MODULE 7

RIGHT TO FAIR COMPENSATION AND TRANSPARENCY IN LAND

ACQUISITION, REHABILITATION AND RESETTLEMENT ACT, 2013
• An Act to ensure, (in consultation with institutions of local self-government and Gram
Sabhas established under the Constitution) a humane, participative, informed and
transparent process for land acquisition for industrialisation, development of essential
infrastructural facilities and urbanisation with the least disturbance to the owners of the
land and other affected families and provide just and fair compensation to the affected
families whose land has been acquired or proposed to be acquired or are affected by such
acquisition and make adequate provisions for such affected persons for their rehabilitation
and resettlement and for ensuring that the cumulative outcome of compulsory acquisition
should be that affected persons become partners in development leading to an
improvement in their post-acquisition social and economic status and for matters
connected therewith or incidental thereto.
• Issues related to land have become the most contentious and complex in recent times in
India. The issues vary from the age-old debate on displacement vs development to latest
land acquisition, rehabilitation and resettlement. There is an urgent need of land for the
expanding urban areas, but at the same time, there is also a need to conserve agricultural
land to feed the increasing population. Protection of environment and biodiversity are the
hot-topics but at the same time there is an outcry on lack of growth and development. The
land issues are being revisited with a new perspective with the impact of liberalization,
privatization and globalisation.
• Land acquisition remains at the centre of many controversies and public policy paralysis
in India. There are very few public policy issues in India that rival land acquisition in
terms of its complexity, challenges and significance to country’s growth and transition to
more urbanised and industrialised status. Currently, the Union Government is mounting
series of efforts to clear several hurdles with regard to the existing land law which dates
back to 1894.
LAND ACQUISITION ACT 1894
Till 2014, the land acquisition in India was governed by the colonial period’s Land
acquisition act of 1894. The Land Acquisition Act of 1894 allowed the government to
acquire private lands. Under the 1894 Act, displaced people were only liable for monetary
compensation linked with market value of the land in question, which was still quite
minimal considering circle rates are often misleading.
– The title of the law itself conveyed that its primary purpose was to expedite the
acquisition of land. Once the acquiring authority has formed the intention to acquire a
particular plot of land, it can carry out the acquisition regardless of how the person whose
land is sought to be acquired is affected.
– There was no real appeal mechanism to stop the process of the acquisition. A hearing
(under section 5A) was prescribed but this was not a discussion or negotiation. The views
expressed were not required to be taken on board by the officer conducting the hearing.
– There were absolutely no provisions in the 1894 law relating to the resettlement and
rehabilitation of those displaced by the acquisition.
– Urgency clause: This was the most criticised section of the Law. The clause never truly
defined what constituted an urgent need and left it to the discretion of the acquiring
authority. As a result, almost all acquisitions under the Act invoked the urgency clause.
Even where acquisition had been carried out the same had been challenged in litigations on
the grounds mentioned above. This resulted in the stalling of legitimate infrastructure
projects.

THE RIGHT TO FAIR COMPENSATION AND TRANSPARENCY IN LAND

ACQUISITION, REHABILITATION AND RESETTLEMENT ACT, 2013
– The new act provided for land acquisition as well as rehabilitation and resettlement. It
replaced the Land Acquisition Act, 1894.
– The process for land acquisition involves:
– a Social Impact Assessment survey,
– preliminary notification stating the intent for acquisition,
– a declaration of acquisition, and
– compensation to be given by a certain time.
– rehabilitation and resettlement to be provided to the people affected by
the acquisition.
– Compensation for the owners of the acquired land shall be four times the market value in
case of rural areas and twice in case of urban areas.
– The new law stipulates mandatory consent of at least 70 per cent for acquiring land for
public-private partnership (PPP) projects and 80 per cent for acquiring land for private
companies.
– Purchase of large pieces of land by private companies will require provision of
rehabilitation and resettlement.
– The provisions of this act shall not apply to acquisitions under 16 existing legislations
including the Special Economic Zones Act, 2005, the Atomic Energy Act, 1962, the
Railways Act, 1989, etc.
– Public purpose as per the Bill includes sectors like mining, infrastructure, defence,
manufacturing zones, ports, roads, and railways built by the government and public sector
enterprises.
IMPORTANT DEFINITIONS
Application of Act
• This act applies when the APPROPRIATE GOVERNMENT acquires land for its own
use, hold and control, including for Public Sector Undertakings and for public
purpose
• for strategic purposes relating to naval, military, air force, and armed forces of the Union,
including central paramilitary forces or any work vital to national security or defence of
India or State police, safety of the people
• for infrastructure projects
• agro-processing
• supply of inputs to agriculture,
• warehousing,
• cold storage facilities, marketing infrastructure for agriculture and allied activities such as
dairy, fisheries, and meat processing,
• industrial corridors or mining activities, manufacturing zones,
• water harvesting and water conservation structures, sanitation
• educational and research schemes or institutions;
• project for sports, health care, tourism, transportation or space programme;
• project for project affected families;
• project for housing for such income groups.
• improvement of village sites.
• residential purposes to the poor or landless or to persons residing in areas affected by
natural calamities
SOCIAL IMPACT ASSESSMENT
• Social impact assessment (SIA) is a methodology to review the social effects of
infrastructure projects and other development interventions. Although SIA is usually
applied to planned interventions.
• Social Impact Assessment includes the processes of analysing, monitoring and
managing the intended and unintended social consequences, both positive and
negative, of planned interventions (policies, programs, plans, projects) and any social
change processes invoked by those interventions.
• A Social Impact Assessment is a process of research, planning and the management
of social change or consequences (positive and negative, intended and unintended)
arising from policies, plans, developments and projects.
• The social impacts of a project are the direct and indirect impacts that affect people and
their communities during all stages of the project lifecycle.
In preparing the SIA, the project owner is required to undertake community and
stakeholder engagement to;
 • Understand who is likely to be impacted and how
• Understand the affected communities
• Identify and assess potential social impacts
• Develop management measures to mitigate adverse impacts and enhance benefits
• Support monitoring and reporting
SIGNIFICANCE OF SIA
• The core focus of an SIA is on the important impacts of projects and developments
beyond the impacts on natural resources. Examples of social impacts include:
– PEOPLE’S WAYS OF LIFE – that is, how they live, work, play and interact
with one another on day-to-day basis.
– THEIR CULTURES – that is their shared beliefs, customs, values and language
or dialect.
– THEIR COMMUNITY – its cohesion, stability, character, services and facilities.
– THEIR POLITICAL SYSTEMS – the extent to which people are able to
participate in decisions that affect their lives, the level of democratization that is
taking place, and the resources provided for this purpose.
– THEIR HEALTH AND WELL-BEING – health is a state of complete physical,
mental, social and spiritual well-being and not merely the absence of disease or
infirmity.
• In India, SIAs were mandated in 2013 by The Right to Fair Compensation and
Transparency in Land Acquisition, Rehabilitation and Resettlement Act.
• According to the 2013 land acquisition law, any major project is required to conduct an
SIA within six months of the project’s start date.
• By mandating SIA Government aims to decrease social unrest over uncompensated land
acquisition and to speed up the execution of development projects, and to ensure that
locals receive proper resettlement packages and those developers constructively engage
with local communities.
• We have many examples of projects where government conducted SIA. One of the
examples, is the recent Social Impact Assessment Study for Nuclear Power Projects in
Andhra Pradesh.
SIA is predicting in advance, the social impacts (social/ cultural, economic,
infrastructure and public services, physical cultural resources and intangible cultural
resources) likely to follow from a project proposal.

Outcome: Proposing suitable steps necessary to prevent/contain harmful potential impacts of

proposed projects.
SIA UNDER THE RFCTLARR 2013
As per the Constitution of India, while land is a state subject (Entry 18 of the State list),
acquisition and requisition of property (including land acquisition) falls under Entry 42
of the Concurrent list. In democratic societies, this power to acquire land by the sovereign
state is exercised for a ‘public purpose’. The term ‘public purpose’ is very wide in its
connotation and includes privately-executed projects if they result in an indirect public
good or some larger good to society (including increased tax revenue or employment).
The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and
Resettlement Act, 2013 (RFCTLARR Act) has made the rehabilitation and resettlement of
people struck by the acquisition of their land, a part of the land acquisition process itself. The
provisions of social impact assessment and (mandatory) consent by the people (landowners)
whose lands the government intends to acquire, are the two shining cornerstones of this act
that make it revolutionary in enabling democratisation of the whole process of land
acquisition.
HISTORY
NO SIA; UNPRECEDENTED PROBLEMS
Prior to the enactment of the present act, development or industrial projects executed
anywhere in the country did not have any stringent parameters for measuring the magnitude
of the repercussions that would be felt many communities residing in and around the site of
the project. Consequently, a large number of affected people were left out of any
rehabilitation or resettlement plans that were developed for the same projects in an ad hoc
manner. A few examples of the same.
1. Sardar Sarovar Dam, Gujarat, 1980s - One of the most controversial and glaring
examples of the lack of a systematic social impact assessment study conducted to enumerate
the population of displaced and affected people. Rehabilitation of more than half of the
population affected by submergence is yet to happen even though the project is deemed to be
complete and was inaugurated as late as 2017.
2. Bilaspur Dam Project, Rajasthan, 1990s - In the absence of any proper socio-economic-
cultural impact survey, no proper plan for resettlement or rehabilitation was put in place,
which allowed eventually an extremely haphazard ‘jungle-raj’ like scenario of providing
compensation to the affected or displaced people. Genuinely affected poor were even cheated
for their compensation.
3. Rengali Irrigation Project, Rengali, Odisha, 1985 - A rough estimate of more than
10000 families displaced, the project had an ineffective rehabilitation management, where the
allotted barren unirrigated lands which they could not use for any economy generation being
unskilled in land use and having no skill upgradation.
SUBJECT MATTER OF SIA
• The subject matter of the SIA includes answering the following questions.
– Does the proposed acquisition really serve a public purpose?
– How many families would be affected and how many of them will be displaced?
– What is the extent of the public and private land including the houses is going to
be affected?
 – Is the land proposed to be acquired is absolute bare minimum extent needed for
the proposed project?
– If the acquisition at a different place was considered and found not feasible.
– What will be the nature and cost of addressing the social impacts over there?
– A simultaneously completed Environment Impact Assessment
PUBLIC PURPOSE
Section 2 of the Act provides for the application of the provisions of the Act to various types
of land acquisitions. It classifies the acquisition of land into three categories:
(1) appropriate government acquire land for its own use and for public
purposes;
(2) appropriate government acquires land for PPP projects/ for private
companies for public purpose;
(3) purchases by private companies through private negotiations
According to the Section 3(za) of the Act, ‘public purpose’ means the activities specified
under Section 2(1), and includes the following:
(a) strategic purposes relating to naval, military, air force, and armed forces of the
Union, including central paramilitary forces or any work vital to national security or
defence of India or State police, safety of the people; or
(b) infrastructure projects, which includes the following, namely:
(i) all activities or items listed in the notification of the Government of India in
the Department of Economic Affairs (Infrastructure Section) number
13/6/2009-INF, dated the 27th March, 2012, excluding private hospitals,
private educational institutions and private hotels;
(ii) projects involving agro-processing, supply of inputs to agriculture,
warehousing, cold storage facilities, marketing infrastructure for agriculture
and allied activities such as dairy, fisheries, and meat processing, set up or
owned by the appropriate Government or by a farmers' cooperative or by an
institution set up under a statute;
(iii) project for industrial corridors or mining activities, national investment
and manufacturing zones, as designated in the National Manufacturing Policy;
(iv) project for water harvesting and water conservation structures, sanitation;
(v) project for Government administered, Government aided educational and
research schemes or institutions;
(vi) project for sports, health care, tourism, transportation or space
programme;
(vii) any infrastructure facility as may be notified in this regard by the Central
Government and after tabling of such notification in Parliament;
(c) project for project affected families;
 (d) project for housing for such income groups, as may be specified from time to time
by the appropriate Government;
(e) project for planned development or the improvement of village sites or any site in
the urban areas or provision of land for residential purposes for the weaker sections in
rural and urban areas;
(f) project for residential purposes to the poor or landless or to persons residing in
areas affected by natural calamities, or to persons displaced or affected by reason of
the implementation of any scheme undertaken by the Government, any local authority
or a corporation owned or controlled by the State.
When the government acquires land for its own use, hold and control including for any
Public Sector Undertaking (PSU) and for public purpose, the provisions of the Act
relating to acquisition, compensation, rehabilitation and resettlement shall apply.
But where the government acquires land
(i) for public private partnership projects, where the ownership of the land continues
to vest in the government, for public purpose and
(ii) for private companies for public purpose, the provisions of the Act relating to land
acquisition, consent, compensation, rehabilitation and resettlement shall also apply.
Under the proviso to Section 2(b), in case of acquisition of land for public private
partnership, the prior consent of at least 70% of the affected families is required and in
case of acquisition of land for private companies, the prior consent of at least 80% of
the affected families is required. Whereas, there is no requirement of prior consent in
case the government acquires land for its own use, hold and control, including for
Public Sector Undertaking.
Further when the government acquires land either
(i) for its own use… for a public purpose,
(ii) for a private company for a public purpose or
(iii) for public private partnership for a public purpose, all the provisions of the 2013
Act relating to land acquisition, compensation, rehabilitation and resettlement
shall apply. That is, if the land is acquired by the government for a private
company or for a public private partnership or for its own use, then provisions of
land acquisition shall apply and compensation has to be paid and rehabilitation
and resettlement of the parties shall also to be done. In case of a land acquired by
the government for a public private partnership, the land continues to vest with the
government.

CASE LAW
The Supreme Court in State of Bombay Vs. R.S. Narji has held that in each case all the
facts and circumstances will require to be closely examined in order to determine whether a
public purpose has been established. Public purpose is not capable of precise definition. Each
case has to be considered in the light of the purpose for which acquisition is sought for. It is
to serve the general interest of the community as opposed to the particular interest of the
individual. Public purpose broadly speaking would include the purpose in which the general
interest of the society as opposed to the particular interest of the individual is directly and
vitally concerned. Generally, the executive would be the best judge to determine whether or
not the impugned purpose is a public purpose. Yet it is not beyond the purview of judicial
scrutiny. The interest of a section of the society maybe public purpose when it is benefited by
the acquisition. The acquisition in question must indicate that it was towards the welfare of
the people and not to benefit a private individual or group of individuals joined collectively.
Therefore, acquisition for anything which is not for a public purpose cannot be done
compulsorily - Manimegalai Vs. The Special Tahsildar (Land Acquisition Officer) Adi
Dravidar Welfare
In Somawanti Vs. State of Punjab the Supreme Court has an occasion to consider the true
import of expression "public purpose" in the context of the provisions of the Land
Acquisition Act. After main a reference to the definition clause where the expression "public
purpose" is defined, the Supreme Court observed as under: “This is an inclusive definition
and not a compendious one and therefore, does not assist us very much in ascertaining the
ambit us very much in ascertaining the ambit of the expression 'public purpose'. Broadly
speaking the expression' public purpose' would, however, include a purpose in which the
general interest of the community, as opposed to the particular interest of individuals, is
directly and vitally concerned.” “Hence the expression "public purpose" would include
purpose in which the general interest of the community as opposed to the particular interest
of the individual is directly or vitally concerned. Whatever furthers the general interest of the
community as opposed to the particular interest of the individual must be regarded as public
purpose. Thus scope of the expression is obviously not static and must change with varying
concept, time, state of society and its needs. Therefore, the proper approach is to consider the
scheme as a whole and then examine whether the entire scheme of acquisition is for a public
purpose of not. It will be an entirely wrong approach to pick up a stray item or clause out of
the scheme and then say that the said clause is not actuated by public purpose. The phrase
"public purpose" will have to be construed according to the spirit of the times and the needs
of the society. The question will have to be decided in each case on the touchstone as to
whether the acquisition is in the interest of community or section of society as distinguished
from private interest of an individual.”
PROCESS FLOW OF SIA
DETERMINATION OF SOCIAL IMPACT AND PUBLIC PURPOSE
A- Preliminary investigation for determination of Social Impact and Public Purpose-
Preparation of Social Impact Assessment Study U/s 4
Government to consult with Municipality, Panchayat, etc in the affected area and carry
out a SIA study Notification to this effect to be made available in local language to the
concerned offices i.e. District Collector, Sub Collector, Tehsil, Municipality, Panchayat
etc.
Study to be completed in six months, team to include adequate representation from panchayat
or municipality i.e. elected representatives of the people
Various parameters to be studied.
The authority conducting the study to prepare a Social Impact Management Plan (SIMP) ,
listing ameliorative measures required to be undertaken for addressing specific components
(these should not be less than other contemporary schemes/plans operational in that area.
Public hearing for Social Impact Assessment U/s 5
Appropriate government to notify, with due time and publicity, for a public hearing to be
conducted in that area, to ascertain views of the affected families to be recorded and included
in the Social Impact Assessment Report
Social Impact Assessment Report U/s 6
Appropriate government to ensure that SIA study report and SIMP are made available in the
local language to the relevant offices and published in the affected areas (locality) and
website of the government in prescribed manner if environmental impact assessment is being
carried out, then a report of the SIA shall be made available to the agency carrying out the
same. (Irrigation projects-Only EIA hence no SIA)
B. Appraisal of Social Impact Assessment report by an Expert Group
Appropriate government to ensure that the SIA report is evaluated by an independent
multidisciplinary expert group U/s 7(1), which maybe constituted as follows-
These above-mentioned recommendations to be made available in the local language to the
panchayat/municipality/municipal corporation and all other relevant government offices as
need be.
Examination of proposals for land acquisition and the Social Impact Assessment Report
by appropriate government
The appropriate government shall ensure that-
1. There is a legitimate and bona fide public purpose for the proposed acquisition which
necessitates the acquisition of the land identified
2. The potential benefits and the public purpose referred to shall outweigh the costs and
adverse social impact as determined by the Social Impact Assessment study carried out
3. Only the bare minimum area of land required for the project is proposed to be acquired
4. There is no unutilized and which has been previously acquired in the area
5. The land, if any, acquired earlier remained unutilized, is used for such public purpose and
make recommendations in respect thereof.
Stage 3: Notification and acquisition
 • The government would put in place a preliminary notification in which it would
publish the details of the land acquired. This notification will be made accessible in
local area via various media.
• Once the notification is out, no person of the affected area can sell any land or make
any other land related transactions.
• A draft Rehabilitation and Resettlement scheme is prepared by the Commissioner of
the Rehabilitation and Resettlement.
Stage 4: Rehabilitation and Resettlement Awards
• After the land acquisition is over, the collector shall pass Rehabilitation and
Resettlement Awards for each affected family.
This award will comprise:
• Amount payable to a family
• Bank account number of the person to whom the amount is tranferred
• Particulars of the house site and house to be alloted in case of displacement
• Particulars of land allotted to the displaced families
• Particulars of one time subsistence allowance and transportation allowance in case of
displaced families
• Other such payments and allowances as per the act

RELEVANCE OF SIA
SIA is the only mechanism today to address the impacts of acquisition on livelihoods of all
those who don’t own land but are still dependant on it. It is a prerequisite to formulate
inclusive rehabilitation packages. Together SIA and the public hearing at gram sabhas are
two facets of this act for ensuring a fair “right” to compensation and right to rehabilitation.
THE NEED FOR SIA
First, internationally, there is increased recognition for conducting SIA as a methodology to
review the social impacts of infrastructure and other development interventions. According to
the International Association for Impact Assessment, “Social impact assessment includes the
processes of analysing, monitoring and managing the intended and unintended social
consequences, both positive and negative, of planned interventions (policies, programs, plans,
projects) and any social change processes invoked by those interventions. Its primary purpose
is to bring about a more sustainable and equitable biophysical and human environment.” SIA
originated in the 1970s as a regulatory oversight mechanism, but increasingly, social impact
assessment is being seen not as a regulatory hurdle but an important way of assessing
business risk. SIA is often carried out as part of, or in addition to, environmental impact
assessment. Secondly, even within India, there is growing recognition of the need for SIA
and the existence of policy precedents for the same. Since 2006, some aspects of the SIA as
outlined in the LARR Act were being conducted as part of the environment impact
assessment carried out pursuant to the EIA notification, 2006. Resettlement policies have
lately made social impact assessment a major part of the resettlement planning process. For
instance, in 2006, a provision was included for conducting SIA in the Orissa Rehabilitation
and Resettlement Policy. The National Rehabilitation and Resettlement Policy, 2007 has
made a provision for conducting SIA whenever a new project or expansion of an existing
project is undertaken. But this provision is limited only to those cases, which involve
displacement of 400 hundred or more families, en masse in plain areas, or two hundred or
more families en masse in tribal or hilly areas. The LARR Act, further mandates that the
body conducting the SIA should prepare a Social Impact Management Plan, which outlines
how this impact should be countered and addressed. Such a study is important for projects to
be designed efficiently and equitably, and for them to be taken to completion without
opposition from the affected families. Therefore, doing away with SIA completely for the
vast majority of acquisitions may be politically expedient, but not ultimately desirable for
ensuring sustainable, equitable and unopposed development. This is because unless the
people displaced are stakeholders in the development process, they will not co-opt into the
development process and allow it to proceed. After all stalled infrastructural and industrial
activities benefit no one.

PROVISION TO SAFEGUARD FOOD SECURITY

Importance of food security
Most of our food comes from land. As per World Bank statistics through 2010-2014, 60.3
percent of the total land in India was agricultural land, though the trend is declining.
Reportedly 70 percent of India’s population depends on agriculture for their livelihood. Food
security as per the NFS Act means ‘the supply of the entitled quantity of food grains and
meals as specified’ in the law. The food grains whether rice, wheat or millets, need land on
which to be sown and grown. We need a food policy, which envisions the country’s future
land needs for feeding its people. A land law and policy ought to complement that vision. In
the recent past policy has encouraged Indian industry to seek cultivable land overseas (such
as in African states), though the government does not admit it as a food security strategy.
According to the Food and Agriculture Organisation (FAO) agricultural land is that which is
arable – cultivable and suitable for growing crops, plus that on which there are either
permanent crops or which is under permanent pasture. The LARR Act, 2013 gives an even
more broad definition of ‘agricultural land’. Securing such land (from any non-agricultural
use) means securing food supplies.

Special provision to safeguard food security

Sec.10 of the RFCTLARR Act, 2013 envisages safeguard food security. Sec.10 states as
follows:
1. Multi-crop irrigated land will not be acquired except as a demonstrably last resort measure,
which in no case should lead to acquisition of more than the limits which have been set by the
State Govt. under this law.
2. Wherever multi-crop irrigated land is acquired an equivalent area of culturable waste land
shall be developed for agricultural purposes or an amount equivalent to the value of the land
acquired should be deposited with the appropriate Govt. for investment in agriculture for
enhancing food security.
3. States are also required to set a limit on the area of agricultural land that can be acquired in
any given District.
However, the provisions of Sec.10 do not apply in case of projects which are linear in nature
such as those relating to railways, highways, major District roads, irrigation canals, power
lines and the like

PROCEDURES AS TO NOTIFICATION AND ACQUISITION

Publication of preliminary notification and power of officers
Sec.11 of the RFCTLARR Act, 2013 envisages for publication of preliminary notification
along with details of the land to be acquired in rural and urban areas and powers of
officers thereupon.
Sec.11 states that whenever, it appears to the appropriate Government that land in any
area is required or likely to be required for any public purpose, a notification
(preliminary notification) to that effect along with details of the land to be acquired in
rural and urban areas should be published in the following manner, namely
(a) in the Official Gazette;
(b) in two daily newspapers circulating in the locality of such area of which one shall be
in the regional language;
(c) in the local language in the Panchayat, Municipality or Municipal Corporation, as the
case may be and in the offices of the District Collector, the Sub-divisional Magistrate
and the Tehsil;
(d) uploaded on the website of the appropriate Government;
(e) in the affected areas, in such manner as may be prescribed.
After issuance of the said notification the concerned Gram Sabha or Sabhas
municipalities and the Autonomous Councils in case of the areas referred to in the Sixth
Schedule to the Constitution, should be informed of the contents of such notification in
all cases of land acquisition at a meeting called especially for this purpose.
Such a notification should also contain a statement on the nature of the public purpose
involved, reasons necessitating the displacement of affected persons, summary of the
Social Impact Assessment Report and particulars of the Administrator appointed for
the purposes of rehabilitation and resettlement.
Once when a notification is issued no person should make any transaction or create any
encumbrances on the land specified in such notification from the date of its publication till
the land acquisition proceedings are completed. If any person wilfully violates this and enters
into any transaction regarding the land which has been mentioned in the notification the
Collector is not be liable to make good the loss. However, in special circumstances the
Collector is empowered to exempt such land from the operation of this subsection, on the
application made by the owner of the land so notified such owner.
After issuance of notification, but before the issuance of a declaration, the Collector should
undertake and complete the exercise of updating of land records within a period of two
months. The purpose of the notification under Sec.4(1) of the Act is to give a notice to the
persons who are likely to be affected by the proposed acquisition of the land in question, so
that they may file objections if they so desire the locality in the notification under Sec.4(1) of
the Act, therefore must be described in such a manner as to give reasonable notice to all
persons in that locality whose land or whose interest in the land sought to be acquired will be
or its likely to be affected – Bahori Lal Vs. Land Acquisition Officer AIR 1970 All. 414.
The proceedings for acquisition start with a preliminary notification under Sec.4. By that
notification the Government notifies that land in any locality is needed or is likely to be
needed for any public purpose. On that notification certain consequences follow and authority
is conferred on an officer either generally or specially by Government and on his servants and
workmen to enter upon and survey and take levels of any land in such locality, to dig or bore
into the sub-soil, to do all other acts necessary to ascertain whether the land is adapted for
such purpose, to set out the boundaries of the land proposed, to be taken, and so on –
Nandeshwar Prasad Vs. Uttar Pradesh Govt., AIR 1964 SC 1217
Mere publication in the newspaper satisfies the requirement of publication required
mandatorily under Sec.4 without which there will be infraction of Sec.4(1) and as such the
publication in the newspaper even if it is before the gazette is published will be a publication
required under Sec.4(1) and it loses none of its importance and is one of the factors requiring
mandatory compliance under Sec.4(1). As such release of such publication in the newspaper
for the purpose of submitting objection would be equally important and cannot be said to non
est or premature – Kolkata Metropolitan Development Authority Vs. Mahendra Nath
Memorial Society, AIR 2005 NOC 359 (Cal) 143

PRELIMINARY SURVEY OF LAND AND POWER OF OFFICERS TO CARRY

OUT SURVEY
Once when a notification has been made by the appropriate Govt. u/Sec.11 the appropriate
Govt. is empowered u/Sec.12 to determine the extent of land and towards this end any officer
or his servants or workmen who have been authorised by the such Govt. has the power:
a) to enter upon and survey and take levels of any land in such locality.
b) to dig or bore into the subsoil
c) to do all acts necessary to ascertain whether the land is adapted for such purposes;
d) to set out the boundaries of the land proposed to be taken and the intended line of
work proposed to be made thereon and
e) to mark such levels boundaries and line by placing marks and cutting trenches and
where otherwise the survey cannot be completed and the levels taken and the
boundaries and the line marked to cut down and clear away any part of any standing
crop, fence or jungle.
All of the aforesaid activities should be conducted in the presence of either the owner of the
land himself or any person authorised in writing by the owner.
By giving a notice of at least sixty days prior to the said survey activities the owner has to be
afforded a reasonable opportunity to be present during the survey and despite such notice if
the owner defaults to be present on the land in that case the said survey activities can be
conducted in his absence.
In conducting the aforesaid activities no person should enter into any building or upon any
enclosed Court or garden attached to a dwelling-house without previously giving such
occupier at least seven days’ notice in writing of his intention to do so.

PAYMENT FOR DAMAGE

In conducting any of the survey activities enumerated under Sec.12 if any damage is caused
then the officer is empowered to pay or tender payment for the damage and if there is any
dispute as to the sufficiency of such amount the officer should refer the dispute to the Deputy
Commissioner and his decision will be final in this regard.

HEARING OF OBJECTIONS
Sec.15 of the RFCTLARR Act, 2013 envisages hearing of objections of any person who is
interested in any land which has been notified for acquisition.
The Section provides that within 60 days from the date of notification if any person who
is interested in any land which has been notified as being required for any public
purpose is at liberty to raise objections as to:
a) the area and suitability of land proposed to be acquired;
b) justification offered for public purpose;
c) the findings of the SIA
Such objections should be made to the Collector in writing and the Collector is bound to give
a reasonable opportunity of being heard to the person raising such objections or any person
authorised by him in this behalf or his Advocate.
After hearing all such objections and after making such further inquiry the Collector should
make a report in respect of the land which has been notified and send it to the appropriate
Govt. along with his recommendations on the objections so raised and the record of the
proceedings held by him along with a separate report giving therein the approximate cost of
land acquisition, particulars as to the number of affected families likely to be resettled for the
decision of the Govt. The decision of the appropriate Govt. on the objections will be final.
In Navneet Ram Vs. State of Uttar Pradesh, it was held by the Supreme Court that where
the land proposed to be acquired is specifically mentioned in the notification it is only the
persons interested in that land who is entitled to be heard under Sec.5-A. Thus a person
having no right, title and interest in the land sought to be acquired has no locus standi to file
an objection and question the validity of the acquisition of the land.
MODULE 8
Rehabilitation & Resettlement Award
Rehabilitation and Resettlement award for affected families by Collector
Sec.31 empowers the Collector to pass Rehabilitation and Resettlement Award for each
family affected by the land acquisition in terms of the entitlements provided in the second
schedule.
Such Rehabilitation and Resettlement award should include the following:
a) rehabilitation and resettlement amount payable to the family;
b) bank account number of the person to which the rehabilitation and resettlement
award amount is to be transferred;
c) particulars of house site and house to be allotted, in case of displaced families;
d) particulars of land allotted to the displaced families;
e) particulars of one time subsistence allowance and transportation allowance in case
of displaced families;
f) particulars of payment for cattle shed and petty shops;
g) particulars of one-time amount to artisans and small traders;
h) details of mandatory employment to be provided to the members of the affected
families;
i) particulars of any fishing rights that may be involved;
j) particulars of annuity and other entitlements to be provided;
k) particulars of special provisions for the Scheduled Castes and the Scheduled Tribes
to be provided.
In case any of the matters specified under clauses (a) to (k) are not applicable to any affected
family the same should be indicated as not applicable. Further by way of notification the
appropriate Government has the power to increase the rate of rehabilitation and resettlement
amount payable to the affected families, taking into account the rise in the price index.
Provision of infrastructural amenities in resettlement area
In every resettlement area as defined under this Act, the Collector is entrusted with the duty
to ensure the provision of all infrastructural facilities and basic minimum amenities.
POWERS OF THE COLLECTOR
1. Power to make corrections to awards
Under Sec.33(1) the Collector is empowered to correct any clerical or arithmetical mistakes
in either of the awards or errors either on his own motion or on the application of any person
interested or local Authority. This can be done at any time, but not later than six months from
the date of award or before making reference to the Authority under Sec.64 But any
correction which is likely to affect any person prejudicially should not be made unless such
person has been given a reasonable opportunity of making representation in the matter. The
Collector should give immediate notice of any correction made in the award so corrected to
all the persons interested. Where any excess amount is proved to have been paid to any
person as a result of such correction the excess amount so paid is to be refunded by the
recipient and in the case of any default or refusal to pay, the same may be recovered from
such person.
 Once the award is passed, there is no question of any correction in the notification
under Sec.4(1)(Sec.11 in RFCTLARR Act, 2013) or declaration under Sec.6 of the
Act. The Act under Sec.13A(Sec.33 in RFCTLARR Act, 2013) provides for
correction of clerical mistakes in the award and that too only within six months. There
is no question of an award being passed in respect of a property, for which there is no
notification and consequently declaration – State of UP Vs. Abdul Ali

2. Power to adjourn enquiry

The Collector has the power to adjourn the enquiry to a day to be fixed by him for any cause
he thinks fit.
 It was held in Secretary of State Vs. Sohan Lal that the mere circumstance that the
claim was not made upon the date fixed in the notice does not deprive Collector of
jurisdiction to entertain it. Every Court and every officer exercising quasi-judicial
functions has an inherent jurisdiction and power to grant adjournment

3. Power to summon and enforce attendance of witnesses and production of documents

For the purpose of making enquiries the Collector has the powers to summon and enforce the
attendance of witnesses, including the parties interested and to compel the production of
documents in the same manner as is provided in the case of a Civil Court under the Code of
Civil Procedure, 1908 (5 of 1908).
4. Power to call for records
At any time before the award is made by the Collector the appropriate Government is
empowered to call for any record of any proceedings (whether by way of inquiry or
otherwise) for the purpose of satisfying itself about the legality or propriety of any findings or
order passed or as to the regularity of such proceedings and may pass such order or issue such
direction in that regard. But the appropriate Government should not pass or issue any order or
direction prejudicial to any person without affording such person a reasonable opportunity of
being heard.
5. Power to take possession of land to be acquired
The Collector has the power u/Sec.38 to take possession of land after ensuring that full
payment of compensation as well as rehabilitation and resettlement entitlements are paid to
the entitled persons within a period of three months for the compensation and a period of six
months for the monetary part of rehabilitation and resettlement entitlements within the date of
award. But the components of the Rehabilitation and Resettlement Package relating to
infrastructural entitlements should be provided within a period of eighteen months from the
date of the award. Further in case of acquisition of land for irrigation or hydel project, the
rehabilitation and resettlement should be completed six months prior to submergence of the
lands acquired. The Collector is responsible for ensuring the rehabilitation and resettlement
process is completed in all its aspects before displacing the affected families.
Power to pay additional compensation in case of multiple displacements
The Collector should not displace any family which has already been displaced for the
purpose of acquisition and if so displaced should pay an additional compensation equivalent
to that of the compensation determined for the second or successive displacements.

SPECIAL POWERS IN CASE OF URGENCY TO ACQUIRE LAND IN CERTAIN

CASES
In cases of urgency, the Collector has the power to take possession of any land needed for a
public purpose and such land shall thereupon vest absolutely in the Government, free from all
encumbrances. But to exercise this power a notice under Sec.21 should be issued and
published and upon the expiration of thirty days from the publication of such notice the
possession of the land can be taken.
The powers of the appropriate Government in this regard are restricted to:
a) the minimum area required for the defence of India or
b) national security or
c) for any emergencies arising out of natural calamities or
d) any other emergency with the approval of Parliament.
The Collector should not take possession of any building or part of a building without giving
to the occupier at least forty-eight hours notice of his intention to do so, a longer notice to
enable such occupier to remove his movable property from such building without
unnecessary inconvenience.
Before taking possession of any land under this provision the Collector should tender
payment of 8(eight) per cent of the compensation for such land as estimated by him to the
person interested entitled.
In the case of any land to which is to be acquired as aforesaid the appropriate Government
may direct that any or all of the provisions as to determination of social impact and public
purpose and procedure and manner of Rehabilitation and Resettlement will not apply and if it
does so a declaration may be made in respect of such land at any time after the date of the
publication of the preliminary notification.
An additional compensation of 75(seventy five) per cent of the total compensation should be
paid by the Collector in respect of land and property for acquisition of which proceedings
have been initiated as above.
However no additional compensation will be required to be paid in case the project is one that
affects:
a) the sovereignty and integrity of India,
 b) the security and strategic interests of the State or
c) the relations with foreign States.
Awards of Collector when to be final
Once when the Collector makes an award it will be conclusive evidence, as between the
Collector and the persons interested as to the:
a) true area of the land
b) market value of the land
c) assets attached thereto
d) solatium
e) apportionment of the compensation among the interested persons.
After the award has been made the Collector should give immediate notice of his awards to
such of the persons interested who are not present personally or through their representatives
when the awards are made. Besides the Collector is required to keep open to the public and
display a summary of the entire proceedings undertaken in a case of acquisition of land
including the amount of compensation awarded to each individual along with details of the
land finally acquired on the website created for this purpose.
PROVISION REGARDING ACQUISITION OF SC AND ST LAND
• The act says that as far as possible, no acquisition of land shall be made in the
Scheduled Areas;
• however, if such acquisition has to be done, it can be done only as a last resort.
• Prior consent of the Gram Sabha or the Panchayats or the autonomous District
Councils in Fifth Schedule areas will be taken in all cases of acquisition.
• In such areas, a Development Plan will be prepared and launched for development of
alternate fuel, fodder and, non-timber forest produce resources on non-forest lands
within a period of five years.
• In case of acquisition of the SC and ST land, minimum one-third of the compensation
amount due shall be paid to the affected families initially as first instalment and the
rest shall be paid after taking over of the possession of the land.
• In case of resettlement, all benefits, including the reservation benefits available to the
Scheduled Tribes and the Scheduled Castes in the affected areas shall continue in the
resettlement area.
MODULE 9
LAND ACQUISITION REHABILITATION AND RESETTLEMENT AUTHORITY

Establishment

Sec.51 envisages the establishment of Land Acquisition, Rehabilitation and Resettlement Authority

By way of a notification the appropriate Government has the power to establish one or more
Authorities to be known as the Land Acquisition, Rehabilitation and Resettlement Authority to
exercise jurisdiction, powers and authority conferred on it for the purpose of providing speedy
disposal of disputes relating to:

a) land acquisition

b) compensation

c) rehabilitation and resettlement

The appropriate Government should specify in the notification the areas within which the Authority
is to exercise jurisdiction for entertaining and deciding the references made to it or applications
made by the applicant.

Composition of Authority

The Authority consists of only one person to be known as the Presiding Officer. The appropriate
Government can authorise the Presiding Officer of one Authority to discharge the functions of the
Presiding Officer of another Authority also.

Qualifications for appointment as Presiding Officer

To be appointed as the Presiding Officer of an Authority a person should have been

a) District Judge; or

b) a qualified legal practitioner for not less than seven years.

A Presiding Officer is appointed by the appropriate Government in consultation with the Chief
Justice of a High Court in whose jurisdiction the Authority is proposed to be established.

Terms of office of Presiding Officer

The Presiding Officer of an Authority will hold the office for a term of three years from the date on
which he enters upon his office or until he attains the age of sixty-five years, whichever is earlier.

Resignation and removal

The Presiding Officer of an Authority resign his office by giving a notice in writing under his hand and
addressed to the appropriate Government

The Presiding Officer should continue to hold office until:

 (a) the expiry of three months from the date of receipt of such notice or

(b) until a person duly appointed as his successor enters upon his office or

(c) until the expiry of his term of office, whichever is earlier until and unless he is permitted
by the appropriate Government to relinquish his office sooner.

The Presiding Officer of an Authority should not be removed from his office except by an order made
by the appropriate Government on the ground of proven misbehaviour or incapacity after inquiry in
the case of the Presiding Officer of an Authority made by a Judge of a High Court in which the
Presiding Officer concerned has been informed of the charges against him and given a reasonable
opportunity of being heard in respect of these charges.

By way of rules the appropriate Government has the power to regulate the procedure for the
investigation of misbehaviour or incapacity of such Presiding Officer.

POWERS OF AUTHORITY AND PROCEDURE BEFORE IT

For the purposes of its functions the Authority has the same powers as are vested in a civil court
under the Code of Civil Procedure, 1908 (5 of 1908) in respect of the following matters, namely:—

(a) summoning and enforcing the attendance of any person and examining him on oath;

(b) discovery and production of any document or other material object producible as
evidence;

(c) receiving evidence on affidavits;

(d) requisitioning of any public record;

(e) issuing commission for the examination of witnesses;

(f) reviewing its decisions, directions and orders;

(g) any other matter which may be prescribed.

The Authority has original jurisdiction to adjudicate upon every reference made to it The Authority
should not be bound by the procedure laid down in the Code of Civil Procedure, 1908 (5 of 1908) but
should be guided by the principles of natural justice and the Authority also has the power to regulate
its own procedure. The Authority after receiving reference and after giving notice of such reference
to all the parties concerned and after affording opportunity of hearing to all parties should dispose
of such reference within a period of six months from the date of receipt of such reference and make
an award accordingly. The Authority should arrange to deliver copies of the award to the parties
concerned within a period of fifteen days from the date of such award.

DETERMINATION OF AWARD BY AUTHORITY

In determining the amount of compensation including the Rehabilitation and Resettlement

entitlements, the Authority should take into consideration whether or not the Collector has followed
the parameters set out. In addition to the market value of the land as provided the Authority has the
power to award an amount calculated at the rate of twelve per cent per year on the market value
for the period from the date of the publication of the preliminary notification to the date of the
award of the Collector or the date of taking possession of the land. In computing such period any
period during which the proceedings for the acquisition of the land were held up on account of any
stay or injunction by the order of any Court should be excluded. In addition to the market value of
the land as provided above the Authority should award a solatium of one hundred per cent over the
total compensation amount.

Parameters to be considered by Collector in determination of award.

For determining the amount of compensation

• market value

• damage sustained (standing crops and trees)

• acquisition injuriously affecting his other property

• person compelled to change his residence

• diminution of the profits of the land