permanently for a public purpose or for a company.

 


37. Difference as to condition of land

In case the Collector and persons interested differ as to the condition of the land at the expiration of the term, or as to any matter connected with the said agreement, the Collector shall refer such difference to, the decision of the Court.

 


38. Section

1[* * *]


——————–


1. Omitted by Act No. 68 of 1984 sec. 21 (w.e.f. 24-9- 1984).

 


38A. Industrial concern to be deemed Company for certain pur­poses

An industrial concern, ordinarily employing not less than one hundred workmen owned by an individual or by an association of individuals and not being a company, desiring to acquire land for the erection of dwelling-houses for workmen employed by the concern or for the provision of amenities directly connected therewith shall, so far as concerns the acquisition of such land, be deemed to be a company for the purposes of this Part, and the references to company in 1[Sections 4, 5A, 6, 7, and 50] shall be interpreted as references also to such concern.


——————-

1. Subs by Act No. 68 of 1984 sec. 22 for “sections 5A, 6,7,17 and 50”.

 


39. Previous consent of appropriate Government and execution of agreement necessary

The provisions of Sections 6 to 10 (both inclusive) and Sections 18 to 37 (both inclusive) shall not be put in force in order to acquire land for any company, 1[under this part] unless with the previous consent of the appropriate Government, nor unless the company shall have executed the agreement hereinafter mentioned.


——————–


1. Ins by Act No. 68 of 1984 sec. 23 (w.e.f. 24-9-1984).

 


40. Previous enquiry

(1) Such consent shall not be given unless the appropriate Government be satisfied, either on the report of the Collector under Section 5A, subsection (2), or by an enquiry held as hereinafter provided, –


(a) That the purpose of the acquisition is to obtain land for the erection of dwelling-houses for workmen employed by the Company or for the provision of amenities directly connected therewith, or


(aa) That such acquisition is needed for the construction of some building or work for a company which is engaged or is taking steps for engaging itself in any industry or work which is for a public purpose, or


(b) That such acquisition is needed for the construction of some work and that such work is likely to prove useful to the public.


(2) Such enquiry shall be held by such officer and at such time and place, as the appropriate Government shall appoint.


(3) Such officer may summon and enforce the attendance of witnesses and compel the production of documents by the same means and, as far as possible, in the same manner as is provided by the 1[Code of Civil Procedure, 1908] (5 of 1908) in the case of Civil Court.


——————–


1. Subs by Act No. 68 of 1984 sec. 24 (w.e.f. 24-9-1984).

 


41. Agreement with appropriate Government

If the appropriate Government is satisfied after considering the report, if any, of the Collector under Section 5A, sub-section (2), or on the report of the officer making an inquiry under Section 40 that the proposed acquisition is for any of the purposes referred to in clause (a) or clause (aa) or clause (b) of sub-section (1) of Section 40, it shall require the company to enter into an agreement with the appropriate Government, providing to the satisfaction of the appropriate Government for the following matters, namely,-


(1) The payment to the appropriate Government of the cost of the acquisition;


(2) The transfer, on such payment, of the land to the company;


(3) The term on which the company shall hold the land;


(4) Where the acquisition is for the purpose of erecting dwelling-houses or the provision of amenities connected therewith, the time within which, the conditions on which and the manner in which the dwelling-houses or amenities shall be erected or provided;


(4A) Where the acquisition is for the construction of any building or work for it company which is engaged or is taking steps for engaging itself in any industry or work which is for a public purpose, the time within which and the conditions on which the building or work shall be constructed or executed; and


(5) Where the acquisition is for the construction of any other work the time within which and the conditions on which the work shall be executed and maintained and the terms on which the public shall be entitled to use the work.

 


42. Publication of agreement

Every such agreement shall, is soon as may be after its execution, be published in the Official Gazette, and thereupon (so far as regards the terms on which the public shall be entitled to use the work) have the same effect its it’ it had formed part of this Act.

 


43. Sections 39 to 42 not to apply where Government bound by agreement to provide land for Companies

The provisions of Sections 39 to 42, both inclusive, shall not apply and the corresponding sections of the Land Acquisition Act, 1870 (10 of 1870), shall be deemed never to have applied, to the acquisition of land of any Railway or other Company, for the purposes of which, under any agreement with such Company, the Secretary of State for India in Council, the Secretary of State, Central Government or any State Government is or was bound to provide land.

 


44. How agreement with railway Company may be proved

In the case of the acquisition of land for the purposes of a railway company, the existence or such all agreement as is mentioned in Section 43 may be proved by the production of a printed copy thereof purporting to be printed by order of Government.

 


44A. Restriction on transfer, etc

No company for which any land is acquired under this Part shall be entitled to transfer the said land or any part thereof by sale, mortgage, gift, lease or otherwise except with the previous sanction of the appropriate Government.

 


44B. Land not to be acquired under this part except for certain purpose for private companies other than Government companies

Notwithstanding anything contained in the Act, no land shall be acquired under this Part, except for the purpose mentioned in clause (a) of sub-section (1) of Section 40, for a private company, which is not a Government company.


Explanation


”Private company” and “Government Company” shall have the meanings respectively assigned to them in the Companies Act, 1956 (1 of 1956).

 


45. Service of notices

(1) Service of any notice under this Act shall be made by delivering or tendering a copy thereof signed in the case of a notice under Section 4, by the officer therein mentioned, and in the case of’ any other notice, by an order of the Collector or the Judge.


(2) Whenever it may be practicable, the service of the notice shall be made on the person therein named.


(3) When such person cannot be found, the service may be made on any member of his family residing with him; and if no such adult male member can be found the notice may be served by fixing the copy on the outer door of the house in which the person therein named ordinarily dwells or carries on business or by fixing a copy thereof in some conspicuous place in the office of the officer aforesaid or of the Collector or in the court-house, and also in some conspicuous part of the land to he acquired:


Provided that if the Collector or Judge shall so direct, a notice may be sent by post, in a letter addressed to the person named therein at his last known residence, address or place of business and 1[registered under Sections 28 and 29 of the Indian Post Office Act, 1898 (6 of 1898)] and service of it may be proved by the production of, the addressee’s receipt.


——————–


1. Sub by Act No. 68 of 1984 sec. 25, for “registered under Part III of the Indian Post Ofice Act, 1866.

 


46. Penalty for/obstructing acquisition of land

Whoever wilfully obstructs any person in doing any of the acts authorised by Section 4 or Section 8 or wilfully fills up, destroys, damages or displaces any trench or mark made under section 4, shall, on conviction before a Magistrate, be liable to imprisonment for any term not exceeding one month, or to fine not exceeding 1[five hundred rupees], or to both.


——————–


1. Subs by Act No.68 of l984 sec. 26 for “fifty rupees” (w.e.f.24-9-1984).

 


47. Magistrate to enforce surrender

If the Collector is opposed or impeded in taking possession under this Act of any land, he shall, if it Magistrate, enforce the surrender of the land to himself, and, if not a Magistrate, he shall apply to a Magistrate or (within the towns of Calcutta, Madras and Bombay) to the Commissioner of Police and Such Magistrate or the Commissioner (as the case may be) shall enforce the surrender of the land to the Collector.

 


48. Completion of acquisition not compulsory, but compensation to be awarded when not completed

(1) Except in the case provided for in Section 36, the Government shall be at liberty to withdraw from the acquisition of any land of which possession has not been taken.


(2) Whenever the Government withdraws from any such acquisition, the Collector shall determine the amount of compensation due for the damage suffered by the owner in consequence of the notice or of any proceedings thereunder, and shall pay such amount to the person interested, together with all costs reasonably incurred by him in the prosecution of the proceedings under this Act relating to the said land.


(3) The provisions of Part III of this Act shall apply, so far as may be, to the determination of the compensation payable under this section.

 


49. Acquisition of part of house or building

(1) The provisions of this Act shall not be put in force for the purpose of acquiring a part only of any house, manufactory or other building, if the owner desires that the whole of such house, manufactory or building shall be so acquired:


Provided that the owner may, at any time before the Collector has made his award under Section 11, by notice in writing, withdraw or modify, his expressed desire that the whole of such house, manufactory or building shall be so acquired.


Provided also that, if any question shall arise as to whether any land proposed to be taken under this Act does or does not form part of a house, manufactory or building within the meaning of this section, the Collector shall refer the determination of such question to the Court and shall not take possession of such land until, after the question has been determined.


In deciding on such a reference the Court shall have regard to the question whether the land proposed to be taken is reasonably required for the full and unimpaired use of the house, manufactory or building.


(2) If, in the case of any claim under Section 23, sub-section (1), thirdly, by a person interested, on account of the serving of the land to be acquired from his other land, the appropriate Government is of opinion that the claim is unreasonable or excessive, it may at any time before the Collector has made his award, order the acquisition of the whole of the land of which the land first sought to be acquired forms a part.


(3) In the case last here-in-before provided for, no fresh declaration or other proceedings under Sections 6 to 10, both inclusive, shall be necessary but the Collector shall without delay furnish a copy of the order of the appropriate Government to the person interested, and shall thereafter proceed to make his award under section 11.

 


50. Acquisition of land at cost of a local authority or Company

(1) Where the provisions of this Act are put in force for the purpose of acquiring land at the cost of any fund controlled or managed by a local authority or of any company, the charges of any incidental to such acquisition shall be defrayed from or by such fund or company.


(2) In any proceeding held before a Collector or Court in such cases the local authority or company concerned may appear and adduce evidence for the purpose of determining the amount of compensation:


Provided that no such local authority or Company shall be entitled to demand a reference under Section 18.

 


51. Exemption from stamp duty and fees

No award or agreement made under this Act shall be chargeable with stamp duty, and no person claiming under any such award or agreement shall be liable to pay any fee for a copy of’ the same.

 


51A. Acceptance of certified copy as evidence

1[51A. Acceptance of certified copy as evidence. In any proceeding under this Act, a certified copy of a document registered under the Registration Act, 1908 (16 of 1908), including a copy given under Section 57 of that Act, may he accepted as evidence of the transaction recorded in such document.]


——————–


1. Ins. by Act No. 68 of 1984, sec. 27 (w.e.f. 24-9- 1984).

 


52. Notice in case of suits for anything done in pursuance of Act

No suit or other proceeding shall be commenced or prosecuted against any person for anything done in pursuance of this Act, without giving to such person a month’s previous notice in writing of the intended proceeding, and of the cause thereof, nor after tender of sufficient amends.

 


53. Code of Civil Procedure to apply to proceedings before Court

Save in so far as they may be inconsistent with anything contained in this Act, the provision of the 1[Code of Civil Procedure, 19081 (5 of 1908) shall apply to all proceedings before the Court under this Act.


——————–


1. Subs by Act No. 68 of 1984, sec. 28 (w.e.f. 24-9-1984).

 


54. Appeals in proceedings before Court

Subject to the provisions of’ the Code of Civil Procedure, 1908, applicable to appeals from original decrees, and notwithstanding, anything to the contrary in any enactment for the time being in force, an appeal shall only lie in any proceedings under this Act to the High Court front the award or from any part of the award of’ the Court and from any decree of’ the High Court passed on such appeal as aforesaid an appeal shall lie to the Supreme Court subject to the provisions contained in Section 110 of the Code of Civil Procedure, 1908, and in Order XLIV thereof.

 


55. Power to make rules

(1) The appropriate Government shall have power to make rules consistent with the Act for the guidance of officer in all matters connected with its enforcement, and may from time to time alter and add to the rules so made:


Provided that the power to make rules for carrying out the purposes of Part VII of this Act shall be exercisable by the Central Government and such rules may be made for the guidance of the State Governments and the officers of the Central Government and of the State Governments:


Provided further that every such rule made by the Central Government shall be laid as soon as may be after it is made, before each Houses of Parliament while it is in session for a total period of thirty days which may be comprised in one session or two or more successive sessions, and if, 1[before the expiry of the session, in which it is so laid or the successive sessions aforesaid, both house agree in making any modification in the rule shall thereafter have effect only in such modified form or be of no effect, as the case may be, so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule.]


1[Provided also that every such rule made by the State Government shall be laid, as soon as may be after it is made, before the State Legislature.]


(2) The power to make, alter and add to rules under subsection (1) shall be subject to the condition of the rules being made, altered or added to after previous publication.


(3) All such rules, alterations and additions shall be published in the Official Gazette, and shall thereupon have the force of law.


——————–


1. Subs by Act No. 68 of 1984 sec. 29 (w.e.f. 24-9-1984).

 


55. Power to make rules

(1) The appropriate Government shall have power to make rules consistent with the Act for the guidance of officer in all matters connected with its enforcement, and may from time to time alter and add to the rules so made:


Provided that the power to make rules for carrying out the purposes of Part VII of this Act shall be exercisable by the Central Government and such rules may be made for the guidance of the State Governments and the officers of the Central Government and of the State Governments:


Provided further that every such rule made by the Central Government shall be laid as soon as may be after it is made, before each Houses of Parliament while it is in session for a total period of thirty days which may be comprised in one session or two or more successive sessions, and if, 1[before the expiry of the session, in which it is so laid or the successive sessions aforesaid, both house agree in making any modification in the rule shall thereafter have effect only in such modified form or be of no effect, as the case may be, so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule.]


1[Provided also that every such rule made by the State Government shall be laid, as soon as may be after it is made, before the State Legislature.]


(2) The power to make, alter and add to rules under subsection (1) shall be subject to the condition of the rules being made, altered or added to after previous publication.


(3) All such rules, alterations and additions shall be published in the Official Gazette, and shall thereupon have the force of law.


——————–


1. Subs by Act No. 68 of 1984 sec. 29 (w.e.f. 24-9-1984).

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