Brief overview of the New Land Acquisition Bill in India from a legal standpoint.

1. Land Acquisition
(Rehabilitation And
Resettlement) Bill, 2011
Varun Vaish (2008-74)

2. LAA,1894 v. NHA,1956
• Administrator v. Revenue Deptt.
• Immediate Acquisition v. Acquisition only
after award.
• 30 % Solatium v. Ex-Gratia
• Appeal v. No appeal

3. Development
• The Ministry of Rural Development has
decided to table the new legislation on
Land Acquisition.
• The Bill claims to harmoniously
amalgamate the acquisition aspects with
rehabilitation and resettlement
procedures.

4. Public Hearing
• Section 4 of the proposed bill deals with the Public
Hearing of the Social Impact Assessment. Sub-Section
(1) of Section 4 of the bill says that a public hearing
should be held in the affected area, to ascertain the
views of the affected families.
• The appropriate government (as defined in Section 2(e)
of the said Bill) shall announce the date, time and venue
of such a public hearing in well in advance, and ensure
that the public hearing proceedings take place in the
prescribed manner.
• The views of such affected families that are ascertained
in the public hearing shall be recorded and included in
the social impact assessment report.

5. • However, Section 4 of the said bill,
nowhere mentions a quorum required for
conducting public meetings. And no time
limit has been specified in which the
proceedings should be conducted.

6. Compensation
• Section 20 of the current draft dealing with
betermination of market value by collector mentions
the following two criteria for assessing and determining
the market value of land.
• (a) The minimum land value, if any, specified in the
Indian Stamp Act, 1899 for the registration of sale deeds
in the area, where the land is situated; or
• (b) The average of the sale price for similar type of land
situated in the village or vicinity, ascertained from fifty
per cent of the sale deeds registered during the
preceding three years, where higher price has been paid;
or whichever is higher:
• Provided that the market value so calculated shall be
multiplied by three in rural areas.

7. • Utilizing the ‘circle value’ of land determined for the
purpose of registration of sale deeds under Indian
Registration Act of 1908.
• The circle rate, which is indexed every two years, is
often very close to the replacement value. This was a
policy principle used by NHAI. Reference -
RESETTLEMENT PLAN , CHAPTER-4: POLICY
FRAMEWORK, R&R AND ENTITLEMENT MATRIX,
NHAI, September 2002
• Calculating twenty times the average annual yield over
a period of five years in case of agricultural land.
•
This was followed in the Ind: Western Transport
Corridor Project which dealt with expansion of the
Western Transport Corridor comprising NH8 and NH4,
connecting Delhi, Mumbai, Bangalore, and Chennai.

8. Authorities Under the Act.
• A committee to examine proposals for Land Acquisition and the
Social Impact Assessment Report.
• The Committee ensures that it will see to the legitimate and
bonafide reasons while acquiring a land for public purpose
• The committee shall see that only minimum changes are made with
respect to the land, infrastructure and the community on that area.
• The acquisition of an agricultural land will be taken only as a last
resort after the Collector of the District has explored the possibilities
of utilising waste, degraded and barren lands.
• No multi-crop irrigated land will be used for acquisition.
• The Committee that has to be constituted prior to a land acquisition.

9. Appointment of an Administrator
• Section 8 of Part III deals with the appointment of an
administrator for rehabilitation and resettlement in
consonance with Section 31.
• Section 8 proposes for the appointment of an
administrator whenever a land is required or likely to be
required for public purpose, whereas Section 31 narrows
such instances of appointment only when there are
persons who are involuntarily displaced.
• Further the duties and responsibilities of the
Administrator are prescribed by the Appropriate
Government in such circumstances as it may in
accordance with the situation.

10. Committee for Rehabilitation and
Resettlement at the Project
Level
• Section 33 of the Bill proposes for a
Committee that shall be constituted under
the Chairmanship of the Collector, to
monitor and review the progress of
implementation of the Rehabilitation and
Resettlement scheme and to carry out
post-implementation social audits.

11. Dispute Settlement Authorities
and Appeal Provisions
• Sections 36 and 37 of the Bill deal with the
establishment of dispute settlement bodies at
the state and central level.
• The qualifications mentioned therein go against
the grain of the Bill by restricting themselves to
serving and retired bureaucrats and judges.
• The last proviso mentioned in Section 38 of the
Bill that caps the application period at one year
is arbitrary.

12. Urgency Clause
• Defence of India or
• National security or
• Emergencies arising out of natural
calamities
• Rarest of rare cases.

13. Misc. Provisions
• 58 of the Draft Bill is reproduced as follows:
• “58. Punishment for false information, mala fide action, etc
• (1) If a person, in connection with a requirement or direction under
this Act, provides any information or produces any document that
the person knows is false or misleading, he shall be liable to be
punished with imprisonment of either description for a term which
may extend to one month, or with fine which may extend to one lakh
rupees, or with both.
• (2) Any rehabilitation and resettlement benefit availed of by making
a false claim or through fraudulent means shall be liable to be
recovered by the appropriate authority.
• (3) Disciplinary proceedings may be drawn up by the disciplinary
authority against a Government servant, who if proved to be guilty of
a mala fide action in respect of any provision of this Act, shall be
liable to such punishment including a fine as the disciplinary
authority may decide.”

14. Transfer and return of Unutilised
land
• Section 69 of the Bill has been reproduced as follows:
• “(1) The land acquired under this Act shall not be transferred to any other
purpose except for a public purpose, and after obtaining the prior approval
of the Appropriate Government, and any change in purpose made in
violation of this provision shall be void and shall render such land and
structures attached to it liable to be reverted to the land owner.
• (2) When any land or part thereof, acquired under this Act remains
unutilised for a period of five years from the date of taking over the
possession, the same shall return to the land owner by reversion;
• (3) The Appropriate Government shall return the unutilized land or part
thereof, as the case may be, to the original owner of the land from whom it
was acquired subject to the refund of one fourth of the amount of
compensation paid to him along with the interest on such amount at such
rate, as may be specified by the Appropriate Government, from the date of
payment of compensation to him till the refund of such amount; and
• (4) The person to whom the land is returned being the owner of the land
shall be entitled to all such title and rights in relation to such land from which
he has been divested on the acquisition of such land.”

15. Thank you
Varun Vaish
NALSAR