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Land Acquisition Act

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Land Acquisition Act

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© © All Rights Reserved
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THE STATE LAND ACQUISITION ACT, 1990 (1934 A. D.

)
Act No. X of Samvat 1990

[Sanctioned by His Highness the Maharaja Bahadur vide


Prime Minister’s endorsement No. G. B. 387, dated 29th January,
1934 and published in the Government Gazette dated 28th
Baisakh, 1991.]

Whereas it is expedient to amend the law for the acquisition


of land, needed for public purposes, within the territories
comprising the Jammu and Kashmir State, and for determining the
amount of compensation to be made on account of such
acquisition; It is hereby enacted as follows: —

PART I

PRELIMINARY

1. Short title, extent and commencement. — This Act may be


called the State Land Acquisition Act No. X of 1990.

(2) It extends to the whole of the territories comprising the


Jammu and Kashmir State.

(3) It shall come into force at once.

2. Validation of the former acquisitions of land. — (1) The


Slate Land Acquisition Regulation, 1903 is hereby repealed.

(2) But all proceedings commenced, officers appointed or


authorised, agreements published and rules made under the said
Regulation shall, as far as may be, be deemed to have been
respectively commenced, appointed or authorised, published and
made under this Act.

(3) Any Act or document referring to the Regulation shall, as


far as may be, be construed to refer to this Act, or to the
corresponding portion thereof.

3. Definitions. — In this Act, unless there is something


repugnant in the subject or context, —
(a) the expression “land” includes benefits to arise out of
land, and things attached to the earth or permanently
fastened to anything attached to the earth;

(b) the expression “person interested” includes all persons


claiming an interest in compensation to be made on
account of the acquisition of land under this Act; and a
person shall be deemed to be interested in land if he is
interested in an easement affecting the land;

(c) the expression “Court” means the principal Civil Court


of original jurisdiction in a district unless the
Government has appointed (as it is hereby empowered
to do) a special Judicial Officer within any specified
local limits to perform the functions of the Court under
this Act;
1
[(d) the expression “Collector” means the Collector as
defined in the Land Revenue Act, 1996];

(e) the expression “Revenue Minister” means the Revenue


Minister of the Council of the Jammu and Kashmir
State;

(f) the following persons shall be deemed to be “entitled


to act” as and to the extent hereinafter provided (that is
to say) the guardians of minors, or of lunatics or idiots,
and trustees for other persons beneficially interested
who are under disability, shall be deemed,
respectively, the persons entitled to act to the same
extent as the minors, lunatics or idiots themselves, if
free from disability, could have acted:

Provided that—

(i) no person shall be deemed “entitled to act” whose interest


in the subject matter shall be shown to the satisfaction of
Collector or Court to be adverse to the interest of the

1
Clause (d) substituted by Act III of Svt. 2008. (By Act X of Svt. 1996,
original clause (d) was deleted and original clauses (e), (f), (g) and (h) re-
lettered as (d), (e), (f) and (g) respectively).
persons interested, for whom he would otherwise be
entitled to act;

(ii) in every such case, the person interested may appear by a


next friend, or, in default of the appearance by a next
friend, the Collector or Court, as the case may be, shall
appoint a guardian for the case to act on his behalf in the
conduct thereof;

(iii) the provisions of the law in force in the State, for the time
being, relating to Civil Procedure, shall so far as they
apply are applicable, in the case of persons interested,
appearing before a Collector or Court by a next friend or
by a guardian, for the case in proceedings under this Act;
and

(iv) no person “entitled to act” shall be competent to receive


the compensation money payable to the person for whom
he is entitled to act unless he would have been competent
to alienate the land and receive and give a good discharge
for the purchase money on a voluntary sale;
1
[(g) the expression “Public Purpose” includes—

(i) the provision of village sites, or the extension


planned development or improvement of
existing village sites;

(ii) the provision of land for town or rural


planning;

(iii) the provision of land for planned development


of land from public funds in pursuance of any
scheme or policy of the Government;

(iv) the provision of land for a corporation owned


or controlled by the State;

(v) the provision of land for residential purpose to


the poor or landless or to persons residing in
areas affected by natural calamities or to
1
Clause (g) substituted by Act XX of 1988, s.2.
persons displaced or affected by reasons of the
implementation of any scheme undertaken by
Government, any local authority or a
corporation owned or controlled by the State;

(vi) the provision of land for carrying out any


educational, housing, health or slum clearance
scheme sponsored by Government or by any
authority established by the Government for
carrying out any such scheme or with the prior
approval of Government by a local authority or
a society registered under the Societies
Registration Act, Samvat 1998 or a Co-
operative Society, within the meaning of the
Co-operative Societies Act. 19601;

(vii) the provision of land for any other scheme of


development sponsored by the State or Central
Government or with the prior approval of the
Government, by a local authority:

Provided that the land shall not be allotted or leased


out to a person other than permanent resident of the State for
residential purposes;

(viii) the Provision of any premises or building for


locating a public office:

Provided that the disposal of land by way of lease or


otherwise shall be made by the authority in accordance with
the provisions of the law governing alienation, lease, transfer,
sale etc;

(ix) the provision of land for any university or other


educational institution established by the State
Government;]

(h) the expression “Company” means a Company


registered under the 2[Companies Act No. XI of 1977],

1
Now Co-operative Societies Act, 1989.
2
Now Companies Act, 1956 (Central Act No. 1 of 1956).
and includes a registered society within the meaning of
the Cooperative Societies Act, 1960 1[;]
2
[(i) the expression “local authority” includes a town
planning authority (by whatever name called) set
under any law for the time being in force;

(j) the expression “corporation owned or controlled by the


State” means any body corporate established by or
under any law for the time being in force in the State.]

PARTII

ACQUISITION

Preliminary Investigation

4. 2[Publication of preliminary notification and powers of


officers thereupon.— (1) Whenever land in any locality is needed
or is likely to be needed for any public purpose the Collector shall
notify it—

(a) through a public notice to be affixed at convenient


places in the said locality and shall also cause it to be
known by beat of drum and through the local
Panchayats and Patwaries; 3[x x x]
4
[x x x]
3
[(b) in two daily newspapers having largest circulation in
the said locality of which at least one shall be in the
regional language.]

(2) 5[After the Collector has notified any land in the manner
prescribed in clause (a) of sub-section (1) as being needed or likely

1
The full stop at the end of clause (h) substituted by a semi-colon, thereafter
clauses (i) and (j) inserted by Act XX of 1988, s.2.
2
The heading of section 4 and sub-section (1) substituted by Act XXXIV of
1960.
3
The word “and” omitted by Act XX of 1988, s.3.
4
Existing clause (b) omitted and clause (c) renumbered as clause (b) by Act IV
of 1997, s.2.
5
Substituted for “Thereupon” by Act XX of 1988, s. 3.
to be needed for a public purpose] it shall be lawful for any officer,
either generally or specially authorised by the Government in this
behalf, and for 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
adopted for such purpose;
to set out the boundaries of the land proposed to be taken and
the intended line of the work (if any) proposed to be made thereon;
to make 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 lines marked, to cut down and
clear away any part of any standing crop, fence or jungle:
Provided that, no person shall enter into any building or upon
any enclosed court or garden attached to a dwelling house (unless
with the consent of the occupier thereof) without previously giving
such occupier at least 1[ten days] notice in writing of his intention
to do so.
5. Payment of damage. — The officer so authorised shall at
the time of such entry pay or tender payment for all necessary
damage to be done as aforesaid, and, in case of dispute as to the
sufficiency of the amount so paid or tendered, he shall at once refer
the dispute to the Provincial Revenue authority within thirty days
of its being pronounced, whereupon the decision of that officer
shall be final.
5-A. Hearing of objections. — (1) Any person interested in
any land which has been notified under section 4, sub-section (1),
as being needed or likely to be needed for a public purpose 2[x x x]
may within 3[fifteen days] 4[after such land is notified in the
manner prescribed in clause (a) of sub-section (1) of section 4 as

1
Substituted by Act XXXIV of 1960 for “fortnight”.
2
Words “or for a company” omitted by Act XXVII of 1962.
3
Substituted by Act XXXIV of 1960.
4
Substituted ibid for “after the issue of the notification”.
being needed or likely to be needed for a public purpose,] object to
the acquisition of the land or of any land in the locality, as the case
may be.
(2) Every objection under sub-section (1) shall be made to the
Collector in writing, and the Collector shall give the objector an
opportunity of being heard either in person 1[or by pleader or by a
person authorised by him] and shall, after hearing all such
objections and after making such further inquiry, if any, as he
thinks necessary, submit the case for the decision of the
Government, together with the record of the proceedings held by
him and a report containing his recommendations on the
objections. The decision of the Government on the objections shall
be final.
(3) For the purpose of this section, a person shall be deemed
to be interested in land who would be entitled to claim an interest
in compensation if the land were acquired under this Act.
Declaration of intended acquisition
6. Declaration that land is required for public purpose. —
(1) When the Government is satisfied after considering the report,
if any, made under section 5-A, sub-section (2), that any particular
land is needed for public purpose, a declaration shall be made to
that effect under the signature of the Revenue Minister or of some
officer duly authorised in this behalf:
2
[Provided that no such declaration shall be made unless the
compensation to be awarded for such property is to be paid wholly
or partly out of the public revenues or some fund controlled or
managed by a local authority.]
(2) The declaration shall be published in official Gazette, and
shall state the district or other territorial division in which the land
is situate, the purpose for which it is needed, its approximate areas
and where a plan shall have been made of the land, the place where
such plan may be inspected.
(3) The said declaration shall be conclusive evidence that land
is needed for a public purpose, and after making such declaration

1
Substituted by Act XX of 1988, s. 4.
2
Both the provisions substituted by Act XXVII of 1962.
the Government may acquire the land in manner hereinafter
appearing.
7. After declaration Collector to take order for acquisition.—
Whenever any land shall have been so declared to be needed for a
public purpose, 1[the Revenue Minister or some officer duly
authorised by the Government in this behalf] shall direct the
Collector to take order for the acquisition of the land.
8. Land to be marked out, measured and planned. — The
Collector shall thereupon cause the land (unless, it has been
already marked out under section 4 to be marked out. He shall also
cause it to be measured and (if no plan has been made thereof) a
plan to be made of the same.
9. Notice to Persons Interested. — (1) The Collector shall
then cause public notice to be given at convenient places on or near
the land to be taken, stating that the Government intends to take
possession of the land, and that the claims to compensation for all
interests in such land may be made to him.
(2) Such notice shall state the particulars of the land so
needed, and shall require all persons interested in the land to
appear personally or by agent, before the Collector at a time and
place therein mentioned (such time not being earlier than 2[fifteen
days] after the date of publication of notice), and to state the nature
of their respective interests in the land and the amount and
particulars of their claims to compensation for such interests and
their objections (if any) to the measurements made under section 8.
The Collector may in any case, require such statements to be made
in writing and signed by the party or his agent.
(3) The Collector shall also serve notice to the same effect on
the occupier (if any) of such land and on all such persons known or
believed to be interested therein, or to be entitled to act for persons
so interested, as reside, or have agents authorised to receive service
on their behalf, within the revenue district in which the land is
situate.
(4) In case any person so interested resides elsewhere, and has
no such agent, the notice shall be sent to him by post in a letter

1
Substituted by Act VII of 1972, s. 2.
2
Substituted by Act XXXIV of 1960 for “30 days”.
addressed to him at his last known residence, address or place of
business and registered in accordance with the Postal Rules in
force for the time being in that behalf.
1
[9-A. The Collector shall also cause a notice to be served on
the Head of the Department for which land is to be acquired or his
nominee requiring him to appear before him on the date fixed
under section 9 for the appearance of the interested persons and to
state his objections, if any, to the measurement made and to the
amount of the tentative compensation that may be assessed.]
10. Power to require and enforce the making of statements
as to names and interests.—(1) The Collector may also require
any such person to make or deliver to him, at a time and place
mentioned (such time not being earlier than thirty days after the
date of the requisition) a statement containing, so far as may be
practicable, the name of every other person possessing any interest
in the land or any part thereof as co-proprietor, sub-proprietor,
mortgagee, tenant or otherwise, and of the nature of such interest
and of the rents and profits (if any) received or receivable on
account thereof for 3 years next preceding the date of the
statement.
(2) Every person required to make or deliver a statement
under this section or section 9 shall he deemed to be legally bound
to do so within the meaning of sections 172 to 177 of Ranbir Penal
Code.
Enquiry into measurements, value and claims and award by
the Collector
2
[11. Enquiry and award by the Collector.— (1) On the day
so fixed or on any other day to which the enquiry has been
adjourned, the Collector shall proceed to enquire into the
objections (if any) which—
(a) any person interested has stated pursuant to a notice given
under section 9 to the measurements made under section
8, and into the value of the land at the date of the
publication of the notification under sub-section (1) of

1
Section 9-A inserted by Act XXXIV of 1960.
2
Section 11 substituted ibid.
section 4 and into the respective interest the persons
claiming the compensation;
(b) the Head of the Department or his nominee has stated
pursuant to a notice given under section 9-A; and shall
tentatively assess the compensation which in his opinion
should be allowed for the land.
(2) Where the amount of compensation tentatively assessed
under sub-section (1) exceeds 1[the amount specified by the
Government by notification,] the Collector shall refer the record of
the case along with the statement of the tentative assessment of
compensation for approval of the Revenue Minister or an officer
specially empowered by him in this behalf.
(3) In a case referred by the Collector under sub-section (2)
the Revenue Minister or an Officer empowered by him in this
behalf shall, after considering the report of the Collector and after
making such further enquiry as may be necessary, determine the
proper value of the property to be acquired and communicate it to
the Collector and the value so determined shall form the basis of
compensation to be allowed for the land.
(4) The Collector shall thereupon make an award under his
hand of—
(i) the true area of the land;
(ii) the compensation payable for the land; and
(iii) the apportionment of the said compensation among all the
persons known or believed to be interested in the land, of
whom, or of whose claims, he has information, whether
or not they have respectively appeared before him.
(5) An award made in contravention of the directions of the
Revenue Minister or an officer specially empowered by him in this
behalf with respect to the value of the land shall be void.]
2
[(6) Notwithstanding anything contained in the aforesaid sub-
sections, if at any stage of the proceedings, the Collector is
satisfied that all the persons interested in the land who appeared
before him have agreed in writing on the matters to be included in

1
Substituted by Act VI of 1962 for “One thousand rupees”.
2
Sub-sections (6), (7) and (8) inserted by Act XX of 1988, s. 5.
the award of the Collector in the form prescribed by rules made by
the Government he may, without making further enquiry, make an
award according to the terms of such agreement:
Provided that no agreement shall be valid if it violates
provisions of any law for the time being in force.
(7) The determination of compensation for any land under
sub-section (6) shall not in any way affect the determination of
compensation in respect of other lands in the same locality or
elsewhere in accordance with the other provisions of this Act.
(8) Notwithstanding anything contained in the Registration
Act, 1977 no agreement made under sub-section (6) shall be liable
to registration under that Act.]
1
[11-A. Correction of clerical or arithmetical errors etc.—
(1) The Collector may, at any time but not later than six months
from the date of award, or where he has been required under
section 18 to make a reference to the court, before making of such
reference, by order correct with the previous approval of the
Divisional Commissioner any clerical or arithmetical mistakes in
the award or errors arising therein either on his own motion or on
the application of any person interested or a local authority:
Provided that no correction which is likely to affect
prejudicially any person shall be made unless such person has been
given a reasonable opportunity of making a representation in the
matter.
(2) The Collector shall give immediate notice of any
correction made in the award to all the persons interested.
(3) Where any excess amount is proved to have been paid to
any person as a result of the correction made under sub-section (1),
the excess amount so paid shall be liable to be refused and in the
case of any default or refusal to pay, the same may be recovered as
an arrear of land revenue.]
2
[11-B. Period within which an award shall be made. — The
Collector shall make an award under section 11within a period of
two years from the date of the publication of the declaration and if

1
Section 11-A inserted by Act XX of 1988, s. 6.
2
Section 11-B inserted by Act IV of 1997, s.2.
no award is made within that period, the entire proceedings for the
acquisition of land shall lapse:
Provided that in case where the said declaration has been
published before the commencement of the State Land Acquisition
(Amendment) Act, 1997, the award shall be made within a period
of two years from such commencement.
Explanation: – In computing the period of two years referred to
in this section, the period during which any
action or proceedings to be taken in pursuance of
the said declaration is stayed by an order of a
court, shall be excluded.]
12. Award of Collector when to be final. — (1) Such award
shall he filed in the Collector’s office and shall, except as
hereinafter provided, be final and conclusive evidence, as between
the Collector and the persons interested, whether they have
respectively appeared before the Collector or not, of the true area
and the value of the land, and the apportionment of the
compensation among the persons interested.
(2) The Collector shall give immediate notice of his award to
such of the persons interested, as are not present personally or by
their representatives when the award is made.
13. Adjournment of enquiry. — The Collector may, for any
cause, he thinks fit, from time to time, adjourn the enquiry to a day
to be fixed by him.
14. Power to summon and enforce attendance of witnesses
and production of documents. — For the purpose of enquiries
under this Act, the Collector shall have power to summon and
enforce the attendance of witnesses including the parties interested
or any of them, and to compel the production of documents by the
same means, and (so far as may be) in the same manner as is
provided in the case of a Civil Court, under the law in force in the
State, for the time being, relating to the procedure in civil actions.
15. Matters to be considered and neglected. — In
determining the amount of compensation, the Collector shall be
guided by the provisions contained in sections 23 and 24.
Taking possession
16. Power to take possession. — When the Collector has
made an award under section 11, he may take possession of the
land, which shall thereupon vest absolutely in the Government free
from all encumbrances.
17. Special powers in case of urgency. — In cases of
urgency, whenever the Government so directs, the Collector,
though no such award has been made, may, on the expiration of
1
[fifteen days,] from the publication of the notice mentioned in
section 9, sub-section (1), take possession of any 2[x x x] land
needed for public purposes. Such land shall thereupon vest
absolutely in the Government, free from all encumbrances:
Provided that, the Collector shall not take possession of any
building or part of a building under this sub-section, without giving
to the occupier thereof at least 48 hours’ notice of his intention to
do so, or such longer notice as may be reasonably sufficient, to
enable such occupier to remove his movable property from such
building without unnecessary inconvenience; and
Provided in every case under this section the Collector shall at
the time of taking possession offer to the persons interested
compensation for the standing crop and trees (if any) on such land
and for any other damage sustained by them caused by such
dispossession and not excepted in section 24; and in case such
offer is not accepted, the value of such crops and trees and the
amount of such other damage shall be allowed for in awarding
compensation for the land under the provisions herein contained:
Provided also that in the case of any land to which, in the
opinion of the Government, the provisions of sub-section (1) are
applicable, the Government may direct that the provisions of
section 5-A shall not apply, and if it does so direct, a declaration
may be made under section 6 in respect of the land at any time
after the publication of the notification under section 4, sub-section
(1).
3
[17-A. Payment of compensation before acquisition
proceedings are completed.— Before taking possession of any
1
Substituted by Act XXXIV of 1960 for “30 days”.
2
Words omitted by Act XX of 1988, s. 7.
3
Sections 17-A and 17-B inserted by Act XX of 1988, s. 8.
land under section 17, the Collector shall, without prejudice to the
provisions of the said section, –
(a) tender payment of eighty per centum of the compensation
for such land as estimated by him to the persons
interested and entitled thereto; and
(b) pay it to them unless prevented by some one or more of
the contingencies mentioned in section 32 of the Act,
and where the Collector is so prevented, the provisions of section
32 shall apply as they apply to the payment of compensation under
that section.
17-B. Determination of compensation and recovery of excess
amount. — The amount paid or deposited under section 17-A,
shall be taken into account for determining the amount of
compensation required to be tendered under section 32 and where
the amount so paid or deposited exceeds the compensation
awarded by the Collector under section 11 the excess amount may
unless refunded within three months from the date of the
Collector’s award be recovered as an arrear of land revenue.]
PART III
Reference to Court and Procedure thereon
18. Reference to Court. — (1) Any person interested who has
not accepted the award may, by written application to the Collector
require that the matter be referred by the Collector for the
determination of the Court, whether his objection be to the
measurement of the land, the amount of the compensation, the
persons to whom it is payable or the apportionment of the
compensation among the persons interested.
(2) The application shall state the grounds on which objection
to the award is taken:
Provided that every such application shall be made,—
(a) if the person making it was present or represented before
the Collector at the time when he made his award, within
six weeks from the date of the Collector’s award;
(b) in other cases, within six weeks of the receipt of the
notice from the Collector under section 12, sub-section
(2), or within six months from the date of the Collector's
award, whichever period shall first expire.
19. Collector’s statement to the Court. — (1) In making the
reference the Collector shall state for the information of the Court,
in writing under his hand,—
(a) the situation and extent of the land with particulars of
any trees, buildings or standing crops thereon;
(b) the names of the persons whom he has reason to think
interested in such land;
(c) the amount awarded for damages and paid or tendered
under sections 5 and 17 or either of them and the
amount of compensation awarded under section 11;
1
[(cc) the amount paid or deposited under section 17-A of this
Act;]
(d) if the objection be to the amount of the compensation,
the grounds on which the amount of compensation was
determined;
(e) the name of persons out of those interested in such land
who have accepted the award.
(2) To the said statement shall be attached a schedule, giving
the particulars of the notices served upon, and of the statements in
writing made, or delivered by the parties interested respectively.
20. Service of notice. — The Court shall thereupon cause a
notice, specifying the day on which the Court will proceed to
determine the objection, and directing their appearance before the
Court on that day, to be served on the following persons:—
(a) the applicant;
(b) all persons interested in the objection, except such (if
any) of them as have consented without protest to receive
payment of the compensation awarded; and
(c) if the objection is in regard to the area of the land or to
the amount of the compensation, the Collector.

1
Clause (cc) inserted by Act XX of 1988, s. 9.
21. Restriction on scope of proceedings. — The scope of the
enquiry in every such proceeding shall be restricted to a
consideration of the interests of the persons affected by the
objection.
22. Proceedings to be in open Court. — Every such
proceeding shall take place in open Court, and all persons entitled
to practise in any Civil Court within the State shall be entitled to
appear, plead and act (as the case may be) in such proceeding.
23. Matters to be considered in determining
compensation.— (1) In determining the amount of compensation
to be awarded for land acquired under the Act, the Court shall take
into consideration—
First, the market value of the land at the date of the
publication of the declaration relating thereto under section 6;
secondly, the damage sustained by the person interested by
reason of the taking of any standing crops or trees which may be
on the land at the time of the Collector’s taking possession thereof;
thirdly, the damage (if any) sustained by the person interested
at the time of the Collector’s taking possession of the land by
reason of severing such land from his other land;
fourthly, the damage (if any) sustained by the person
interested, at the time of the Collector’s taking possession of the
land, by reason of the acquisition injuriously affecting his other
property movable or immovable in any other manner, or his
earnings;
fifthly, if, in consequence of the acquisition of the land by the
Collector, the person interested is compelled to change his
residence or place of business, the reasonable expenses (if any)
incidental to such change; and
sixthly, the damage (if any) bona fide resulting from
diminution of the profits of the land between the time of the
publication of the declaration, under section 6, and the time of the
Collector’s taking possession of the land.
(2) In addition to the market value of the land as above
provided, the Court shall in every case award a sum of fifteen per
centum on such market value in consideration of the compulsory
nature of the acquisition.
24. Matters to he neglected in determining compensation. —
But the Court shall not take into consideration—
first, the degree of urgency which has led to the acquisition;
secondly, any disinclination of the person interested to part
with the land acquired;
thirdly, any damage sustained by him which if caused by a
private person, would not render such person liable to a suit;
fourthly, any damage which is likely to be caused to the land
acquired, after the date of the publication of the declaration under
section 6, by or in consequence of the use to which it will be put;
fifthly, any increase to the value of the land acquired likely to
accrue from the use to which it will be put when acquired;
sixthly, any increase to the value of the other land of the
person interested likely to accrue from the use to which the land
acquired will be put; 1[x x x];
seventhly, any out-lay or improvements on, or disposal of the
land acquired, commenced, made or effected, without the sanction
of the Collector, after the date of the publication of the declaration
under section 6 2[; or]
3
[eighthly, any increase to the value of the land on account of
its being put to any use which is forbidden by law or opposed to
public policy.
25. Rules as to amount of compensation. — (1) When the
applicant has made a claim to compensation, pursuant to any
notice given under section 9, the amount awarded to him by the
Court, shall not exceed the amount so claimed or be less than the
amount awarded by the Collector under section 11.
(2) When the applicant has refused to make such claim or has
omitted without sufficient reason (to be allowed by the Judge) to
make such claim the amount awarded by the Court shall in no case
exceed the amount awarded by the Collector.

1
The word “or” omitted by Act XX of 1988, s. 10.
2
substituted ibid.
3
Inserted ibid.
(3) When the applicant has omitted for sufficient reason (to be
allowed by the Judge) to make such claim, the amount awarded to
him by the Court shall not be less than and may exceed, the
amount awarded by the Collector.
26. Award. — (1) Every award under this part shall be in
writing signed by the Judge, and shall specify the amount awarded
under clause first of sub-section (1) of section 23, and also the
amounts (if any) respectively awarded under each of the other
clauses of the same sub-section together with the grounds of
awarding each of the said amounts.
(2) Every such award shall be deemed to be a decree and the
statement of the grounds of every such award a judgment within
the meaning of section 2, clause (2) and section 2, clause (9)
respectively of the Code of Civil Procedure.
27. Costs. — (1) Every such award shall also state the amount
of costs incurred in the proceedings under this part, and by what
persons and in what proportions they are to be paid.
(2) When the award of the Collector is not upheld, the costs
shall ordinarily be paid by the Collector unless the Court shall be
of opinion that the claim of the applicant was so extravagant or that
he was so negligent in putting his case before the Collector, that
some deduction from the costs should be made or that he should
pay a part of the Collector’s costs.
28. Interest. — If the sum which, in the opinion of the Court,
the Collector ought to have awarded as compensation is in excess
of the sum which the Collector did award as compensation, the
award of the Court may direct that the Collector shall pay interest
on such excess at the rate of 1[six per centum] per annum from the
date on which he took possession of the land to the date of
payment of such excess into Court.
29. Market value not to form part of the amount of
compensation. — Notwithstanding anything herein above
contained, the market value of the land to be acquired shall not
form part of the amount of compensation to be awarded under this
Act except to the extent of 1/3rd share thereof or enter into
consideration except to that extent in assessing such compensation,

1
Substituted by Act XX of 1988 for “four per centum”, s. 11.
where the land to be acquired is situate in a place in which the land
is owned directly by the Government as proprietor.
PART IV
Apportionment of Compensation
30. Particulars of apportionment to be specified. — Where
there are several persons interested, if such persons agree to the
apportionment of the compensation, the particulars of such
apportionment shall be specified in the award and as between such
persons the award shall be conclusive evidence of the correctness
of the apportionment.
31. Dispute as to appointment. — When the amount of
compensation has been settled under section 11, if any dispute
arises as to the apportionment of the same or any part thereof or as
to the persons to whom the same or any part thereof is payable the
Collector may refer such dispute to the decision of the Court.
PART V
Payment
32. Payment of compensation or deposit of same in Court. —
(1) On making an award under section 11, the Collector shall
tender payment of the compensation awarded by him to the
persons interested/entitled thereto, according to the award, and
shall pay it to them unless prevented by some one or more of the
contingencies mentioned in the next sub-section.
(2) If they shall not consent to receive it, or if there be no
person competent to alienate the land, or if there be any dispute as
to the title to receive the compensation or as to the apportionment
of it, the Collector shall deposit the amount of the compensation in
the Court, to which a reference under section 18 would be
submitted:
Provided that any person admitted to be interested may
receive such payment under protest as to the sufficiency of the
amount:
Provided also that no person who has received the amount
otherwise than under protest shall be entitled to make any
application under section 18:
Provided also that nothing herein contained shall affect the
liability of any person who may receive the whole or any part of
any compensation awarded under this Act to pay the same to the
person lawfully entitled thereto.
(3) Notwithstanding anything in this section, the Collector
may, with the sanction of the Government, instead of awarding a
money compensation in respect of any land, make any arrangement
with a person having a limited interest in such land, either by the
grant of other lands in exchange, the remission of land revenue on
other lands held under the same title or in such other way as may
be equitable having regard to the interest of the parties concerned.
(4) Nothing in the last foregoing sub-section shall be
construed to interfere with or limit the power of the Collector to
enter into any arrangement with any person interested in the land
and competent to contract in respect thereof.
33. Investment of money deposited in respect of lands
belonging to persons incompetent to alienate.— (1) If any
money shall be deposited in Court under sub-section (2) of the last
preceding section and it appears that the land in respect whereof
the same was awarded belonged to any person who had no power
to alienate the same, the Court shall —
(a) order the money to be invested in the purchase of other
lands to be held under the like title and conditions of
ownership as the land in respect of which such money
shall have been deposited was held; or
(b) if such purchase cannot be effected forthwith, then in
such securities as the Court shall think fit;
and shall direct the payment of the interest or other proceeds
arising from such investment to the person or persons who would
for the time being have been entitled to the possession of the said
land and such moneys shall remain so deposited or invested until
the same be applied —
(i) in the purchase of such other lands as aforesaid; or
(ii) if such purchase cannot be effected forthwith then in such
other securities as the Court shall think fit; or
(iii) in payment to any person or persons becoming absolutely
entitled thereto.
(2) In all cases of moneys deposited to which this section
applies the Court shall order the costs of the following matters,
including therein all reasonable charges and expenses incident
thereto, to be paid by the Collector, namely:—
(a) the costs of such investments as aforesaid;
(b) the costs of the orders for the payment of the interest or
other proceeds of the securities upon which such moneys
are for the time being invested and for the payment out of
Court of the principal of such moneys and of all
proceedings relating thereto, except such as may be
occasioned by litigation between adverse claimants.
34. Investment of money deposited in other cases. — When
any money shall have been deposited in Court under the Act for
any cause other than that mentioned in the last preceding section,
the Court may on the application of any party interested or
claiming an interest in such money, order the same to be invested
in such Government or other approved securities as it may think
proper and may direct the interest or other proceeds of any such
investment to be accumulated and paid in such manner as it may
consider will give the parties interested therein the same benefit
therefrom as they might have had from the land in respect whereof
such money shall have been deposited or as near thereto as may be.
35. Payment of interest. — When the amount of such
compensation is not paid or deposited on or before taking
possession of the land, the Collector shall pay the amount awarded
with interest thereon at the rate of 1[six per centum] per annum
from the time of so taking possession until it shall have been so
paid or deposited 2[:]
3
[Provided that if such compensation or any part thereof is not
paid or deposited within a period of one year from the date on
which possession is taken, interest at the rate of ten Per centum
shall be payable from the date of expiry of the said period of one
year on the amount of compensation or part thereof which has not
been paid or deposited on the date of such expiry.]

1
Substituted by Act XX of 1988 for “four per centum”, s. 12.
2
Substituted ibid.
3
Inserted ibid.
PART VI
Temporary Occupation of Land
36. Temporary occupation of waste or arable land;
Procedure when difference as to compensation exists. — (1)
Whenever it appears to the Government that the temporary
occupation and use of any waste or arable land are needed for any
public purposes, the Government may direct the Collector to
procure the occupation and use of the same for such term as it shall
think fit, not exceeding 3 years from the commencement of such
occupation.
(2) The Collector shall thereupon give notice in writing to the
person interested in such land of the purpose for which the same is
needed, and shall, for the occupation and use thereof for such term
as aforesaid and for the materials (if any) to be taken therefrom,
pay to them such compensation, either in a gross sum of money, or
by monthly or other periodical payments as shall be agreed upon in
writing between him and such persons respectively.
(3) In case the Collector and the persons interested differ as to
the sufficiency of the compensation or apportionment thereof, the
Collector shall refer such difference to the decision of the Court.
37. Power to enter and take possession and compensation on
restoration. — On payment of such compensation or on executing
such agreement or on making a reference under section 35, the
Collector may enter upon and take possession of the land and use
or permit the use thereof in accordance with the term of the said
notice.
(2) On the expiration of the term, the Collector shall make or
tender to the persons interested compensation for the damage (if
any) done to the land and not provided for by the agreement, and
shall restore the land to the persons interested therein:
Provided that, if the land has become permanently unfit to be
used for the purpose for which it was used immediately before the
commencement of such term, and if the persons interested shall so
require, the Government shall proceed under this Act, to acquire
the land as if it was needed permanently for a public purpose.
38. Difference as to condition of land. — In case the
Collector and persons interested differ as to the condition of the
land at the expiration of the term, or as to any matter connected
with the said agreement, the Collector shall refer such difference to
the decision of the Court.
PART VII
Acquisition of Land for Companies
1
[39. Procedure with regard to acquisition of land for
companies. — The provisions of sections 4 to 35 (both inclusive)
shall apply to the acquisition of land by Government for the
purposes of transferring it on lease or otherwise to any company on
such terms and conditions as the Government may determine after
the said company has executed the agreement hereinafter
mentioned.
Explanation: — Acquisition of land by the Government for a
company under this part shall be deemed to be a
public purpose as defined in this Act.]
40. Procedure with regard to Government sanction. —
2
[(1) The Governments shall not acquire land for a company under
this part unless they are satisfied either on the report of the
Collector under section 5-A, sub-section (2) or by an enquiry held
as hereinafter provided—
(a) that such acquisition is needed for the construction of
some work, and that such work or its product is likely to
prove useful to the public; or
(b) that the purpose of the acquisition is to obtain land for the
erection of dwelling houses for workmen employed by
the company or for the provision of amenities directly
connected therewith.]
(2) Such enquiry shall be held by such officer and at such time
and place as the Revenue Minister shall appoint.
(3) Such officer may summon and enforce the attendance of
witnesses and compel the production of documents by the same
means and, as far as possible, in the same manner as is provided by
the Code of Civil Procedure, in the case of a Civil Court.

1
Section 39 substituted by Act XXVII of 1962.
2
Sub-section (1) of section 40 substituted by ibid.
1
[41 Agreement with the Government. — If the Government
are satisfied after considering the report, if any, of the Collector
under section 5-A, sub-section (2) or on the report of the officer
making an inquiry under section 40 that the proposed acquisition is
needed for the construction of a work and that such work or its
product is likely to prove useful to the public or that the purpose of
the proposed acquisition is to obtain land for the erection of
dwelling houses for workmen employed by the company or for
provision of amenities directly connected therewith, the
Government shall require the company to enter into an agreement
with them, providing to the satisfaction of the Government for the
following matters, namely:—
(i) the payment to the Government in the case of lease of
such premium and rent as the Government may determine
with due regard to the cost of acquisition and in the case
of transfer other than lease the cost of acquisition;
(ii) the transfer by lease or otherwise on such payment of the
land to the company;
(iii) the terms on which the land shall be held by the
company;
(iv) where the acquisition is for the construction of any work,
the time within which and the conditions on which the
work shall be executed and maintained, and the terms on
which the public shall be entitled to use such work or its
product; and
(v) where the acquisition is for the purpose of erecting
dwelling houses or the provision of amenities connected
therewith, the time within which the conditions on which
and the manner in which the dwelling houses or amenities
shall be erected or provided.]
42. Publication of agreement. — Every such agreement shall,
as soon as may be after its execution, be published in the
Government Gazette and shall thereupon (so far as regards the
terms on which the public shall be entitled to use the work) 2[or its
products] have the same effect as if it had formed part of this Act.

1
Section 41 substituted by Act XXVII of 1962.
2
Words “or its products” inserted by Act XXVII of 1962.
1
[42-A. Acquisition of land for a corporation or a local
authority etc. — The provisions of sections 39 to 42 (both
inclusive) shall apply to the acquisition of land by Government for
the purposes of transferring it on lease to any corporation or local
authority.]
PART VIII
Miscellaneous
43. Service of notice. — (1) Service of any notice under this
Act shall be made by delivering or tendering a copy thereof signed,
in the case of a notice under section 4, by the officer therein
mentioned, and in the case of any other notice, by or by order of
the Collector or the Judge.
(2) Whenever it may be practicable, the service of the notice
shall be made on the person therein named.
(3) When such person cannot be found, the service may be
made on any adult male member of his family residing with him;
and, if no such adult male member can be found, the notice may be
served by affixing the copy on the outer door of the house in which
the person therein named ordinarily dwells or carries on business,
or by affixing a copy thereof in some conspicuous place in the
office of the officer aforesaid or of the Collector or in the
Court-house and also in some conspicuous part of the land to be
acquired:
Provided that, if the Collector or Judge shall so direct a notice
may be sent by post, in a letter addressed to the person named
therein at his last known residence, address or place of business
and registered in accordance with the rules in force for the time
being in that behalf, and service of it may be proved by production
of the addressee’s receipt.
44. Penalty for obstructing acquisition of land. — Whoever
wilfully obstructs any person in doing any of the acts authorised by
section 4 or section 8, or wilfully fills up destroys, damages or
displaces any trench or mark made under section 4, shall on
conviction before a 2[Judicial Magistrate] be liable to

1
Section 42-A inserted by Act XX of 1988, s. 13.
2
Substituted by Act XL of 1966.
imprisonment for any term not exceeding one month, or to fine not
exceeding 1[five hundred] rupees or to the both.
45. Magistrate to enforce surrender. — If the Collector is
opposed or impeded in taking possession under this Act of any
land, he shall, if 2[an Executive Magistrate,] enforce the surrender
of the land to himself, and, if not 2[an Executive Magistrate] he
shag apply to 2[an Executive Magistrate] and such Magistrate shall
enforce the surrender of the land to the Collector.
46. Completion of acquisition not compulsory, but
compensation to be awarded when not completed. — (1) Except
in the case provided for in section 36, the Government shall be at
liberty to withdraw from the acquisition of any land of which
possession has not been taken.
(2) Whenever the Government withdraws from any such
acquisition, the Collector shall determine the amount of
compensation due for the damage suffered by the owner in
consequence of the notice or of any proceedings thereunder, and
shall pay such amount to the person interested together with all
costs reasonably incurred by him in the prosecution of the
proceedings under this Act relating to the said land.
(3) The provisions of Part III of this Act shall apply, so far as
may be, to the determination of the compensation payable under
this section.
47. Acquisition of part of houses or building. — (1) The
provisions of this Act shall not be put in force for the purpose of
acquiring a part only of any house, manufactory or other building,
if the owner desire that the whole of such house, manufactory or
building shall be so acquired:
Provided that the owner may at any time before the Collector
has made his award under section 11, by notice in writing,
withdraw or modify his expressed desire that the whole of such
house, manufactory or building shall be so acquired:
Provided also that, if any question shall arise as to whether
any land proposed to be taken under this Act does or does not form
part of a house, manufactory or building within the meaning of this

1
Substituted by Act XX of 1988 for “fifty rupees”, s. 14.
2
Substituted by Act XL of 1966.
section, the Collector shall refer the determination of such question
to the Court and shall not take possession of such land until after
the question has been determined. In deciding on such a reference,
the Court shall have regard to the question whether the land
proposed to be taken is reasonably required for the full and
unimpaired use of the house, manufactory or building.
(2) If, in the case of any claim under section 23, sub-section
(1) thirdly, by a person interested on account of the severing of the
land to be acquired from his other land, the Government is of
opinion that the claim is unreasonable or excessive, it may, at any
time before the Collector has made his award, order the acquisition
of the whole of the land of which the land first sought to be
acquired forms a part.
(3) In the case last hereinbefore provided for, no fresh
declaration or other proceedings under sections 6 to 10, both
inclusive, shall be necessary; but the Collector shall without delay
furnish a copy of the order of the Government to the person
interested and shall thereafter proceed to make his award under
section 11.
48. Acquisition of land at cost of a local body, person or
body of persons. — (1) When the provisions of this Act are put in
force for the purpose of acquiring land and at the cost of any fund
controlled or managed by a local body or of any person or body of
persons, whether corporate or not, the charges of and incidental to,
such acquisition shall be defrayed from or by such fund or such
person or body of persons.
(2) In any proceedings held before a Collector or Court in
such cases the local authority or the person or the body of persons
concerned may appear and adduce evidence for the purpose of
determining the amount of compensation:
Provided that, no such person or a body of persons shall be
entitled to demand a reference under section 18.
49. Exemption from stamp duty and fees. — No award or
agreement made under this Act shall be chargeable with stamp
duty and no person claiming under any such award or agreement
shall be liable to pay any fee for a copy of the same.
1
[49-A. Acceptance of certified copy as evidence. — In any
proceeding under this Act, a certified copy of a document
registered under Registration Act, Samvat 1977, including a copy
given under section 57 of that Act, may be accepted as evidence of
the transaction recorded in such document.]
50. Notice in case of suits for anything done in pursuance of
this Act. — No suit or other proceeding shall be commenced or
prosecuted against any person for anything done in pursuance of
this Act without giving to such person two months’ previous notice
in writing of the intended proceeding and of the cause thereof, nor
after tender of sufficient amends.
51. Procedure with respect to actions under this Act. — Save
in so far as they may be inconsistent with anything contained in
this Act, the provisions of the law in force in Jammu and Kashmir
State for the time being relating to the procedure in civil actions
shall apply to all proceedings before the Court under this Act.
52. Appeals. — Subject to the provisions of law in force for
the time being in the State relating to the procedure in civil section
applicable to appeals from original decrees, an appeal shall lie to
the State High Court from any part of the award of the Court in any
proceedings under this Act.
2
[52-A. Delegation.—The Government may by order direct
that all or any of the powers and duties conferred or imposed on
the Government be exercised or performed by the Revenue
Ministers.
53. Power to make rules. — (1) Government shall have power
to make rules consistent with this Act for the guidance of officers
in all matters connected with its enforcement, and may from time
to time alter and add to the rules so made.
(2) The power to make, alter and add to rules under
sub-section (1) shall be subject to the condition of the rules being
made, altered or added to after previous publication.
(3) All such rules, alterations and additions shall be published
in the Government Gazette and shall thereupon have the force of
law.

1
Section 49-A inserted by Act XX of 1988, s. 15.
2
Section 52-A inserted by Act XII of Samvat 2001.

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