HC orders MHADA to pay ₹5 lakh as compensation to landowner

MUMBAI: The Bombay high court has ordered the Maharashtra Housing and Area Development Authority (MHADA) to pay ₹5 lakh as compensation to a landowner for violating his constitutional and human rights.

The division bench of justice MS Sonak and justice Kamal Khata ordered the compensation to be paid to the landowner as the public authority had failed to pay any compensation till date for land which was acquired in 1988-89, that is after a delay of 36 years. This compensation is to be paid by MHADA to the landowner apart from the interim compensation of ₹25 lakh payable towards the acquisition of the landowner’s property.

The court observed that the Special Land Acquisition Officer of MHADA had acquired a property consisting of land admeasuring 979 sq metre, together with the chawl thereon, by an order dated 14 July, 1988. The court also noted the authority was unable to trace any documents relating to the acquisition.

The court, however, was not inclined to interfere with the legality of the land acquisition due to the larger public interest involved. It came to the landowner’s aid, observing that he must be suitably compensated at the earliest for denial of compensation for the past 36 years.

“There is not even a shred of justification for this inordinate and unexplained delay in paying compensation to the petitioner for the past 36 years,” the court said, while commenting upon the non-payment of compensation to the landowner.

The court pointed out that the special land acquisition officer had failed to discharge his statutory duties and determine and compensate the landowner. It also determined an ad-hoc interim compensation with interest totaling to ₹25 lakh towards the acquisition and ordered the SLAO to determine the compensation in a time-bound manner of six months.

Any appeals against the compensation are also directed to be decided within four months, with the direction that the compensation interest be paid out within an outer limit of one year from the date of the order. Cost of litigation of ₹1 lakh was also awarded to the landowner.