Landowners must be notified of rival claims, rules Hyderabad High Court

Hyderabad: The Hyderabad High Court has ruled that it is the bounden duty of the land acquisition officer to disclose to a landowner if there are other claimants to compensation for the same land and refer the dispute to a court under Section 30 of the Land Acquisition Act.

Justice M.S. Ramachandra Rao passed the order while allowing a petition by one P. Munichandraiah of Chittoor district, challenging a notification issued by the Revenue authorities in 2006 to acquire 84.49 acres in Chengambakkam village, Satyavedu mandal of the district for establishment of Special Economic Zone.

The petitioner told the court that his paternal grandmother P. Venkayamma was the owner and pattedar of 3.16 acres in the village. Of this 3.16 acres, 2.25 acres were notified for acquisition.

However, the authorities paid compensation for only 47 cents and denied compensation for the remaining 1.78 acres. The LAO, in his counter-affidavit, said that the petitioner did not raise any objection during the enquiry and received compensation under consent award on March 18, 2007 along with other landowners.

While perusing the counter affidavit, the judge found that the LAO had paid compensation for the 1.78 acres to third parties, though they did not produce any documents to prove that they were the owners of the said land.

The judge observed: “This is indeed shocking and suggests possible collusion by the LOA with third parties which might even amount to fraud?”

Finding fault with the LAO for not referring the case to a court, the judge directed the AP government to order an inquiry into the conduct of the LAO in not referring the case to a court when he was aware of two rival claims.