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  5. April

Maqsood Ahmad Khan and Ors. vs. Union Territory of J and K and Ors. (revenue Department)

Decided on 30 April 2024• Citation: WP(C)/3953/2019• High Court of Jammu and Kashmir
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                                                           Serial No. 1             
                                                          Regular Causelist         
                 HIGH  COURT  OF JAMMU  & KASHMIR   AND LADAKH                      
                                  AT SRINAGAR                                       
                                  WP(C) 3953/2019                                   
                                                          …Petitioner(s)            
            Maqsood Ahmad Khan and Ors.                                             
            Through:  Mr. Shah Faisal, Advocate.                                    
                                        Vs.                                         
            Union Territory of J&K & Others.             ...Respondent(s)           
             Through: Mr. Alla-ud-din Ganai, AAG.                                   
                      Mr. Ilyas Nazir Laway, GA.                                    
            CORAM:                                                                  
                   HON‟BLE  MR. JUSTICE SANJEEV  KUMAR,  JUDGE.                     
                                JUDGMENT(ORAL)                                      
                                     30.04.2024                                     
            1.                                                                      
                   A road from Pehlipora to Yarwan [“subject road”] was sanctioned  
            under  Phase-VIII, Stage-I of PMGSY to  provide connectivity to         
            unconnected habitations in Yarwan. Stage-II of the scheme was sanctioned
            as per package No. JK03-143 for the construction of road length of three
            kilometers at the sanctioned cost of Rs. 166.96 lacs.                   
            2.     With a view to constructing the subject road and to acquire the  
            private land coming under the alignment of the road, a joint inspection by
            the representatives of the PMGSY, Revenue and Horticulture Departments  
                            st                                                      
            was conducted on 1 December, 2012, Shajra Khasra as also an inventory of
            the trees likely to come under the alignment of the subject road was    
            prepared. The Collector Land Acquisition (SDM), Uri, having received an 
            indent from Executive Engineer PMGSY Division, Uri, issued notification 
            under Section 4 of the State Land Acquisition Act Svt. 1990 [“the Act”],
                                                                       st           
            which came to be published in the local daily Greater Kashmir on 21     
            February, 2013.                                                         
            Page 1 of 9                                     WP(C) 3953/2019         

            3.     Considering the nature of the project and the urgency involved, the
            Collector decided to settle the rates of the land under acquisition by private
            negotiations. Accordingly, a meeting of the Private Negotiation Committee
            was convened in which the interested persons including the petitioners  
            participated. After due deliberation and with the consent of the land owners,
            compensation @ Rs. 4.25 lacs per kanal was agreed upon. As far as the fruit
            bearing trees are concerned, spot demarcation was conducted and an      
            inventory of fruit bearing trees standing on the land coming under      
            acquisition was prepared by a team of officers from PMGSY and Revenue   
            Department. This is evident from the communication of the Executive     
            Engineer PMGSY Division Uri bearing No. EE/PMGSY/Uri/3950-52 dated      
              th                                                                    
            20  March, 2018.                                                        
            4.     Based on the aforesaid inventory, officers from the Horticulture 
            Department determined the actual amount payable for such fruit bearing  
            trees. While the rate of compensation to be paid for the land and the amount
            of compensation to be paid for the trees stood determined and the Collector
            Land Acquisition was only to disburse the compensation to the rightful land
            owners after obtaining a formal apportionment statement, however, this has
            not been done even after lapse of more than five years.                 
            5.     As is fairly submitted by the learned counsel for the petitioners that
            out of sixty-six interested persons who were found entitled to compensation
            for fruit bearing trees, twenty-four have been disbursed the due amount. So
            far as the compensation for the land is concerned, as per the petitioners, not
            even a single penny has been paid.                                      
            Page 2 of 9                                     WP(C) 3953/2019         

            6.     It is in this backdrop, the petitioners having failed to persuade the
            respondents to perform their statutory duty of disbursement of compensation
            to the interested persons deprived of their land, have approached this Court
            through the medium of instant petition.                                 
            7.     On being put on notice, the respondent No. 8 who is appearing    
            through Mr. Alla-ud-din Ganai, learned AAG has filed its reply affidavit.
            The acquisition of land, as well as the damage to the fruit bearing trees
            standing on such land for construction of the subject road has not been 
            disputed. The rate of compensation agreed to be paid to the petitioners for
            the land acquired is also not disputed by the Collector. The stand of the
            Collector, as can be culled out from the reply affidavit filed by it, is that so
            far as compensation for land acquired for construction of subject road is
            concerned, only one interested person has been released the compensation to
            the tune of Rs. 8,92,500/- lacs, whereas the rest of the interested persons are
            yet to receive their compensation.                                      
            8.     So far as the fruit bearing trees are concerned, the stand of the
            Collector Land Acquisition is that pursuant to the assessment report received
                                                                   th               
            from the Chief Horticulture Officer vide its communication dated 28 July,
            2018, an amount of Rs. 36, 07,652 lacs has been disbursed to the rightful
            land owners, whereas the rest of the interested persons/rightful owners 
            entitled to compensation for fruit bearing trees are yet to be released their
            compensation. The delay in disbursing the compensation in respect of land
            as well as the fruit bearing trees is attributed to a complaint filed by some
            anonymous inhabitants of Pahlipora before the Anti-Corruption Bureau,   
            Jammu  and Kashmir, Srinagar, against some officers of the Government   
            with the allegations that the compensation determined for loss of trees was
            Page 3 of 9                                     WP(C) 3953/2019         

            on the higher side and detrimental to the public exchequer. The complaint
            was, however, later on closed by the Anti Corruption Bureau vide its    
                                 th                                                 
            communication dated 28 June, 2022, having been found without any        
            substance.                                                              
            9.     The Collector Land Acquisition has further submitted that because
            of pendency of the complaint, he surrendered the balance amount lying with
            it for the acquisition in question to the Programme Implementing Unit of
            PMGSY   Uri. He, therefore, shows his inability to disburse the compensation
            in favour of the petitioners and others due to non-availability of the funds.
            The  last line of the reply affidavit clearly states that the matter of 
            compensation of land and fruit bearing trees is being pursued by the    
            Collector and will be paid as and when funds are made available by the  
            PMGSY   Department. The communication bearing No. SDM/Uri/22/1497       
                  th                                                                
            dated 4 November, 2022 issued by the Collector Land Acquisition Uri to  
            the Executive Engineer, PMGSY Uri bears testimony of this fact.         
            10.    So far as PMGSY is concerned, it is argued by Mr. Ilyas Nazir    
            Laway, learned GA that for acquisition in question, the PMGSY had placed
            the entire amount at the disposal of the Collector for disbursement of  
            Compensation for land acquired as also for the fruit bearing trees in favour
            of the interested persons in accordance with law. He further submits that it is
            not forthcoming as to why a big part of the amount placed at the disposal of
            the Collector was surrendered. Other than this, the PMGSY has no defense
            to offer. There is nothing stated in the reply affidavit filed by the PMGSY as
            to why the communication issued by the Collector Land Acquisition dated 
             th                                                                     
            4  November, 2022 has not been responded to so far and the amount       
            Page 4 of 9                                     WP(C) 3953/2019         

            demanded has not been made available to the Collector. The entire effort of
            the PMGSY and the Collector has been to shift the blame on each other.  
            11.    Having heard learned counsel for the parties and perused the     
            material on record, I am of the considered opinion that once the respondents
            have acquired the land along with the trees standing thereon from the   
            petitioners and other land owners, it is incumbent upon the respondents to
            release the assessed compensation in their favour. As is rightly contended by
            learned counsel for the petitioners, that though right to property has ceased
            to be a fundamental right, yet the same continues to be a constitutional right
            under Article 300-A. It is a cardinal principle of rule of law that nobody can
            be deprived of his/her property without due process of law. The legal   
            position in this regard is well settled.                                
            12.     The Constitution                                                
                                  Bench of the Hon‟ble Supreme Court in the case    
               K.T. Platinum (P) Ltd Vs. State of Karnataka (2011) 9 SCC 1 has put at
            of “                                   ”                                
            rest the controversy, if any, with regard to the interpretation of Article 300-A
            of the Constitution of India. In the aforesaid case, the Supreme Court inter
            alia considered the following question:-                                
                      “5. If Article 300-A of the Constitution is construed as      
                  providing for deprivation of property without any compensation at 
                  all, or illusory compensation, and hence providing for expropriation
                  and confiscation of property, whether the said Article would violate
                  the rule of law and would be an arbitrary and unconscionable      
                  violation of Article 14 of the Constitution, thus violating the basic
                  structure of the Constitution?                                    
            13.    The Constitution Bench after elaborate discussion, answered the  
            question aforesaid in the following manner:-                            
            Page 5 of 9                                     WP(C) 3953/2019         

                       (e) Public purpose is a pre-condition for deprivation of a   
                  person from his property under Article 300A and the right to claim
                  compensation is also inbuilt in that Article and when a person is 
                  deprived of his property the State has to justify both the grounds
                  which may depend on scheme of the statute, legislative policy,    
                  object and purpose of the legislature and other related factors.  
            14.    This legal position enunciated by the Constitutional Bench of the
            Supreme Court has been followed and reiterated in                       
                                                     “Kalyani and Others Vs.        
            Municipality, Sulthan Bathery and Others                                
                                             ” (2022) (15 SCC) 803:                 
            15.    Initially the Constitution of India gave      the status         
                                                  „right to property‟               
            of a fundamental right by virtue of Article 31 and Article 19(1)(f). Article
            19(1)(f) gave freedom to its citizens to acquire, hold and dispose of property
            within the territories of India. Article 31 which reads No person shall be
                                                      as “                          
            deprived of his property save by authority of l , gave protection to    
                                                    aw”                             
            citizens against arbitrary action of State to seize private property for public
            or private use. In case of violation of this right, aggrieved citizen was
            entitled to invoke Article 226 as well as Article 32 of the Constitution of
                                            th                                      
            India. However, by the Constitution 44 Amendment Act 1978, these two    
            Articles were deleted and a new Chapter IV was added to Part XII        
            containing singular Article 300-           r                            
                                     A. The legal status of „ ight to property‟ was 
            changed from fundamental right to constitutional right. This resulted in
            depri                                                                   
                vation of right of citizens to approach Hon‟ble Supreme Court directly
            under Article 32. Article 300-A reads thus:                             
                        “No person shall be deprived of his property save by        
                        authority of law.”                                          
                    Plain reading of the Article suggests that State is empowered to
            deprive a citizen of his property only by the authority of law. The law which
            is validly enacted and is just, fair and reasonable Save by authority of law
                                                   “                   ”            
            Page 6 of 9                                     WP(C) 3953/2019         

            is to be understand in the same manner in which     Procedure           
                                                      expression “                  
            established by law        cle 21 has been                               
                           ” used in Arti          interpreted by the Hon‟ble       
            Supreme Court in Manika Gandhi Vs. Union of India AIR 1978 SC 597.      
                           “                          ”                             
            16.    After the Constitution Bench Judgment in KT Platinum (P) Ltd, it 
            can be said to be firmly established that to deprive a citizen of his property
            following pre-requisites must be satisfied:                             
                      “(i) There must be a law authorizing the taking of property. The
                      law means validly enacted law which is just, fair and reasonable.
                      (ii) The property must be taken for public purpose else the law
                      providing for dep                                             
                                    rivation of citizens‟ property for a purpose    
                      other than public purpose would not be just, fair and reasonable.
                      (iii) Just compensation should be paid for such deprivation. The
                      right to compensation for the property taken over compulsorily
                      is inbuilt in Article 300A. Law providing for no compensation to
                      the citizen for depriving them of their private properties shall be
                      unjust, unfair and unreasonable and thus liable to be struck down
                      as “unconstitutional”.                                        
            17.    In the instant case, there is no dispute that the property of the
            petitioners i.e., land and the fruit bearing trees standing thereon, have been
            acquired under the provisions of the Act, but the compensation determined
            through the process of private negotiations, has not been disbursed to the
            petitioners. The mandate of law has, therefore, been observed by the    
            respondents in complete breach. Since the respondents have neither disputed
            the acquisition nor the assessment of compensation payable to the rightful
            land owners including the petitioners, as such, it is not necessary to go into
            the other aspects of the matter.                                        
            18.    Suffice it is to say that all the petitioners have become entitled to
            the payment of compensation for their land and the trees standing thereon
            Page 7 of 9                                     WP(C) 3953/2019         

            with effect from the date the possession of the subject land has been taken
            over by the respondents for construction of the subject road. Since the 
            compensation has been withheld without lawful excuse and justification as
            such the same has become payable alongwith compensatory interest as     
            provided under Section 35 of the Act. Section 35 of the Act for facility of
            reference is set out below:-                                            
                       35. 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[six per centum] per 
                 annum  from the time of so taking possession until it shall have   
                 been so paid or deposited                                          
                                     ”                                              
            19.     As per Section 35, if the compensation payable to the interested
            persons is not disbursed at the time of taking over the possession, it shall
            become payable with interest @ 6% per annum from the date of taking over
            the possession until it has been so paid or deposited. The proviso to Section
            35 further provides 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, the interest on the compensation shall be payable @10% per annum
            from the date of expiry of said period of one year till the same is actually
            paid or deposited. The payment of interest under the Act is statutory in
            nature and, therefore, cannot be denied on any excuse whatsoever.       
            20.    In the instant case, the Collector has shown its inability to make the
            payment in time, earlier due to some misconceived dispute raised by some
            inhabitants and later on due to surrendering of the amount placed at its
            disposal to the Department of PMGSY.                                    
            Page 8 of 9                                     WP(C) 3953/2019         

            21.    Be that as it may, the fact remains that the money which should  
            have come in the hands of the rightful land owners including the writ   
            petitioners, has remained with the Union Territory of Jammu & Kashmir and
            has been presumably put to beneficial use. The respondents cannot run away
            from their liability to compensate the citizens who have been deprived of
            their land and the fruit bearing trees standing thereon and have yet not
            received the compensation there for.                                    
            22.    For all these reasons, I find merit in this petition and the same is
            accordingly allowed. The respondent No. 1, 6 and 7 are directed to      
            immediately and forthwith arrange the requisite funds to meet the       
            requirement of compensation payable to the petitioners for their lands and
            the fruit bearing trees standing thereon that have been acquired for PMGSY
            for construction of subject road. Let the entire amount including statutory
            interest be placed at the disposal of the Collector Land Acquisition, Uri,
            within a period of two months from today. The Collector Land Acquisition,
            Uri, on the receipt of such amount from the Department of PMGSY, shall  
            disburse the amount to the rightful land owners which may include the writ
            petitioners, in accordance with law and as per the observations made    
            hereinabove, within a period of one month thereafter.                   
            23.    Disposed of along with connected CM(s).                          
                                                    (SANJEEV KUMAR)                 
                                                        JUDGE                       
            SRINAGAR:                                                               
            30.04.2024                                                              
            “Mir Arif”                                                              
                      (i)  Whether the judgment is reportable? Yes.                 
       MIR ARIF MANZOOR                                                             
       I attest to the accuracy and                                                 
       authenticity of this document                                                
            Page 9 of 9                                     WP(C) 3953/2019         
       03.05.2024