Interpretation of Section 24 of the Land Acquisition Act:
Constitution Bench of the Supreme Court begins hearing the case on merits today.
Constitution Bench of the Supreme Court begins hearing the case on merits today.
Solicitor General Tushar Mehta begins to make submissions on behalf of the Government of India.
Section 24 merely provides for that would happen to proceedings initiated under the previous regime, Mehta
Section 24 merely provides for that would happen to proceedings initiated under the previous regime, Mehta
Mehta takes the Court through what the provisions under section 24 provide for
Subsection (2) is an exception to subsection (1) l. The word "or" in subsection (2) is disjunctive or not is what Your Lordships will examine, Mehta
Subsection (2) is an exception to subsection (1) l. The word "or" in subsection (2) is disjunctive or not is what Your Lordships will examine, Mehta
Majority landholding and compensation not deposited in bank are the two conditions that need to be fulfilled under subsection (2), Mehta
Entire section needs to be examined from the intention of the legislature. Why the section was couched the way it was couched, Mehta
Mehta gives hypothetical example to explain his point.
If a big infrastructure project is planned and large area of land is required, some who may not agree to this acquisition. Therefore, legislature says if majority beneficiaries received compensation, acquisition won't lapse
If a big infrastructure project is planned and large area of land is required, some who may not agree to this acquisition. Therefore, legislature says if majority beneficiaries received compensation, acquisition won't lapse
Justice Mishra asks what follows if the compensation is not deposited.
Mehta reads out provisions under the Act providing for payment to be tendered to the beneficiary
Mehta reads out provisions under the Act providing for payment to be tendered to the beneficiary
Justice Mishra points at Section 34 of the Act which provides for payment fo interest on the award if the compensation is not paid and possession of land taken.
Mehta: It is for interest on default of payment, but acquisition will not lapse
Mehta: It is for interest on default of payment, but acquisition will not lapse
If proceedings started earlier then for payment we will have to rely on sections 31 to 34, Mehta
What is "tender" is also not so easy and simple. The meaning of the word "tender" will also have to be looked into to satisfy the court's conscience, Justice Mishra
Mehta says that section 24 is not a standalone provision and will have to be considered in light of the scheme of the Act.
Mehta begins to take the Court through the judgments on the issue starting from Pune Municipal corporation case
Mehta begins to take the Court through the judgments on the issue starting from Pune Municipal corporation case
Mehta says attempt of Court to be to interpret section 24 in order to save past transactions.
Prevailing law has not been superceded. Five years is good time to complete the process, Justice Mishra
Intent of parliament must be considered. The words deposited in "bank accounts" of individuals was not considered and words "accounts" of individuals were considered by Rajya Sabha, Mehta
Mehta explains that the intent was for the money to be deposited in the treasury from where the beneficiary would collect the same. The Court would get a communication that money has been deposited.
Justice Mishra: What if the amount paid is too paltry. What if you are offering me peanuts and insulting me?
Acceptance of the compensation does not mean right to claim further compensation is waived, Mehta
Bench rises for lunch
Constitution Bench assembles for the post lunch sesion.
Solicitor General Tushar Mehta is on his legs in another case, Advocate Kanu Agarwal making submissions for the Centre.
Solicitor General Tushar Mehta is on his legs in another case, Advocate Kanu Agarwal making submissions for the Centre.
"Paid" and "deposit" may be given general meaning as stipulated in the old Act, Agarwal
The purpose of the provision was to balance the interest of public projects and individual rights; to ensure that lapsing of projects where public money is invested does not happen and beneficiaries are compensates, Agarwal
Legislature does not expect the acquiring authority to perform an impossible task of forcing the payment to landowner. Legislature does not use the expression of landowner "accepting the payment" but uses the expression "paid", Agarwal
Lapsing is drastic and there is a balancing provision in section 24(1) and the proviso to section 25(2) to restrict lapsing, Agarwal
Agarwal: By using the words "paid" and "deposit" the legislature has given a leeway...
Justice Mishra: once it is paid, there is no question of deposit. But when can it be said to be "paid"?
Justice Mishra: once it is paid, there is no question of deposit. But when can it be said to be "paid"?
Agarwal: "Paid" means to make readily available
Agarwal: Of the acquiring authority has made the money available then the authority should not have to suffer the drastic consequence of lapsing
Payment is mandatory but the mode of payment is discretionary, SG Mehta
The question is whether the proviso is for section 24(1) or 24(2), Mehta
Constitution Bench rises for the day
