MAHANADI COAL FIELDS LTD. Vs. MATHIAS ORAM

JUDGEMENT

(1.) The oft repeated aphorism, "Justice delayed is justice denied" cannot apply with more force than in these proceedings. The applicant writ petitioners (hereinafter, "landowners / displaced persons") have waited for roughly half the number of years that this republic has existed. They predominantly belong to tribal communities, and their lands were first notified and acquired in 1988 for the purposes of coal mining. Yet, they have not been paid compensation. The tangled and torturous journey of their tribulations has been elaborately documented in a previous judgment of this court.[1]

(2.) Mahanadi Coalfields Ltd. (hereinafter, "MCL") is a subsidiary of Coal India Ltd. (hereinafter, "CIL") the biggest coal producer in the country. MCL was aggrieved by an order[2] of the Orissa High Court, wherein the High Court directed the Central Government and MCL to immediately proceed under provisions of the Coal Bearing Areas (Acquisition and Development) Act, 1957 (hereinafter, "CBA Act") to determine and disburse compensation payable to landowners as expeditiously as possible, preferably within six months.

(3.) The Central Government issued the preliminary notification under Sec. 4(1) of the CBA Act on 11/2/1987, conveying its intention to prospect for coal in village Gopalpur and others, district Sundergarh, Orissa. This was followed by another notification under Sec. 7(1) of the CBA Act on 27/7/1987 for acquisition of the notified lands. Finally, by notification dtd. 10/7/1989, the declaration of acquisition of the land under Sec. 9 of the CBA Act was made, which led to the lands being vested absolutely in the Central Government. On 20/3/1993, the Central Government issued notification under Sec. 11 of the CBA Act, vesting the acquired land and all rights therein in MCL, retrospectively with effect from 17/11/1991. The writ petitioners before the High Court were landowners who were not paid any compensation for their lands. After unavailingly seeking the same, the landowners approached the High Court seeking direction for compensation. Before the High Court, the landowners claims were mired in a dispute between Coal India Ltd. (hereinafter, "CIL") and the Central Government. CIL urged that it no longer required the lands, whereas the Central Government rejected CILs proposal for denotification by order dtd. 12/9/2006. The High Court held that a land oustee under Sec. 9 of the CBA Act was to be paid compensation after taking into consideration the factors enumerated under Sec. 13(5) of the CBA Act. MCL preferred a special leave petition before this court. The court sought the assistance of the then Solicitor General for India, Mr Gopal Subramanium, who proposed a scheme which was accepted by this court, in its judgment reported as Mahanadi Coal Fields Ltd. (supra).