In a landmark ruling that could have significant repercussions for land acquisition in Navi Mumbai and beyond, the Bombay High Court has determined that the City and Industrial Development Corporation’s (CIDCO) 22.5% developed land return scheme is optional, rather than mandatory for landowners.
If landowners do not consent to the acquisition under this scheme, CIDCO or any authority seeking land for public use must adhere to the procedures outlined in the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement (LARR) Act, 2013, and Section 126 of the Maharashtra Regional and Town Planning (MRTP) Act.
According to the order issued on September 25, administrative policies cannot supersede statutory rights, reinforcing that landowners are entitled to compensation, rehabilitation, and resettlement as guaranteed by law.
“If CIDCO requires the land in question, it can proceed according to legal procedures… All arguments from both sides on this matter are explicitly preserved,” the court stated, emphasizing that CIDCO must either finalize the acquisition within the legally stipulated timeframe or relinquish the land.
Citing Section 108 of the LARR Act, 2013, the court clarified that the developed land return scheme, which offers landowners 22.5% of their acquired land in a developed state, is merely an optional choice. Should landowners opt out, CIDCO is obligated to continue with the acquisition and provide full monetary compensation as mandated by law.
Industry experts believe this ruling could transform land acquisition practices in the Navi Mumbai Airport Influence Notified Area (NAINA) and developments surrounding the Navi Mumbai International Airport (NMIA), which have witnessed disputes over land pooling and compensation issues.
This decision reaffirms fundamental legal principles enshrined in Section 108 of the LARR Act, Section 126 of the MRTP Act, and Article 300A of the Constitution, which safeguards property rights. It is anticipated to act as a precedent for ongoing and future land acquisition cases across Maharashtra.
