Supreme Court of India

PUTTU LAL (DEAD) BY LRS.versusSTATE OF U.P. AND ANR.

Citation: 1996 INSC 247
Decided: 14 February 1996
Disposal: Dismissed
Bench: K RAMASWAMYS SAGHIR AHMAD

Holding

Acquisition under the Land Acquisition Act vested the land in the State free of all encumbrances, extinguishing the predecessor's title, so the State is the absolute owner and entitled to possession.

Summary

The land originally owned by Smt. Kokilla was acquired by the State under the Land Acquisition Act, 1894, with a notification on 15 April 1928 and a declaration on 28 July 1928 for a public purpose. Compensation was paid and, under Section 16 of the Act, the land vested in the State free of all encumbrances, extinguishing the former owner's title. Later, the property was declared an encumbered estate under the U.P. Encumbered Estates Act, 1955 and sold at auction to the appellant, who claimed possession. The State filed a suit for possession under Section 145 of the CrPC, which the High Court allowed. On appeal, the court held that the earlier acquisition permanently vested the land in the State, defeating any later claim under the Encumbered Estates Act, and dismissed the appeal.

Issues considered

Whether acquisition of land under the Land Acquisition Act, 1894, with compensation paid, extinguishes the predecessor's title and vests the land in the State free of encumbrances.
Whether a subsequent declaration of the land as an encumbered estate under the U.P. Encumbered Estates Act, 1955, can give the purchaser a right to possession against the State.

Legislation cited

Code of Criminal Procedure, 1973s. 145
Land Acquisition Act, 1894s. 16, s. 4, s. 6

Subjects

land acquisitioncompensationvested titleencumbered estatespossession suitstatutory acquisitionextinguishment of title

Judgment

                                                                                    A
                                                                                    I   .
                                                                                        I




A                        PUITU LAL (DEAD) BY LRS.
                                    v.
                          STATE OF U.P. AND ANR.

                               FEBRUARY 14, 1996

B             [K. RAMASWAMY ANDS. SAGHIR AHMAD, JJ.]

          Land Acquisition Act, 1894/U.P. Encumbered Estate Act, 1955 :

        Sections 4, 6, 16-Compensation paid for the land acquired-Acquisi-
C tion ·made under the provisions of the U.P. Encumbered Estates Act, and
  possession taken by Govemment-Right, title and interest held by the land
  owner stood extinguished-Vested in the State free from all encumbran-
  ces-State becomes absolute owner and could file suit for possession.

          CIVIL APPELLATE JURISDICTION : Civil Appeal No. 2478 of
D 1977.
         From the Judgment and Order dated 15.7.76 of the Allahabad High
    Court in F.C.A. No. 31 of 1965.

          Raj Kumar Mehta for the Appellants.
E
          T.N. Singh and R.B. Misra for the Respondents.

          The following Order of the Court was delivered :

         . This appeal by special foave arises from the judgment and decree of
F   the High Court of Judicature at Allahabad dated July 15, 1976 made in
    Civil First Appeal No. 11/65. The State filed the suit for recovery of
    possession of property from the respondents pursuant to the orders passed
    under Section 145 of the Cr. P.C. The civil court dismissed the suit but on
    appeal the High Court allowed the same.
G          The admitted facts are that .the land originally belonged to Smt.
     Kokilla. Notification under Section 4(1) of the Land Acquisition Act, 1894
     (for short, the 'Act') was published on April 15, 1928 and declaration under
     Section 6 was published on ·July 28, 1928 acquiring the land known as
    ·Phulwari for public purpose, namely, for construction of the quarters for
H    the constables of Police outpost Misrana. That acquisition has become
                                          638
~
I


                              PUTllJLALv. STATE                              639

    final. Now, the High Court has recorded a finding of fact that compensa-        A
    tion was paid to Smt. Kokila and, therefore, the land stood vested in the
    State under Section 16 of the Act free from all encumbrances.

           The contention raised by the appellant is that the proceedings were
    taken under the U.P. Encumbered Estates Act, 1955 and the property was
    declared to be encumbered estate. As a consequence, the title of the            B
    appellant's predecessor was upheld. He being the purchaser at an auction
    is entitled to the possession by virtue of his title. We find no force in the
    contention. Having acquired the land under the provisions of the Act and
    the possession having been taken thereunder the right, title and interest
    held by Smt. Kokila stood extinguished and vested in the State free from        C
    all encumbrances. Consequently, the State is the absolute owner. The State
    being the owner, is entitled to file the suit for possession. The High Court,
    therefore, has rightly found that the appellants at this distance of time
    cannot question the correctness of the acquisition made in 1928.

           The appeal is accordingly dismissed. No costs.                           D
    G.N.                                                      Appeal dismissed.

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