G.R.MAJITHIA, J. - (1.) This judgment will dispose of Civil Writ Petitions No. 4422 of 1987, 3904, 4421, 4423 to 4427, 4595, 4972 to 4976, 6270 to 6279, 8047 to 8050, 8787, 8788, 8789, 8790, 8791, 8935, 9074, 9080, 10297, 10586, 10595, 10799 and 10800 of 1988, as common questions of law and fact arise in all these cases. We will refer to the facts as given in C.W.P. No. 10800 of 1988 for appreciating the points in controversy arising therein.
(2.) After having heard the learned counsel for the parties at length, we have decided to dispose of all these writ petitions on merits at the motion stage.
(3.) Facts first:- A notice dated August 21, 1970 was issued under sub-section (1) of Section 7 of the Requisitioning and Acquisition of Immovable Property Act, 1952, (for short the Act), by the competent authority to the landowners to show cause why the property mentioned in the schedule appended to the notice be not acquired for the public purpose mentioned therein. After the expiry of the period mentioned in the notice and after considering the cause shown against the said notice, the appropriate authority acquired the land and notification to this effect was published in the Punjab Government Gazette dated September 11, 1970. On November 24, 1988, the petitioners filed writ petition in this Court under Articles 226/227 of the Constitution of India, for seeking a mandate to the respondents to perform the statutory duties enjoined by Section 8(1) of the Act. It will be useful to reproduce Section 8 of the Act for the purpose of appreciating the submissions of the learned counsel for the petitioners :- "Principles and method of determining compensation:- (1) Where any property is requisitioned or acquired under this Act, there shall be paid compensation the amount of which shall be determined in the manner and in accordance with the principles hereinafter set out, that is to say,- (a) where the amount of compensation can be fixed by agreement, it shall be paid in accordance with such agreement; (b) where no such agreement can be reached, the Central Government shall appoint as arbitrator a person who is, or has been, or is qualified for appointment as, a Judge of a High Court; (c) the Central Government may, in any particular case, nominate a person having expert knowledge as to the nature of the property requisitioned or acquired to assist the arbitrator and where such nomination is made, the person to be compensated may also nominate an assessor for the same purpose; (d) at the commencement of the proceedings before the arbitrator, the Central Government and the person to be compensated shall state what in their respective opinion is a fair amount of compensation. (e) the arbitrator shall, after hearing the dispute, make an award determining the amount of compensation which appears to him to be just and specifying the person or persons to whom such compensation shall be paid/and in making the award, he shall have regard to the circumstances of each case and the provisions of sub-sections (2) and (3), so far as they are applicable; (f) where there is any dispute as to the person or persons who are entitled to the compensation, the arbitrator shall decide such dispute and if the arbitrator finds that more persons than one are entitled to compensation, he shall apportion the amount thereof amongst such persons; (g) nothing in the Arbitration Act, 1940, shall apply to arbitrations under this section. (2) The amount of compensation payable for the requisitioning of any property shall, subject to the provisions of sub-sections,(2A) and (2B) consist of - (a) a recurring payment, in respect of the period of requisition, of a sum equal to the rent which would have been payable for the use and occupation of the property, if it had been taken on lease for that period/and (b) such sum or sums, if any, as may be found necessary to compensate the person interested for all or any of the following matters, namely :- (i) pecuniary loss due to requisitioning; (ii) expenses on account of vacating the requisitioned premises; (iii) expenses on account of reoccupying the premises upon release from requisition; and (iv) damages (other than normal wear and tear) caused to the property during the period of requisition, including the expenses that may have to be incurred for restoring the property to the condition in which it was at the time of requisition. (2A) The recurring payment, referred to in clause (a) of sub section (2), in respect of any property shall, unless the property is sooner released from requisition under Section 6 or acquired under Section 7, be revised in accordance with the provisions of sub-section (2B) - (a) in a case where such property has been subject to requisition under this Act for the period of five years or a longer period immediately preceding the commencement of the Requisitioning and Acquisition of Immovable Property (Amendment) Act, 1975- (i) first with effect from the date of such commencement, and (ii) again with effect from the expiry of five years from such commencement; (b) in a case where such property has been subject to requisition under this Act immediately before such commencement for a period shorter than five years and the maximum period within which such property shall, in accordance with the provisions of sub-Section (1A) of Section 6, be released from requisition or acquired, extends beyond five years from such commencement,- (i) first with effect from the date of expiry of five years from the date on which possession of such property has been surrendered or delivered to, or taken, by, the competent authority under Section 4, and (ii) again with effect from the date of expiry of a period of five years from the date on which the revision made under sub clause (i) takes effect; (c) in any other case, with effect from the date of expiry of five years from the date on which possession of such property has been surrendered or delivered to, or taken by, the competent authority under Section 4, (2B) The recurring payment in respect of any property shall be revised by re-determining such payment in the manner and in accordance with the principles set out in sub-Section (1) read with clause (a) of sub-Section (2), as if such property had been requisitioned under this Act on the date with effect from which the revision has to be made under sub-Ssection (2A) (3) The compensation payable for the acquisition of any property under Section 7 shall be the price which the requisitioned property would have fetched in open market, if it had remained in the same condition as it was at the time of requisitioning and been sold on the date of acquisition.";