Section 7 of The Requisitioning and Acquisition of Immovable Property Act, 1952
- (1)Where any property is subject to requisition, the Central Government may, if it is of opinion that it is necessary to acquire the property for a public purpose, at any time acquire such property by publishing in the Official Gazette a notice to the effect that the Central Government has decided to acquire the property in pursuance of this section: Provided that before issuing such notice, the Central Government shall call upon the owner of, or any other person who, in the opinion of the Central Government, may be interested in, such property to show cause why the property should not be acquired; and after considering the cause, if any, shown by any person interested in the property and after giving the parties an opportunity of being heard, the Central Government may pass such orders as it deems fit. 1 [(1A) Notwithstanding any judgment or order by a court or any other authority, setting aside a notice under sub-section (1) on the ground that the owner or any other person who may be interested in the property was not given adequate opportunity to show cause or personal hearing, the Central Government may re-issue the notice to the owner or such other person interested in the property, for the purpose of giving opportunity of being heard: Provided that where a notice is re-issued, the owner or such other person interested in the property shall be entitled to the same annual rate of interest, prevalent at any relevant time on the domestic fixed deposit offered by the State Bank of India, as defined under clause (g) of section 2 of the State Bank of India Act, 1955 (23 of 1955), on the compensation payable under this Act, from the date of publication of the first notice, till the final payment of the compensation under this Act: Provided further that any enhanced compensation with or without interest awarded by the court or other authority, before the date of commencement of the Requisitioning and Acquisition of Immovable Property (Amendment) Act, 2018, shall be subject to the re-issuance of a notice under this sub-section and shall be applicable only to the cases of land being acquired for national security and defence purpose: Provided also that in the cases, where the final award under this Act has been made any compensation thereof has been accepted by the owner or such other person interested in the property, before the commencement of the Requisitioning and Acquisition of the immovable Property (Amendment) Act, 2018, shall not be reopened.]
- (2)When a notice as aforesaid is published in the Official Gazette, the requisitioned property shall, on and from the beginning of the day on which the notice is so published, vest absolutely in the Central Government free from all encumbrances and the period of requisition of such property shall end.
- (3)No property shall be acquired under this section except in the following circumstances, namely:--
- (a)Where any works have, during the period of requisition, been constructed on, in or over, the property wholly or partially at the expense of the Central Government and the Government decides that the value of, or the right to use, such works should be secured or preserved for the purposes of Government; or
- (b)where the cost of restoring the property to its condition at the time of its requisition would, in the determination of the Central Government, be excessive and the owner declines to accept release from requisition of the property without payment of compensation for so restoring the property.
- (4)Any decision or determination of the Central Government under sub-section (3) shall be final and shall not be called in question in any Court.
- (5)For the purposes of clause (a) of sub-section (3) works includes buildings, structures and improvements of every description.
Summary
- The Central Government can permanently acquire a property that is currently under temporary requisition if they believe it is necessary for a public purpose.
- Before acquiring the property, the government must publish a notice in the Official Gazette, which is the official public journal.
- Before publishing the acquisition notice, the government must call upon the owner or other interested persons to show cause (explain) why it should not be acquired and give them an opportunity to be heard.
- If a court sets aside an acquisition notice because the owner was not given a proper hearing, the government can re-issue the notice, and the owner is entitled to an interest rate equal to the domestic fixed deposit rate offered by the State Bank of India from the date of the first notice until final payment of compensation.
- Once the acquisition notice is published, the property belongs completely (vests absolutely) to the Central Government free from all claims or encumbrances, and the temporary requisition period ends.
- Acquisition can only occur if the government built works (such as buildings or structures) on the property and wants to preserve them, or if the cost of restoring the property is excessive and the owner refuses to take it back without restoration compensation.
Practical examples
FAQ
1. What is the Official Gazette?
It is the official public journal of the government where notices, laws, and decisions are published to make them legally binding.
2. Can the owner challenge the government's decision that the cost of restoring the property is too high?
No, under this law, the decision of the Central Government regarding whether the restoration cost is excessive or whether works should be preserved is final and cannot be questioned in court.
3. What happens if the owner was not given a chance to speak before their property was acquired?
If a court cancels the acquisition because the owner did not get a fair hearing, the Central Government can re-issue the notice to give them a hearing. In this case, the owner is entitled to interest on their compensation at the State Bank of India domestic fixed deposit rate.
4. Are there any cases where an acquisition cannot be reopened after a notice is re-issued?
Yes, if a final award was made and the owner accepted the compensation before the 2018 amendment, the case cannot be reopened.
Test yourself
Q1.Under Section 7 of The Requisitioning and Acquisition of Immovable Property Act, 1952, in what way does the definition of "property" under Section 2 of the Act (which includes rights in or over immovable property) affect the Central Government's power to acquire requisitioned property?
Q2.Under Section 7 of The Requisitioning and Acquisition of Immovable Property Act, 1952, what is a necessary prerequisite before the Central Government can exercise its power to permanently acquire a property under this section?
Q3.Under Section 7 of The Requisitioning and Acquisition of Immovable Property Act, 1952, under what specific circumstance can the Central Government acquire a requisitioned property?
Q4.Under Section 7 of The Requisitioning and Acquisition of Immovable Property Act, 1952, what happens to the requisitioned property on and from the beginning of the day the acquisition notice is published in the Official Gazette?
Q5.Under Section 7 of The Requisitioning and Acquisition of Immovable Property Act, 1952, what interest rate is a property owner entitled to if a court sets aside an acquisition notice on the grounds of inadequate hearing, and the Central Government re-issues the notice?
Q6.Under Section 7 of The Requisitioning and Acquisition of Immovable Property Act, 1952, how are "works" defined for the purpose of acquiring property?
Q7.Under Section 7 of The Requisitioning and Acquisition of Immovable Property Act, 1952, if the cost of restoring a property to its original condition is excessive and the owner refuses to accept the property back without compensation for restoration, what can the Central Government do?