MANU/SC/0590/2016

True Court CopyTM English

IN THE SUPREME COURT OF INDIA

Civil Appeal No. 5072 of 2016 (Arising out of SLP (C) No. 5455 of 2014), Civil Appeal Nos. 5073-5077 of 2016 (Arising out of SLP (C) Nos. 5630-5634 of 2014), Civil Appeal Nos. 5079-5085 of 2016 (Arising out of SLP (C) Nos. 5641-5647 of 2014), Civil Appeal No. 5086 of 2016 (Arising out of SLP (C) No. 5656 of 2014), Civil Appeal No. 5100 of 2016 (Arising out of SLP (C) No. 25843 of 2014) and Civil Appeal Nos. 5087-5099 of 2016 (Arising out of SLP (C) Nos. 19931-19943 of 2014)

Decided On: 13.05.2016

Appellants: Uddar Gagan Properties Ltd. Vs. Respondent: Sant Singh and Ors.

Hon'ble Judges/Coram:
Anil R. Dave and Adarsh Kumar Goel

JUDGMENT

Anil R. Dave, J.

1. Leave granted. Principal question which has fallen for consideration is whether the power of the State to acquire land for a public purpose has been used in the present case to facilitate transfer of title of the land of original owners to a private builder to advance the business interest of the said builder which is not legally permissible. Further question is whether on admitted facts, the acquisition of land is entirely or partly for a private company without following the statutory procedure for the said purpose. Further question is how in the facts and circumstances relief could be moulded.

2. Vide notification dated 11th April, 2002, 850.88 acres of land was proposed to be acquired for residential/commercial Sector 27-28, Rohtak, Haryana by the Haryana Urban Development Authority under the Haryana Urban Development Authority Act, 1977 ('the 1977 Act'). However, the final notification dated 8th April, 2003 Under Section 6 of the Land Acquisition Act, 1894 ('the 1894 Act'), according to the impugned order of the High Court, was in respect of 441.11 acres. Award dated 6th April, 2005 was for 422.44 acres. Appellant-Uddar Gagan Properties Limited ('the Builder') who is a Builder-cum-Developer entered into collaboration agreements with some of the farmers-owners whose land was under acquisition on 02nd March, 2005 for development of a Colony in accordance with the Haryana Development and Regulation of Urban Areas Act, 1975 ('the 1975 Act'). The Builder made applications on and around 21st March, 2005 to the Director, Town and Country Planning, Chandigarh, Haryana for grant of licence to develop a colony on land covering about 280 acres. The licences were granted on and around 12th June, 2006 and corresponding land was released from acquisition. The licences were addressed to the owners but remitted to the builder. This was followed by execution of sale deeds in favour of the builder through power of attorney holder of the land owners.

3. It was on these undisputed facts that the High Court was called upon to examine the questions on a group of petition/s by the land owners which are framed in the impugned judgment as follows:

[i] Whether the object behind the subject-acquisition was to achieve a bona-fide public purpose or to use it as a cloak for the private benefit of Builder-cum-Developer?

[ii] Whether the power of 'eminent domain' has been exercised in violation of Articles 14, 21 and 300-A of the Constitution?

[iii] Whether it is lawful to enter into 'Agreement to Sell' or 'Collaboration Agreement' in respect of the land under acquisition and can an instrument of sale be executed in respect of such land?

[iv] Whether a writ court in e........