Table of Contents

Introduction

The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation, and Resettlement Act, 2013 (LARR) represents a landmark shift in how land acquisition is governed in India. Enacted on January 1, 2014, this legislation replaced the century-old Land Acquisition Act of 1894, which often led to the forced acquisition of private land with minimal regard for the rights and livelihoods of those displaced.

The LARR Act was introduced to address the historical imbalance where the state’s developmental needs were prioritised over the welfare of landowners. Under the 1894 Act, there was little consultation with those affected, leaving many without proper compensation or resettlement support. Recognizing these issues, the government passed LARR to ensure fair compensation, greater transparency, and a participatory approach to land acquisition.

This Act not only focuses on compensating landowners fairly but also emphasizes the rehabilitation and resettlement of displaced communities, marking a more humane and just approach to land acquisition. It reflects a commitment to balance development with the rights of landowners and impacted communities, ensuring that their voices are heard and their losses addressed.

Key Definitions under the Land Acquisition Act

Affected Family

The Act broadly defines an “affected family” to include:

  1. Families whose land or immovable property has been acquired
  2. Landless families whose livelihoods are affected by the acquisition
  3. Scheduled Tribes and forest dwellers who lose forest rights
  4. Families dependent on forests or water bodies affected by the acquisition
  5. Families assigned land by the government that is under acquisition
  6. Urban families residing on or deriving livelihood from acquired land for at least three years

This inclusive definition ensures that various groups impacted by land acquisition are considered for rehabilitation and resettlement.

Agricultural Land

The Act defines “agricultural land” as land used for:

  1. Agriculture or horticulture
  2. Dairy farming, poultry farming, pisciculture, sericulture, seed farming, or livestock breeding
  3. Raising crops, trees, grass, or garden produce
  4. Grazing cattle

This broad definition protects various types of agricultural activities from arbitrary acquisition.

Appropriate Government

The “appropriate government” for land acquisition can be:

  1. The State Government for land within a state
  2. The Central Government for Union territories (except Puducherry)
  3. The Puducherry Government for land within Puducherry
  4. The Central Government for acquisitions involving multiple states
  5. The Central Government for specified Union purposes

This definition clarifies which government entity has the authority to acquire land in different scenarios.

Cost of Acquisition

The “cost of acquisition” includes:

  1. Compensation (including solatium and enhanced compensation)
  2. Damages to land and crops
  3. Cost of land and buildings for resettlement
  4. Infrastructure development costs
  5. Rehabilitation and resettlement costs
  6. Administrative costs
  7. Social Impact Assessment study costs

This comprehensive definition ensures that all aspects of the acquisition process are accounted for in the total cost.

Displaced Family

A “displaced family” is one that must be relocated and resettled from the affected area due to land acquisition.

Family

The Act defines a “family” as a person, their spouse, minor children, and dependent minor siblings. Notably, it considers widows, divorcees, and deserted women as separate families, recognizing their unique vulnerabilities.

Land Owner

A “land owner” can be:

  1. A person recorded as the owner in official records
  2. A person granted forest rights under relevant laws
  3. A person entitled to Patta rights under state laws
  4. A person declared as such by a court or Authority

This inclusive definition protects the rights of various types of land owners, including those with traditional or customary rights.

Market Value

The “market value” of land is determined according to specific provisions in section 26 of the Act, ensuring a fair valuation process.

Public Purpose

The Act defines “public purpose” through activities specified in sub-section (1) of section 2, which likely includes projects for national security, infrastructure, industrialization, urban development, and other purposes deemed in the public interest.

Administrator

An officer appointed for the rehabilitation and resettlement of affected families.

Collector

The Collector of a revenue district, including a Deputy Commissioner or any officer specially designated by the appropriate Government to perform the functions of a Collector under this Act.

Commissioner

The Commissioner for Rehabilitation and Resettlement appointed under the Act.

Company

Includes both companies defined under the Companies Act, 1956, and societies registered under the Societies Registration Act, 1860, or any corresponding state law.

Infrastructure Project

Refers to any project specified in clause (b) of sub-section (1) of section 2 of the Act.

Requiring Body

This term refers to any entity for whom land is being acquired, including companies, institutions, organizations, or even the government itself.

Resettlement Area

An area where affected families who have been displaced are resettled by the appropriate Government.

Scheduled Areas

Areas defined in section 2 of the Provisions of the Panchayats (Extension to the Scheduled Areas) Act, 1996.

Marginal Farmer and Small Farmer

The Act distinguishes between marginal farmers (cultivators with up to one hectare of unirrigated land or half hectare of irrigated land) and small farmers (those with up to two hectares of unirrigated land or one hectare of irrigated land).

Determination of Social Impact and Public Purpose under the Act

When governments plan to acquire land for public projects, it’s crucial to understand how these projects will affect local communities and whether they truly serve the public interest. This is where the Preliminary Investigation for Determination of Social Impact and Public Purpose comes into play. At the heart of this process is the Social Impact Assessment (SIA), a comprehensive study mandated by law to evaluate the potential effects of proposed land acquisitions on affected communities.

The Importance of Social Impact Assessment

The SIA serves several critical purposes:

  1. It ensures that land acquisition is justified and serves a genuine public purpose.
  2. It identifies and quantifies the impact on local communities, including displacement and loss of livelihoods.
  3. It provides a platform for affected communities to voice their concerns and participate in the decision-making process.
  4. It helps in developing strategies to mitigate negative impacts and enhance positive outcomes of the project.

The Social Impact Assessment Process

1. Initiation and Consultation

When a government plans to acquire land, the process begins with consultation. This involves:

  • Reaching out to local governing bodies such as Panchayats, Municipalities, or Municipal Corporations in the affected area.
  • Discussing the proposed project and its potential impacts with these local representatives.

2. Official Notification

The government then issues an official notification to commence the SIA. This notification:

  • Must be made available in the local language to ensure widespread understanding.
  • Is distributed to local governing bodies and relevant government offices.
  • Is published in the affected areas and uploaded on the appropriate government website.

3. Conducting the Social Impact Assessment

The SIA is a detailed study that must cover several key areas:

  1. a) Public Purpose Evaluation:
  • Assessing whether the proposed acquisition genuinely serves a public purpose.
  1. b) Impact on Families:
  • Estimating the number of families affected.
  • Identifying how many families may be displaced.
  1. c) Land and Property Impact:
  • Evaluating the extent of public and private lands affected.
  • Assessing impact on houses, settlements, and common properties.
  1. d) Project Justification:
  • Determining if the extent of land proposed for acquisition is the absolute minimum needed.
  • Considering whether alternative locations have been explored and found unfeasible.
  1. e) Comprehensive Impact Analysis:
  • Studying social impacts of the project.
  • Evaluating the nature and cost of addressing these impacts.
  • Analyzing how these costs affect the overall project costs versus its benefits.
  1. f) Broader Community Impact:
  • Assessing effects on livelihoods, public infrastructure, water sources, public utilities, healthcare facilities, educational institutions, religious sites, and more.

4. Environmental Impact Assessment

If required, an Environmental Impact Assessment is conducted simultaneously with the SIA. This ensures a holistic understanding of both social and environmental impacts.



5. Social Impact Management Plan

Based on the findings of the SIA, a Social Impact Management Plan is developed. This plan:

  • Lists measures to address the identified impacts.
  • Ensures that these measures are at least equal to, if not better than, existing government schemes in the area.

6. Public Hearing

A crucial step in the process is the public hearing, which:

  • Is held in the affected area.
  • Allows affected families to express their views and concerns.
  • Requires adequate publicity about the date, time, and venue to ensure maximum participation.

7. Publication and Transparency

To ensure transparency and accessibility:

  • The SIA report and Social Impact Management Plan are made available in the local language.
  • These documents are distributed to local governing bodies and relevant government offices.
  • They are also published in affected areas and uploaded on the government website.

Timeframe and Representation

  • The entire SIA process must be completed within six months from its commencement.
  • The government must ensure adequate representation from local governing bodies throughout the SIA process.

 

Appraisal of Social Impact Assessment Report by an Expert Group

In the context of land acquisition for public projects, the appraisal of Social Impact Assessment (SIA) reports by an Expert Group plays a crucial role in ensuring fairness, transparency, and the protection of affected communities. This process is designed to evaluate the potential social impacts of proposed land acquisitions and determine whether they serve a legitimate public purpose.

Constitution of the Expert Group

The appropriate government is responsible for constituting an independent multi-disciplinary Expert Group to evaluate the SIA report. This group typically includes:

  1. Two non-official social scientists
  2. Two representatives from local governing bodies (Panchayat, Gram Sabha, Municipality, or Municipal Corporation)
  3. Two experts on rehabilitation
  4. A technical expert in the subject relating to the project

The government may nominate one member as the Chairperson of the Expert Group.

Evaluation Process and Recommendations

The Expert Group is tasked with thoroughly examining the SIA report and providing recommendations within two months of its constitution. Their evaluation can lead to two primary outcomes:

1. Recommendation to Abandon the Project

The Expert Group may recommend abandoning the project if they determine that:

  • The project does not serve any public purpose, or
  • The social costs and adverse social impacts outweigh the potential benefits

In such cases, they must provide detailed reasons for their decision in writing.

2. Recommendation to Proceed with the Project

If the Expert Group finds that the project serves a public purpose and its potential benefits outweigh the social costs and adverse impacts, they may recommend proceeding with the acquisition. However, they must also:

  • Assess whether the extent of land proposed for acquisition is the absolute minimum required
  • Determine if there are less disruptive alternatives available

Transparency and Accessibility

To ensure transparency, the Expert Group’s recommendations must be:

  • Made available in the local language to relevant local governing bodies
  • Published in the affected areas
  • Uploaded on the appropriate government’s website

Government’s Role and Decision-Making

The appropriate government is responsible for examining the Expert Group’s report along with the Collector’s report (if any). Based on these assessments, the government must:

  • Recommend an area for acquisition that ensures minimal displacement, infrastructure disturbance, and adverse impact on affected individuals
  • Make their decision available in the local language and publish it in the affected areas
  • Upload the decision on the government’s website

In cases where land is sought for certain purposes specified in the law, the government must also verify that prior consent has been obtained from the affected families as required.

Special Provision to safeguard Food Security in Land Acquisition

The Land Acquisition Act in India includes a crucial chapter dedicated to safeguarding food security when acquiring land for various development projects. This provision, outlined in Chapter III of the Act, aims to protect agricultural land, with a specific focus on irrigated multi-cropped land, which is vital for ensuring consistent food production in the country.

Protection of Irrigated Multi-Cropped Land

The Act places stringent restrictions on the acquisition of irrigated multi-cropped land, recognizing its significant role in food production:

  1. As a general rule, irrigated multi-cropped land cannot be acquired under this Act.
  2. Exceptions are only allowed under “exceptional circumstances” and as a “demonstrable last resort.”

This approach underscores the importance of preserving prime agricultural land for food security purposes.

Conditions for Exceptional Acquisitions

When exceptions are made to allow the acquisition of irrigated multi-cropped land, several conditions must be met:

  1. The total land acquired in a district or state must not exceed limits set by the appropriate government.
  2. These limits are determined based on state-specific factors and circumstances, ensuring that local agricultural needs are considered.

 

Compensatory Measures

If multi-crop irrigated land is acquired under exceptional circumstances, the Act mandates one of two compensatory actions:

  1. Development of an equivalent area of culturable wasteland for agricultural purposes.
  2. Depositing an amount equal to the value of the acquired land with the appropriate government for investment in agriculture to enhance food security.

These measures aim to offset the loss of productive agricultural land by either creating new arable land or investing in agricultural improvements.

Restrictions on Other Agricultural Land

The Act also places restrictions on the acquisition of non-irrigated agricultural land:

  1. There are limits on how much agricultural land can be acquired in a district or state.
  2. These limits are based on the total net sown area and are set by the appropriate government.

This provision ensures that even non-irrigated agricultural land, which is still important for food production, is not excessively acquired for non-agricultural purposes.

 

Exemptions for Linear Projects

The Act provides exemptions for projects that are linear in nature, such as:

  • Railways
  • Highways
  • Major district roads
  • Irrigation canals
  • Power lines

These exemptions recognize the necessity of certain infrastructure projects that, by their nature, may need to pass through agricultural areas.

State-Specific Amendments

Some states have introduced additional provisions to the Act. For example, Andhra Pradesh and Maharashtra have added clauses that allow exemptions from Chapter II and III of the Act for certain types of projects:

  1. National security and defence projects
  2. Rural infrastructure including electrification and irrigation
  3. Affordable housing and housing for the poor
  4. Industrial corridors and estates
  5. Infrastructure projects, including public-private partnerships

However, even with these exemptions, states are required to ensure that only the minimum necessary land is acquired for these projects, maintaining a balance between development needs and agricultural preservation.

Notification And Acquisition under the Land Acquisition Act

Initial Notification And Survey

The process of land acquisition for public purposes involves several crucial steps, beginning with the initial notification and survey. This article explores three key aspects of this process: the publication of preliminary notification, the preliminary survey of land, and the payment for any damage incurred during the survey.

Publication of Preliminary Notification and Power of Officers

When the appropriate government identifies land that may be required for a public purpose, it issues a preliminary notification. This notification serves as an official announcement of the government’s intent to acquire the land. The publication process includes:

  1. Publishing in the Official Gazette
  2. Circulating in two daily newspapers of the locality, with one in the regional language
  3. Displaying in the local language at the Panchayat, Municipality, or Municipal Corporation
  4. Uploading on the appropriate government’s website
  5. Disseminating in the affected areas as prescribed

The notification must contain:

  • A statement on the nature of the public purpose
  • Reasons necessitating the displacement of affected persons
  • A summary of the Social Impact Assessment Report
  • Particulars of the Administrator appointed for rehabilitation and resettlement

After the notification, the Collector must update land records within two months. Importantly, once the notification is published, no transactions or encumbrances can be created on the notified land, except in special circumstances approved by the Collector.

Preliminary Survey of Land and Power of Officers to Carry Out Survey

To determine the extent of land to be acquired, authorised officers have the power to conduct a preliminary survey. This includes:

  1. Entering and surveying the land
  2. Taking levels of the land
  3. Digging or boring into the subsoil
  4. Performing necessary acts to assess land suitability
  5. Setting out boundaries and intended lines of work
  6. Marking levels, boundaries, and lines

Officers must provide notice before entering any enclosed areas or buildings. The survey should be conducted in the presence of the landowner or an authorised representative, with at least 60 days’ notice provided if the owner is absent.

Payment for Damage

During the survey process, officers are required to pay or tender payment for any damage caused. If there’s a dispute regarding the amount, it must be immediately referred to the Collector or chief revenue officer of the district for a final decision.

Social Impact Assessment and Objections

Social Impact Assessment (SIA) is a critical component of the land acquisition process, designed to evaluate and mitigate the potential social consequences of proposed development projects. This section of the article delves into two key aspects of SIA: the lapse of SIA reports and the hearing of objections, providing a thorough explanation of their significance and procedures.

Lapse of Social Impact Assessment Report

The validity of a Social Impact Assessment report is time-bound to ensure that the information it contains remains relevant and accurate.

  1. Time Limit:
    • An SIA report is considered valid for 12 months from the date it is appraised by the Expert Group.
    • This 12-month period is the window within which a preliminary notification for land acquisition must be issued.
  2. Lapse Mechanism:
    • If the preliminary notification under section 11 is not issued within the 12-month timeframe, the SIA report is deemed to have lapsed.
    • A lapsed report cannot be used to proceed with land acquisition.
  3. Consequence of Lapse:
    • When an SIA report lapses, a fresh Social Impact Assessment must be conducted before any acquisition proceedings can begin under section 11.
    • This requirement ensures that decisions are based on current data and reflect the present social context.
  4. Extension Provision:
    • The appropriate Government has the authority to extend the 12-month period.
    • This extension is granted if the Government determines that circumstances justify prolonging the validity of the SIA report.
  5. Extension Procedure:
    • Any decision to extend the period must be: a) Recorded in writing, providing a clear rationale for the extension. b) Officially notified to relevant parties. c) Uploaded on the website of the concerned authority for public access and transparency.

Hearing of Objections

The objection hearing process is a crucial democratic element in land acquisition, allowing affected parties to voice their concerns. 

  1. Notification and Timeframe:
  • The process begins with a preliminary notification under section 11, identifying land required for a public purpose.
  • Interested parties have a 60-day window from the date of this notification to submit objections.
  1. Grounds for Objection: Objections can be raised on three main grounds: a) The area and suitability of land proposed for acquisition:
    • This could include concerns about the size of the land being excessive, or its unsuitability for the proposed project. b) Justification offered for public purpose:
    • Objectors can question whether the project truly serves a public purpose or if private interests are being prioritized. c) The findings of the Social Impact Assessment report:
    • This allows for challenges to the accuracy or completeness of the SIA’s conclusions.
  2. Objection Submission and Hearing Process:
    • All objections must be submitted in writing to the Collector.
    • The Collector is obligated to provide a hearing opportunity to each objector. This can be:
      • In person
      • Through an authorised representative
      • Via an Advocate
    • This hearing process ensures that objectors can fully express their concerns and provide supporting evidence.
  3. Collector’s Investigation:
    • After hearing the objections, the Collector may conduct further inquiries if deemed necessary.
    • This allows for a thorough examination of the issues raised by objectors.
  4. Reporting Mechanism: The Collector prepares a comprehensive report for the appropriate Government, which includes:
    • Recommendations on each objection
    • A record of the proceedings of all hearings
    • A separate report detailing:
      • The approximate cost of land acquisition
      • Particulars about the number of affected families likely to be resettled
  5. Decision-Making:
    • The appropriate Government reviews the Collector’s report and makes a final decision on the objections.
    • This decision is considered final and binding.

Rehabilitation And Resettlement Scheme

The Rehabilitation and Resettlement (R&R) Scheme is a critical component of land acquisition processes in many countries, particularly in India. It’s designed to ensure that individuals and communities displaced by development projects are adequately supported and compensated.

Preparation of Rehabilitation and Resettlement Scheme by the Administrator

1. Initiation of the Process

The R&R Scheme preparation begins after the Collector publishes a preliminary notification for land acquisition under section 11(1) of the Act. This notification alerts the public about the government’s intention to acquire land for a specific purpose.

2. Appointment of the Administrator

An Administrator for Rehabilitation and Resettlement is appointed to oversee the entire R&R process. This role is crucial as the Administrator is responsible for ensuring that the rights and interests of the affected families are protected.

3. Survey and Census

The Administrator conducts a detailed survey and census of the affected families. This step is fundamental to the R&R process as it provides the baseline data for all future planning.

Key Components of the Survey and Census:

  1. a) Land and Property Details: The survey meticulously records particulars of lands and immovable properties being acquired from each affected family. This includes not just the size of the land, but also details about structures, trees, wells, and other improvements on the land.
  2. b) Livelihood Impact Assessment: The survey identifies livelihoods that will be lost due to the acquisition. This is particularly important for landless individuals whose primary income depends on the acquired lands, such as agricultural laborers, tenants, or small shop owners.
  3. c) Public Utilities and Government Buildings: A comprehensive list is made of all public utilities (like schools, health centers, community halls) and government buildings that are affected or likely to be affected. This helps in planning for their relocation or reconstruction.
  4. d) Amenities and Infrastructure: The survey documents details of affected amenities and infrastructural facilities. This could include roads, water supply systems, electricity networks, and more.
  5. e) Common Property Resources: Information on any common property resources being acquired, such as grazing lands, water bodies, or community forests, is recorded. These resources are often crucial for the livelihoods of the poorest members of the community.

4. Preparation of Draft R&R Scheme

Based on the survey and census, the Administrator prepares a draft R&R Scheme. This draft is a comprehensive document that outlines:

  1. a) Entitlements: Detailed rehabilitation and resettlement entitlements for each landowner and affected landless person. This could include compensation for lost land, provision of alternative land, housing, employment opportunities, and other forms of support.
  2. b) Resettlement Area Planning: A list of government buildings to be provided in the Resettlement Area, along with details of public amenities and infrastructural facilities to be provided. This ensures that the resettled community has access to essential services.
  3. c) Implementation Timeline: A specific time limit for implementing the R&R Scheme. This helps in holding the implementing agencies accountable and gives affected families a clear expectation of when they will be resettled.

5. Public Disclosure and Consultation

The draft scheme is then made public in the affected area. This is a critical step in ensuring transparency and allowing affected individuals to provide input.

  1. a) Local Publication: The draft is made known locally through wide publicity in the affected area.
  2. b) Gram Sabha Discussions: The draft is discussed in concerned Gram Sabhas (village assemblies) or Municipalities. This allows for community-level discussions and feedback.
  3. c) Public Hearing: A public hearing is conducted after giving adequate publicity about the date, time, and venue. If an affected area involves more than one Gram Panchayat or Municipality, public hearings are conducted in every Gram Sabha and Municipality where more than 25% of land belonging to that body is being acquired.
  4. d) Special Provisions for Scheduled Areas: In Scheduled Areas (areas with predominant tribal population), consultation with the Gram Sabha follows the provisions of the Panchayats (Extension to the Scheduled Areas) Act, 1996.

6. Submission to Collector

After the public hearing, the Administrator submits the draft R&R Scheme to the Collector, along with a specific report on the claims and objections raised during the public hearing.

Review of the Rehabilitation and Resettlement Scheme

The review process is designed to ensure that the R&R Scheme is comprehensive, fair, and addresses the needs of all affected parties.

1. Collector’s Review

The Collector reviews the draft Scheme submitted by the Administrator. This review is done in consultation with the Rehabilitation and Resettlement Committee at the project level, which is constituted under section 45 of the Act.

The Committee typically includes:

  • Representatives of the affected families, including women
  • Representatives of the requiring body (the entity for which land is being acquired)
  • Representatives of local self-government institutions

This multi-stakeholder review helps ensure that different perspectives are considered.

2. Submission to Commissioner

After reviewing and possibly revising the draft scheme, the Collector submits it to the Commissioner of Rehabilitation and Resettlement. The Collector also includes their own suggestions based on the review process.

3. Commissioner’s Approval

The Commissioner of Rehabilitation and Resettlement carefully examines the draft scheme. They may suggest modifications or approve the scheme as is. The Commissioner’s approval is necessary before the scheme can be implemented.

4. Public Disclosure of Approved Scheme

Once approved, the R&R Scheme is made public through multiple channels:

  1. a) Local Language Availability: The scheme is made available in the local language to the Panchayat, Municipality, or Municipal Corporation of the affected area.
  2. b) Government Offices: Copies are displayed at the offices of the District Collector, the Sub-Divisional Magistrate, and the Tehsil.
  3. c) Local Publication: The scheme is published in the affected areas as prescribed by local regulations.
  4. d) Online Access: The approved scheme is uploaded on the website of the appropriate government, ensuring wider accessibility.

Land Demarcation And Interested Parties

When a government decides to acquire land for public purposes, it must follow a structured process to ensure fairness, transparency, and proper compensation for affected parties. This section of the article explains three crucial steps in this process: land demarcation, notifying interested parties, and gathering information about land interests.

  • Land Demarcation

Land demarcation is the first step in the acquisition process. It involves:

  • Marking out the land: The Collector (a government official responsible for land acquisition) clearly defines the boundaries of the land to be acquired.
  • Measuring the land: Precise measurements are taken to determine the exact area of the land in question.
  • Creating a plan: If not already available, a detailed plan or map of the land is drawn up.

This step is essential because it provides a clear, visual representation of the land to be acquired. It helps prevent disputes over boundaries and ensures that all parties have a common understanding of the area in question.

  • Notice to Interested Persons

Once the land is demarcated, the Collector must inform all potential stakeholders about the government’s intention to acquire the land. This process involves multiple channels to ensure widespread awareness:

  • Website publication: The Collector posts a notice on their official website.
  • Local notices: Physical notices are placed in visible locations on or near the land to be acquired.
  • Direct notification: The Collector sends notices directly to known interested parties within the revenue district.
  • Postal notification: For interested parties living outside the district, notices are sent via mail to their last known address.
  • Newspaper publication: The notice is published in at least two national daily newspapers for broader reach.

The notice must contain specific information:

  • Details of the land to be acquired
  • A request for all interested parties to appear before the Collector
  • A timeframe for response (between 30 days and 6 months from the notice date)
  • An invitation for claims related to compensation, rehabilitation, and resettlement
  • An opportunity to object to the land measurements made during demarcation

This comprehensive notification process ensures that all potential stakeholders, including landowners, tenants, and others with interests in the land, are aware of the proposed acquisition and have an opportunity to respond.

  • Gathering Information on Land Interests

To fully understand all claims and interests related to the land, the Collector has the authority to request detailed information from interested parties. This includes:

  • Names of all individuals with interests in the land, such as co-owners, sub-proprietors, mortgagees, and tenants
  • The nature of each party’s interest in the land
  • Financial details, including rents and profits received from the land over the past three years

Interested parties must provide this information within at least 30 days of the request. This requirement is legally binding under sections 175 and 176 of the Indian Penal Code, which means that failing to provide this information or providing false information can result in legal consequences.

 

Land Acquisition Process And Awards

Enquiry and Land Acquisition Award by Collector

The land acquisition process involves a crucial stage where the Collector conducts an enquiry and makes an award. This process is outlined in Section 23 of the Act and involves several key steps:

  1. Scheduling the Enquiry: The Collector sets a specific day for the enquiry, with the flexibility to adjourn to other days if necessary.
  2. Scope of the Enquiry: The Collector’s investigation covers multiple aspects:
    • Objections raised by interested parties in response to notices under Section 21
    • Measurements of the land made under Section 20
    • Valuation of the land as of the notification publication date
    • Interests of various parties claiming compensation and rehabilitation
  3. The Award: Following the enquiry, the Collector issues an award that includes:
    • The accurate area of the land being acquired
    • Compensation amount, determined as per Section 27
    • Rehabilitation and Resettlement Award, as outlined in Section 31
    • Distribution of compensation among all known interested parties
  4. Consideration of Claims: The Collector takes into account claims from all persons known or believed to have an interest in the land, regardless of whether they appeared before him during the enquiry.

It’s worth noting that some states, such as Andhra Pradesh and Maharashtra, have introduced amendments allowing for an award without enquiry if all interested parties agree in writing to the terms of the award.

Land Acquisition Process Under Act No. 1 of 1894

Section 24 of the new Act addresses ongoing land acquisition proceedings initiated under the Land Acquisition Act, 1894. This section provides important transitional provisions:

  1. Proceedings Without Awards: If no award has been made under Section 11 of the 1894 Act, all provisions of the new Act apply for determining compensation.
  2. Proceedings With Awards: If an award under Section 11 of the 1894 Act has already been made, those proceedings continue under the old Act as if it had not been repealed.
  3. Lapsed Proceedings: In cases where an award was made five years or more before the commencement of the new Act, but physical possession of the land has not been taken or compensation has not been paid, these proceedings are deemed to have lapsed. The government may choose to initiate fresh proceedings under the new Act.
  4. Compensation Entitlement: If an award has been made but compensation for a majority of land holdings has not been deposited, all beneficiaries mentioned in the original acquisition notification are entitled to compensation under the new Act.
  5. Exclusions in Time Calculation: Some states have introduced amendments to exclude certain periods when calculating the five-year period mentioned above. These exclusions may include time during which proceedings were stayed by court orders or periods specified in tribunal awards for taking possession.

Period Within Which an Award Shall Be Made

Section 25 of the Act stipulates a specific timeframe for the Collector to make an award:

  1. 12-Month Deadline: The Collector must make an award within 12 months from the date of publication of the declaration under Section 19.
  2. Consequence of Delay: If no award is made within this 12-month period, the entire land acquisition proceedings shall lapse.
  3. Extension Provision: The appropriate Government has the power to extend this 12-month period if it believes circumstances justify such an extension.
  4. Documentation of Extension: Any decision to extend the period must be:
    • Recorded in writing
    • Officially notified
    • Uploaded on the website of the concerned authority

This time limit serves to ensure efficiency in the land acquisition process and provides a measure of certainty to all parties involved. It also places a responsibility on the acquiring authorities to complete the process in a timely manner, balancing the needs of development with the rights of landowners.

Valuation And Compensation

  • Determination of Market Value of Land by Collector

The Collector plays a crucial role in assessing and determining the market value of land. This process involves considering multiple criteria:

  1. a) The market value specified in the Indian Stamp Act, 1899 for the area where the land is situated. 
  2. b) The average sale price for similar types of land in the nearest village or vicinity. 
  3. c) The consented amount of compensation agreed upon for acquisitions involving private companies or public-private partnership projects.

The Collector selects the highest value among these criteria.

Key points to note:

  • The valuation date is set as the date of notification under section 11.
  • The average sale price is determined based on sales from the preceding three years.
  • Only the top 50% of sale prices are considered to avoid skewing the valuation downward.
  • Previous compensation payments under this Act and prices deemed non-indicative of actual market value are excluded from calculations.

In cases where these methods cannot be applied (e.g., restricted land transactions, lack of recent sales data), the State Government sets a floor price based on values of similar land in adjoining areas.

  • Determination of Amount of Compensation

Once the market value is established, the Collector calculates the total compensation by including all assets attached to the land. This ensures that landowners are compensated not just for the land itself, but for all valuable elements connected to it.

  • Parameters Considered by Collector in Determination of Award

The Collector’s award is not limited to the market value alone. Several additional factors are considered:

  1. a) Damage to standing crops and trees on the land. 
  2. b) Damages due to severing the acquired land from other land owned by the same person. 
  3. c) Damages to other properties or earnings of the interested person due to the acquisition. 
  4. d) Reasonable expenses if the interested person is compelled to change residence or place of business. 
  5. e) Damages resulting from diminution of profits between the time of declaration and possession. 
  6. f) Any other ground that may serve equity, justice, and benefit to affected families.

This comprehensive approach ensures that both direct and indirect impacts of the acquisition are accounted for in the compensation.

  1. Determination of Value of Things Attached to Land or Building

The Collector employs a systematic approach to valuing attachments to the land:

  1. a) For buildings and immovable property, the Collector may engage competent engineers or relevant specialists. 
  2. b) For trees and plants, experienced professionals in agriculture, forestry, horticulture, or sericulture may be consulted. 
  3. c) For assessing damaged standing crops, agricultural experts may be called upon.

This specialized approach ensures accurate valuation of all elements attached to the acquired land.

  1. Award of Solatium

To further ensure fair compensation, the Act provides for a solatium:

  1. a) A solatium amount equivalent to 100% of the total compensation is added to the award. 
  2. b) An additional amount is calculated at 12% per annum on the market value, covering the period from the date of notification of the Social Impact Assessment study to the date of the award or possession, whichever is earlier.

The solatium serves as recognition of the non-monetary costs and disruptions faced by landowners due to the acquisition.

Additional Important Points:

  • The Collector must issue individual awards detailing the compensation particulars and payment details.
  • For educational institutions established by religious or linguistic minorities, the government must ensure that the determined market value doesn’t restrict their right to establish and administer such institutions.
  • Some states, like Andhra Pradesh, have introduced provisions for voluntary land acquisition, where willing landowners can enter into direct agreements with the government.

This comprehensive approach to valuation and compensation aims to balance the needs of development with the rights and welfare of landowners, ensuring a fair and transparent land acquisition process.

Voluntary Acquisition of Land

In the realm of land acquisition for public purposes, a new approach has emerged that prioritizes mutual agreement between the government and landowners. This process, known as voluntary acquisition of land, offers a more amicable and efficient alternative to traditional compulsory acquisition methods.

Key Features of Voluntary Land Acquisition

  1. Mutual Agreement: The cornerstone of this process is the agreement between the State Government (or its Authorized Officer) and the willing landowner. This agreement outlines the terms of the sale, ensuring that both parties are satisfied with the arrangement.
  2. Simplified Process: Unlike traditional methods, voluntary acquisition bypasses many of the complex legal procedures typically associated with land acquisition. This streamlined approach can significantly reduce the time and resources required for the process.
  3. Gazette Notification: Once an agreement is reached, the State Government issues an order for acquisition, which is then published in the official Gazette. This publication serves as the formal transfer of ownership to the State.
  4. Immediate Transfer of Rights: Upon publication of the notification, all rights, title, and interests in the land are immediately vested with the State Government, free from any encumbrances.
  5. Exemption from Registration: Interestingly, these agreements are exempt from registration under the Registration Act, 1908. This exemption further simplifies the process and reduces associated costs.

Considerations for Affected Families

The legislation also takes into account families other than the landowner’s who may be affected by the acquisition. In such cases, the State Government is required to provide a lumpsum payment for rehabilitation and resettlement, as prescribed by the relevant rules.

Balancing Interests

While voluntary acquisition offers numerous benefits, it’s crucial to ensure that the agreements and compensation packages are fair and not disadvantageous to the landowners. The legislation includes a provision to prevent agreements that are “abnormally at variance to the disadvantage of the land owners.”

Rehabilitation And Resettlement Award

The Rehabilitation and Resettlement Award is a legally mandated package of benefits given to families whose land is acquired for public purposes. It goes beyond simple monetary compensation, aiming to restore or improve the living standards of affected families.

Who is Responsible?

The Collector, a government official, is responsible for passing the Rehabilitation and Resettlement Awards. The Collector must prepare an individual award for each affected family, based on the entitlements provided in the Second Schedule of the Act.

Components of the Award

The Rehabilitation and Resettlement Award is comprehensive and includes:

  1. Monetary Compensation:
    • The total rehabilitation and resettlement amount payable to the family
    • Bank account details for transferring the award amount
  2. Housing Provisions:
    • Details of house sites and houses to be allotted to displaced families
  3. Land Allocation:
    • Particulars of land allotted to displaced families
  4. Allowances:
    • One-time subsistence allowance
    • Transportation allowance for displaced families
  5. Livelihood Support:
    • Payment for cattle sheds and petty shops
    • One-time amount for artisans and small traders
  6. Employment Opportunities:
    • Details of mandatory employment to be provided to members of affected families
  7. Special Rights:
    • Particulars of any fishing rights that may be involved
  8. Long-term Support:
    • Details of annuity and other entitlements
  9. Special Provisions:
    • Specific provisions for Scheduled Castes and Scheduled Tribes
  • If any component is not applicable to a particular family, it must be clearly marked as “not applicable”.
  • The government can increase the rehabilitation and resettlement amounts to account for inflation.

Infrastructure in Resettlement Areas

The Collector must ensure that resettlement areas are equipped with all necessary infrastructural facilities and basic amenities as specified in the Third Schedule of the Act. This is crucial for maintaining or improving the quality of life for resettled families.

Corrections and Transparency

  • The Collector can make corrections to awards within six months of the award date to fix any clerical or arithmetical mistakes.
  • All interested parties must be notified of any corrections made to the award.
  • If excess payments are discovered, the amount must be refunded or can be recovered as per government regulations.

Timelines for Implementation

  • Full payment of compensation must be made within three months from the date of the award.
  • Monetary parts of rehabilitation and resettlement entitlements must be paid within six months.
  • Infrastructure entitlements must be provided within 18 months from the date of the award.
  • For irrigation or hydel projects, rehabilitation and resettlement must be completed six months before land submergence.

Special Considerations

  • The Collector should avoid displacing families that have already been displaced by previous government acquisitions.
  • If such displacement is unavoidable, additional compensation equivalent to that of the original compensation must be paid.

Land Acquisition in Scheduled Areas

  1. Land acquisition in Scheduled Areas should be avoided if possible.
  2. If acquisition is necessary, it must be a demonstrable last resort.
  3. Prior consent from the Gram Sabha, Panchayats, or Autonomous District Councils is mandatory before any land acquisition in Scheduled Areas.

Development Plan

For projects involving involuntary displacement of SC or ST families, a Development Plan must be prepared. This plan should:

  1. Detail procedures for settling land rights.
  2. Restore titles of SCs and STs on alienated land.
  3. Include a program to develop alternative resources (fuel, fodder, non-timber forest produce) on non-forest lands within five years.

Compensation and Resettlement

  1. At least one-third of the compensation amount must be paid to affected SC/ST families as the first installment.
  2. ST families should be resettled preferably in the same Scheduled Area to maintain their cultural identity.
  3. Resettlement areas for SCs and STs should receive free land for community and social gatherings.
  4. Any illegal alienation of tribal or SC lands will be considered null and void.
  5. Affected STs and SCs with fishing rights in the acquired area must be given fishing rights in new reservoir areas.
  6. If SC/ST families are relocated outside their district, they receive an additional 25% of their entitled benefits, plus a one-time payment of 50,000 rupees.

Preservation of Rights and Benefits

  1. All benefits, including reservations, available to SCs and STs in affected areas continue in resettlement areas.
  2. If ST families from Scheduled Areas (Fifth Schedule) or tribal areas (Sixth Schedule) are relocated outside these areas, their statutory safeguards and entitlements extend to the new area.
  3. Community rights settled under the Forest Rights Act are quantified monetarily and paid to displaced individuals based on their share in community rightss.



Procedure and Manner of Rehabilitation and Resettlement

When land acquisition leads to the displacement of people, a structured process of rehabilitation and resettlement is crucial. This section of the article provides a detailed explanation of the procedures and roles involved in this process, as outlined in the relevant legislation.

Key Roles and Responsibilities

1. Administrator for Rehabilitation and Resettlement

The Administrator plays a central role in the rehabilitation and resettlement process:

  • Appointment: The State Government appoints an Administrator when land acquisition is likely to cause involuntary displacement of people.
  • Rank: The Administrator is typically an officer not below the rank of Joint Collector, Additional Collector, or Deputy Collector.
  • Responsibilities:
    • Formulate the Rehabilitation and Resettlement Scheme
    • Execute the scheme
    • Monitor the implementation
  • Support: The Administrator is provided with necessary powers, duties, office infrastructure, and subordinate staff to meet specific timeframes.

2. Commissioner for Rehabilitation and Resettlement

The Commissioner oversees the entire rehabilitation and resettlement process:

  • Appointment: The State Government appoints an officer of Commissioner or Secretary rank.
  • Responsibilities:
    • Supervise the formulation of rehabilitation and resettlement schemes or plans
    • Ensure proper implementation of these schemes
    • Conduct post-implementation social audits in consultation with local governing bodies (Gram Sabha in rural areas, municipality in urban areas)

3. Rehabilitation and Resettlement Committee

This committee is formed for larger land acquisition projects:

  • Formation: Required when the proposed land acquisition is equal to or more than 100 acres
  • Chair: The Collector chairs this committee
  • Responsibilities:
    • Monitor and review the progress of the Rehabilitation and Resettlement scheme implementation
    • Carry out post-implementation social audits
  • Composition: The committee includes a diverse range of members to ensure comprehensive representation:
    • Government officials
    • Representatives of affected women, Scheduled Castes, and Scheduled Tribes
    • A representative from a voluntary organization
    • A representative from a nationalized bank
    • Local government representatives (panchayats or municipalities)
    • Member of Parliament and Member of the Legislative Assembly of the area
    • A representative of the Requiring Body
    • The Administrator for Rehabilitation and Resettlement (serves as Member-Convenor)

Detailed Procedure

  1. Identification of Project and Affected Area:
    • The appropriate government identifies a project requiring land acquisition that may lead to involuntary displacement.
  2. Appointment of Administrator:
    • The State Government appoints an Administrator for the specific project.
  3. Formulation of Rehabilitation and Resettlement Scheme:
    • The Administrator, under the guidance of the Commissioner and appropriate Government, develops a comprehensive scheme.
    • This scheme outlines all aspects of the rehabilitation and resettlement process for the affected families.
  4. Formation of Rehabilitation and Resettlement Committee (for large projects):
    • For acquisitions of 100 acres or more, the government constitutes this committee.
    • The committee is formed to provide ongoing oversight and community representation.
  5. Scheme Implementation:
    • The Administrator oversees the execution of the Rehabilitation and Resettlement Scheme.
    • This involves coordinating with various departments and stakeholders to ensure all aspects of the scheme are carried out.
  6. Continuous Monitoring and Review:
    • The Rehabilitation and Resettlement Committee regularly assesses the implementation progress.
    • They identify and address any issues or delays in the process.
  7. Post-Implementation Social Audit:
    • After the scheme’s implementation, the Commissioner conducts a social audit.
    • This audit involves consultation with local governing bodies to assess the effectiveness and impact of the rehabilitation and resettlement efforts.

Special Provisions for Private Land Purchases

The law also addresses large-scale private land purchases:

  • Threshold: The appropriate Government sets a land area threshold above which these provisions apply.
  • Procedure:
    • The buyer must file an application with the District Collector, stating:
      • Intent to purchase
      • Purpose of the purchase
      • Details of the lands to be purchased
    • The Collector refers the matter to the Commissioner.
    • The Commissioner ensures compliance with all relevant rehabilitation and resettlement provisions.
    • The Collector then issues individual awards covering rehabilitation and resettlement entitlements.
  • Restrictions:
    • No land use change is permitted without full compliance with rehabilitation and resettlement requirements.
    • Purchases without complying with the Rehabilitation and Resettlement Scheme are considered void.

Financial Aspects

In some cases, rehabilitation and resettlement obligations can be quantified monetarily:

  • The Collector may allow payment of a specified amount into a dedicated account.
  • This account is administered by the appointed Administrator, under the Collector’s supervision.
  • This approach ensures that financial resources for rehabilitation and resettlement are properly allocated and managed.

 

National Monitoring Committee for Rehabilitation and Resettlement

The National Monitoring Committee for Rehabilitation and Resettlement is a crucial entity established by the Central Government of India to oversee and evaluate the implementation of rehabilitation and resettlement schemes or plans for national or inter-State projects. This committee plays a vital role in ensuring that the rights and interests of those affected by large-scale development projects are protected.

Establishment and Composition

The Central Government has the authority to constitute this committee whenever necessary. The committee’s composition is designed to be comprehensive and includes:

  1. Representatives from relevant Ministries and Departments of both the Central and State Governments
  2. Eminent experts from related fields

This diverse makeup ensures that the committee has access to a wide range of expertise and perspectives, allowing for thorough and balanced monitoring of rehabilitation and resettlement efforts.

Functions and Responsibilities

The primary function of the National Monitoring Committee is to review and monitor the implementation of rehabilitation and resettlement schemes or plans under the Act. This involves:

  1. Assessing the progress of ongoing rehabilitation and resettlement projects
  2. Evaluating the effectiveness of implemented schemes
  3. Identifying areas of concern or improvement in the rehabilitation and resettlement process
  4. Ensuring compliance with the provisions of the Act

Operational Procedures

The specific procedures followed by the committee are prescribed by the government. This includes:

  1. The frequency and format of meetings
  2. Methods for reviewing and assessing rehabilitation and resettlement schemes
  3. Protocols for site visits and inspections, if any
  4. Procedures for engaging with affected communities and other stakeholders

Additionally, the government prescribes the allowances payable to the expert members of the committee.

Support Structure

To ensure the efficient functioning of the committee, the Central Government provides necessary staff support. This includes:

  1. Officers to assist in administrative and coordination tasks
  2. Other employees as required to facilitate the committee’s operations

Reporting and Information Flow

A critical aspect of the committee’s work is the flow of information from the states and Union territories. These entities are required to:

  1. Provide all relevant information on matters covered under the Act to the National Monitoring Committee
  2. Submit information regularly and in a timely manner
  3. Respond to specific information requests from the committee as and when required

This reporting mechanism ensures that the committee has access to up-to-date and comprehensive data to effectively monitor and review rehabilitation and resettlement efforts across the country.

Significance

The establishment of the National Monitoring Committee underscores the government’s commitment to ensuring fair and effective rehabilitation and resettlement processes. By providing a dedicated oversight mechanism, it aims to:

  1. Enhance transparency in the implementation of rehabilitation and resettlement schemes
  2. Promote accountability among implementing agencies
  3. Safeguard the rights and interests of project-affected individuals and communities
  4. Facilitate the smooth execution of national and inter-State development projects while minimising negative impacts on displaced populations

 

Establishment and Functioning of the Land Acquisition, Rehabilitation and Resettlement Authority

The Land Acquisition, Rehabilitation and Resettlement Authority is a crucial institution established to ensure fair and expeditious resolution of disputes related to land acquisition, compensation, rehabilitation, and resettlement. This section of the article provides a comprehensive overview of the Authority’s establishment, composition, powers, and procedures.

Establishment and Jurisdiction

The appropriate Government is empowered to establish one or more Land Acquisition, Rehabilitation and Resettlement Authorities through official notification. These Authorities are tasked with the speedy disposal of disputes in their designated areas of jurisdiction. The notification specifies the geographical areas where each Authority can entertain and decide on references or applications made under the Act.

Composition and Qualifications

The Authority consists of a single person, known as the Presiding Officer, appointed by the appropriate Government. To qualify for this position, an individual must either be a serving or former District Judge, or a legal practitioner with at least seven years of experience. The appointment is made in consultation with the Chief Justice of the High Court in whose jurisdiction the Authority is to be established.

Terms of Office and Service Conditions

The Presiding Officer serves a term of three years or until reaching the age of 65, whichever comes first. Their salary, allowances, and other service conditions, including retirement benefits, are prescribed by the appropriate Government. Importantly, these terms cannot be altered to the disadvantage of the Presiding Officer after appointment.

Staffing and Administration

The Authority is supported by a Registrar and other necessary officers and employees, all appointed by the appropriate Government. These staff members work under the general supervision of the Presiding Officer. The government prescribes their salaries, allowances, and service conditions.

Vacancy and Removal Procedures

In case of a vacancy in the office of the Presiding Officer, the appropriate Government appoints a replacement following the established procedures. The Presiding Officer can resign by giving written notice but must continue in office for three months or until a successor is appointed, whichever is earlier.

Removal of a Presiding Officer is only possible on grounds of proven misbehavior or incapacity, following an inquiry conducted by a High Court Judge. The process ensures that the Presiding Officer is informed of the charges and given a reasonable opportunity to be heard.

Legal Status and Powers

The Authority’s constitution is considered final and cannot be questioned in any manner. It possesses powers similar to those of a civil court under the Code of Civil Procedure, 1908. These powers include:

  1. Summoning and examining witnesses under oath
  2. Discovering and producing documents or material evidence
  3. Receiving evidence on affidavits
  4. Requisitioning public records
  5. Issuing commissions for witness examination
  6. Reviewing its own decisions, directions, and orders

The Authority has original jurisdiction to adjudicate references made to it under the Act. While not bound by the Code of Civil Procedure, it is guided by principles of natural justice and has the power to regulate its own procedures.

Proceedings and Timelines

Upon receiving a reference, the Authority must give notice to all concerned parties and provide an opportunity for hearing. It is mandated to dispose of the reference within six months of receipt and make an award accordingly. Copies of the award must be delivered to the parties within 15 days.

All proceedings before the Authority are deemed to be judicial proceedings under sections 193 and 228 of the Indian Penal Code. The Authority is considered a civil court for the purposes of sections 345 and 346 of the Code of Criminal Procedure, 1973.

Legal Status of Authority Members

Members and officers of the Authority are deemed public servants under section 21 of the Indian Penal Code. This status implies certain legal protections and responsibilities associated with their role.

Jurisdiction

Civil courts, except High Courts (under articles 226 or 227 of the Constitution) and the Supreme Court, are barred from entertaining disputes related to land acquisition where the Collector or Authority is empowered by the Act. No court can grant injunctions in such matters.

Referral Process

Interested parties who do not accept the Collector’s award can request a referral to the Authority. The application must state the grounds for objection and be submitted within specified timeframes. The Collector must refer the case to the Authority within 30 days of receiving the application.

Collector’s Statement

When making a referral, the Collector must provide a detailed statement to the Authority. This statement includes information about the land, interested parties, awarded damages, compensation amounts, and grounds for determining compensation.

Notice and Proceedings

The Authority issues notices to relevant parties, including the applicant, interested persons, and the Collector. Proceedings are conducted in public, and legal practitioners are permitted to participate.

Scope of Inquiry

The Authority’s inquiry is limited to considering the interests of persons affected by the objection.

Award Determination

The Authority determines compensation amounts, considering whether the Collector followed the prescribed parameters. Additional components include a 12% per annum interest on the market value and a 100% solatium over the total compensation amount.

Award Format

Awards must be in writing, signed by the Presiding Officer, and specify amounts awarded under different clauses. The award is treated as a decree under the Code of Civil Procedure.

Cost Allocation

The Authority’s award includes details on proceeding costs and their allocation among parties. When the Collector’s award is not upheld, the Collector typically bears the costs, with some exceptions.

Interest on Excess Compensation

If the Authority determines that the Collector should have awarded higher compensation, it may direct the Collector to pay interest on the excess amount at specified rates.

Re-determination of Compensation

Other interested parties affected by the same notification can request re-determination of their compensation based on the Authority’s award, even if they didn’t initially apply to the Collector.

Appeals Process

The Requiring Body or any aggrieved person can appeal the Authority’s award to the High Court within 60 days. The High Court aims to dispose of such appeals within six months.

Apportionment of Compensation

Apportionment of compensation refers to the process of dividing a monetary award among multiple interested parties. 

Specifying Particulars of Apportionment

When multiple parties have an interest in compensation, the law provides a mechanism for documenting agreed-upon divisions. If the interested parties reach a consensus on how to apportion the compensation, these details must be included in the official award document. This specification serves a crucial purpose: it establishes a definitive record of the agreed-upon division. Once included in the award, this apportionment becomes legally binding and conclusive evidence of its correctness among the involved parties.

This provision encourages clear communication and agreement among interested parties, reducing the potential for future disputes. It also streamlines the compensation process by creating a single, authoritative document that outlines both the total compensation and its division.

Resolving Apportionment Disputes

Despite the emphasis on agreement, disputes regarding apportionment can arise. The law addresses this possibility by establishing a procedure for resolution. If disagreements emerge about how to divide the compensation or which parties are entitled to receive portions of it, the Collector has the authority to refer these disputes to a designated Authority for resolution.

Payments under the Land Acquisition Act

Tender of Payment

After making an award under section 30, the Collector is required to tender payment of the compensation to the entitled persons. This is typically done by depositing the amount in their bank accounts. However, certain circumstances may prevent immediate payment.

Deposit of Compensation

The Collector must deposit the compensation amount with the designated Authority if:

  1. The entitled person does not consent to receive the payment
  2. There is no person competent to alienate the land
  3. A dispute exists regarding the title to receive compensation or its apportionment

It’s important to note that a person may receive payment under protest if they believe the amount is insufficient. However, accepting payment without protest forfeits the right to make an application under section 64(1).

Investment of Deposited Funds

When money is deposited with the Authority, and it appears that the land belonged to a person without the power to alienate it, the Authority must take specific actions:

  1. Order the money to be invested in purchasing other lands under similar ownership conditions
  2. If immediate purchase is not possible, invest the funds in government or other approved securities

The interest or proceeds from these investments are paid to the person(s) who would have been entitled to possess the original land.

Costs Associated with Investment

The Authority orders the Collector to pay for costs related to:

  1. The investments made
  2. Orders for payment of interest or proceeds from securities
  3. Payment of the principal amounts
  4. All related proceedings, except those caused by litigation between adverse claimants

Interest on Late Payments

If compensation is not paid or deposited before taking possession of the land, the Collector must pay interest on the awarded amount:

  1. 9% per annum from the time of taking possession until payment or deposit
  2. If not paid within one year of taking possession, the interest rate increases to 15% per annum on the unpaid amount

This interest provision ensures that landowners are compensated for delays in receiving payment for their acquired property.

Temporary Occupation of Land

The Land Acquisition Act, a crucial piece of legislation governing the acquisition of land for public purposes, includes provisions for temporary occupation of land. This lesser-known aspect of the Act provides the government with a flexible tool to use land for short-term needs without resorting to full-scale acquisition. This section of the article explores the nuances of temporary land occupation, its process, and its implications for both the government and landowners.

Understanding Temporary Occupation

Temporary occupation allows the appropriate government to use waste or arable land for public purposes for a limited period. This provision is particularly useful when the government requires land for short-term projects or emergencies, avoiding the complexities of permanent acquisition.

The Process of Temporary Occupation

The process begins when the appropriate government identifies a need for temporary land use. It then directs the Collector, a government official responsible for land-related matters, to initiate the occupation process. The Collector must notify the landowner in writing, clearly stating the purpose for which the land is needed.

One of the key aspects of this process is its time limitation. The government can occupy the land for a maximum of three years from the commencement of occupation. This time limit ensures that the landowner’s rights are not indefinitely suspended.

Compensation

Fair compensation is a cornerstone of the temporary occupation process. The Collector and the landowner must agree on compensation terms, which can be either a lump sum payment or periodic installments. This compensation covers not only the use of the land but also any materials that might be extracted from it during the occupation period.

In cases where the Collector and the landowner cannot agree on compensation, the Act provides for dispute resolution. The matter is referred to a designated Authority, ensuring that landowners have recourse if they feel the offered compensation is insufficient.

Taking Possession and Land Use

Once compensation is paid or an agreement is reached (or in cases of dispute, after referring the matter to the Authority), the Collector can take possession of the land. The government’s use of the land must strictly adhere to the terms specified in the initial notice, providing a safeguard against misuse.

Restoration and Additional Compensation

The Act also addresses the condition in which the land must be returned. At the end of the occupation period, the Collector is required to restore the land to the owner. If any damage has occurred that wasn’t covered by the initial agreement, additional compensation must be paid.

Interestingly, the Act includes a provision for cases where the land becomes permanently unfit for its original use due to the temporary occupation. In such instances, if the landowner requests, the government must initiate proceedings to acquire the land permanently, treating it as a new acquisition under the Act.

Dispute Resolution

Recognizing that disputes may arise regarding the condition of the land upon its return or other matters related to the occupation agreement, the Act provides for these to be referred to the Authority for resolution. This mechanism ensures that both parties have a fair means of settling disagreements.

Implications and Importance

The temporary occupation provision in the Land Acquisition Act serves several important functions. It provides the government with a flexible tool for short-term land needs, which can be crucial in emergencies or time-sensitive projects. For landowners, it offers a way to contribute to public purposes while retaining ownership of their land, with the assurance of fair compensation and eventual return of their property.

Moreover, this provision strikes a balance between public needs and private rights. It allows for efficient use of land resources for public purposes while providing safeguards for landowners’ interests through compensation, time limits, and dispute resolution mechanisms.

Offences And Penalties under the Land Acquisition Act

To ensure fair implementation and protect the rights of all parties involved, the Act includes stringent provisions for offences and penalties. This article provides a detailed explanation of these provisions, their implications, and the legal framework surrounding them.

False Information and Fraudulent Claims

Provision of False or Misleading Information

The Act takes a strong stance against the provision of false or misleading information. Section 84(1) states that if any person provides false or misleading information or produces a false document in connection with any requirement or direction under this Act, they shall be liable to punishment. This can include:

  • Imprisonment for a term of up to six months
  • A fine of up to one lakh rupees (₹100,000)
  • Or both imprisonment and fine

This provision aims to ensure the integrity of the land acquisition process by deterring individuals from providing inaccurate information that could unfairly influence decisions or outcomes.

Fraudulent Claims for Rehabilitation and Resettlement Benefits

Section 84(2) addresses the issue of fraudulent claims for rehabilitation and resettlement benefits. If a person obtains such benefits through false claims or fraudulent means, the appropriate government has the right to recover these benefits. The manner of recovery will be prescribed by the government, ensuring a systematic approach to addressing such fraud.

Mala Fide Actions by Government Servants

Government servants are held to a high standard of conduct under the Act. Section 84(3) provides for disciplinary proceedings against government servants who are found guilty of mala fide (bad faith) actions in respect of any provision of this Act. The disciplinary authority has the power to decide on appropriate punishment, which may include fines. This provision serves as a safeguard against potential abuse of power by government officials involved in the land acquisition process.

Contravention of Compensation and Rehabilitation Provisions

Section 85 deals with violations of the Act’s provisions relating to compensation or rehabilitation and resettlement. Any person who contravenes these provisions is liable to:

  • Imprisonment for a term of six months to three years
  • A fine
  • Or both imprisonment and fine

This severe penalty underscores the importance the Act places on ensuring fair compensation and proper rehabilitation for those affected by land acquisition.

Offences by Companies

The Act recognizes that companies may be involved in land acquisition processes and provides specific provisions for offences committed by companies in Section 86.

Liability of Individuals in Charge

When a company commits an offence under this Act, every person who was in charge of and responsible for the conduct of the company’s business at the time of the offence is deemed to be guilty. This provision ensures that individuals in positions of responsibility cannot evade liability by hiding behind the corporate veil.

However, the Act provides a safeguard for individuals who can prove that:

  • The offence was committed without their knowledge, or
  • They had exercised all due diligence to prevent the commission of the offence

Liability of Directors, Managers, and Other Officers

The Act also holds directors, managers, secretaries, or other officers of the company liable if it is proved that the offence was committed:

  • With their consent or connivance, or
  • Is attributable to any neglect on their part

This provision ensures that high-level company officials cannot escape responsibility for offences that occur under their watch.

Definition of “Company” and “Director”

For clarity, the Act provides definitions:

  • “Company” includes any body corporate, firm, or other association of individuals, as well as a Requiring Body.
  • “Director,” in relation to a firm, refers to a partner in the firm.

Offences by Government Departments

Section 87 addresses offences committed by government departments, ensuring that even state actors are held accountable under the Act.

Liability of Department Heads

When an offence is committed by a government department, the head of the department is deemed to be guilty and liable to be prosecuted and punished accordingly. This provision places a significant responsibility on department heads to ensure compliance with the Act within their jurisdictions.

However, similar to the provision for companies, there is a safeguard for department heads who can prove that:

  • The offence was committed without their knowledge, or
  • They had exercised all due diligence to prevent the commission of the offence

Liability of Other Officers

Other officers in the department may also be held liable if it is proved that the offence was committed:

  • With their consent or connivance, or
  • Is attributable to any neglect on their part

This ensures that responsibility is appropriately assigned within government departments.

Legal Proceedings and Jurisdiction

The Act includes specific provisions regarding legal proceedings for offences:

Court Jurisdiction

Section 88 stipulates that no court inferior to that of a Metropolitan Magistrate or a Judicial Magistrate of the first class shall be competent to try any offence punishable under this Act. This ensures that these potentially complex cases are heard by courts with appropriate expertise and authority.

Non-Cognizable Offences

According to Section 89, every offence under this Act is deemed to be non-cognizable, notwithstanding anything contained in the Code of Criminal Procedure, 1973. This means that the police cannot arrest someone for these offences without a warrant and cannot start an investigation without the permission of a court.

Complaints Against Requiring Bodies

Section 90 provides that no court shall take cognizance of any offence under this Act which is alleged to have been committed by a Requiring Body, except on a complaint in writing made by:

  • The Collector
  • Any other officer authorized by the appropriate Government
  • Any member of the affected family

This provision ensures that complaints against Requiring Bodies are vetted by appropriate authorities or directly affected individuals before court proceedings can commence.

Conclusion

The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation, and Resettlement Act, 2013 marks a significant improvement in protecting the rights of those impacted by land acquisitions. It ensures a more transparent and fair process, offering compensation that goes beyond monetary terms by also addressing the rehabilitation and resettlement of affected individuals. While the Act has made strides in providing fairer compensation and maintaining a balance between development and individual rights, there are ongoing concerns about the adequacy of compensation, particularly in rural areas, and the need for better consideration of post-project impacts. Overall, this legislation is a positive step towards balancing development with social justice, though continuous improvements and strict enforcement will be essential to safeguard the rights of vulnerable communities.

References :

The Land Acquistion Act, 2013

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Important Note: This article is for informational purposes and does not constitute legal advice. 

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