| Case ID |
09912499-d04c-4804-862d-68f42ff183b0 |
| Body |
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| Case Number |
Civil Appeals Nos. 1393 and 1496 of 1999 |
| Decision Date |
Jan 04, 2001 |
| Hearing Date |
Jan 04, 2001 |
| Decision |
The Supreme Court ruled that the impugned order granting compound interest at 8% per annum was in violation of the Land Acquisition Act, specifically Section 34, which mandates simple interest at 6%. The Court clarified that a void order does not attract limitation, and thus the previous order was set aside. The new order mandates the awarding of simple interest from the date of possession until payment is made. The Court emphasized the distinction between void and erroneous orders, concluding that the impugned order was a nullity in law. |
| Summary |
The case revolves around the interpretation of the Land Acquisition Act, specifically concerning the awarding of interest on compensation for acquired land. The Supreme Court examined the legality of an order that granted compound interest to certain landowners while denying it to others. The Court found that such an order violated the mandatory provisions of the Act, which only allowed for simple interest. This ruling underscored the principle that void orders are not subject to limitation, thus setting a precedent for similar future cases. The judgment reaffirms the importance of adhering to statutory provisions in land acquisition matters, ensuring equitable treatment of affected parties. Keywords include 'land acquisition', 'compound interest', 'legal precedent', 'Supreme Court ruling', and 'Pakistan law'. |
| Court |
Supreme Court of Pakistan
|
| Entities Involved |
Pakistan Oil Depot
|
| Judges |
MUHAMMAD BASHIR,
JEHANGIRI,
DEEDAR HUSSAIN SHAH
|
| Lawyers |
M. Younis Khan Tanoli, Advocate-General, N.-W.F.P.,
Haji M.A. Qayyum Mazhar, Advocate-on-Record
|
| Petitioners |
LAND ACQUISITION COLLECTOR, NOWSHERA
|
| Respondents |
SARFARAZ KHAN
|
| Citations |
2001 SLD 1369,
2001 PLD 514
|
| Other Citations |
Ali Muhammad v. Hussain Bakhsh PLD 1976 SC 37,
Ch. Altaf Hussain and others v. The Chief Settlement Commissioner PLD 1965 SC 68,
Mst. Rehmat Bibi and others v. Punnu Khan and others 1986 SCMR 962,
Malik Khawaja Muhammad and 24 others v. Marduman Babar Kahol and 29 others 1987 SCMR 1543,
Muhammad Shafi v. Mushtaque Ahmed through Legal Heirs and others 1996 SCMR 856
|
| Laws Involved |
Land Acquisition Act
|
| Sections |
34
|