Sunday, 18 August 2013

Whether Court can correct award passed in Lok adalat by exercising powers U/S 152 of CPC?

   After hearing  the parties,  the
determination of the exact amount payable to the petitioners will have
to be made by the Reference Court.  If it is found that the computation
of the amount payable incorporated in the consent awards is incorrect,
the reference Court will have to exercise powers under Section 152 of
the Code of Civil Procedure, 1908 for correction of the awards.

IN THE HIGH COURT OF JUDICATURE AT BOMBAY
 CIVIL   APPELLATE JURISDICTION
WRIT PETITION  NO. 8891  OF  2012

Tulashiram Nivarutthi Shendage  vs. Taluka Legal Services Authority Malshiras & Ors

CORAM  : A.S. OKA & 
      A.P. BHANGALE, JJ.
DATE      : 23rd  JANUARY,  2013.



Rule.  Learned AGP appearing for the respondent Nos. 2 to
5   waives   service.     Respondent   No.1   is     the   Taluka   Legal   Services
Authority. The  Respondent No.6 is the learned Judge before whom the
Reference Applications were pending. The Respondent No.1 and 6 are
formal parties and notice to  them is not necessary.     Considering  the
controversy involved,  the    petitions  are  forthwith  taken  up  for  final
disposal.
2. The   petitioners   are   the   claimants   in   the   Reference
Applications   under   Section   18   of     the   Land   Acquisition   Act,   1894
(hereinafter referred to as “the said Act”).  Notification under Section
4(1)   of   the   said   Act   was   published   on   7th  October,   1999.     The
acquisition was for construction of Ujani Canal.  Awards under Section
11 of  the said Act were made on 28th  February, 2003.   Market value
offered by the said awards was  at the rate  of Rs.50,000/­ per Hectare.

As   the   petitioners   did   not   accept   the   awards,   at   their   instance,
References under Section 18 of the said Act were made.  The references
were  pending in  the District  Court.    By  consent  of  the   parties,  the
References   were   placed   before   the   Maha   Lok   Adalat   held   on   20th
September, 2011.  Settlement was arrived at before the Lok Adalat.  The
undisputed  terms of  the    settlement arrived at were  recorded in  the
consent awards.  On page 22 of the Writ Petition No. 8891 of 2012,  the
terms of the settlement which are common in all the References have
been   incorporated.     In   our   order   dated   9th  January,   2013   we   have
recorded that prima facie there does not appear any dispute regarding
the terms compromise such as the market value fixed, the quantum of
interest payable and the payment of other statutory benefits.  We  have
also recorded that the only dispute is regarding the quantum of amount
payable as per the compromise arrived at between the parties.  In our
order dated 9th  January, 2013,  we noted that either the Special Land
Acquisition Officer will have to be directed to make correct calculation
or  the Reference Court will have directed  to calculate  the amount of
compensation payable in terms of the compromise.  Today, learned AGP
states that she has not received any instructions.
3. As we have noted earlier,  the compromise was made on
20th September, 2011. The terms of the compromise recorded in writing
have not been disputed by the State Government till today.  Therefore,
this Court can safely proceed on  the  footing  that  there is no dispute
about the terms of the settlement which was arrived at before the Lok
Adalat and which have been incorporated in the consent award.
4. The allegation in the petitions is that after the terms and
conditions of  the settlement were agreed upon,  the signatures of  the

petitioners were obtained on blank forms after incorporating therein the
terms of settlement and a sheet for incorporating the   calculations in
terms of the settlement was kept blank.   It is alleged that on that day,
before  the Lok Adalat, calculation of the amount payable in  terms of
compromise was made only in one reference. It is alleged that in case of
other references, the calculations were incorporated subsequently which
are   completely   erroneous.    The   learned   counsel   appearing   for   the
petitioner states that   the  only anxiety of the petitioners is that they
must get the compensation as per the agreement arrived at before the
Lok Adalat.   There are very serious allegations made in  the petitions
regarding  the manner in which compromise was recorded in  the Lok
Adalat.   The learned counsel for the petitioners has  taken a very fair
stand, and therefore, we are not going into the said allegations.
5. We   have   already   referred   to   the   agreement   arrived   at
between the parties which is reproduced in Marathi on page 22 of Writ
Petition No.8891 of 2012.  Now the only question is of computation of
the compensation  amount payable  to  the petitioners in  terms of  the
agreed  terms.    It  will  be in  the interests  of  both  the  parties if  the
Reference Court is directed  to hear  the parties and  to determine  the
amount of compensation payable in accordance with the agreed terms
of compromise. It will be always open for the Special Land Acquisition
Officer  to  submit  correct  calculation  of  the  amounts  payable  to  the
petitioners in  terms of  the settlement.   After hearing  the parties,  the
determination of the exact amount payable to the petitioners will have
to be made by the Reference Court.  If it is found that the computation
of the amount payable incorporated in the consent awards is incorrect,
the reference Court will have to exercise powers under Section 152 of
the Code of Civil Procedure, 1908 for correction of the awards.

6. It appears  to us  that with a view to ensure settlement of
large number of cases before  the Maha Lok Adalat, signatures of  the
claimants were obtained in the manner indicated in the petitions. After
settlement before Lok Adalats, if the parties are forced to file another
proceedings,  the litigants will not have  faith in  the institution of Lok
Adalats.  Therefore, the Maharashtra Legal Services Authority will have
to issue necessary directions.
7. Hence, we dispose of the petition by passing the following
order:­
ORDER
(i) We   direct   the   parties   to   the   references   to   appear   before   the
learned District Judge ­I, at Malshiras on 18th  February, 2013 at
11.00 a.m.;
(ii)  It will be open for the learned Judge to direct the Special Land
Acquisition Officer (the 2nd  respondent herein) to submit before
him   the   calculations   of   the   compensation   payable   to   the
petitioners in terms of the settlement incorporated in the consent
awards;
(iii)  After   the   calculations   are   submitted   by   the   Special   Land
Acquisition Officer and after giving an opportunity to the parties
to   submit   objections   thereto,   the   learned   District   Judge   shall
determine   the   amount   of   compensation   payable   to   the
claimants/petitioners;
(iv) This exercise shall be completed within a period of three months
from the date on which parties appear before the learned District
Judge.  The District Judge shall pass a reasoned order;
(v)  If   the   learned   District   Judge   finds   that   the   calculations
incorporated in  the consent awards are erroneous,  the learned

District   Judge   shall   direct   that   the   consent   awards   shall   be
corrected by exercising powers under sections 152 and 153 of the
Code   of   Civil   Procedure,   1908   by   incorporating   the   correct
calculations;
(vi)  The compensation amounts shall be paid  to  the claimants or
deposited with the District Court within a period of two months
from   the   date   on   which   determination   of   the   compensation
amounts is made by the learned District Judge;
(vii) Needless to say that, before the Lok Adalat whenever there is a
compromise between the parties in References under   Section 18
of   the   said   Act,     care   shall   be   taken   to   ensure   that   agreed
calculations   of   compensation   amount   payable   as   per   the
compromise are incorporated in the consent Awards. If for some
reasons,   after   arriving   at   settlement,   the   calculations   are   not
ready,  the references shall be kept before  the next Lok Adalat.
The practice of obtaining signatures on blank forms shall not be
adopted;
(viii) Rule is made absolute on above terms;
(ix) We direct that a copy of this judgment/order shall be forwarded
to   the   Secretary   of   the   Maharashtra   State   Legal   Services
Authority  to enable  him  to issue  appropriate  directions  to  the
concerned District and Taluka Legal Services Authorities.
 (A.P. BHANGALE, J ) ( A.S. OKA, J ) 


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