04 May 2017
Supreme Court
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GOVT. OF NCT OF DELHI Vs MANAV DHARAM TRUST

Bench: KURIAN JOSEPH,R. BANUMATHI
Case number: C.A. No.-006112-006112 / 2017
Diary number: 8163 / 2015
Advocates: RACHANA SRIVASTAVA Vs


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IN THE SUPREME COURT OF INDIA

CIVIL APPELLATE JURISDICTION

CIVIL APPEAL NO.    6112        OF 2017 (Arising out of S.L.P.(C) No. 13551 of 2015)

GOVT. OF NCT OF DELHI ...  APPELLANT (S)

VERSUS

MANAV DHARAM TRUST AND ANOTHER      ... RESPONDENT (S)

WITH

CIVIL APPEAL NO.    6113    OF 2017     (Arising out of S.L.P.(C) No.14802 of 2015),

CIVIL APPEAL NO.    6115    OF 2017     (Arising out of S.L.P.(C) No.15451 of 2015),

CIVIL APPEAL NO.    6118    OF 2017   (Arising out of S.L.P.(C) No.15454 of 2015),

CIVIL APPEAL NO.    6120   OF 2017     (Arising out of S.L.P.(C) No.16995 of 2015),

CIVIL APPEAL NO.   6123   OF 2017    (Arising out of S.L.P.(C) No.17006 of 2015),

CIVIL APPEAL NO.     6128    OF 2017    (Arising out of S.L.P.(C) No.17248 of 2015),

CIVIL APPEAL NO.    6131   OF 2017     (Arising out of S.L.P.(C) No.17740 of 2015),

CIVIL APPEAL NO.  6134  OF 2017   (Arising out of S.L.P.(C) No.18480 of 2015),

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REPORTABLE

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CIVIL APPEAL NO.  6136     OF 2017    (Arising out of S.L.P.(C) No.18485 of 2015),

CIVIL APPEAL NO.  6138  OF 2017    (Arising out of S.L.P.(C) No.19204 of 2015),

CIVIL APPEAL NO.  6140    OF 2017    (Arising out of S.L.P.(C) No.19452 of 2015),

CIVIL APPEAL NO.  6142  OF 2017    (Arising out of S.L.P.(C) No.19555 of 2015),

CIVIL APPEAL NO.  6146  OF 2017   (Arising out of S.L.P.(C) No.22067 of 2015),

CIVIL APPEAL NO.  6149   OF 2017    (Arising out of S.L.P.(C) No.22069 of 2015),

CIVIL APPEAL NO.  6152  OF 2017     (Arising out of S.L.P.(C) No.22994 of 2015),

CIVIL APPEAL NO.  6156   OF 2017     (Arising out of S.L.P.(C) No.22995 of 2015),

CIVIL APPEAL NO. 6160    OF 2017     (Arising out of S.L.P.(C) No.23742 of 2015),

CIVIL APPEAL NO.     6163                   OF 2017     (Arising out of S.L.P.(C) No.24957 of 2015),

CIVIL APPEAL NO. 6164   OF 2017     (Arising out of S.L.P.(C) No.24963 of 2015),

CIVIL APPEAL NO. 6166   OF 2017     (Arising out of S.L.P.(C) No.25524 of 2015),

CIVIL APPEAL NO.   6170  OF 2017     (Arising out of S.L.P.(C) No.26493 of 2015),

CIVIL APPEAL NO.   6173   OF 2017     (Arising out of S.L.P.(C) No.26606 of 2015),

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CIVIL APPEAL NO.  6186    OF 2017     (Arising out of S.L.P.(C) No.26724 of 2015),

CIVIL APPEAL NO.   6190   OF 2017     (Arising out of S.L.P.(C) No.27318 of 2015),

CIVIL APPEAL NO.   6194   OF 2017     (Arising out of S.L.P.(C) No.27485 of 2015),

CIVIL APPEAL NO.   6197 OF 2017    (Arising out of S.L.P.(C) No.27729 of 2015),

CIVIL APPEAL NO.  6203  OF 2017    (Arising out of S.L.P.(C) No.28002 of 2015),

CIVIL APPEAL NO.   6206   OF 2017    (Arising out of S.L.P.(C) No.28579 of 2015),

CIVIL APPEAL NO.    6209    OF 2017     (Arising out of S.L.P.(C) No.28745 of 2015),

CIVIL APPEAL NO.  6213    OF 2017     (Arising out of S.L.P.(C) No.28768 of 2015),

CIVIL APPEAL NO.  6216   OF 2017     (Arising out of S.L.P.(C) No.28922 of 2015),

CIVIL APPEAL NO.    6219  OF 2017     (Arising out of S.L.P.(C) No. 28927 of 2015),

CIVIL APPEAL NO.   6224  OF 2017     (Arising out of S.L.P.(C) No. 28929 of 2015),

CIVIL APPEAL NO.   6228    OF 2017       (Arising out of S.L.P.(C) No.29537 of 2015),

CIVIL APPEAL NO.   6233  OF 2017     (Arising out of S.L.P.(C) No. 30148 of 2015),  

CIVIL APPEAL NO.   6237  OF 2017    (Arising out of S.L.P.(C) No. 30211 of 2015),

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CIVIL APPEAL NO.   6240   OF 2017     (Arising out of S.L.P.(C) No. 30224 of 2015),

CIVIL APPEAL NO.  6242   OF 2017     (Arising out of S.L.P.(C) No.30228 of 2015),

CIVIL APPEAL NO.    6246   OF 2017    (Arising out of S.L.P.(C) No.30234 of 2015),

CIVIL APPEAL NO.  6249  OF 2017     (Arising out of S.L.P.(C) No.30238 of 2015),

CIVIL APPEAL NO.   6260   OF 2017    (Arising out of S.L.P.(C) No.30243 of 2015),

CIVIL APPEAL NO.  6264   OF 2017    (Arising out of S.L.P.(C) No.30244 of 2015),

CIVIL APPEAL NO.  6267   OF 2017    (Arising out of S.L.P.(C) No.30275 of 2015),

CIVIL APPEAL NO.   6270    OF 2017    (Arising out of S.L.P.(C) No.30733 of 2015),

CIVIL APPEAL NO.   6272  OF 2017     (Arising out of S.L.P.(C) No.30734 of 2015),

CIVIL APPEAL NO.  6274  OF 2017    (Arising out of S.L.P.(C) No.30735 of 2015),

CIVIL APPEAL NO.   6276   OF 2017   (Arising out of S.L.P.(C) No.31250 of 2015),

CIVIL APPEAL NO.  6279   OF 2017   (Arising out of S.L.P.(C) No.31366/2015),

CIVIL APPEAL NO.  6281  OF 2017   (Arising out of S.L.P.(C) No.31673 of 2015),

CIVIL APPEAL NO. 6283  OF 2017      (Arising out of S.L.P.(C) No.32614 of 2015),

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CIVIL APPEAL NO.  6285  OF 2017    (Arising out of S.L.P.(C) No.32617 of 2015),

CIVIL APPEAL NO.   6287  OF 2017     (Arising out of S.L.P.(C) No.32640 of 2015),

CIVIL APPEAL NO.   6289  OF 2017    (Arising out of S.L.P.(C) No. 32642 of 2015),

CIVIL APPEAL NO.   6291  OF 2017     (Arising out of S.L.P.(C) No.32643 of 2015),

CIVIL APPEAL NO.   6292  OF 2017     (Arising out of S.L.P.(C) No.32645 of 2015),

CIVIL APPEAL NO.   6294  OF 2017   (Arising out of S.L.P.(C) No.32647 of 2015),

CIVIL APPEAL NO.   6296   OF 2017   (Arising out of S.L.P.(C) No.33344 of 2015),

CIVIL APPEAL NO.   6298   OF 2017   (Arising out of S.L.P.(C) No.34619 of 2015),

CIVIL APPEAL NO.   6300  OF 2017  (Arising out of S.L.P.(C) No.35231 of 2015),

CIVIL APPEAL NO.   6302  OF 2017   (Arising out of S.L.P.(C) No.35243 of 2015),

CIVIL APPEAL NO. 6125   OF 2017     (Arising out of S.L.P.(C) No.545 of 2016),

CIVIL APPEAL NO.  6127  OF 2017     (Arising out of S.L.P.(C) No.848 of 2016),  

CIVIL APPEAL NO.  6129    OF 2017     (Arising out of S.L.P.(C) No.1686 of 2016),

CIVIL APPEAL NO.    6130   OF 2017      (Arising out of S.L.P.(C) No.1698 of 2016),

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CIVIL APPEAL NO.  6132  OF 2017     (Arising out of S.L.P.(C) No.1700 of 2016),

CIVIL APPEAL NO. 6133   OF 2017    (Arising out of S.L.P.(C) No.2070 of 2016),

CIVIL APPEAL NO.  6135  OF 2017     (Arising out of S.L.P.(C) No.2839 of 2016),

CIVIL APPEAL NO.  6137  OF 2017    (Arising out of S.L.P.(C) No.4221 of 2016),

CIVIL APPEAL NO.  6141  OF 2017    (Arising out of S.L.P.(C) No.7016 of 2016),

CIVIL APPEAL NO.  6143    OF 2017    (Arising out of S.L.P.(C) No. 7564 of 2016),

CIVIL APPEAL NO.  6145  OF 2017     (Arising out of S.L.P.(C) No.7568 of 2016),

CIVIL APPEAL NO.   6147   OF 2017    (Arising out of S.L.P.(C) No.7609 of  2016),

CIVIL APPEAL NO.  6150  OF 2017     (Arising out of S.L.P.(C) No.7735 of 2016),

CIVIL APPEAL NO.   6153   OF 2017     (Arising out of S.L.P.(C) No.7761 of 2016),

CIVIL APPEAL NO.  6155   OF 2017    (Arising out of S.L.P.(C) No.8770 of 2016),

CIVIL APPEAL NO.  6157    OF 2017     (Arising out of S.L.P.(C) No.8793 of 2016),

CIVIL APPEAL NO.  6159  OF 2017      (Arising out of S.L.P.(C) No.8798 of 2016),

CIVIL APPEAL NO.  6161  OF 2017      (Arising out of S.L.P.(C) No.8808 of 2016),

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CIVIL APPEAL NO.  6167 OF 2017    (Arising out of S.L.P.(C) No.8811 of 2016),

CIVIL APPEAL NO.   6169  OF 2017     (Arising out of S.L.P.(C) No.8812 of 2016),

CIVIL APPEAL NO.   6172  OF 2017    (Arising out of S.L.P.(C) No.8813 of 2016),

CIVIL APPEAL NO.   6175   OF 2017    (Arising out of S.L.P.(C) No.8817 of 2016),

CIVIL APPEAL NO.  6176    OF 2017   (Arising out of S.L.P.(C) No. 8818 of 2016),

CIVIL APPEAL NO.   6178   OF 2017   (Arising out of S.L.P.(C) No.8819 of 2016),

CIVIL APPEAL NO.  6180   OF 2017     (Arising out of S.L.P.(C) No.8820 of 2016),

CIVIL APPEAL NO.  6181  OF 2017    (Arising out of S.L.P.(C) No.8829 of 2016),

CIVIL APPEAL NO.   6182   OF 2017    (Arising out of S.L.P.(C) No.8836 of 2016),

CIVIL APPEAL NO.  6184   OF 2017    (Arising out of S.L.P.(C) No.9061 of 2016),

CIVIL APPEAL NO.  6185    OF 2017   (Arising out of S.L.P.(C) No.9184 of 2016),

CIVIL APPEAL NO. 6187   OF 2017    (Arising out of S.L.P.(C) No.10009 of 2016),

CIVIL APPEAL NO. 6189  OF 2017    (Arising out of S.L.P.(C) No.10495 of 2016),

CIVIL APPEAL NO. 6191  OF 2017   (Arising out of S.L.P.(C) No.11339 of 2016),

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CIVIL APPEAL NO.  6193  OF 2017   (Arising out of S.L.P.(C) No.11349 of 2016),

CIVIL APPEAL NO.  6195   OF 2017    (Arising out of S.L.P.(C) No.11356 of 2016),

CIVIL APPEAL NO. 6198   OF 2017  (Arising out of S.L.P.(C) No.11372 of 2016),

CIVIL APPEAL NO.  6200   OF 2017    (Arising out of S.L.P.(C) No.11380/2016),

CIVIL APPEAL NO.  6202  OF 2017   (Arising out of S.L.P.(C) No.11383 of 2016),

CIVIL APPEAL NO.  6205  OF 2017    (Arising out of S.L.P.(C) No.11448 of 2016),

CIVIL APPEAL NO.  6207   OF 2017     (Arising out of S.L.P.(C) No.11458/2016),

CIVIL APPEAL NO. 6210  OF 2017    (Arising out of S.L.P.(C) No.17354 of 2016),

CIVIL APPEAL NO.   6212   OF 2017     (Arising out of S.L.P.(C) No.19966 of 2016),

CIVIL APPEAL NO.  6214   OF 2017    (Arising out of S.L.P.(C) No.19972 of 2016),

CIVIL APPEAL NO.  6217  OF 2017     (Arising out of S.L.P.(C) No.19976 of 2016),

CIVIL APPEAL NO.  6218  OF 2017     (Arising out of S.L.P.(C) No.23083/2016),

CIVIL APPEAL NO.  6221   OF 2017    (Arising out of S.L.P.(C) No.23085/2016),

CIVIL APPEAL NO.  6222   OF 2017    (Arising out of S.L.P.(C) No.23095/2016),

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CIVIL APPEAL NO.  6225  OF 2017   (Arising out of S.L.P.(C) No.23642/2016),

CIVIL APPEAL NO.  6227   OF 2017    (Arising out of S.L.P.(C) No.23646/2016),

CIVIL APPEAL NO. 6230   OF 2017    (Arising out of S.L.P.(C) No.23659 of 2016),

CIVIL APPEAL NO.  6231   OF 2017   (Arising out of S.L.P.(C) No.24307 of 2016),

CIVIL APPEAL NO.  6234   OF 2017   (Arising out of S.L.P.(C) No.24313 of 2016),

CIVIL APPEAL NO.  6236   OF 2017   (Arising out of S.L.P.(C) No.24321 of 2016),

CIVIL APPEAL NO.  6239    OF 2017    (Arising out of S.L.P.(C) No.25136 of 2016),

CIVIL APPEAL NO.   6241 OF 2017     (Arising out of S.L.P.(C) No.28183 of 2016),

CIVIL APPEAL NO. 6243   OF 2017     (Arising out of S.L.P.(C) No.28270 of 2016),

CIVIL APPEAL NO.   6245   OF 2017  (Arising out of S.L.P.(C) No.28272 of 2016),

CIVIL APPEAL NO.  6248   OF 2017    (Arising out of S.L.P.(C) No. 28274/2016),

CIVIL APPEAL NO. 6250 OF 2017    (Arising out of S.L.P.(C) No.28279 of 2016),

CIVIL APPEAL NO.   6252  OF 2017     (Arising out of S.L.P.(C) No.28281 of 2016),

CIVIL APPEAL NO.  6253   OF 2017   (Arising out of S.L.P.(C) No.28661 of 2016),

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CIVIL APPEAL NO.  6255  OF 2017   (Arising out of S.L.P.(C) No.28668 of 2016),

CIVIL APPEAL NO.   6256   OF 2017  (Arising out of S.L.P.(C) No.30426 of 2016),

CIVIL APPEAL NO.   6259   OF 2017    (Arising out of S.L.P.(C) No.31440 of 2016),

CIVIL APPEAL NO.   6262  OF 2017    (Arising out of S.L.P.(C) No.31442/2016),

CIVIL APPEAL NO. 6263  OF 2017   (Arising out of S.L.P.(C) No.31444 of 2016),

CIVIL APPEAL NO. 6265  OF 2017  (Arising out of S.L.P.(C) No.31480/2016),

CIVIL APPEAL NO.    6266    OF 2017   (Arising out of S.L.P.(C) No.32231 of 2016),

CIVIL APPEAL NO.  6269  OF 2017    (Arising out of S.L.P.(C) No.32996 of 2016),

CIVIL APPEAL NO. 6119    OF 2017   (Arising out of S.L.P.(C) No.35159 of 2016),

CIVIL APPEAL NO.  6121  OF 2017   (Arising out of S.L.P.(C) No.35160 of 2016),

CIVIL APPEAL NO. 6122  OF 2017    (Arising out of S.L.P.(C) No.35163 of 2016),

CIVIL APPEAL NO. 6139 OF 2017   (Arising out of S.L.P.(C) No.36421 of 2016),

CIVIL APPEAL NO. 6144   OF 2017   (Arising out of S.L.P.(C) No.36792 of 2016),

CIVIL APPEAL NO. 6148   OF 2017    (Arising out of S.L.P.(C) No.37159 of 2016),

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CIVIL APPEAL NO. 6151    OF 2017    (Arising out of S.L.P.(C) No.37657 of 2016),

CIVIL APPEAL NO.  6154  OF 2017  (Arising out of S.L.P.(C) No.38279 of 2016),

CIVIL APPEAL NO.  6158    OF 2017   (Arising out of S.L.P.(C) No.38283 of 2016),

CIVIL APPEAL NO.   6162  OF 2017   (Arising out of S.L.P.(C) No.38284 of 2016),

CIVIL APPEAL NO.   6168    OF 2017    (Arising out of S.L.P.(C) No.38286 of 2016),

CIVIL APPEAL NO.  6171  OF 2017   (Arising out of S.L.P.(C) No.38292 of 2016),

CIVIL APPEAL NO. 6174   OF 2017    (Arising out of S.L.P.(C) No.38295 of 2016),

CIVIL APPEAL NO. 6177  OF 2017     (Arising out of S.L.P.(C) No.38300 of 2016),

CIVIL APPEAL NO.  6179   OF 2017     (Arising out of S.L.P.(C) No.38303 of 2016),

CIVIL APPEAL NO. 6183   OF 2017     (Arising out of S.L.P.(C) No.38354 of 2016),

CIVIL APPEAL NO. 6188   OF 2017    (Arising out of S.L.P.(C) No.38358 of 2016),

CIVIL APPEAL NO.  6192  OF 2017     (Arising out of S.L.P.(C) No.38364 of 2016),

CIVIL APPEAL NO.  6196   OF 2017    (Arising out of S.L.P.(C) No.38367 of 2016),

CIVIL APPEAL NO.  6199    OF 2017     (Arising out of S.L.P.(C) No.38370 of 2016),

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CIVIL APPEAL NO. 6201   OF 2017      (Arising out of S.L.P.(C) No.38373 of 2016),

CIVIL APPEAL NO. 6204  OF 2017      (Arising out of S.L.P.(C) No.1498 of 2017),

CIVIL APPEAL NO. 6208  OF 2017     (Arising out of S.L.P.(C) No.1499 of 2017),

CIVIL APPEAL NO.  6211  OF 2017     (Arising out of S.L.P.(C) No.1639 of 2017),

CIVIL APPEAL NO. 6215  OF 2017    (Arising out of S.L.P.(C) No.1724 of 2017),

CIVIL APPEAL NO.  6220  OF 2017    (Arising out of S.L.P.(C) No.1726 of 2017),

CIVIL APPEAL NO.  6223   OF 2017    (Arising out of S.L.P.(C) No.1728 of 2017),

CIVIL APPEAL NO.  6226  OF 2017    (Arising out of S.L.P.(C) No.1729 of 2017),

CIVIL APPEAL NO.  6229   OF 2017    (Arising out of S.L.P.(C) No.1730 of 2017),

CIVIL APPEAL NO.  6232    OF 2017     (Arising out of S.L.P.(C) No.1731 of 2017),

CIVIL APPEAL NO.   6235  OF 2017    (Arising out of S.L.P.(C) No.3826 of 2017),

CIVIL APPEAL NO.   6238  OF 2017     (Arising out of S.L.P.(C) No.6911 of 2017),

CIVIL APPEAL NO. 6244  OF 2017    (Arising out of S.L.P.(C) No.8928 of 2017),

CIVIL APPEAL NO.  6247  OF 2017   (Arising out of S.L.P.(C) No.8929 of 2017),

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CIVIL APPEAL NO. 6251  OF 2017    (Arising out of S.L.P.(C) No.9586 of 2017),

CIVIL APPEAL NO. 6254   OF 2017    (Arising out of S.L.P.(C) No.9734 of 2017),

CIVIL APPEAL NOS.  6257-6258  OF 2017  (Arising out of S.L.P.(C) Nos.10556-10557 of 2017)

CIVIL APPEAL NO.   6261  OF 2017   (Arising out of S.L.P.(C) No.11873 of 2017),

CIVIL APPEAL NO.   6268    OF 2017                    (Arising out of S.L.P.(C) No.25536 of 2015),

CIVIL APPEAL NO.  6271     OF 2017         (Arising out of S.L.P.(C) No.38374 of 2016),

CIVIL APPEAL NO.  6273   OF 2017         (Arising out of S.L.P.(C) No.28305 of 2015),

CIVIL APPEAL NO.  6275    OF 2017        (Arising out of S.L.P.(C) No.30167 of 2015),

CIVIL APPEAL NO.   6278   OF 2017        (Arising out of S.L.P.(C) No.30170 of 2015),

CIVIL APPEAL NO.   6280   OF 2017         (Arising out of S.L.P.(C) No.13381 of 2015),

CIVIL APPEAL NO.  6282   OF 2017          (Arising out of S.L.P.(C) No.7731 of 2016),

CIVIL APPEAL NO. 6284   OF 2017          (Arising out of S.L.P.(C) No.7754 of 2016),

CIVIL APPEAL NO. 6286   OF 2017          (Arising out of S.L.P.(C) No.8762 of 2016),

CIVIL APPEAL NO. 6288   OF 2017        (Arising out of S.L.P.(C) No.11404 of 2016),

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CIVIL APPEAL NO. 6290  OF 2017           (Arising out of S.L.P.(C) No.11479/2016),

CIVIL APPEAL NO.  6293   OF 2017         (Arising out of S.L.P.(C) No.38296 of 2016),

CIVIL APPEAL NO. 6295   OF 2017         (Arising out of S.L.P.(C) No.38299 of 2016),

CIVIL APPEAL NO.  6297  OF 2017         (Arising out of S.L.P.(C) No.38355 of 2016),

CIVIL APPEAL NO. 6299 OF 2017         (Arising out of S.L.P.(C) No.38360 of 2016)

                               AND

CIVIL APPEAL NO. 6301   OF 2017 (Arising out of S.L.P.(C) No.38366  of 2016)

J U D G M E N T

KURIAN, J.:

Leave granted.

 2. Whether the subsequent purchasers/assignees/power of

attorney holders, etc., have locus standi to file a petition for a

declaration of lapse of acquisition proceedings under Section

24(2) of The Right to Fair Compensation and Transparency in

Land  Acquisition,  Rehabilitation  and  Resettlement  Act,  2013

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(hereinafter referred to as “the 2013 Act”),  is  the only issue

arising for consideration in these cases.

3. The High Court  has taken the view in favour  of such

people.  Thus,  aggrieved  the  NCT  of  Delhi  and  Delhi

Development Authority are in appeals before this Court.

4. At the outset, we may note that in these cases, the land

acquisition proceedings have otherwise lapsed by the operation

of Section 24(2) of the 2013 Act since either compensation was

not paid or possession was not taken within five years prior to

01.01.2014,  the  date  of  coming  into  force  of  the  2013  Act.

Thus, the dispute is only on the locus standi.

5. Shri Amarendra Saran, learned Senior Counsel leading

the arguments on behalf of the appellants submits that in all

these  cases,  the  transfer  is  in  violation  of  The  Delhi  Lands

(Restrictions on Transfer) Act, 1972 (hereinafter referred to as

“the  Delhi  Act,  1972”).  The  transfers  in  favour  of  the  writ

petitioners are hence void, and accordingly, the beneficiary of

an illegal/void transaction is not entitled to file a case for any

relief.

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6. Reliance is placed on Sections 3,4,8, and 9 of the 1972

Act, which read as follows:

“3. Prohibition on transfer of lands acquired by Central Government –

No  person  shall  purport  to  transfer  by  sale, mortgage, gift, lease or otherwise any land or part thereof  situated  in  the  Union  territory  of  Delhi which  has  been  acquired  by  the  Central Government under the Land Acquisition Act, 1984 or under any other law providing for acquisition of land for a public purpose.

4. Regulation on transfer of lands in relation to which acquisition proceedings have been initiated.

No  person  shall,  except  with  the  previous permission in writing of the competent authority, transfer or purport to transfer by sale, mortgage, gift,  lease or otherwise any land or  part  thereof situated in  the Union territory of  Delhi,  which is proposed  to  be  acquired  in  connection  with  the Scheme and in relation to which a declaration to the effect that such land or part thereof is needed for  a  public  purpose  having  been  made  by  the Central Government under section 6 of the Land Acquisition Act, 1894, the Central Government has not withdrawn from the acquisition under section 48 of that Act.

               xxx                   xxx          xxx

8. Restrictions on registration of transfers of land –

Notwithstanding any thing contained in any other law  for  the  time  being  in  force,  where  any document  required  to  be  registered  under  the provisions of clause (a) to clause (e) of sub-section (1)  of  section  17  of  the  Registration  Act,  1908, purports to transfer by sale, mortgage, gift, lease

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or otherwise any land or part thereof referred to in section 4,  no registering officer appointed under that Act shall register any such document unless the  transferor  produces  before  such  registering officer  a  permission  in  writing of  the  competent authority for such transfer.

9. Penalty –

If any person contravenes the provisions of section 3  or  section  4,  he  shall  be  punishable  with imprisonment  for  a  term  which  may  extend  to three years or with fine or with both.”

7. Learned  Senior  Counsel  and  other  learned  Counsel

further submitted that the issue is no more res integra in view

of the following decisions of this Court:

(i) U.P.  Jal  Nigam,  Lucknow Through  Its  Chairman  and another v. Kalra Properties (P) Ltd., Lucknow and others1,

(ii) Sneh Prabha (Smt.)  and others v.  State of  U.P.  and another2,

(iii) Meera  Sahni  v.  Lieutenant  Governor  of  Delhi  and others3, 1

(1996) 3 SCC 124 2 (1996) 7 SCC 426 3 (2008) 9 SCC 177

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(iv) V.  Chandrasekaran  and  another  v.  Administrative Officer and others4,

(v) Rajasthan   State   Industrial   Development   and Investment  Corporation  v.  Subhash  Sindhi  Cooperative Housing Society, Jaipur and others5 and  

8. U.P. Jal Nigam, Lucknow (supra), is a case where this

Court considered the consequences of a transfer of the land

after  issuance of  notification under  Section 4(1)  of  the  Land

Acquisition Act, 1894 (hereinafter referred to as “the 1894 Act”)

in  the  State  of  Uttar  Pradesh.  It  was  held  that  any

encumbrances  created  by  the  owner  after  Section  4(1)

Notification is  published,  does not  bind the Government and

such a purchaser  does not  acquire  any title  to  the property.

Therefore, such a purchaser cannot challenge the validity of the

notification or the regularity of the process of taking possession

of the land. To quote paragraph-3:

“3.  …   It  is  settled  law  that  after  the notification under Section 4(1) is published in the Gazette any encumbrance created by the owner does not bind the Government and the purchaser does not acquire any title to the property. In this case,  notification  under  Section  4(1)  was published on  24-3-1973,  possession  of  the  land admittedly was taken on 5-7-1973 and pumping station  house  was  constructed.  No  doubt, declaration under Section 6 was published later

4 (2012) 12 SCC 133 5 (2013) 5 SCC 427

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on  8-7-1973.  Admittedly  power  under  Section 17(4) was exercised dispensing with the enquiry under  Section 5-A and on service  of  the  notice under  Section  9  possession  was  taken,  since urgency was acute,  viz.,  pumping station house was to be constructed to drain out  flood water. Consequently, the land stood vested in the State under Section 17(2) free from all encumbrances. It  is  further  settled law that  once possession is taken,  by  operation  of  Section  17(2),  the  land vests  in  the  State  free  from  all  encumbrances unless  a  notification  under  Section  48(1)  is published  in  the  Gazette  withdrawing  from  the acquisition. Section 11-A, as amended by Act 68 of  1984,  therefore,  does  not  apply  and  the acquisition does not lapse. The notification under Section 4(1) and the declaration under Section 6, therefore,  remain  valid.  There  is  no  other provision under the Act to have the acquired land divested,  unless,  as  stated  earlier,  notification under  Section  48(1)  was  published  and  the possession is surrendered pursuant thereto. That apart, since M/s Kalra Properties, respondent had purchased  the  land  after  the  notification  under Section 4(1) was published, its sale is void against the State and it acquired no right, title or interest in the land. Consequently, it is settled law that it cannot challenge the validity of the notification or the  regularity  in  taking  possession  of  the  land before  publication  of  the  declaration  under Section 6 was published.”

9. In  Sneh  Prabha (supra),  this  Court  reiterated  the

position that any alienation of land after the publication of the

notification under Section 4(1) of the 1894 Act does not bind

the Government or the beneficiary under the acquisition. It has

also been held that once the possession of the land is taken

under  Section  16  of  the  Act,  the  land  vests  with  the

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Government free from all encumbrances and the absolute title

is  vested  in  the  Government.  To  quote  from

paragraph-5:  

“5. … It is settled law that any person who purchases land after publication of the notification under Section 4(1), does so at his/her own peril. The object of publication of the notification under Section 4(1) is notice to everyone that the land is needed or is likely to be needed for public purpose and  the  acquisition  proceedings  point  out  an impediment  to  anyone  to  encumber  the  land acquired thereunder. It authorises the designated officer to enter upon the land to do preliminaries etc.  Therefore,  any  alienation  of  land  after  the publication of the notification under Section 4(1) does not bind the Government or the beneficiary under the acquisition. On taking possession of the land, all  rights,  titles and interests in land stand vested in the State, under Section 16 of the Act, free from all encumbrances and thereby absolute title  in  the  land  is  acquired  thereunder.  If  any subsequent purchaser acquires land, his/her only right would be subject to the provisions of the Act and/or to receive compensation for the land. In a recent  judgment,  this  Court  in  Union  of  India v. Shivkumar  Bhargava considered  the  controversy and  held  that  a  person  who  purchases  land subsequent  to  the  notification  is  not  entitled  to alternative  site.  It  is  seen  that  the  Land  Policy expressly conferred that right only on that person whose  land  was  acquired.  In  other  words,  the person must be the owner of the land on the date on  which  notification  under  Section  4(1)  was published.  By  necessary  implication,  the subsequent purchaser was elbowed out from the policy and became disentitled to the benefit of the Land Policy.”

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10. In  Meera  Sahni (supra),  this  Court  dealt  with  the

provisions under the Delhi Act, 1972. After referring to U.P. Jal

Nigam and  Sneh Prabha cases (supra),  in  paragraph-21 of

the judgment, it was held that ... “it is by now well settled law

that under the Land Acquisition Act, the subsequent purchaser

cannot  challenge  the  acquisition  proceedings  and  that  he

would be only entitled to get the compensation”.

11. In  V.  Chandrasekaran (supra),  this  Court  again

addressed the issue as to whether the subsequent purchaser

can  challenge  the  acquisition  proceedings.  After  referring  to

some of the earlier judgments,  at paragraph-18, the law has

been laid down as follows:

“18. In  view of  the above,  the law on the issue  can  be  summarised  to  the  effect  that  a person  who  purchases  land  subsequent  to  the issuance of a Section 4 notification with respect to it,  is  not competent to  challenge the validity of the  acquisition  proceedings  on  any  ground whatsoever,  for  the  reason  that  the  sale  deed executed in his favour does not confer upon him, any  title  and  at  the  most  he  can  claim compensation on the basis of his vendor’s title.”

12. In  Rajasthan  State  Industrial  Development  and

Investment Corporation (supra),  this  Court  held  that  such

transactions after initiation of acquisition proceedings would be

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void and would not be binding on the Government. To quote

paragraph-13:

“13. There can be no quarrel with respect to the  settled  legal  proposition  that  a  purchaser, subsequent  to  the  issuance  of  a  Section  4 notification  in  respect  of  the  land,  cannot challenge  the  acquisition  proceedings,  and  can only claim compensation as the sale transaction in such a situation is  void qua the Government. Any such encumbrance created by the owner, or any transfer of the land in question, that is made after the  issuance  of  such  a  notification,  would  be deemed to be void and would not be binding on the Government. ...”

13. On  behalf  of  the  respondents,  it  has  been  mainly

contended  that  the  subsequent  purchasers  are  persons

interested and they have every right to file a case to protect

their interests. It was also pointed out that under the Delhi Act,

1972, there is no absolute bar on transfer since under Section

5,  the  transfer  was  possible  with  the  permission  of  the

Competent Authority and that under Section 5, the Competent

Authority cannot refuse to grant the permission except on any

of  the grounds under  sub-Section (3)  of  Section 5.  To  quote

Section 5:

“5.  Application for  grant of  permission for transfer under section 4 –

xxxx xxxx xxxx xxxx

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(3)  The competent  authority  shall  not  refuse to grant  the  permission  applied  for  under  this section except  on one or  more  of  the following grounds, namely:-

(i) That  the  land  is  needed  or  is  likely  to  be needed  for  the  effective  implementation  of  the Scheme;

(ii) That  the  land  is  needed  or  is  likely  to  be needed  for  securing  the  objects  of  the  Delhi Development Authority referred to in section 6 of the Development Act;

(iii) That  the  land  is  needed  or  is  likely  to  be needed for any development within the meaning of clause (d) of section 2 of the Development Act or  for  such  things  as  public  building  and  other public  works  and  utilities,  roads,  housing, recreation,  industry,  business,  markets,  schools and other educational  institutions,  hospitals and public open spaces and other categories of public uses.”

14. It  was  also  contended  that  the  2013  Act  has  not

exempted the acquisitions under The Delhi Development Act,

1957, and for that matter the Delhi Act, 1972 under the Fourth

Schedule to Section 105.

15. Yet another contention was that in all these cases, the

challenge  was  not  to  the  acquisition  proceedings  but  for  a

declaration under Section 24(2) of the 2013 Act to the effect

that by virtue of operation of the said provision, the acquisition

proceedings have lapsed.

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16. “Person  interested”,  under  the  1894  Act,  is  defined

under Section 3(b) of the Act, which reads as follows:

“3(b) the expression “person interested” includes all persons claiming an interest in compensation to be made on account of the acquisition of land under this Act; and a person shall be deemed to be  interested  in  land  if  he  is  interested  in  an easement affecting the land;”

17. Under the 2013 Act, “person interested” has been given

a much wider meaning under Section 3(x). To quote:

“3(x).     “person interested” means— (i) all  persons  claiming  an  interest  in

compensation to be made on account of the acquisition of land under this Act;

(ii)  the  Scheduled  Tribes  and  other traditional  forest  dwellers,  who  have lost any forest rights recognised under the  Scheduled  Tribes  and  Other Traditional Forest Dwellers (Recognition of Forest Rights) Act, 2006;  

(iii) a  person  interested  in  an  easement affecting the land;  

(iv) persons  having  tenancy  rights  under the  relevant  State  laws  including share-croppers by whatever name they may be called; and

(v) any  person  whose  primary  source  of livelihood  is  likely  to  be  adversely affected;”

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18. Thus, under the 2013 Act, all persons claiming interest

in  compensation to be paid on account of  the acquisition of

land under the 2013 Act, are persons interested. Among others,

any person whose primary source of livelihood is likely to be

adversely affected is also a person interested.

19. “Land  owner”  under  the  2013  Act  is  defined  under

Section 3(r), which reads as follows:

“3(r)      “land owner” includes any person,— (i) whose  name is  recorded  as  the  owner  of  the

land or building or part thereof, in the records of the authority concerned; or  

(ii) any person who is granted forest rights under the  Scheduled  Tribes  and  Other  Traditional Forest  Dwellers  (Recognition  of  Forest  Rights) Act, 2006 or under any other law for the time being in force; or

(iii) who is entitled to be granted Patta rights on the land  under  any  law  of  the  State  including assigned lands; or

(iv) any person who has been declared as such by an order of the court or Authority;

Thus, among others, a person whose name is recorded as

owner of the land or building or part thereof in the records of

the Authority concerned, is a land owner.

 

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20. “Affected  family”  has  been  defined  in  the  2013  Act

under Section  3(c) which reads as follows :-

“3(c) ―affected family‖ includes—  (i)   a  family  whose  land  or  other

immovable  property  has  been acquired;

(ii)    a family which does not own any land but  a  member  or  members  of such  family  may  be  agricultural labourers, tenants including any form of  tenancy  or  holding  of  usufruct right,  share-croppers  or  artisans  or who may be working in the affected area  for  three  years  prior  to  the acquisition  of  the  land,  whose primary  source  of  livelihood  stand affected by the acquisition of land;  

(iii)    the  Scheduled  Tribes  and  other traditional  forest  dwellers  who have lost  any  of  their  forest  rights recognised  under  the  Scheduled Tribes  and  Other  Traditional  Forest Dwellers  (Recognition  of  Forest Rights) Act, 2006 (2 of 2007) due to acquisition of land;

(iv)    family  whose  primary  source  of livelihood for three years prior to the acquisition of the land is dependent on  forests  or  water  bodies  and includes gatherers of forest produce, hunters, fisher folk and boatmen and such  livelihood  is  affected  due  to acquisition of land;

(v)    a member of the family who has been  assigned  land  by  the  State Government  or  the  Central Government  under  any  of  its schemes  and  such  land  is  under acquisition;

(vi)   a family residing on any land in the urban  areas  for  preceding  three

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years or more prior to the acquisition of the land or whose primary source of livelihood for three years prior to the acquisition of the land is affected by the acquisition of such land;”

This definition of affected family also indicates that even a

family  residing in  the  lands  sought  to  be acquired,  be  it  an

owner or not, is an affected family, and if a family or a person is

affected, necessarily, he has a right to approach the Court to

protect his interests.

21. It  is  also  to  be  specifically  noted  that  the  challenge

made by the writ petitioners in the Miscellaneous Application

filed by them is not to the acquisition or to the regularity of the

process of acquisition including the taking of possession. Their

only prayer is for a declaration that the proceedings  qua the

land referred to in the Application have lapsed by virtue of the

operation of Section 24(2) of the 2013 Act.

22. All  the decisions cited by the learned Senior  Counsel

appearing for the appellants, no doubt, have categorically held

that  the subsequent  purchasers  do not  have  locus  standi to

challenge the acquisition proceedings. But in the present case,

the challenge is not to the acquisition proceeding; it is only for

a declaration that the acquisition proceedings have lapsed in

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view of  the operation of  Section 24(2)  of  the 2013 Act,  and

therefore, the ratio in those cases has no application to these

cases.

23. It is one thing to say that there is a challenge to the

legality or propriety or validity of the acquisition proceedings

and yet another thing to say that by virtue of operation of a

subsequent  legislation,  the  acquisition  proceedings  have

lapsed.

24. In all the decisions cited by the learned Senior Counsel

for the appellants, which we have referred to above, this Court

has protected the rights of the subsequent purchaser to claim

compensation, being a person interested in the compensation,

despite holding that they have no locus standi to challenge the

acquisition proceedings.

25. The 2013 Act has made a sea change in the approach

on the acquisition of land and compensation thereof. The only

lapse under the 1894 Act was under Section 11A where what

would lapse is the ... “entire proceedings for the acquisition of

land” whereas under Section 24(2) of the 2013 Act, what gets

lapsed is the land acquisition proceedings initiated under the

1894 Act which has culminated in passing of an award under

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Section  11  but  where  either  possession  was  not  taken  or

compensation  was  not  paid  within  five  years  prior  to

01.01.2014.  In  other  words,  the land acquisition proceedings

contemplated under Section 24(2) of the 2013 Act would take

in  both,  payment  of  compensation  and taking  of  possession

within the five year period prior to 01.01.2014. If either of them

is not satisfied, the entire land acquisition proceedings would

lapse  under  the  deeming  provision.  The  impact  of  deemed

lapse  under  Section  24(2)  is  that  pervasive.  To  quote  R.F.

Nariman,  J.  in  Delhi  Development  Authority v.  Sukbhir

Singh and others6. To quote:

“...  As  is  well  settled,  a  deeming fiction is enacted so that a putative state of affairs must be imagined, the mind not being allowed to boggle at the logical consequence of such putative state of affairs  ...  In  fact,  Section  24(2)  uses  the expression “deemed to have lapsed” because the Legislature  was  cognisant  of  the  fact  that,  in cases  where  compensation  has  not  been  paid, and  physical  possession  handed  over  to  the State/vesting  has  taken  place,  after  which  land acquisition  proceedings  could  be  said  to  have been ended. ...” (Paragraph-27).   

Thus, on account of the lapse, the encumbrance created

in favour of the State comes to an end, and resultantly,  the

impediment to encumber the land also comes to an end. Even,

6 (2016) 8 SCALE 655

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according to the appellants, the transfers were illegal and void

for the reason that there was an impediment for the transfer.

Once the acquisition proceedings lapse, all impediments cease

to exist.

26. As we have already noted above, the whole face of land

acquisition has changed by the 2013 Act.  Section 105 of the

2013 Act has provided that the provisions of the Act shall not

apply to the enactments specified in the Fourth Schedule. So

far, only 13 Acts have been notified under the Fourth Schedule.

Neither The Delhi Development Act, 1957 nor The Delhi Lands

(Restrictions on Transfers) Act, 1972 is included in the Fourth

Schedule.

27. The main purpose of the 2013 Act is clearly stated in

the preamble which reads as follows :-

“An Act to ensure, in consultation with institutions of  local  self-government  and  Gram  Sabhas established  under  the  Constitution,  a  humane, participative,  informed  and  transparent  process for  land  acquisition  for  industrialisation, development of essential infrastructural facilities and urbanisation with the least disturbance to the owners of the land and other affected families and provide just and fair compensation to the affected families  whose  land  has  been  acquired  or proposed to be acquired or are affected by such acquisition  and  make  adequate  provisions  for such affected persons for their rehabilitation and

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resettlement and for ensuring that the cumulative outcome of compulsory acquisition should be that affected persons become partners in development leading  to  an  improvement  in  their  post acquisition  social  and  economic  status  and  for matters  connected  therewith  or  incidental thereto.”

There is a clear indication that the Act proposes to protect

the interest of those persons, among others who are affected

by the acquisition. The subsequent purchasers/successors, etc.,

in  the  cases  before  us,  are  all  people  affected  by  the

acquisition,  and  therefore,  also  they  are  entitled  to  seek  a

declaration on lapse under the 2013 Act.

     28. The  High  Court  of  Karnataka  at  Bengaluru  in

Suryaprakash  and  others v.  State  of  Karnataka  and

others7 has considered a situation of lapse and locus standi of

the subsequent purchaser to file a writ petition for a declaration

on lapse, though not under Section 24(2) of the 2013 Act. At

paragraph-16, it has been held:

“16. … the principle that transferee of land after the publication of  preliminary notification cannot maintain  a  writ  petition  challenging  the acquisition, cannot be made applicable to a case where the acquisition itself  has been abandoned

7 MANU/KA/3319/2016  (Writ Petition No. 10286-291 of 2014, decided on 05.12.2016).

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and  has  stood  lapsed  due  to  efflux  of  time  on account of the omission and inaction on the part of the acquiring authority, particularly because, it is because  of  the  lapse  of  time  and  the abandonment of the acquisition, right accrues to the  original  owner  to  deal  with  his  property including by way of the sale and the purchaser will acquire  right  to  protect  his  interest.  Hence,  the judgment in the case of Rajasthan State Industrial Development  and  Investment  Corporation  v. Subhash  Sindhi  Cooperative  Housing  Society, Jaipur and others (2013) 5 SCC 427, will have no application to the facts of the present case.”

We are of the view that this decision, in principle, applies  

to the facts of these appeals as well.  

29. Thus,  the  subsequent  purchaser,  the  assignee,  the

successor  in  interest,  the  power  of  attorney,  etc.,  are  all

persons  who  are  interested  in  compensation/land

owners/affected  persons  in  terms  of  the  2013  Act  and  such

persons are entitled to file a case for a declaration that the land

acquisition proceedings have lapsed by virtue of operation of

Section 24(2) of the 2013 Act. It is a declaration qua the land

wherein  indisputably  they  have  an  interest  and  they  are

affected by such acquisition. For such a declaration, it cannot

be said that the respondents/writ petitioners do not have any

locus standi.

 

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30. Thus, we do not find any merit  in these appeals and

they  are  accordingly  dismissed.  All  Interlocutory  Applications

for Impleadment and Intervention, other than those by Legal

Representatives,  are  also  rejected.  Applications  for

Impleadment of Legal Representatives are allowed. There shall

be no order as to costs.

31. In the peculiar facts and circumstances of these cases,

the appellants are given a period of six months to exercise its

liberty granted under Section 24(2) of the 2013 Act for initiation

of the acquisition proceedings afresh.

32. We make it clear that we have not gone into the inter

se disputes between the parties in some cases or other claims

regarding the ownership.

.......................J.         (KURIAN JOSEPH)

.……………………J.                  (R. BANUMATHI)

New Delhi; May 4, 2017.      

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