Patna High Court Directs Compensation with Interest for Land Acquisition Delay

Patna High Court Directs Compensation with Interest for Land Acquisition Delay

Simplified Explanation of the Judgment

In a significant ruling, the Patna High Court addressed a long-pending case involving the non-payment of compensation for land acquired by the State Government under a public infrastructure project. The petitioner approached the court seeking payment of ₹47,80,125 as compensation, along with an additional ₹5,20,557 as interest for delayed payment, for land acquired in two villages of Purnea district.

The acquisition was originally stated to have occurred in 1988-89, but official documents revealed that the formal land acquisition under Land Acquisition Case No. 10 of 2011-12 was finalized with an award dated 27.05.2013. The petitioner was informed to collect the compensation in June 2013. However, a dispute over entitlement led to a referral to the Land Acquisition Judge, Purnea, and was settled through Lok Adalat on 23.11.2013.

Despite the resolution, the payment was still not made. The government authorities began shifting responsibility between the Special Land Acquisition Officer, Koshi Project, Saharsa, and the District Land Acquisition Officer, Purnea. The Special Officer claimed to have handed over the records and fund information to the District Officer. The District Officer, however, stated that neither records nor funds were received, despite repeated communication.

The delay was further compounded by an administrative decision to close down all Special Land Acquisition offices effective 31.03.2019. As a result, the confusion worsened regarding the transfer of responsibility and funds.

Taking note of these contradictory statements, the Court severely criticized the authorities’ lack of coordination and accountability. It noted that there was no dispute regarding the petitioner’s entitlement, yet the delay persisted for over five years after the Lok Adalat’s award.

In a strong directive, the Court ordered the Chief Secretary of Bihar to personally hear the petitioner or their representative and ensure the compensation is paid within a month of appearance. It also directed an inquiry to fix responsibility on officials whose negligence led to this delay and imposed a cost of ₹50,000 to be paid to the petitioner by the State.

Significance or Implication of the Judgment

This judgment is a stern reminder to government departments that bureaucratic inefficiency cannot override a citizen’s legal rights. It reinforces that once land is acquired for public use, compensation must be paid promptly, along with applicable interest. The ruling sends a clear message that departmental blame-shifting will not be tolerated and may invite penalties.

For citizens, particularly in rural Bihar, this judgment underscores that courts can and will intervene to protect rightful claims against administrative apathy. For the government, it calls for stronger inter-departmental coordination and adherence to land acquisition procedures.

Legal Issue(s) Decided and the Court’s Decision

  • Issue: Whether the petitioner was entitled to compensation and interest for land acquired by the State but not paid.
    • Decision: Yes. The Court affirmed the petitioner’s right to compensation and statutory interest.
  • Issue: Whether government departments can avoid responsibility due to internal miscommunication.
    • Decision: No. The Court held that bureaucratic confusion is not a valid excuse for denying compensation.
  • Issue: Whether disciplinary action is warranted against erring officials.
    • Decision: Yes. The Chief Secretary was directed to conduct an inquiry to fix responsibility.
  • Order:
    • The Chief Secretary must personally hear the petitioner and ensure full compensation within a month.
    • Departmental inquiry must be conducted to fix accountability.
    • ₹50,000 cost to be paid by the State to the petitioner within two months.

Case Title
Kalicharan Kanth vs. The State of Bihar & Ors.

Case Number
Civil Writ Jurisdiction Case No. 11308 of 2014

Citation(s)
2020 (1) PLJR 502

Coram and Names of Judges
Hon’ble Mr. Justice Chakradhari Sharan Singh

Names of Advocates and who they appeared for

  • Mr. Shashi Nath Jha (For the Petitioner)
  • Mr. Chittranjan Sinha, Sr. Advocate, PAAG 2 (For the State)
  • Mrs. Ratna Kumari, AC to PAAG 2 (For the State)

Link to Judgment
https://patnahighcourt.gov.in/vieworder/MTUjMTEzMDgjMjAxNCM4I04=-IKEeMzhepnQ=

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Aditya Kumar

Aditya Kumar is a dedicated and detail-oriented legal intern with a strong academic foundation in law and a growing interest in legal research and writing. He is currently pursuing his legal education with a focus on litigation, policy, and public law. Aditya has interned with reputed law offices and assisted in drafting legal documents, conducting research, and understanding court procedures, particularly in the High Court of Patna. Known for his clarity of thought and commitment to learning, Aditya contributes to Samvida Law Associates by simplifying complex legal topics for public understanding through well-researched blog posts.

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