ASSAM INDUSTRIAL DEVELOPMENT CORPORATION LTDversusGILLAPUKRI TEA COMPANY LIMITED & ORS. ETC.

                          [2021] 1 S.C.R. 181                          181


ASSAM INDUSTRIAL DEVELOPMENT CORPORATION LTD.                          A
                                 v.
    GILLAPUKRI TEA COMPANY LIMITED & ORS. ETC.
                (Civil Appeal Nos. 251-252 of 2021)
                       JANUARY 28, 2021                                B
      [S. ABDUL NAZEER AND SANJIV KHANNA, JJ.]
      Land Acquisition:
       Acquisition of land – Notifications u/ss. 4 and 6 of Land
Acquisition Act issued respectively on 4.8.2008 and 17.6.2009 –        C
By letter dated 30.01.2010 sought approval of the ‘award’ and the
‘land acquisition estimate’ (in the prescribed Form No. 15 and Form
No. 5 respectively) – Approval granted by letter dated 05.03.2010
– Land-owner thereafter sought reference u/s. 18 of Land Acquisition
Act for reassessment of compensation – The Land-owner also
                                                                       D
received the compensation and possession of the land was handed-
over on 21.05.2010 – The land-owner thereafter relying on letters
that 21.07.2012 and 06.01.2014 contended that no award was
approved by letter dated 05.03.2010 (thereby only land acquisition
estimate was approved) and thus it led to lapsing of previous
acquisition proceedings and initiation of fresh acquisition            E
proceedings on 07.08.2012, culminating in approval of the award
for the first time on 04.01.2014 – The landowner claimed fresh
award by determining the compensation payable in terms of 2013
Act because the award under the fresh proceedings was made and
approved after coming into force of 2013 Act – High Court allowed
                                                                       F
the case of the land-owner – Appeal to Supreme Court – Held: The
facts of the case including conduct of the land-owner show that the
award was approved on 05.03.2010 – Once the award had been
approved, compensation paid, possession of the land handed-over,
there was no question of lapsing u/s. 24 of Land Acquisition Act,
1894 – Such land cannot be re-opened for acquisition – Land            G
Acquisition Act, 1894 – Right to Fair Compensation and
Transparency in Land Acquisition, Rehabilitation and Resettlement
Act, 2013 – s. 24 – Assam Land Acquisition Manual.


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                                181
182           SUPREME COURT REPORTS                      [2021] 1 S.C.R.


A           Allowing the appeals, the Court
            HELD : 1.It is uncontested that vide letter dated 30.01.2010
      both the award and the land acquisition estimate were sent to the
      State Government for its approval. It is pertinent to note that the
      award was in the format of Form No. 15 which is the statutorily
B     prescribed form for a land acquisition award under the Assam
      Land Acquisition Manual. This is also true of the land acquisition
      estimate which was as per the prescribed format of Form No. 5.
      As such, the only further action required of the State Government
      was to approve the award which was already in the statutorily
      prescribed form. This is precisely what was done vide the letter
C     dated 05.03.2010 issued by the Deputy Secretary to the
      Government of Assam, Revenue Department. [Para 13]
      [187-G-H; 188-A-B]
             2. The letter dated 05.03.2010 was issued in response to
      the letter dated 30.01.2010, whereunder approval of the award
D     and the land acquisition estimate was sought. While this letter
      only expressly mentions the land acquisition estimate and not
      the award, a combined reading of this letter with the preceding
      letter dated 30.01.2010 and the subsequent conduct of the parties,
      including the first respondent, make it evident that the award
E     stood approved by letter dated 05.03.2010. Copies of both the
      letters of 30.01.2010 and 05.03.2010 were also addressed to the
      Industries & Commerce Department of the Government of
      Assam. Vide the initial letter of 30.01.2010, the said Department
      was requested to arrange balance funds for making payment to
      the land owners as per the award. In furtherance of this, vide the
F     letter of 05.03.2010, the said Department was directed to place
      the balance estimated fund at the disposal of the Deputy
      Commissioner. If the award which had been sent for approval
      alongwith the estimate had not been approved by the said letter
      dated 05.03.2010, this direction for making funds for payment to
G     landowners available to the Deputy Commissioner would not have
      been called for. This view is fortified by the subsequent conduct
      of the parties. [Para 14][188-C-F]
            3. It is undisputed that the award amount was indeed made
      available to the Deputy Commissioner and the awarded sum was
H
   ASSAM INDUSTRIAL DEVELOPMENT CORPN. LTD. v.                         183
           GILLAPUKRI TEA COMPANY LTD.

duly paid to and received by the first respondent. Not only did        A
the first respondent receive compensation pursuant to the award,
it in fact sought enhancement of the same vide its reassessment
petition dated 05.05.2010 u/s 18 of the L.A. Act addressed to the
Deputy Commissioner. It is also not contested that vide
possession certificate dated 21.05.2010, the first respondent
                                                                       B
handed over possession to the Deputy Commissioner and that
on 11.06.2010 possession of the land was ultimately handed over
to the appellant by the Deputy Commissioner. What clearly
emerges from the above is that after the letter dated 05.03.2010,
it was the common belief of the State Government, the appellant
as well as the first respondent that the award had been approved       C
and that now actions subsequent thereto viz. payment and receipt
of compensation, handover of possession, seeking reassessment
of the compensation were needed to be undertaken.
[Para 15][188-F-H; 189-A-B]
      4. Once the award has been approved, compensation has            D
been paid thereunder and possession of the land has been handed
over to the Government, acquisition proceedings could not have
been reopened, including by way of re-notification of the already
acquired land under Section 4 of the L.A. Act by the Government.
The question of lapsing under Section 24 of the L.A. Act could
not have arisen in this case once the award was approved on            E
05.03.2010. [Para 17][189-C-D]
      D. Hanumanth SA & Ors. vs. State of Karnataka and
      Ors. (2010) 10 SCC 656 : [2010] 12 SCR 1098 – relied
      on.
                                                                       F
      5. Once possession is taken by the State, the land vests
absolutely with the State and the title of the landowner ceases.
High Court wrongly relied on the letters dated 21.07.2012 and
06.01.2014 to nullify the original award and allow fresh acquisition
proceedings in respect of the first respondent’s land which had
already been acquired and has been under the possession of the         G
appellant since 11.06.2010. [Para 18][190-D-E]
      Indore Development Authority v. Manoharlal and Ors.
      (2020) 8 SCC 129: [2020] 3 SCR 1 – followed.

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184            SUPREME COURT REPORTS                          [2021] 1 S.C.R.


A                             Case Law Reference
      [2010] 12 SCR 1098                relied on                Para 18
      [2020] 3 SCR 1                    followed                 Para 18
            CIVIL APPELLATE JURISDICTION : Civil Appeal Nos. 251-
B     252 of 2021.
            From the Judgment and Order dated 14.03.2019 of the High Court
      of Gauhati at Guwahati in Writ Appeal No. 219 of 2017 and Writ Appeal
      No. 220 of 2017.
             Jayant Bhushan Sr. Adv., Nishant Das, Abhay Singh , Kaustubh
C     Shukla, Ms. Ankita Agarwal, Atul Kumar, Ms. Ayushi Jain, Senthil
      Jagadeesan, Ms. Suriti Chowdhary, Ms. Mrinal Kanwar, Ms. Sonakshi
      Malhan, Shuvodeep Roy, Rahul Raj Mishra, Advs. for the appearing
      parties.
            The Judgment of the Court was delivered by
D
            S. ABDUL NAZEER, J. 1. Leave granted.
             2. Assam Industrial Development Corporation Limited has filed
      these appeals challenging the judgment and order in Writ Appeal Nos.
      219 & 220 of 2017 dated 14.03.2019 whereby the Division Bench of the
      High Court of Guwahati has dismissed the said appeals confirming the
E     order of the Learned Single Judge in Review Petition Nos. 79 & 80 of
      2016.
            3. Brief facts necessary for disposal of these appeals are as under.
             4. In order to set up a plastic park, the Government of Assam
F     decided to acquire a portion of the land belonging to the first respondent
      situated at Gillapukri Tea Estate, Village Gillapukri, Tinsukia, Assam.
      The Government of Assam, in exercise of the power vested in it under
      Section 4 of the Land Acquisition Act, 1894 (for short ‘L.A. Act’) issued
      a notification dated 04.08.2008, which was published in the Assam
      Gazette on 08.08.2008, expressing its intention to acquire 1,166 biggas, 1
G     katha, 14 lessas of land of the aforesaid Gillapukri Tea Estate. The
      proceedings being L.A Case No. 1 of 2008 were also initiated for the
      purpose of acquisition before the District Collector, Tinsukia and, for
      that purpose, declaration dated 17.06.2009 in terms of Section 6(1) of
      the L.A. Act was published in the Assam Gazette. The appellant was
H
   ASSAM INDUSTRIAL DEVELOPMENT CORPN. LTD. v.                                   185
 GILLAPUKRI TEA COMPANY LTD. [S. ABDUL NAZEER, J.]

appointed as the nodal agency to deal with the acquisition proceedings           A
vide appointment letter dated 24.06.2009.
       5. The Deputy Commissioner and Collector, District Tinsukia,
addressed a letter dated 30.01.2010 to the Principal Secretary to the
Government of Assam, Revenue Department to seek approval of the
award and the land acquisition estimate which were enclosed therewith            B
in the prescribed Form No. 15 and Form No. 5 respectively. In response,
the Commissioner and Secretary to the Government of Assam, Revenue
Department, addressed a letter dated 05.03.2010 to the Deputy
Commissioner whereby approval, as sought vide the aforesaid letter dated
30.01.2010, was granted. As will be seen in the following paragraphs,
the controversy between the parties before us is whether this letter was         C
approval of both the award and the estimate or only the estimate.
Thereafter, the owner of the land, i.e. the first respondent herein, addressed
a letter dated 05.05.2010 to the Commissioner seeking reference of the
matter to the District Judge, Tinsukia, under Section 18 of the L.A. Act
for reassessment of the compensation awarded to it. It is contended that         D
other similar applications were also received from different families at
different levels. It is further contended that in the letter dated 05.05.2010,
the first respondent admitted that it had received a sum of Rs. 4.95
crores on 08.04.2010 by a crossed cheque immediately after the letter
for approval dated 05.03.2010 was passed by the Commissioner. It is
also contended that vide possession certificate dated 21.05.2010,                E
possession was delivered to the Deputy Commissioner, and thereafter
on 11.06.2010, possession of the land was handed over to the appellant
by the Deputy Commissioner.
       6. The first respondent has not disputed the issuance of the
preliminary and final notification. However, it is contended that no award       F
was approved pursuant to the letter dated 05.03.2010. It is the first
respondent’s case that vide this letter, only the land acquisition estimate
was approved and not the award. This, in the first respondent’s view, led
to lapsing of the proceedings and initiation of fresh acquisition proceedings
in 2012 which culminated in approval of the award for the first time on          G
04.01.2014. For this purpose, a fresh notification under Section 4 of the
L.A. Act was published on 07.08.2012 and a declaration was also issued
on 20.11.2012. Thereafter, the Commissioner issued a notice purportedly
under Section 9 of the L.A. Act to the persons interested in the land to
submit their objections and claims. On 04.01.2014, a fresh award was
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186            SUPREME COURT REPORTS                          [2021] 1 S.C.R.


A     passed and the Deputy Secretary, Government of Assam, Revenue
      Department addressed a letter dated 06.01.2014 to the Deputy
      Commissioner conveying approval of the said fresh award. The first
      respondent contends that a comparison of this approval letter dated
      06.01.2014 with the approval letter dated 05.03.2010 under the original
      acquisition proceedings would clearly indicate that under the letter dated
B
      05.03.2010, only the estimate was approved and not the award. Since
      the award under the fresh proceedings was approved and made after
      coming into force of the Right to Fair Compensation and Transparency
      in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (for short
      ‘2013 Act’), the first respondent approached the Deputy Commissioner
C     to seek a fresh award by determining the compensation payable in terms
      of Section 24(1)(a) of the 2013 Act.
            7. The first respondent has denied the claim of the appellant that
      an award had been approved on 05.03.2010 and has mainly rested its
      case on the letter dated 21.07.2012 addressed by the Deputy Secretary,
D     Government of Assam, Revenue Department to the Deputy
      Commissioner wherein the Deputy Secretary admitted to not having
      drawn the award within two years from the date of publication of the
      declaration under the original acquisition proceedings. The first
      respondent has also relied upon the letter dated 06.01.2014 sent by the
      Deputy Secretary to the Government of Assam which, as per the first
E     respondent, suggests that no award had been approved under the original
      acquisition proceedings.
             8. On the contrary, the State Government has taken a stand that
      an award was approved by the State Government on 05.03.2010 and
      that the same had been made within two years of the declaration. It is
F     also contended that pursuant to the award, possession of the land was
      taken from the first respondent by the acquiring authority and the land
      was then handed over to the appellant. It was also submitted that the
      entire compensation had been paid to the first respondent. The State
      Government contends that the need for an additional award arose only
G     because some of the land owners of the land initially proposed to be
      acquired were left out in the original award that was approved on
      05.03.2010.
             9. Appearing for the appellant Shri Jayant Bhushan, learned senior
      counsel has submitted that the award had been passed in Form No. 15
H     of the Assam Land Acquisition Manual and was approved by the State
   ASSAM INDUSTRIAL DEVELOPMENT CORPN. LTD. v.                                187
 GILLAPUKRI TEA COMPANY LTD. [S. ABDUL NAZEER, J.]

on 05.03.2010. Possession of the land was also handed over by the first       A
respondent to the acquiring authority on 21.05.2010 and was thereafter
handed over to the appellant on 11.06.2010. Shri Bhushan submitted that
the compensation was also received by the first respondent and, in fact,
the first respondent had also sought enhancement of the compensation
allowed under the said award. It is Shri Bhushan’s submission that once
                                                                              B
the land stood vested in the State, it could not have been acquired again.
Therefore, any issuance of fresh notification under Section 4 and 6 or
even preparing of a fresh award by the State Government in respect of
the first respondent’s land will be non est or infructuous. He further
submits that the letters dated 21.07.2012 and 06.01.2014 relied upon by
the High Court could not have had the effect of re-acquiring the land in      C
question since it already stood vested in the State Government.
     10. Learned counsel appearing for the State of Assam has
supported the stand of the appellant.
        11. However, Shri Senthil Jagadeesan, learned counsel for the
first respondent submits that the aforesaid two letters would conclusively    D
establish that no approval to an award was granted by the State
Government under the original acquisition proceedings. It is his submission
that the two aforesaid letters dated 21.07.2012 and 06.01.2014 which
were relied upon by the Division Bench of the High Court would clearly
establish the same. Therefore, he prays for dismissal of these appeals.       E
       12. We have carefully considered the submissions of the learned
counsel made at the Bar and perused the materials placed on record.
Having regard to the contentions urged, the crucial question for
consideration is whether an award in respect of the first respondent’s
land was approved by the State Government on 05.03.2010. Needless             F
to say, if the award was not approved on 05.03.2010, but rather on
06.01.2014 as contended by the first respondent, then the 2013 Act will
be applicable and the first respondent will be eligible to receive
compensation in accordance therewith.
       13. To determine whether the award had indeed been approved            G
on 05.03.2010, we first have to examine the letter dated 30.01.2010
through which the State Government’s approval of the award was sought
by the Deputy Commissioner. It is uncontested that vide this letter both
the award and the land acquisition estimate were sent to the State
Government for its approval. It is pertinent to note that the award was in
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188             SUPREME COURT REPORTS                            [2021] 1 S.C.R.


A     the format of Form No. 15 which is the statutorily prescribed form for a
      land acquisition award under the Assam Land Acquisition Manual. This
      is also true of the land acquisition estimate which was as per the
      prescribed format of Form No. 5. As such, the only further action required
      of the State Government was to approve the award which was already
      in the statutorily prescribed form. This is precisely what was done vide
B
      the letter dated 05.03.2010 issued by the Deputy Secretary to the
      Government of Assam, Revenue Department.
              14. This letter dated 05.03.2010 was issued in response to the
      letter dated 30.01.2010, whereunder approval of the award and the land
      acquisition estimate was sought. While this letter only expressly mentions
C     the land acquisition estimate and not the award, a combined reading of
      this letter with the preceding letter dated 30.01.2010 and the subsequent
      conduct of the parties, including the first respondent, make it evident
      that the award stood approved by this letter of 05.03.2010. It is
      noteworthy that copies of both the letters of 30.01.2010 and 05.03.2010
D     were also addressed to the Industries & Commerce Department of the
      Government of Assam. Vide the initial letter of 30.01.2010, the said
      Department was requested to arrange balance funds for making payment
      to the land owners as per the award. In furtherance of this, vide the
      letter of 05.03.2010, the said Department was directed to place the
      balance estimated fund at the disposal of the Deputy Commissioner. We
E     find strength in the appellant’s submission that if the award which had
      been sent for approval alongwith the estimate had not been approved by
      the said letter dated 05.03.2010, this direction for making funds for payment
      to landowners available to the Deputy Commissioner would not have
      been called for. This view is fortified by the subsequent conduct of the
F     parties, as particularly evinced by the below mentioned actions.
             15. It is undisputed that the award amount was indeed made
      available to the Deputy Commissioner and the awarded sum was duly
      paid to and received by the first respondent. Not only did the first
      respondent receive compensation pursuant to the award, it in fact sought
G     enhancement of the same vide its reassessment petition dated 05.05.2010
      u/s 18 of the L.A. Act addressed to the Deputy Commissioner. It is also
      not contested that vide possession certificate dated 21.05.2010, the first
      respondent handed over possession to the Deputy Commissioner and
      that on 11.06.2010 possession of the land was ultimately handed over to
      the appellant by the Deputy Commissioner. What clearly emerges from
H
      ASSAM INDUSTRIAL DEVELOPMENT CORPN. LTD. v.                               189
    GILLAPUKRI TEA COMPANY LTD. [S. ABDUL NAZEER, J.]

the above is that after the letter dated 05.03.2010, it was the common          A
belief of the State Government, the appellant as well as the first respondent
that the award had been approved and that now actions subsequent
thereto viz. payment and receipt of compensation, handover of possession,
seeking reassessment of the compensation were needed to be
undertaken.
                                                                                B
      16. It is clear from the materials on record that the plastic project
for which the subject Land Acquisition was initiated has already been
developed on the acquired land including boundary wall, entrance gate,
laying of roads, drains and electrical distribution networks, electrical
substation, industrial sheds and warehouses.
                                                                                C
       17. In the above scenario, the arguments of the first respondent
are untenable. Once the award has been approved, compensation has
been paid thereunder and possession of the land has been handed over
to the Government, acquisition proceedings could not have been
reopened, including by way of re-notification of the already acquired
land under Section 4 of the L.A. Act by the Government. Contrary to             D
the first respondent’s contention, the question of lapsing under Section
24 of the L.A. Act could not have arisen in this case once the award
was approved on 05.03.2010.
       18. So far as the second set of acquisition proceedings are
concerned, without addressing the factual veracity of the State                 E
Government’s contention that the second award was meant to be only in
respect of landowners not covered by the original award, we are of the
opinion that it would not have been possible for the State Government to
initiate acquisition proceedings in respect of already acquired land such
as that of the first respondent herein. This position has been affirmed by      F
this Court in D. Hanumanth SA & Ors. v. State of Karnataka and
Ors.1 in the following terms:
         “17. Even otherwise, if land already stands acquired by the
         Government and if the same stands vested in the Government
         there is no question of acquisition of such a land by issuing a        G
         second notification for the Government cannot acquire its
         own land. The same is by now settled by various decision of
         this Court in a catena of cases.

1
    (2010) 10 SCC 656.                                                          H
190             SUPREME COURT REPORTS                         [2021] 1 S.C.R.


A            18. In State of Orissa v. Brundaban Sharma,2 this Court has
             held that the Land Acquisition Act does not contemplate or
             provide for the acquisition of any interest belonging to the
             Government in the land on acquisition This position was
             reiterated in a subsequent decision of this Court in Meher
             Rusi Dalal v. Union of India3 in paras 15 and 16 of the said
B
             judgment, this Court has held that the High Court clearly
             erred in setting aside the order of the Special Land Acquisition
             Officer declining a reference since it is settled law that in
             land acquisition proceedings the Government cannot and does
             not acquire its own interest. While laying down the aforesaid
C            law, this Court has referred to its earlier decision in Collector
             of Bombay v. Nusserwanji Rattanji Mistri4"
             The recent decision of the Constitution Bench of this Court in
      Indore Development Authorityv. Manoharlal and Ors. 5 has also
      affirmed that once possession is taken by the State, the land vests
D     absolutely with the State and the title of the landowner ceases. We find
      no reason to deviate from this settled position of law and thus are unable
      to agree with the High Court’s reliance on the letters dated 21.07.2012
      and 06.01.2014 to nullify the original award and allow fresh acquisition
      proceedings in respect of the first respondent’s land which had already
      been acquired and has been under the possession of the appellant since
E     11.06.2010.
             19. Therefore, for the foregoing reasons, the appeals succeed
      and are accordingly allowed. The orders impugned herein are set aside.
      Pending applications, if any, shall stand disposed of. The parties shall
      bear their own costs.
F

      Kalpana K. Tripathy                                         Appeals allowed.




G


      2
        1995 Supp (3) SCC 249.
      3
        (2004) 7 SCC 362.
      4
        AIR 1955 SC 298 : (1955) 1 SCR 1311.
      5
H       (2020) 8 SCC 129.