RASHEEDA AND ORS. Vs. THE STATE OF KERALA AND ORS.
HIGH COURT OF KERALA
Rasheeda And Ors.
The State Of Kerala And Ors.
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(1.)This is a claim for interest on the amount awarded as compensation in land acquisition on the premise that it was in revenue deposit for long and not deposited in court or disbursed.
(2.)Large tracts of land belonging to the petitioners were acquired and awards passed under Section 11 of the Land Acquisition Act, 1894 [hereinafter referred to as 'the Act']. A total sum of Rs. .1,03,34,528/- was due to the petitioners after the statutory deductions in Land Acquisition Case Nos.25/08-09, 26/08-09 and 27/08-09. Exts.P1 to P3 notices issued by the Special Tahsildar informed the petitioners that the amount has been deposited in the District Treasury, Kollam as revenue deposit. The petitioners did not turn up during the award enquiry and encashed the amount from the Treasury only on 1.7.2011 about which there is no dispute. It is the case of the petitioners that the compensation amount should have been deposited in court and that a revenue deposit is not equivalent to court deposit. The petitioners claim interest on the sum of Rs. . 1,03,34,528/- at 15% per annum from the date of deposit (5.1.2009) till the date of realisation (1.7.2011).
(3.)The respondents who are the State, the District Collector and the Special Tahsildar emphatically deny their liability to pay interest on the compensation amount deposited. The respondents contend that they were justified in making a revenue deposit in view of Rule 13(2) of the Land Acquisition (Kerala) Rules, 1990 ['the Rules' for short]. The respondents point out that this is not a case where the petitioners had not consented to receive the compensation amount. It is the case of the respondents that no contingency mentioned in Section 31(2) of the Act had arisen obliging them to deposit the amount in court instead of a revenue deposit.
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