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AMICUS AI
Citation Codes
Neutral Citations
1995 INSC 266
Equivalent Citations
citation codes
Case Number
Disposition
Attorney(S)
Judges
Acts
  • Section 31(1) of the Act
  • Section 18 of the Act
  • Section 18 of the Land Acquisition Act 1890
  • Section 18, Subsection (2) of the Act with proviso
  • Section 19 of the Act
  • Section 4(1) of the Land Acquisition Act 1890
  • Section 23 of the Act
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Cites
Cited by
Citation Codes
Neutral Citations
1995 INSC 266
Equivalent Citations
citation codes
Case Number
Disposition
Attorney(S)
Judges
Acts
  • Section 31(1) of the Act
  • Section 18 of the Act
  • Section 18 of the Land Acquisition Act 1890
  • Section 18, Subsection (2) of the Act with proviso
  • Section 19 of the Act
  • Section 4(1) of the Land Acquisition Act 1890
  • Section 23 of the Act
Smart Summary

Factual and Procedural Background

The State issued a notification on 6-12-1988 under Section 4(1) of the Land Acquisition Act, 1890, to acquire land at Mawkyrwat for the construction of explosive magazines. The Collector passed an award on 17-5-1989. The landowners (petitioners) accepted the compensation on 5-7-1989 by signing Agreement Ex. B.

Subsequently, on 8-8-1989, the petitioners objected to the amount and sought a reference under Section 18. The Collector called them on 22-8-1989 and, upon their request on 29-8-1989, referred the matter to the Special Judicial Officer. On 29-10-1991 the Special Judicial Officer enhanced the rate from Rs 40 to Rs 60 per sq. m.

The State appealed, and on 7-6-1994 the High Court set aside the enhancement, holding that the reference itself was invalid because the petitioners had unconditionally accepted the award in Ex. B. The petitioners then approached the Supreme Court by way of a special leave petition, resulting in the present order.

Legal Issues Presented

  1. Whether a landowner who has accepted compensation without protest under the Land Acquisition Act, 1890, can validly seek a reference under Section 18.
  2. Consequently, whether the Special Judicial Officer had jurisdiction to enhance compensation from Rs 40 to Rs 60 per sq. m.

Arguments of the Parties

Petitioners' Arguments

  • Although the compensation was received earlier, the subsequent objection lodged on 8-8-1989 constituted a valid protest, rendering the Section 18 reference maintainable.
  • Therefore, the Special Judicial Officer was empowered to reassess market value under Section 23 and to grant higher compensation.

Table of Precedents Cited

No precedents were cited in the provided opinion.

Court's Reasoning and Analysis

The Court analysed Sections 31 and 18 of the Land Acquisition Act, 1890:

  • Section 31(1) obliges the Collector to pay the awarded compensation; the second proviso to Section 31(2) bars any person who receives compensation “otherwise than under protest” from seeking a Section 18 reference.
  • Section 18 permits an application only by a person who “has not accepted the award.”

Applying these provisions, the Court observed that:

  • The petitioners signed Agreement Ex. B accepting the award as “fully acceptable,” and no written protest accompanied the receipt of money.
  • Only one claimant filed an objection a week later, but even he had earlier accepted payment unconditionally. Oral assertions of protest were contradicted by the written agreement.
  • Consequently, the mandatory pre-condition—receipt of compensation under protest—was not satisfied, rendering the Section 18 reference incompetent.
  • The High Court’s detailed examination of evidence and statutory provisions was confirmed; therefore, interference by the Supreme Court was unwarranted.

Holding and Implications

Special leave petition DISMISSED.

The Supreme Court affirmed the High Court’s view that unconditional acceptance of compensation bars a Section 18 reference. The immediate effect is that the petitioners cannot claim enhanced compensation, and the Collector’s original award stands restored. The order does not create new precedent but reinforces the statutory requirement that compensation must be accepted under protest to access the reference mechanism.

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    Wardington Lyngdoh And Others v. Collector, Mawkyrwat .

    Order

    1. Delay condoned.

    2. Notification under Section 4(1) of the Land Acquisition Act 1890 (for short “the Act”) was published on 6-12-1988 for construction of explosive magazines at Mawkyrwat. The Collector made his award on 17-5-1989. On 5-7-1989 the appellants received the compensation under Ex. B, which is an agreement signed by them and the Collector. Thereafter, on 8-8-1989, the respondents objected to the amount of compensation determined by the Collector and they claimed enhancement by reference under Section 18. On 22-8-1989, the Collector asked them to appear before him. On 29-8-1989, on which date when they appeared, they requested the Collector for reference under Section 18. Accordingly, it was referred to the Special Judicial Officer. Objection was taken to the validity of the reference and also their entitlement to higher compensation. The Special Judicial Officer by his award and decree dated 29-10-1991 enhanced the compensation from Rs 40 to Rs 60 per sq. m. On appeal by the State, the High Court by its judgment and decree dated 7-6-1994 reversed the decree of the reference court and held that since the petitioners had agreed in Ex. B and received compensation subject to the terms and conditions therein that “in respect of acquisition of land, for construction of explosive magazines to be made hereinafter, by the Collector provided it included the following matters which to our minds are true, just and equitable. The total amount of compensation arrived at is fully acceptable to us”. The details are not material for the purpose of this case.

    3. The only contention raised by the learned counsel appearing for the petitioners is that since the petitioners had objected to the award, though after receiving the compensation, the reference is valid and the Special Judicial Officer was within his power to consider proper value of the lands and award compensation under Section 23 of the Act.

    4. Section 31(1) of the Act enjoins the Collector that he 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 … sub-section (2) envisages that if they shall not consent to receive it … the Collector shall deposit the amount of the compensation in the court to which a reference under Section 18 would be submitted. Second proviso engrafts a rider that “provided also that no person who has received the amount otherwise than under protest shall be entitled to make any application under Section 18”. Section 18(1) envisages that 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 compensation, the person to whom it is payable, or the apportionment of the compensation among the persons interested. In sub-section (2) thereof the grounds on which the objection to the award is taken shall be required to be stated. The proviso prescribed limitation within which the application under Section 18 should be made. Thereon under Section 19 the Collector is required to make the statement to the court in writing with details and in the manner mentioned in Section 19. The court shall, thereafter, cause a notice in that behalf to be served under Section 20 on the Collector and persons interested in the objection for determination of the objection. On their appearance the court shall proceed to enquire into the objection. Section 21 restricts the scope of the enquiry “to a consideration of the interests of the persons affected by the objection”. Section 23(1) lays down the principles in clauses one to six for determination of the amount of compensation to be awarded for the acquired land.

    5. It will thus be clear that the persons interested in the land are entitled to receive compensation awarded by the Collector under Section 11 under protest and entitled to object to the compensation determined by the Collector. No person who had received the amount otherwise than under protest should be entitled to make the application under Section 18. In other words, the receipt of the amount under protest is a condition precedent to make an application under Section 18 within the limitation prescribed under the proviso to sub-section (2) of Section 18 together with the grounds on which the objections have been taken. Thereon the Collector is enjoined to make a reference to the civil court with the statement in the manner stated in Section 19.

    6. The petitioners professed lack of knowledge of the jointly signed agreement Ex. B or its content. This stand stoutly taken at the enquiry before the Judicial Officer is obviously an afterthought. They admitted that they did not file any protest at the time of receiving compensation. Only one claimant, Releningster Tongwah, had filed an objection petition that too one week after the receipt of the compensation without protest. He stated at the enquiry that he signed a blank paper. He admitted that the signature in the joint statement was his but stated that the contents of Ex. B were not explained to him. The High Court minutely examined the evidence of all the witnesses and concluded that their claim of oral protest is belied by the written agreement Ex. B. The High Court also has gone into the evidence on merits and found that award of compensation for the paddy fields and other lands at the rates of Rs 60 to Rs 40 per sq. m. was highly excessive and reliance upon unregistered sale deeds in relation to other homestead lands was illegal. It is credulous to believe that agricultural lands would be sold and purchased on square metre basis. Even without going into the merits, we hold that the finding of the High Court that the reference application itself is not maintainable, is perfectly legal and does not warrant interference.

    7. The special leave petition is accordingly dismissed.

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    Comments

    Wardington Lyngdoh And Others v. Collector, Mawkyrwat .
    (Apr 17, 1995)