Supreme Court pulls up Maharashtra bodies for not paying villagers after acquiring lands

New Delhi: Calling it a "classic case" of the state authorities not paying compensation to villagers after acquiring their land, the Supreme Court on Monday warned the Maharashtra government officials to disburse funds by January 31 or face contempt action.

A bench of Justices Surya Kant and N Kotiswar Singh was hearing the case over the land acquired from the villagers of Jambhalkhori Borphadi in Beed district of Maharashtra for construction of a water tank under the Employees Guarantee Scheme in 2005.

"This is a classic case where authorities of Maharashtra government denied the compensation to the people whose land was compulsorily acquired," said the bench.

It came on the record, despite the orders for payment of over Rs 1.49 crore attaining finality, compensation was not paid to the aggrieved villagers.

"We are completely disappointed to see the manner in which the state authorities have conducted themselves in this case," the top court said. Saying it had adopted a lenient view and not issued a notice on the plea filed on behalf of zila parishad of Beed district or heard the erring officials, the apex court chose not to comment further on the issue.

The court however issued a slew of directions and directed the state's chief secretary, principal secretary (finance) and principal secretary (panchayat and rural development) to take cognisance of the matter within one week.

"Issue necessary sanction for the release of compensation amount to the respondents (villagers) along with the interests till date as also exemplary cost that may be determined by the reference court," it held.

Going by the directive, due payments will have to be made to the landowners and other similarly placed persons by January 31 with filing of compliance reports in the high court.

The bench directed the collector of Beed district to act as a nodal officer and ensure the villagers received the money.

"The chief secretary is further directed to seek the explanation of collector Beed and thereafter determine which is the department concerned liable to pay the compensation and take suitable action against the erring officials," it said.

The bench said if the exercise was not carried out by January 31, the registrar general of Bombay High Court would hear the case for registration of suo motu contempt proceedings against all officers concerned and proceed with the contempt of court case.

"The cost amount of Rs 1 lakh imposed by the high court shall be recovered personally from the officers found guilty/responsible for non-payment of compensation amount," it directed.

The top court said instead of suo motu summoning the collector and awarding a befitting sentence for contempt of court, the high court made certain observations against that officer in its order on November 18, 2024.

It noted after the authorities did not pay the compensation to the villagers; they moved the court for execution of the award.

The civil judge then attached the bank account of zila parishad as one of the coercive measures for the recovery of the compensation amount but the parishad moved the Aurangabad bench of the Bombay High Court. It was argued the state government, through the Beed collector, and not the zila parishad, was liable to pay the compensation.

On November 18, 2024, the high court said there were a number of schemes floated by the state government for distribution of money including "Ladki Bahin", etc., and it clearly showed there was no dearth of funds.

The high court said the lands of the claimants were acquired as early as 2005, and despite its orders they were denied the compensation in the last 19 years.

While dismissing the plea, the high court imposed Rs 1 lakh as costs on the Beed collector or zila parishad, jointly or severally, for their failure to pay the compensation.