High CourtSingle JudgeAppeals allowed; no order as to costs; contempt...

Visakhapatnam Urban Development Authority v. S. S. Naidu

Case / Petition Number:Civil Appeal No. 5377 of 2016
Neutral Citation:[2016] 4 S.C.R.

Case Details & Bench

Court
High Court
Hon'ble Judges
  • Anil R. Dave
Judgment Date
2016-06-29
Court Decision / Holding
Appeals allowed; High Court judgment quashed; contempt proceedings disposed of; no order as to costs.
Final Disposition
Appeals allowed; no order as to costs; contempt proceedings disposed of; High Court judgment set aside.

Parties to the Case

Appellants / Petitioners

  • Visakhapatnam Urban Development Authority

Respondents

  • S. S. Naidu
  • Ors.

Legal Representation & Advocates

Counsels for Petitioners

  • • Mukul Rohatgi
  • • A.G.
  • • Dushyant A. Dave
  • • Adinarayana Rao
  • • S. S. Reddy
  • • Mrs. S. Usha Reddy
  • • Guntur Prabhakar
  • • S. Udaya Kumar Sagar
  • • Ms. Bina Madhavan
  • • Ms. Praseena E. Joseph
  • • M/s. Lawyer S. Knit & Co.

Counsels for Respondents

  • • C. S. N. Mohan Rao
  • • Adv. for respondents

Case Synopsis & Summary

Visakhapatnam Urban Development Authority (VUDA) challenges a High Court quashment of acquisition proceedings under the Land Acquisition Act, 1894. The dispute concerns land in Visakhapatnam’s Waltair Ward (TS No. 83/1) sought for widening a road. After notification under Section 4(1) and declaration under Section 6, an award was made and compensation (Rs. 7,82,612.56) deposited in court. Even after possession was taken on 20 February 1982, the authorities repeatedly ordered withdrawal of the acquisition under Government Orders (G.O.M. No.156, 1982; subsequent cancellations: G.O.M. No.714, 1983; further orders and representations over the years). Despite possession and deposit, withdrawal attempts continued, culminating in a High Court quashment of the acquisition proceedings. The Supreme Court, in a single-judge decision, held that Section 48(1) does not permit withdrawal of acquisition proceedings after possession has been taken, and that the Government’s withdrawals were not in accordance with law. The Court emphasized the public purpose (road widening) and noted the unwarranted sympathy shown to landowners, leading to protracted litigation. It quashed the High Court judgment, allowed the appeals, and disposed of related contempt proceedings. The judgment clarifies that withdrawal after possession is impermissible and reaffirms the primacy of statutory provisions in land acquisition for public purposes.

Provisions of Law Cited

Section 4(1) of the Land Acquisition Act, 1894Section 6 of the Land Acquisition Act, 1894Section 48(1) of the Land Acquisition Act, 1894Section 36 of the Land Acquisition Act, 1894

Submissions & Arguments

Contentions of Appellants / Petitioners

The applicant contends that once possession is taken and compensation deposited under the Land Acquisition Act, 1894, Section 48(1) does not permit withdrawal of the proceedings. The Government’s repeated withdrawals were not authorized by law and the acquisition is for a valid public purpose — widening of a road — so the acquisition should proceed. The High Court erred in quashing the proceedings and the Court should uphold the statutory framework and the government’s obligation to complete the process.

Contentions of Respondents

The respondents contend that withdrawal of the acquisition proceedings was permissible under Section 48 in light of evolving representations and statutory provisions. They argue that consideration of landowners’ interests and restoration of the land to them is legitimate in certain circumstances and that the government’s actions aimed to address those concerns.

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Extracted Judgment Text

Exact text extracted from official judgment records.

r2o 16] 4 S.C.R. I VISAKHAPATNAM URBAN DEVELOPMENT AUTHORITY A v. S.S. NAIDU & ORS. (Civil Appeal No. 5377 of20!6) JUNE 29, 2016 B ## [ANIL R. DAVE AND ADARSH KUMAR GOEL, JJ.) _Land Acquisition Act, 1894_ - _s.48{1)_ - _Land acquired_ - _Possession taken_ - _Compensation amozmt also deposited with the Court_ - _Thereafter, acquisition was withdrawn thrice at the behest of the land-owner on the direction of the court_ - _But each time withdrawal of acquisition was cancelled_ - _By impugned order High Court quashed the acquisition proceedings_ - _On appeal, held: s.48(1) does not permit withdrawal of acquisition proceedings of any land after possession of the land is taken_ - _Therefore, acquisition proceedings could not have been quashed by High Court, as the Government had not acted in accordance with law while withdrawing the land from acquisition proceedings._ c D ## Allowing the appeals, the Court HELD: 1. An effort to withdraw the land in question from the acquisition proceedings was initiated only after possession of the land in question was taken from the land-owners and Section 48(1) of the Land Acquisition Act, 1894 does not permit withdrawal of acquisition proceedings of any land after possession of the land is taken. [Para 11) [S-B) 2. The Court was having some sympathy for the landowners and therefore, some recommendations were made by the Court with ·regard to making representation to the Government authorities about withdrawal of the acquisition proceedings in respect of the land in question, but every time withdrawal of the land from the acquisition proceedings were followed by cancellation of the withdrawal. It was not just and proper for the Court to show undue sympathy towards the landowners by asking them to make a representation when it was against the legal provisions to withdraw the land from the acquisition in view of the provisions of Section 48 of the Act. Such undue sympathy has relegated the land-owners to this long I E F G H 2 [2016) 4 S.C.R. SUPREME COURT REPORTS - A drawn litigation which has not helped them at all. [Paras 12 and 13] [5-C-.Q, E-Fl 3. The land in question is required for a public purpose i.e. for widening of a road. The State has power to acquire land for a public purpose and widening of a public road is definitely B a public purpose for which the land can be acquired. [Para 14] [5~ F-G] 4. In view of the aforestated facts of the case, the acquisition proceedings could not have been quashed by the High Court, especially when the Government had not acted in accordance c with law while withdrawing the land in question from the acquisition proceedings. [Para 15] [5-G-H] CIVIL APPELLATE JURISDICTION : Civil Appeal No. 5377 of2016. From the Judgment and Order dated 24.01.2012 of the High Court D of Andhra Pradesh at Hyderabad in W. A. No. 475 of201 I ## WITH C. A. Nos. 5378-5379 of2016 Contnt. Pet. (C) No. 233 of2013 in C. A. No. 5377 of2016. E F Mukul Rohatgi, A.G., Dushyant A. Dave, Adinarayana Rao, Sr. Advs., S. S. Reddy, Mrs. S. Usha Reddy, Guntur Prabhakar, S. Udaya Kumar Sagar, Ms. Bina Madhavan, Ms. Praseena E. Joseph, M/s. Lawyer S. Knit & Co., C. S. N. Mohan Rao, Advs. for the appearing parties. The Judgment of the Com1 was delivered by ## ANIL R. DAVE, J. I. Leave granted. 2. At the request of the learned counsel for the parties, the appeals have been finally heard today. G H 3. Chequered history of these appeals started. with issuance of notification under Section 4( 1) of the Land Acquisition Act, 1894 (hereinafter referred to as "the Act") on 20'h March, 1978. The res.pondents are the land-owners of the land forming part of TS No.83/ I of Waltair Ward of Visakhapatnam, which is the subject matter of these appeals. Necessary notification under Section 6 of the Act was VISAKHAPATNAM URBAN DEVELOPMENT AUTHORITY v. S. S. NAIDU (ANIL R. DAVE, J.] A also issued. The award was made and ultimately compensation in respect of the land in question was also determined at Rs.7,82,612.56. The said amount was deposited in the Court. The land in question was required for the purpose of widening of a road. 4. After the Award was made, the respondents/land-owners of the land in question made a request to the authorities concerned for withdrawal of the acquisition, though possession of the land in question was, in fact, taken on 20th February, 1982. The matter ought to have ended there because the land was acquired, possession was taken and the amount of compensation was also deposited with the Court, but in pursuance of the request made by the land-owners, the acquisition proceedings initiated under Section 4 of the Act was ordered to be withdrawn under G.O.M. No.156 dated 25th February, 1982. Thus, by virtue of the said Government Order, acquisition of the land in question was withdrawn. Subsequently, Government Order dated 25th February, 1982, whereby the acquisition proceedings was withdrawn, was cancelled under G.O.M. No.714 dated ] ] th November, 1983. 5. Effect of the proceedings which had taken place upto now was that the land was acquired, possession was taken, Award was made and compensation was deposited with the Court and yet G.O.M. No.156 dated 25th February, 1982 was issued, whereby the acquisition proceedings was withdrawn, but subsequently withdrawal of the acquisition proceedings was cancelled and thus the notification dated 20th March, 1978, which was initially issued, remained in force. 6. At this stage, the owners of the land in question filed Writ Petition No.11326 ofl 983 praying for quashing ofG.O.M. No.714 dated I I th November, 1983, whereby withdrawal of the land acquisition proceedings was cancelled. The said Petition was disposed of on 25th April, 1984 by giving a direction to the authorities to reconsider the issue with regard to acquisition of the land in question. The said order dated 25th April, 1984 was challenged by filing Writ Appeal No. I 081 of 1984 and the said Writ Appeal was dismissed on 1" February, 1989. B c D E F G 7. In pursuance of a representation made as per order dated 25th April, 1984, vide G.O.M. No.121 of 27th February, 1990, the Government requested the Collector to return the land in question to the land-owners, but the said G.O.M. No.121 was cancelled by another G.O.M. No.222 dated 30th April, 1998. The said G.O.M. No.222 gave rise to another Writ Petition No.14818 of 1998 filed by the land-owners which was H 4 [2016) 4 S.C.R. SUPREME COURT REPORTS - A disposed of on J 3th November, 1998, whereby the Government was directed to reconsider the issue. The aforesaid order passed in the Writ Petition was challenged by filing Writ Appeal No.2312of1998, but the said Writ Appeal was dismissed on 27th February, 2002. The Respondents also filed Writ Appeal No. I 074of1999 for return of the land in question, which was allowed by the High Court and the authorities were directed - B to deliver possession of the land in question to the land-owners. Being aggrieved, the appellants herein approached this Court. This Court vide order dated 22"d February, 2006 disposed of Civil Appeal Nos.1665 and 1666 of 2004 by directing the State Government to reconsider the representation made by the land-owners. c 8. In pursuance of the order passed by this Court, by an order dated [8th May, 2009, by virtue ofG.O.M. No.314, the State Government decided to withdraw the acquisition proceedings in respect of the land in question but, once again, on ] 8th August, 2009, by virtue ofGO.M. No.515, the Government authorities cancelled the decision with regard to D withdrawal of the acquisition proceedings. Again, Writ Petition No.17249 of2009 was filed challenging the said decision dated J 8th August, 2009. The said Writ Petition was allowed on 7t1t February, 2011. Against the said decision rendered in the said Writ Petition, Writ Appeal No.475 of 20 I I and Writ Appeal No.1455 of 2011 were filed QY Visakhapatnam Urban Development Authority and the State of Andhra Pradesh E respectively. Both the Appeals were dismissed by a common judgment dated 24th January, 20 l 2 and the said judgment has been challenged by the aforestated both parties. F 9. Upon perusal of the aforestated undisputed facts, it is very clear that though possession of the land in question was taken on 20th February, 1982, the Government wanted the acquisition to be cancelled and, in our opinion, it could not have been done in view of the provisions ofSection 48 of the Act. Relevant portion ofSection 48 of the Act is reproduced hereinbelow :- - "48. Completion of acquisition not compulsory, **but** - G compensation to be awarded when not completed. - ( l) 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." - I 0. Every time, when the authorities decided to withdraw the H V!SAKHAPATNAM URBAN DEVELOPMENT AUTHORITY v. S. S. NAIDU [ANIL R. DAVE, J.] acquisition proceedings, power given under Section 48 of the Act was exercised. In our opinion, after taking possession of the land in question from the land-owners, power under Section 48 of the Act could not have been exercised. 11. Though this is the third round of the litigation, it is an admitted fact that an effort to withdraw the land in question from the acquisition proceedings was initiated only after possession of the land in question was taken from the land-owners and Section 48( 1) of the Act does not permit withdrawal of acquisition proceedings of any land after possession of the land is taken. 12. Possibly, the Com1 was having some sympathy for the landowners and therefore, some recommendations were made by the Court with regard to making representation to the Government authorities about withdrawal of the acquisition proceedings in respect of the land in question, but every time withdrawal of the land from the acquisition proceedings were followed by cancellation of the withdrawal. 13. Be that as it may, the Courts were quite sympathetic towards the land-owners and therefore, every time the land-owners were asked to make a representation to the Government and therefore, these three . rounds oflitigation have taken place, which, in our opinion, is not fair or justifiable. In our opinion, it was also not just and proper for the Court to show undue sympathy towards the land-owners by asking them to make a representation when it was against the legal provisions to withdraw the land from the acquisition in view of the provisions of Section 48 of the Act. Such undue sympathy has relegated the land-owners to this long drawn litigation which has not helped them at all. 14. The fact remains that the land in question is required for a public purpose i.e. for widening of a road. There is no need to say that under the Act, the State has power to acquire land for a public purpose and widening ofa public road is definitely a public purpose for which the land can be acquired. 15. We have considered the submissions made by the learned counsel appearing for both the sides. In view of the aforestated facts, we are of the view that the acquisition proceedings could not have been quashed by the High Court, especially when the Government had not acted in accordance with law while withdrawing the land in question from the acquisition proceedings. A B c D E F G H 6 [2016] 4 S.C.R. SUPREME COURT REPORTS - A 16. In the circumstances, we quash and set aside the impugned judgment dated 24[1] h January, 2012 delivered by the Andhra Pradesh High Court in Writ Appeal Nos.475 and 1455 of2011. The Appeals are allowed with no order as to costs. 17. In view of the fact that Civil A.ppeal No. 5377 of2016 (@ B SLP (C) No.19642of2012) has bce11 allowed, the contempt proceedings would not survive and are, acc0. Jingly, disposed of. Kalpana K. Tripathy Appeals allowed and Contempt pro.ccedings disposed of.