Supreme Court Applies R&R Act 2013 For Mahanadi Coalfields Acquisitions Of 1988; Villagers To Get Employment, Rehabilitation Packages Over Compensation

The Supreme Court recently came to relief of several persons who were displaced during 1988 when their lands in Odisha villages were acquired for Mahanadi Coalfields Ltd, a subsidiary of Coal India Ltd.The Court held that the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act 2013 -which introduces more beneficial provisions for compensation and rehabilitation for persons displaced after compulsory land acquisition- will apply to the persons in the four villages whose lands were acquired for the coal fields.A bench comprising Chief Justice of India UU Lalit, Justices S Ravindra Bhat and Bela M Trivedi directed that the displaced persons of four villages -Tumulia, Jhupuranga, Ratansara, and Kirpsara- have to be paid compensation for the land acquired as per the formula under the R&R Act 2013. In addition to that, two members of the families should be given employment benefits. If they are not availing employment benefits, the family should be paid a one-time settlement of Rupees 16 lakhs.Further, the displaced families should be allotted house plots for resettlement. If they are not accepting the house plots, they should be paid one-time rehabilitation package of Rupees 25 lakhs.These displaced landowners, the Court noted with reproach, have waited for "roughly half the number of years that this republic has existed" to be compensated for the loss of their homes and livelihoods. "The oft repeated aphorism, "Justice delayed is justice denied" cannot apply with more force than in these proceedings", the Court stated in the beginning of the judgment.R&R Act for first time created obligations on State to provide resettlement and rehabilitation of displaced persons in addition to providing compensationThe Court that the provisions of R&R Act are more beneficial."The provisions of the R&R Act, 2013 which replaced the old Land Acquisition Act, 1894 have for the first time cast obligations upon the State to ensure that resettlement and rehabilitation is provided in addition to compensation. These rehabilitation and resettlement provisions relate not only to a right to employment for at least one member of the displaced family but also other monetary and tangible benefits, such as land for construction of houses, cash assistance for construction; transportation cost; provision for temporary displacement; annuity and/or cash payment in lieu of employment benefits, etc. Furthermore, by provisions of the Third Schedule, elaborate provisions for the kind of public amenities which have to be provided, such as public health benefits, schools, community centres, roads and other basic necessities, have been obligated. All these are in furtherance of the displaced and the larger social justice obligations cast upon the State". Background of the matterA Bench of Chief Justice U.U. Lalit and Justices S. Ravindra Bhat and Bela M. Trivedi was called upon to adjudicate on a number of applications and contempt petitions that arose out of an appeal by special leave petition filed against a 2006 Orissa High Court order. By this order that came to be challenged by the coal producer, the High Court had directed the Central Government and MCL to immediately proceed under provisions of the Coal Bearing Areas (Acquisition and Development) Act, 1957 to determine and disburse compensation payable to landowners "as expeditiously as possible, preferably within six months". When the matter travelled to the Supreme Court in appeal, the apex court sought the assistance of the then Solicitor-General of India, Gopal Subramanium, who proposed a scheme for the determination and payment of compensation to the landowners which received the imprimatur of the court in Mahanadi Coal Fields Limited & Anr. v. Mathias Oram & Ors. [(2010) 11 SCC 269]. Accordingly, a Claims Commission was appointed that proceeded to determine the compensation and other benefits payable to the displaced persons under the compensation and rehabilitation package. In October 2013, the court held that infrastructure for resettlement was to be in terms of the Odisha Resettlement and Rehabilitation Policy, 2006 and the Third Schedule to the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013. In 2017, the Court finally disposed of the appeal by directing the disbursement of compensation and other benefits on the basis of the reports prepared by the Claims Commission. In 2020, it was brought to the court's notice that the resettlement and rehabilitation work in many of the villages had not been completed or was at a primary stage. Several applications and contempt petitions were filed before the Supreme Court, in disposing of which, the present set of directions were issued by the Bench led by Chief Justice Lalit.R&R Act will applyThe Court noted that on 28.10.2015, the Central Government had issued a notification under Section 105(3) of the R&R Act 2013 to apply its provisions...

Supreme Court Applies R&R Act 2013 For Mahanadi Coalfields Acquisitions Of 1988; Villagers To Get Employment, Rehabilitation Packages Over Compensation

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Awstika Das

Supreme Court Applies R&R Act 2013 For Mahanadi Coalfields Acquisitions Of 1988; Villagers To Get Employment, Rehabilitation Packages Over Compensation

Awstika Das

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Awstika Das

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