(1.) Leave granted.
(2.) This appeal by special leave arises from the order made by the division bench of the High court of Punjab and Haryana on 31/5/1994 in WP No. 1597 of 1991. The contention of the appellant is that since her land was acquired for public purpose, namely, residential and commercial purpose, the land not having been utilised for the said purpose, she is entitled to the allotment of the land as per the policy of the government in Annx. 3 appended to the Special Leave Petition paper- book. Admittedly, the notification under Section 4 (1 of the Land Acquisition Act was published on 20/8/1980 acquiring a large extent of land. The award came to be made under Section 11 on 12/2/1986 and the compensation was paid. It has become final. The appellant filed the writ petition for direction for allotment of the land to her, a plot in lieu of the acquisition of her land under the policy framed by the government for allotting the plots to the oustees and as per the guidelines laid down by this court in State of U. P. v. Pista Devi.
(3.) Once the land is acquired and the acquisition has become final, the pre- existing right, title and interest held by the erstwhile owner ceases to exist and is divested and stands vested in the State and the beneficiary free from all encumbrances. The question is: Whether the erstwhile holder is entitled to the allotment of the sites The last paragraph of the policy connotes that: