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Sections 50(2) proviso & 25 of the Land Acquisition Act, 1894 – Acquisition of the open land for recreational ground under Section 126(1)(b) of MRTP Act, 1966 – Writ Petition of Local Authority challenging Award

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Respondent No.2 Collector, Mumbai, passed Award dated 3.11.2017 in favour of the Respondent no.1 owner in respect of the land at Valnai Taluka Borivali, reserved for recreational ground.

On 3.11.2017, the Award was passed.   Reference for enhancement of the compensation was filed.

HELD that the acquisition of the reserved land was made by following the process under Section 126(1)(c) of the MRTP Act and the compensation was determined under the Land Acquisition Act. The Petition – Municipal Corporation and local authority had filed the writ petition challenging the award in view of the provisions of proviso to Section 50(2) and 25 of the Land Acquisition Act, 1894.  Proviso to Section 50(2) provides that the local authority shall not be entitled to demand a reference. Moreover, Section 25 says that the compensation awarded by the Court shall not be less than awarded under Section 11.   It was found that what may not be done under the provisions of the LA Act may not be permitted to be done under Article 226 of the Constitution to avoid or circumvent the procedure of law and the provisions of statute. The writ petition challenging an Award is maintainable only on the ground of fraud, corruption or collusion.

Judgment dated 14.3.2024 in W.P.No.1928 of 2018 of Municipal Corporation of Greater Mumbai Vs. M/s. B.J. Development Corporation Pvt Ltd and others

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