LexSOMNATH CHAKRABORTY AND ANR. versus APPOLLO GLENEAGLES HOSPITALS LTD. & ORS.
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[2014] 8 S.C.R. 949 SOMNATH CHAKRABORTY AND ANR. v. APPOLLO GLENEAGLES HOSPITALS LTD. & ORS. (Civil Appeal Nos.6683-6684 of 2014) JULY 23, 2014 [FAKKIR MOHAMED IBRAHIM KALIFULLA AND A.K. SIKRI, JJ.] A B Urban Land (Ceiling & Regulation) Act, 1976 - s.10(3) - Compensation, utilization charges, interest and costs - Grant C of - 11.659 cottah of /and-locked land purportedly owned by appellants - Meanwhile the 1976 Act came into effect - Land notified u/s. 10(3) of the 1976 Act - State Government claimed the land as its property and handed over the same to first- Respondent Hospital on lease for 30 years with option for D renewal under lease deed dated 21. 06. 1991 - First- Respondent Hospital paid premium of Rs.94,41,300 - The lease deed also obligated payment of 10% of the said sum by way of annual lease rent - Writ petition filed by appellants challenging the Notification issued under the 1976 Act - E Allowed by Single Judge of High Court - Division Bench held that the hospital authority was not required to hand over actual physical pos~ession to the State before a final declaration, if any, was made uls.10(3); and further the hospital authority was obliged to compensate the respondents to the extent of the F land, if any allowed to be retained by them, by the competent authority under the 1976 Act and for the balance part of the land, the State was obliged to pay compensation - Appellants agreed to abide by the judgment of the Division Bench; and also no challenge thereto at the instance of First respondent- G Hospital or the State Government .; Competent Authority under the 1976 Act found that appellants wcfre not in possession of any surplus land - Held: In the circumstances, ;respondent-Hospital to bear entire compensation - It is liable 949 H 950 SUPREME COURT REPORTS [2014) 8 S.C.R. A to pay the following amounts in full and final settlement of all the claims of appellants in respect of the land in question admeasuring 11.66 (11.659) cottah: a) compensation towards value of land@ Rs.24,04, 188 per cottah for 11.66 (11.659) cottah which come'S to Rs.2,80,32,832; b) interest@ 2% p.a B for 23 years. which works out to Rs.1,28,95, 102; c) utilization charges@ Rs.21,500 p.a equal to Rs.4,94,500 and d) costs of Rs.5 lacs, thus in all amounting to a total of Rs.4, 19,22,434 rounded off to Rs. 4, 20, 00, 000. C CIVIL APPELLATE JURISDICTION : Civil Appeal Nos. 6683-6684 of 2014. D E From the Judgment and Order dated 08.12.2009 in FMA No. 2393 of 2005 and FMA 2411 of 2005 of the High Court of Calcutta. Chander Uday Singh, Ranjan Mukherjee, Pr.atap Venugopal, Meenakshi Chauhan, Gaurav Nair (For K. J. John & Co.,), Pijush K. Roy, Kakali Roy, Mithilesh Kumar Singh, Avijit Bhattacharjee for the appearing parties. The Judgment Order of the Court was delivered by FAKKIR MOHAMED IBRAHIM KALIFUL~, J. 1. Leave granted. F 2. These appeals are directed against a common judgment of the Division Bench of the Calcutta High Court passed in ~:M.A. No.2393 of 2005 and F.M.A. No.2411 of 2005 dated 08.12.2009. 3. To briefly narrate the facts, the appeals pertain to a G piece of land which is as on date in the possession of the first Respondent Appollo Gleneagles Hospitals Ltd. (hereinafter called "Appollo Hospitals"), which was originally owned by one Narayan Chandra Dutta. He stated to have sold the said lands to one Tilak Sundari Debi. Her title was confirmed after H SOMNATH CHAKRABORTY v. APPOLLO GLENEAGLES 951 HOSP. LTD. [FAKKIR MOHAMED IBRAHIM KALIFULLA, J.] prolonged litigation in the judgment of the High Court of Calcutta A dated 25.07.1986 in Second Appeal No. 384 of 1967. When the said litigation was pending, the heirs of late Tilak Sunderi Debi sold the said lands to the present Appellants who became the joint owners of the land consisting of 11 Katha 10 chitaks and 25 square feets, ill all 11.659 cottah of land. B 4. Be that as it may, the.Urban Land (Ceiling & Regulation) Act, 1976 (hereinafter referred to as "the Act") was brought into effectw.e.f. 17.02.1976. The civil litigation preferred by late Tilak Sundari Debi was resisted by one Orient Beverages Ltd. also known as Orient Properties Ltd. claiming to have acquired title C in respect of the said lands. At the time when proceedings under the Act were initiated, the said Orient Properties Ltd., pursuant to the notices issued under the said Act agreed to surrender the lands which was
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