LAND AND AGRICULTURAL LAW

INTERNAL CONTINUOUS EVALUATION

“DEMERITS OF REHABILITATION AND RESETTLEMENT BENEFITS AVAILABLE

UNDER NEW ACT”

Submitted to:
Dr. Hardik Parikh
Assistant Professor of Law
GNLU
Submitted by:
Shubham Phophalia
BA LLB, 16B153
Batch of 2016-21
GNLU

“TAKE ONLY WHAT YOU NEED AND LEAVE THE LAND AS YOU FOUND IT”

Submitted as a partial fulfilment as part of the course, ‘Land and Agricultural law’ under Semester IX.

1|Page
 LAND AND AGRICULTURAL LAW

INDEX

1. BACKGROUND OF THE NEW ACT…………………………………………….3

2. DEFICIENCIES IN LAND ACQUISITION ACT OF 1894………………………4
3. PURPOSE OF RFCTLAR&R ACT OF 2013……………………………………...5
4. PROVISIONS FOR REHABILITATION & RESETTLEMENT UNDER RFCTLAR&R ACT
OF 2013……………………………………………………………………………..6
5. BENEFITS UNDER REHABILITATION AND RESETTLEMENT……………..8
6. SHORTCOMINGS CUM DEMERITS…………………………………………….10
7. CONCLUSION……………………………………………………………………..12
8. REFERENCES……………………………………………………………………...13

2|Page
 LAND AND AGRICULTURAL LAW

CHAPTER:1
BACKGROUND OF THE NEW ACT

The RFCTLAR&R Act, 2013 is the Act that looks after acquisition of land by laying down rules
regarding granting of compensation, rehabilitation and resettlement to the affected people in those
regions. The Act also has provisions to supply fair compensation to those whose lands are removed,
bring transparency to the acquisition of land or buildings, infrastructural projects under Public or
Private Entities and ensures rehabilitation to those affected. The Act has established regulations for
land acquisition to draw in India's massive industrialization sector under the general public private
partnership.
Provision of public facilities or infrastructure often requires the exercise of legal powers by the state
under the principle of legal right for acquisition of personal property, resulting in involuntary
displacement of individuals , depriving them of their land, livelihood and shelter; restricting their
access to traditional resource base, and uprooting them from their sociocultural environment. These
have traumatic, psychological and socio-cultural consequences on the affected population which
involve protecting their rights, of the weaker sections of the society including members of the
Scheduled Castes, Scheduled Tribes, marginal farmers and women. Involuntary displacement of
individuals could also be caused by other factors also. There is imperative got to recognize
rehabilitation and resettlement issues as intrinsic to the event, process formulated with the active
participation of the affected persons, instead of as externally imposed requirements. The concern of
those people that are deprived of legal or recognized rights over the land on where they are critically
dependent for their routine subsistence is even bad.1 This involves a broader concerted effort on the
part of the planners to incorporate within the displacement, rehabilitation and resettlement process
framework not only those that directly lose land and other assets but also those that are suffering from
such acquisition of assets. This process does create issues that create difficulties for the such persons
to continue their earlier livelihood activities after resettlement. This requires thorough assessment of
those that faced economic disadvantages and having a certain social impact of displacement.
Accordingly, U.P.A(United Progressive Alliance) government brought in the new legislation, Right to
fair compensation and Transparency in land acquisition, Rehabilitation and Resettlement Act 2013 2,
with a view to provide for a good deal to the land owners who had suffered thanks to weak framework

1
'What Is 2013 Land Acquisition Act And Why Social Activists Filed A Petition Against State Amendments To The Law'
(India Today, 2018) <https://www.indiatoday.in/education-today/gk-current-affairs/story/what-is-2013-land-acquisition-
act-and-why-social-activists-filed-a-petition-against-state-amendments-to-the-law-1407978-2018-12-12> accessed 24
October 2020.
2
Ibid
3|Page
 LAND AND AGRICULTURAL LAW
of the Land Acquisition Act of 1894.

CHAPTER:2
DEFICIENCIES IN LAND ACQUISITION ACT OF 1894

(a) Threat to the landowners: - The Land Acquisition Act 1894 encouraged, forced land acquisitions.
As per the Land Acquisition Act 1894 once the acquiring authority decided to accumulate land, the act
provides for completing the acquisition stupidly for a flash about the problems, difficulties and
hardships encountered by Landowners.
(b) No Protection: - Lack of proper forum or mechanism by the Government to stall the forced land
acquisition, excepting a hearing U/s5A where there is no scope for a discussion or negotiations to
redress the sufferers and therefore the views expressed aren't taken seriously by the officers conducting
the hearing.3
(c) Rehabilitation & Resettlement: - The Land Acquisition Act 1894 is silent regarding the efforts for
Rehabilitation and Resettlement of those displaced by the acquisition.
(d) ‘Urgent Need’: - This parameter became too controversial and witnessed a great criticism from all
the facets of society. This clause is silent on truth and proper definitions of urgent need and such the
authority exercised discretionary powers with no proper and justified grounds that resulted in various
land acquisitions taking place under the head of this clause by not following the principles of natural
justice and law of equity.
(e) Disparity in Compensation: - Even while fixing the rates of compensation for the land acquired no
justification was made as the rates never matched the prevailing rates which should have been more
appropriate, logically correct and acceptable within the normal course without giving any scope for
arbitrariness.4

3
'Land Acquisition Law In India' (Issues and Challenges in India, 2012)
<https://socialissuesindia.wordpress.com/2012/09/07/land-acquisition-law-in-india/> accessed 24 October 2020.
4
Ibid
4|Page
 LAND AND AGRICULTURAL LAW

CHAPTER:3
PURPOSE OF RFCTLAR&R ACT OF 2013

The primary objective of the Act was to get fair compensation, through R &R of those affected,
adequate safeguards for their well-being and completes transparency in the process of land acquisition.
The most important features of the Act were:5
1. The Consent of 80% landowners concerned was needed for acquiring land for private projects and
70% landowners for public private projects (P.P.P).
2. The phrase “Public Purpose” was ignored altogether in Land Acquisition Act (L.A.A) 1894 was
restricted to such allied purposes like infrastructural projects, planned development or improvement of
village or urban sites or residential purpose for the weaker sections of the society and accordingly for
persons those who are residing in areas that witnessed natural calamities or are displaced.
3. Compensation was increased by as much as 4 times the current market value in rural areas and 2
times in urban locality.
4. The package concerning Rehabilitation and resettlement for families affected are with various
additional benefits to SC & ST families.

5
'All You Wanted To Know About New Land Acquisition Bill' (mint, 2013)
<https://www.livemint.com/Politics/FXZ9CrJApxRowyzLd8mb2O/All-you-wanted-to-know-about-new-land-acquisition-
Bill.html> accessed 24 October 2020.
5|Page
 LAND AND AGRICULTURAL LAW

CHAPTER:4
PROVISIONS FOR REHABILITATION & RESETTLEMENT UNDER RFCTLAR&R ACT
OF 2013

Under Section 31, the Collector shall pass Rehabilitation and Resettlement Awards for each affected
family in terms of the entitlements provided in the Second Schedule.
 The Rehabilitation and Resettlement Award shall include all of the following, namely:—
(a)Rehabilitation and resettlement amount payable to the family; (b) The said amount that is to be
transferred to the bank account number; (c)In case of disputed families, the particulars of house site
and related details thereto; (d)Particulars of the said land that has been allotted to the displaced
families; (e)Necessary details of subsistence and transportation allowance if in case there is any
disputed family involved; (f)If in case there is any cattle shed or peddle shop, then its related
particulars; (g)Particulars of one-time amount to artisans and little traders; (h)Details of mandatory
employment to be provided to the members of the affected families; (i)If any fishing rights are
involved, then its details; (j)Details of annuity and other necessary entitlements to be needed; (k)If any
SC/ST are involved, then their required particulars.
Under Section 32, in every resettlement area, the Collector shall make sure the provision of all
infrastructural facilities and basic minimum amenities laid out in the Third Schedule.6
Section 35 gives power to Collector for summoning and enforcing attendance of witnesses and
compelling production of documents through same means, and in the same manner as is given under
Code of Civil Procedure, 1908(5of1908).7
Under Section 36, the acceptable Government may at any time before the award is formed by the
Collector under section 30 involve any record of any proceedings for the purpose of satisfying itself on
the legality or propriety of any findings or order passed or on the regularity of such proceedings and
should pass such order or issue such direction in relation there to because it might imagine fit.8
(Provided that the acceptable Government shall not pass or issue any order or direction prejudicial to a
person without affording such person an inexpensive opportunity of being heard)
Under Section37, the Collector declares the final award.9
Under Section 38, the Collector has the facility to require possession of land to be acquired.10
Under Section 3911, the Collector shall not displace any family which has already been displaced by

6
LARR Act 2013, s 32.
7
LARR Act 2013, s 35.
8
LARR Act 2013, s 36.
9
LARR Act 2013, s 37
10
LARR Act 2013, s 38.
11
LARR Act 2013, s 39.
6|Page
 LAND AND AGRICULTURAL LAW
the acceptable Government for the aim of acquisition under the provisions of this Act, and if so
displaced, shall pay a further compensation like that of the compensation determined under this Act for
the second or successive displacements.
Under Section 40 there are Special powers just in case of urgency to accumulate land in certain
cases.12
Under Section 42, Reservation and other benefits available to the Scheduled Tribes and therefore the
Scheduled Castes within the affected are as shall continue within the resettlement area.13

12
LARR Act 2013, s 40.
13
LARR Act 2013, s 42.
7|Page
 LAND AND AGRICULTURAL LAW
CHAPTER:5
BENEFITS UNDER REHABILITATION AND RESETTLEMENT

 Houses: - All affected families are entitled to a house provided they need been residing in a
neighborhood for five years or more and are displaced. But if they refused for the said house, then they
are offered a onetime financial grant in its substitution.
 Employment or Annuity: - All the affected families are given a choice of annuity or employment.
1.If there is insufficient employment, then they will be entitled to a onetime grant of Rs5,00,000 being
restricted to a single family at a point of time. 2. Alternatively, they will be provided with an annuity
payment of Rs 2,000 per month per family for 20 years, subject to inflation. 3. Subsistence Allowance:
All affected families which are displaced from the land acquired shall tend a monthly subsistence
allowance, like Rs 3,000/- per month for a period of one year from the date of the award. 4. All the
affected families also are given training and skill development alongside providing employment. 5. All
the affected families are given multiple monetary benefits like transport allowance of Rs 50,000/- and
Resettlement allowance of Rs 50,000/- 6. One-time financial assistance: - Each affected family of an
artisan, small trader or freelance shall get one-time financial assistance of such amount because the
appropriate government may by notification specify subject to a minimum of Rs 25,000/-.14
 If there is any case w.r.t construction of irrigation or hydroelectric projects, then the required R & R
needs to be completed six months prior to usage of same lands for the specified purpose.
 Possession: - The Collector will proceed for the possession of the said land after confirming that the
complete payment in the form of enshrined benefits are paid within time frame of 3 months. But what
needs to be taken care is to first get the alternative R & R site ready for those affected people and then
only displace them as per the law.
 Schedule Two of the new Act provides for R&R benefits to be enshrined upon the affected
families. In case of irrigation projects, as far as possible, each affected family is proposed to tend one
acre of land within the command area. Persons belonging to SC or ST and losing their land are going
to be provided two and a one-half acre of the land. If the land is acquired for urbanization purpose,
one-fifth of the developed land are going to be reserved and offered to the land losers. Mandatory
employment to a minimum of one member per affected family. If it's impossible, then onetime
payment of rupees five lakhs per affected family or annuity policy that pays rupees two thousand per
month per family for twenty years.15
 W.r.t the above mentioned benefits, an additional R & R Package is also provided wherein a
Choice of employment or Rs 5 lakhs or Rs 2000 per month for 20 years is given accordingly.

14
'Detailed Analysis Of Land Acquisition Act I LARR Act, 2013' (Jatin Verma's IAS Academy, 2019)
<https://www.jatinverma.org/detailed-analysis-of-land-acquisition-act> accessed 24 October 2020.
15
Ibid
8|Page
 LAND AND AGRICULTURAL LAW

CHAPTER:6

9|Page
 LAND AND AGRICULTURAL LAW
SHORTCOMINGS CUM DEMERITS

The new Act was laid down in response to the old archaic system of land acquisition and its lack of
public relatedness, but it has quite often exacerbated the issues and problems instead of resolving it as
the demerits required to be seen from both the sides, i.e. from business’s point of view and
farmers/families point of view.
1. The procedure for land acquisition is very infeasible and quite complex as it takes a
considerable amount of time in acquiring the land which would make it virtually long enough
to take off a project as the project clearances are linked with red - tapism, and at the same time
it is also burdensome to the families as the procedure if goes long will automatically create a
burden on them as to whether they have to look for some other viable area or property and
accordingly asking for certain monetary arrangements in the form of compensation which
would then take a long amount of time because of complex period.
2. As there are large number of landowners involved in certain cases, so therefore the agreement
between them and corporate houses takes place orally having no legality involved therein, and
therefore such practice makes it difficult to claim R & R benefits.
3. Huge absence of any documentary data or evidence for proving that such families have been
domiciled in that affected area in preceding 3 years or their primary source of livelihood is
derived from that acquired land, and thus their verification becomes possible only through
ground verification.
4. Failure on the part of Social Impact Assessment teams to collect the real and original data
concerning such dependant displaced families during the field survey.
5. Past reports have given this hypothesis that there is a lack of intent on the part of acquiring
bodies to extend such benefits as seen in the previous chapter to concerned families even after
gathering all details from R & R Administrator.
6. The Act doesn’t specify for depositing monetary component of R & R in the joint account of
Husband & Wife.
7. The cash compensation for the land is often received by the men which thereby undermines
women empowerment and having adverse gender impacts by accentuating women’s financial
dependence on men.
8. Also the tillers of the land are mostly tenants of absentee landlord who pockets the
compensation, and same goes the case with landless cultivators working on government land
that may not get compensation.
9. Many private companies often resort to illegal ways by circumventing the mandatory “Prior
Consent” clause by positioning brokers to purchase such lands in advance.

10 | P a g e
 LAND AND AGRICULTURAL LAW
10. The so called “Public Purpose” has been progressively enlarged which many-a-times includes
land for corporate and private companies purpose or projects thereby undermining the many
essence of this Act.

CHAPTER:7
11 | P a g e
 LAND AND AGRICULTURAL LAW
CONCLUSION

It can be seen that in order to prevent the exploitation of landowners, the legislature has failed to
evaluate and re-consider the viability of the overall mechanism that this Act seemed to create for land
acquisition.
No doubt that the current RFCTLAR&R Act needs to be applauded for recognizing rights of
livelihood-dependent families, but at the same time the discretionary approach of “appropriate
government” on whether to extend upon R & R benefits to livelihood users and to what extend
signified a complete setback even after so much deliberations on such law. At the same time, it is not
the progressive legislation in terms of protecting and ensuring women’s property rights.
Therefore, the Act though a remarkable step in providing just and equitable compensation to farmers,
had failed through its provisions by not making such displaced people an important part of
development in life changing moments.

CHAPTER:8

12 | P a g e
 LAND AND AGRICULTURAL LAW
REFERENCES

Acts:
1. Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and
Resettlement Act, 2013.

Websites:
1. 'Detailed Analysis Of Land Acquisition Act I LARR Act, 2013' (Jatin Verma's IAS Academy,
2019) <https://www.jatinverma.org/detailed-analysis-of-land-acquisition-act> accessed 24
October 2020.
2. 'All You Wanted To Know About New Land Acquisition Bill' (mint, 2013)
<https://www.livemint.com/Politics/FXZ9CrJApxRowyzLd8mb2O/All-you-wanted-to-know-
about-new-land-acquisition-Bill.html> accessed 24 October 2020.
3. 'Land Acquisition Law In India' (Issues and Challenges in India, 2012)
<https://socialissuesindia.wordpress.com/2012/09/07/land-acquisition-law-in-india/> accessed
24 October 2020.
4. 'What Is 2013 Land Acquisition Act And Why Social Activists Filed A Petition Against State
Amendments To The Law' (India Today, 2018) <https://www.indiatoday.in/education-
today/gk-current-affairs/story/what-is-2013-land-acquisition-act-and-why-social-activists-filed-
a-petition-against-state-amendments-to-the-law-1407978-2018-12-12> accessed 24 October
2020.

13 | P a g e