Jeewan Dhar Jain (dead) Through Lrs. & Ors. v. State of Haryana & Ors.
TARUN CHATTERJEE, J. 1. Leave granted.
2. This appeal is directed against the judgment and or- H
A der dated 1 s1n of October, 2005, passed by the High Court of
Punjab and Haryana at Chandigarh in Review Application
No.86-Cll/2002 in Civil Revision No.3273/2001, Review Appli
cation No. 87-Cll/2002 in CR No.3275/2001, Review Applica
tion No. 88-Cll/2002 in CR.No.3276/2001, Review Application
B No. 89-Cll/2002 in CR No. 3277/2001, Review Application No.
90-Cll/2002 in CR No.3278/2001, Review Application No. 91-
Cll/2002 in CR No.3280/2001, Review Application No.92-Cll/
2002 in CR No.3281/2001 and Review Application No. 93-Cll/
2002 in CR No.3282/2001 by which the bunch of review gppli-
C cations filed at the instance of claimants-landowners-appellants
in the connected civil revision petitions was disposed of. A bunch
of 13 civil revision petitions was decided by the learned Single
Judge vide judgment dated 251h of October, 2001. All the revi
sion petitions were filed by the. Haryana Urban Development
D Authority, Gurgaon, for whose benefit the land belonging to the
claimants-landowners was acquired. Similarly, a bunch of 15
civil revision petitions was decided by another learned Single
Judge of the High Court which was filed by the Food Corpora
tion of India, for whose benefit the land was acquired. In these
cases, the learned Single Judge of the High Court followed the
E proposition of law laid down in judgment dated 251h of October,
2001 passed in Review Application No. 113-Cll/2002 in CR No.
2842/2002. Vide an order dated 20th of May. 2001, the Execut
ing Court allowed the application of the claimants-appellants in
Review Application No. 113-Cll/2002 in CR No. 2842/2002
F holding that she was entitled to get interest on the solatium and
to appropriate the amount already paid or deposited in the court
firstly towards costs, then towards interest and then towards
solatium and in the last towards principal amount. The order
dated 101h of May, 2001 passed by the Executing Court was
G challenged by the Haryana Urban Development Authority be
fore the High Court in Civil Revision Petition No.2842 of 2001.
Similar revision petitions were filed in other connected matters.
One of the questions that arose before the learned Single Judge
of the High Court for adjudication was as follows:-
..
JEEWAN DHAR JAIN THROUGH LRS. & ORS. v. 975
STATE OF HARYANA & ORS. [TARUN CHATTERJEE, J.]
"Whether claimants/landowners do have the right to A
appropriate the amount deposited by the Land
Acquisition Collector as per their own discretion or the
same has to be paid in view of the Scheme of the Act?"
3. The learned Single Judge of the High Court relying upon
'""' the law laid down by this court in the case of Prem Nath Kapoor B
and Anr. Vs. National Fertilizers Corporation of India Ltd. and &
Ors. [JT 1995 (9) SC 23) held that the claimants were not en
titled to appropriate the amount deposited by the Collector at
their discretion and appropriation and payment shall be made
strictly in accordance with the law laid down by this Court in C
Prem Nath Kapoor's case (supra). Accordingly, the aforesaid
question was answered in favour of the acquiring authorities
and against the claimants. The present review applications were
filed by the claimants-appellants praying for review of the afore-
said decision of the learned Single Judge qua the aforesaid o
question. While deciding the review applications, the High Court
in the impugned order made the following observations -
"In view of the aforesaid observations made by the Apex
Court in Prem Nath Kapoor's case (supra) and a/so
having noticed the same in Mis. Industrial Credit and E
Development Syndicate, we are not inclined to take any
different view than the one taken by the learned Single
Judge. As a matter of fact, the learned Single Judge has
placed specific reliance upon Prem Nath Kapoor's case
and as per law laid down by the Apex Court, no exception F
to the view expressed by the learned Single Judge can
be taken. Consequently, we hold that in the land
acquisition proceedings, the claimants cannot be allowed
to appropriate the amount deposited by the Collector at
their discretion and appropriation and payment has to G
be made strictly in accordance with the law laid down by
this Court in Prem Nath Kapoor's case (supra). Holding
as above, the review cases were dismissed."
4. Feeling aggrieved, the claimants-appellants moved this
Court and notices were issued. Subsequently, similar issue H
A which was decided in Prem Nath. Kapoor's case, namely,
Gurpreet Singh vs. Union of India, SLP©No.8408 of 2003 was
referred to Constitution Bench of this Court by a three-Judge and
finally the question referred before the Constitution Bench was
decided in Gurpreet Singh vs. Union of India reported in 2006 (8)
B SCC 457. After the above question was d~cided by the Consti~
tution Bench, the matter has now come up for hearing before us.
Mr.Ghosh learned senior counsel appearing for the appellants
had drawn o.ur attention at paragraph 36 of the aforesaid Consti
tution Bench decision at page 478, particularly the portion, namely,
c "but if there is any shc)rtfall at a(ly stag~, the claimant or decree
holder can seek to apply the rule of appropriation in respect of
that amount, first towards interest and costs and then towards
the principal, unless the decree otherwise directs." ·
- · 5. Relying on this observation, Mr.Ghosh submitted that
D the ratio in Prem Nath Kapoor's case on appropriation being
at different stages was justified though if at a particular stage
there was a shortfall, the awardee-decree holder would be en
titled to appropriate the same on- the general principle of ap
propriation, first towards interest then towards costs and then
E towards the principal, unless, of course, the deposit is indicated
to be towards specified heads by the judgment deb.tor while
making the deposit intimating the decree holder of his inten
tion. Relying on this observation of this Court made in the Con
stituUon Bench, Mr.Ghosh, learned senior counsel appearing
F for the appellants submitted that this aspect of the matter not
having been considered by the High Court either in the civil re
vision case or in the. review petitions, it would be fit and proper
for this· Court to send the cases back to the Executing Court for
disposal in the light of the aforesaid observations of this Court
G made in the Constitution Bench decision as referred to herein
above. This submission of Mr.Ghosh WC!S contested by the
learned counsel appearing on behalf of the respondents and
he submitted that although the Constitution Bench decision had
approved the. Prem Nath Kapoor's case, but in addition to that
had also. made the observatior. it would be fit ~nd proper that
.. ~·
JEEWAN DHAR JAIN THROUGH LRS. & ORS. v. 977
STATE OF HARYANA & ORS. [TARUN CHATTERJEE, J.]
the matter may be remitted back to the High Court for decision A
in the light of the observations made by this Court in the afore
said Constitution Bench without sending the same before the
Executing Court, as the execution cases have already been dis
posed of by the Executing Court. However, at the time of con
sideration, the High Court shall also take into consideration the B
observations made by the Constitution Bench as noted herein
above be applicable to the present cases.
6. Having heard the learned counsel for the parties and
after noticing the judgment of the Constitution Bench particu
larly the observations on which reliance was placed by the C
learned counsel for the parties, we are of the view that the im
pugned order be set aside and the matters may be remitted
back to the High Court for decision in the light of the observa
tions of this Court made in the Constitution Bench decision as
• referred to herein above. Accordingly, the impugned orders of D
the High Court rejecting the review petitions are set aside and.
the appeal is allowed to the extent indicated above. The High
Court is requested to decide the review petitions as early as
possible preferably within six months from the date of supply of
the copy of this order. It is needless to say that in the event the E
High Court feels that while deciding the review petitions, it would
be appropriate for it to take up the civil revision cases as well, it
will be open to the High Court to take up the review petitions
also along with the civil revision cases treating the orders passed
.i • by the High Court in revision as set aside. F
7. For the reasons aforesaid, we set aside the impugned
orders and the appeal is allowed to the extent indicated above.
We make it clear that we have not gone into the arguments ad
vanced by the parties on the question whether the Constitution
Bench decision would be applicable in the facts and circumstances G
of the case and it is kept to be taken into consideration by the High
.i.-. Court in the manner indicated above. The appee1I is thus allowed
to the extent indicated above. There will be no order as to costs.
N.J. Appeals allowed. H