CHANDRAKANT ADINATH UTTUREversusSTATE OF MAHARASHTRA & OTHERS

                        [2016] 2 S.C.R. 193



             CHANDRAKANT ADINATH UTTURE                                A
                                 v.
            STATE OF MAHARASHTRA & OTHERS
                  (Civil Appeal No. 1346 of2016)
                       FEBRUARY IS, 2016                               B

 [KURIAN JOSEPH AND ROHINTON FALi NARIMAN, JJ.)
       Maharashtra Project Affected Persons Rehabilitation Act,
1986 - ss. 13, 14 - Rehabilitation of affected persons from the
benefitted zone -. Declaration of areas in affected and benefitted C
zone by State Government as also extent of land acquired in the
benefitted zone as per the slab - Change in slab or area to be
acquired, after the publication of the first notification - Requirement
of issuing notice to those whose lands would be acquired on account
                                     '
of the change in the slab - Held:'#'hen       there is a change in the
slab, reducing the area of exemption from acquisition in the benefitted D
zone, the procedure uls. 13(2) is to be followed which requires giving
of public notice inviting objections.
      Allowing the appeals, the Conrt
      HELD: 1.1 The whole purpose of notice under sub-Section
                                                                       E
(2) of Section 13 of the Maharashtra Project Affected Persons
Rehabilitation Act, 1986 is to invite objections or suggestions in
respect of the lands falling under the affected or benefitted zone.
By change of slab, there is change in. the area of the benefitted
zone and that change can be brought out only on following the
procedure nnder sob-Section (2) after considering the objections       F
and suggestions. [Para l2) [200cF-G]
       1.2 Under sub-Section (4) of Section 14, the Government
 is permitted to acquire land even from any other villages or areas
 for the purpose of rehabilitating the affected persons from the
·affected zone or for rehabilitating those under any project who       G
 have remained to be rehabilitated. Once there is a change in the
 notification on the slab reducing the size of exempted holding,
 the people thus affected should get a chance to make their
 objections and suggestions, so that the Government may consider
 the report of the Collector on those objections and suggestions,
                                                                       H
                                193
194            SUPREME COURT REPORTS                     (2016] 2 S.C.R.


A     before issuing a revised notification u/s. 13(1) of the Act. [Para
      13] (200-G-H; 201-A]
         1.3 Passing of the award by itself does not mean that any
  illegality should not be addressed. In the instant case, the writ
  petitions were filed when the declaration under Section 6 of the
B Act was published, and in any case, it is submitted by the appellants
  that they have not been dispossessed so far and no compensation
  also has been paid. Therefore, the High Court was not right in
  holding that the requirement of notice on objections and
  suggestions need only be in respect of the lands coming under
  Section 13(1)(a) of the Act (the affected zones) and Section
c 13(1)(b) of the Act (the benefitted zones). The High Court is right,
  however, in holding that no notice is required in respect of the
  lands belonging to the slab under Section 13(l)(c) of the Act,
  when it is issued for the first time. However, in case there is a
  change in the slab reducing the area of exemption from acquisition
D in the benefitted zone, the procedure under Section 13 (2) of the
  Act is required to be followed. The appellants are permitted to
  prefer their objections or submit their suggestions on the change
  of slab from Slab III to Slab I before the Collector. [Paras 15 - 17)
  (201-F-H; 202-A-B)
 E         CIVIL APPELLATE JURISDICTION : Civil Appeal No. I 346
      of2016
           From the Judgment and Order dated 07.06.2010 in WP No. 1144
      of2002 by the High Court of Judicature at Bombay
                                     WITH
 F
            C.A. No. 1348 of2016
            & C.A. No. 1350 of2016
            Harshvardhan Reddy, Senthil Jagadeesan, Aman Vachher,
      Ashutosh Qubey, Abhishek Chauhan, (For P.N. Puri), Advs. for the
 G    Appellants.
            Satyajit A. Desai, Akash Kakade, Nishant Ramakantrao
      Katneshwarkar, Advs. for the Respondents.
            The Judgment of the Court was delivered by
            KURIAN, J.: !. Leave granted.
 H
         CHANDRAKANT ADINATH UTTURE v. STATE OF                                    195
                MAHARASHTRA [KURIAN, J,]

         2. The Maharashtra Project Affected Persons Rehabilitation Act,            A
• · 1986 (hereinafter referred to as "the Act") is a piece of legislation
 · intended for rehabilitation of persons affected on implementation of certain
    projects in the State of Maharashtra "on the lands acquired from the
    zones benefitted by the projects. The Act is applicable to all irrigation
    projects of which the area of the affected zone exceeds 50 Hectares or
                                                                                      B
    the area of the benefitted zone exceeds 200 Hectares or where a gaothan
  . is affected. The State Government is also entitled to make the Act
    applicable to other projects as well to which the Act is applicable. The
    affected zone is defined as the area declared under Section 13 of the
    Act to constitute the extent of the area affected uricle"t a partic_µlar project.
    Benefitted zone means the area declared under Section 13 of the Act to c
    constitute the area of the benefitted zone under the project. Rehabilitation
    under the scheme of, the Act of the affected persons is done mainly by
    acquiring lands corning under the benefitted zone. In the present case, it
    is the Chikotra project.
         3. Under Section 13 of the Act, the State Government has to D
  make a declaration of areas in affected and benefitted zones and also
  che extent ofland to be acquired irt the benefitted zone is as perthe slabs
 ·mentioned in Part 11 of the Schedule. As far as extent of area coi1stituting
  the affected zone under the project and the extent of area constituting
  the benefitted zone is cc\ncerned, it is cfoarly provided under Section ·
   13(2) of the Act that a public notice inviting objections or suggestions· is E
  to be issued. After considering the objections and suggestions only, a
  notification under Section 13 (1) of the Act could be published in the
  official gazette and by other modes of publication as provided under the
  Act.
         4. In the instant case, there is no dispute on that procedure. The F
  dispute is in a narrow compass. In the gazette notification originally
  published, the slab under Part JI was Slab III whereunder there is no
  acquisition in case the holding in the benefitted zone is not more than 3
  Hectares and 23 Ares. Under all slabs, larger the holding, proportionately
  larger is the acquisition. After publishing the notification under Section G
  13 with Slab Ill on 04.03 .1994, another notification was published on
  26.07.1995 changing the slab under Part II from Slab III to Slab I wherein
  the exemption from acquisition is only where the size of holding is not.
  more than I Hectare and 61 Ares. Under Slab I (ifthe size of the benefitted
  holding is more than 1 Hectare and 61 Ares but not more than 2 Hectares
  and 42 Ares, the area to be acquired is that in excess of 1 Hectare and H
196              SUPREME COURT REPORTS                          [2016] 2 S.C.R.


A     61 Ares (the exempted area under Slab I) but not more thaR 40 Ares). If
      the size of the holding is more than 2 Hectares and 42 Ares and not
      more than 3 Hectares and 23 Ares (the exempted size of the holding
      under Slab III), the area to be acquired is the area in excess of2 Hectares
      and 2 Ares but not more than 80 Ares.
B            5. The simple question is, in case there is a change in slab or area
      to be acquired, after the publication of the first notification, should there
      be a notice to those whose lands will be acquired on account of the
      change in the slab.
             6. The High Court in the impugned judgment dated 07 .06.20 I 0,
c     has taken the view that the public notice for hearing under Section 13 of
      the Act need only be in respect of the lands ' in the affected zone and
      benefitted zone and there is no requirement under the Act or under law,
      for notice when there is a change in the slab, and hence, the appeals.
             7. Being a pure question of law, it is not necessary to delve deep
D     into the facts and yet we shall refer to a few dates.
              8. Notices under Section l 3(2)'oftheAct inviting objections with
      respect to lands in the affected and benefitted zones were published on
      20.09.1993, 22.11.1993 and 03.12.1993. After considering the objections,
      the notification under Section 13( 1) of the Act was issued and published
 E    in the gazette on 04.03.1994. There were around 500 project affected
      khatedars and the land estimated for the rehabilitation was around 653
      Hectares. As per the notified Slab III, exempted size of holding being
      upto the extent of 3.43 Hectares, th.e land available for acquisition was
      only around 179 Hectares, as per the respondent. However, if the slab
      was changed from Slab III to Slab I, the land available for acquisition
 F    would be around 548 Hectares. It was hence and in that context, another
      notification was published on 26.07 .1995 changing the slab from Slab III
      to Slab I. According to the appellants, though there is no requirement
      under Section 13 of the Act for a notice and hearing while issuing a
      notification for the first time under Section 13(1) of the Act, when there
 G     is a change in the slab reducing the exempted area, the affected persons
      are entitled to notice.
            9. Jn order to appreciate the contention, we have to analyse the
      scheme of the Act under Sections 13 and 14 of the Act dealing with the
      declaration of areas in the affected and benefitted zones and the Schedule.
      Sections 13 and 14 read as follows:
 H
CHANDRAKANT ADINATH UTTURE v. STATE OF                                  197
       MAHARASHTRA [KURlAN, J.]

"Section 13: Declaration of areas in affected or benefitted             A
zones
   ( 1) The State Government shall, by notification in the Official
   Gazette and also by pub~fication of such notification in the
   manner provided in sub-section (2) of section 11, declare-
      (a) th.e extent of area which shall constitute the area of        B
      affected zone under the project;
      (b) if the project is an irrigation project, the extent of area
      which shall constitute the area ofbenefitted zone under the
      project;
                                                                        c
      (c)which ofthe slabs mentioned in Part II of the Schedule
      shall apply to such project for the purpose of acquisition of
      land in the benefitted zone.
   (2) Before publishing a notification under sub-section (1 ), the
   Collector shall give a public notice inviting objections or          0
   suggestions in respect of the lands falling under clauses (a)
   and (b) of sub-section( i}, by publishing in the manner specified
   in sub-section (2) of section 11 and also in the Official Gazette
   and in one daily newspaper in the Marathi language circulating
   in the local area comprising such villages and areas ofaffected
   and benefitted zone. Any person interested in the land in such        E
   areas may make, objections or suggestions, if any, to the
   Collector within 30 days from the date on which such public
   notice is published by beat of drum in the village or area
   concerned or the date on which it is published in the newspaper
   as aforesaid, whichever is later; and the Collector shall, with
                                                                         F
   all reasonable dispatch, forward any objections or suggestions
   so made together with his report in respect thereof to the State
   Governmentand on considering the report and the objections
   and suggestions, if any, the State Government may pass such
   order as it deems fit.
                                                                        G
   (3) If at any time during the course of execution of a project,
   the project authority is satisfied that any change in the areas
   mentioned in the notification under subsection (1) is necessary,
   it shall communicate such change with reasons and the plans
   and particulars relating to the change to the State Government
   through the Collector.                                               H
198      SUPREME COURT REPORTS                         [2016] 2 S.C.R.



A       (4) On receipt of the communication under sub-section (3)
        and the report of the Collector, if any, the State Government
        rnay after considering the reasons given by the project authority
        and in the report, if any, of the Collector and making such
        enquiry, if any, as it thinks fit, make such change in the manner
        laid down in sub-sections ( 1) and (2).
B
      Section 14: Power to acquire land for purposes of this Act
        ( 1) The State Government or the Collector authorised by it by
        general or special order in this behalf may enter into an
        agreement with any person for the purchase or exchange of
c       any land required for carrying out the purposes of this Act:
            Provided that, the amount paid under an agreement under
            this sub-section shall not be less than the amount of
            compensation payable for the land, had it been acquired in
            accordance with the provisions of sub-section (2).
D        (2) Subject to the provisions of this section, the State
         Government may for carrying out the purposes of t\lis Act,
         also compulsorily acquire land under the Land Acquisition Act,
         1894 (I of 1894); and the acquisition of any land for any of the
         said purposes shall be deemed to be a public purpose within
 E       the meaning of that Act.
         (3) The State Government may also acquire lands included in
         a gaothan in the affected zone as far as practicable according
         to the provisions of Part I of the Schedule.
         ( 4) For the purpose of rehabilitating affected persons from the
 F       affected zone under an-irrigation project, including those under
         any irrigation project who have remained to be rehabilitated,
         on land, the State Government may acquire land from holdings
         in the benefitted zone of the project according to the slab
         declared in the notification under sub-section ( 1) of section 13
         and may also acquire, where necessary, land from any other
 G
         villages or areas, as it may deem fit.
         (5) All lands acquired under this section shall form part of the
         land pool."
      10. Slab I and Slab III in Part II under the Schedule, to the
 H    extent relevant, read as follows:
     CHANDRAKANT ADINATH UTTURE v. STATE OF                             199
            MAHARASHTRA [KURIAN, J.]

           '"Size of holding                 Area to be acquired         A

              ~    (l)                               (2)



 (a) Not more than 1 Hectare-           (a) NIL                          B

 and 6I Ares.

 (b) More than' 1 Hectare and 61        (b) The area in excess of 1
 Ares and not more than 2               Hectare and 61 Ares but not
 Hectares and 42 Ares.                  more than 40 Ares.               c
 (c) More than 2 Hectares and 42        (c) The area in excess of 2
 Ares and not more than 3               Hectares and 2 Ares but not
 Hectares and 23 Ares.                  more than 80 Ares.
 ( d) More than 3 Hectares and 23        (d) The area in excess of 2
                                                                         D
 Ares and not more than 3                Hectares and 42 Ares but not
 Hectares and 4 Ares.                    mare than 1 Hectare and 21
                                        ·Ares.

                xxx                 xxx              xxx
                                Slab III                                  E

  (a) Not more than 3 Hectares          (a) NIL
  and 23 Ares.

  (b} More than 3 Hectares and 23       (b) The area in excess of 3
  Ares and not more than 4              Hectares and 23 Ares but not      F
  Hectares and 4 Ares.                  more than 40 ares.

             xxx                  xxx

        I I. Under S'ection 13 of the Act, before the State Government
makes a notification in the official gazette declaring the extent of area G
constituting affected and benefitted zones and the slab under Part II of
the Schedule, the Collector h~s to give a public notice under Section
 13(2) of the Act inviting objections or suggestions in respect of the lands
falling under the affected zone and benefitted zone. The mode of
 publication is gazette and daily newspaper in Marathi having circulation H
200             SUPREME COURT REPORTS                         [2016] 2 S.C.R.


A in the respective areas. The Collector has to forward a report on the
  objections or suggestions made by the persons interested in the lands
  coming under the affected or bencfitted zone and the State Government
  has to pass appropriate orders on the report on the objections and
  suggestions. Only after completing the process as above under sub-
B Section (2) of Section 13 of the Act, a notification of the affected and
  benefitted zones and the slab under Part 11 of the Schedule can be
  published. Under sub-Section (3), if, at any time, during the course of
  execution of a project, in case, any change in the areas mentioned in the
  notification under sub-Section (1) becomes necessary, such change can -
  be made only in the manner laid down in sub-Sections (1) and (2). As
C per the first notifjcation under Section 13( 1) of the Act published on
  04.03. 1994, since the slab was Slab Ill, there was no acquisition where
  the size of the holding in the benefitted zone is not more than 3 Hectares
  and 23 Ares; however, as per the subsequent notification dated 26.07. I995
  published under Section 13(1 ), since there is a change of slab from Slab
  llI to Slab I, there is acquisition from those who hold land more than I
0
  Hectare and 6 I Ares. It is certainly a change as perceived under sub-
  section (3) and such a change can be brought out during the course of
  execution of a project only in the manner laid down in sub-Sections ( 1)
  and (2) of Section 13 of the Act. The reason is that any adverse change
  in the slab would have its impact on the extent on the lands in benefitted
E zone. That zone in the process gets reduced. In the instant case, while
  publishing the second notification on 26.07.1995, the procedure under
  sub-Section (2), admittedly, has not been followed.
             I 2. It may be seen that the whole purpose of notice under sub-
      section (2) of Section 13 of the Act is to invite objections or suggestions
 F    in respect of the lands falling under the affected or benefitted zone. By
      change of slab, as noted above, there is change in the area of the
      benefitted zone and that change can be brought out only on following the
      procedure under sub-Section (2) after considering the objections and
      suggestions.
 G        I 3. Sub-Section (4) of Section 14 of the Act is also another indicator
   on the requirement of notice. The Government is permitted to acquire
   land even from any other villages or areas for the purpose ofrehabilitating
   the affected persons from the affected zone or for rehabi Iitating those
   under any project who have remained to be rehabilitated. Once there is
   a change in the notification on the slab reducing the size of exempted
 H holding, the people thus affected should get a chance to make their

                                                                             '
           CHANDRAKANT ADINATH UTTURE v. STATE OF                                  201
                  MAHARASHTRA [KURIAN, J.]

     <Jbjections and suggestions, so that the Government may consider the A
     report of the Collector on those.objections and suggestions, before issuing
     a revised notification under Section 13( 1) of the Act.
           14. Learned Counsel for the respondent-State submits that
     pursuant to the notifications issued under the Act, further steps, as noted
     below, have been taken for acquisition of the land:                            B
        S. No.       Date                       Particular

          I.     2L09.2000        Notification under Section 4 of Land
                                i
                                  Acquisition Act was published in
                                  Government Gazette.                               c
                        '
',        2.                     Notice u/s. 4(1) of the Land Acquisition
                               · Act was given to the petitioner.
          3.     28.11.2000      Objections raised by the petitioner
                                 u/s.5( 1) of the Land Acquisition Act              D
                                 were heard.
          4.     14.12.200 I     Declaration u/s. 6 of Land Acquisition
                                 Act was published in Government
                                 Gazette.
                                                                                    E
          5.     15.01.2002      The notice u/s.9(3)(4) of the Land
           -·                    Acquisition Act was issued to the
                                 petitioner.

          6.     _21.01.2004     Final Award has been declared"
                                                                                    F
           15. Passi.ng of the award by itself does not mean that any illegality
     should not be addressed. In the instant case, the writ petitions were filed
     when the declaration under Section 6 of the Act was published, and in
     any case, it is submi,tted by the appellants that they have not been
     dispossessed so far and no compensation also has been paid.
                                                                                G
            16. Therefore, the High Court is not right in holding that the
     requirement of notice on objections and suggestions need only be in
     respect of the lands coming under Section 13( 1)(a) of the Act (!he
     affected zones) and Section i 3(1 )(b) of the Act (the benefitted zones).
     The High Court is right, however, in holding that no notice is required in
     respect of the lands belonging to the slab under Section l 3(1)(c) of the H
202                SUPREME COURT REPORTS                      [2016) 2 S.C.R.



A     Act, when it is issued for the first time. However, in case there is a
      change in the slab reducing the area of exemption from acquisition in the
      benefitted zone, the procedure under Section 13 (2) of the Act is required
      to be followed.
             17. For the above reasons, these appeals are disposed of permitting
B     the appellants to prefer their objections or submit their suggestions on
      the change of slab from Slab Ill to Slab I before the Collector within one
      month from today. The Collector shall make appropriate inquiry on the
      objections or suggestions and forward his report to the State Government
      within another two months. The State Government shall pass appropriate
      orders on the report within another two months. Depending on the orders
c     thus passed by the Government, the Collector shall revise the awards
      already passed, ifrequired. The appeals are allowed to the above extent.
             18. There shall be no order as to costs.
      Nidhi Jain                                                Appeals allowed.
D




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