Land acquisition: ‘Award must be remitted without delay even if it’s under dispute’

The Karnataka High Court has said that under the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement (RFCTLARR) Act 2013, even if the quantum of compensation is under dispute, it is the duty of the Special Land Acquisition Officer (SLAO) or Collector (deputy commissioner) to remit the amount into the bank account of the land loser without delay.

Justice Suraj Govindaraj said this while directing the authorities to make payment of the compensation as awarded under section 30 of the RFCTLARR Act.

The petitioners Lokanna, Bharati and Sanket, all residents of Bagalkot taluk, contended that the compensation for their acquired land and property had not been deposited. Their lands at Gaddankeri area were acquired for the Upper Krishna project. The preliminary notification was issued in January 2021 and the final notification in September 2023. On October 5, 2024, a general award was passed instructing land losers to submit their papers for compensation payment. According to the petitioners, payments were not made despite complying with the instructions.

The petitioners submitted that once the general award was issued, the Collector or SLAO obligated to deposit the compensation. On the other hand, the authorities argued that the petitioners have alternative efficacious remedy of filing execution proceedings and requested the court to direct them to approach the execution court.

Justice Suraj Govindaraj noted that once an award under Section 30 of the RFCTLARR Act is passed, the Collector must, as promptly as possible and preferably within 30 days, deposit the awarded amount into the land loser’s bank account unless there is a dispute regarding the property’s title. The court further said that the land loser could protest the compensation, within reasonable time, after the amount is deposited. If a protest was made, proceedings under sub-Section 1 of Section 64 could be initiated. If no protest was made within a reasonable time, it would be assumed that the land loser accepted the compensation amount awarded under Section 30, the court said.

“It is clear that there is a duty on the part of the Collector to tender payment of compensation awarded by remitting the same into the bank account of the land loser. There would therefore be no requirement to initiate any execution proceedings,” Justice Suraj Govindaraj said, while directing the SLAO, Bagalkot Town Development Authority, to make the compensation payment to the petitioners, along with applicable interest.