the coal bearing areas acquisition and development act arrangement of sections sections short title extent and commencement definitions appointment of competent authority preliminary notification respecting intention to prospect for coal in any area and powers of competent authorities thereupon effect of notification on prospecting licences and mining leases compensation for any necessary damage done under section power to acquire land or rights in or over land notified under section objections to acquisition declaration of acquisition a special powers in cases of urgency vesting of land or rights in central government power of central government to direct vesting of land or rights in a government company power to take possession of land acquired compensation for prospecting licences ceasing to have effect rights under mining leases being acquired etc method of determining compensation costs interest on awards payment of compensation prospecting and mining to be done by central government in conformity with the mineral concession rules a payment to state governments in lieu of royalty power to delegate appeals power to obtain information power to enter and inspect penalties service of notices and orders protection of action taken in good faith jurisdiction of civil courts power to make rules notifications under act of in which proceedings are pending to be treated as notifications under this act the coal bearing areas acquisition and development act act no of th june an act to establish in the economic interest of india greater public control over the coal mining industry and its development by providing for the acquisition by the state of unworked land containing or likely to contain coal deposits or of rights in or over such land for the extinguishment or modification of such rights accruing by virtue of any agreement lease licence or otherwise and for matters connected therewith be it enacted by parliament in the eighth year of the republic of india as follows short title extent and commencement this act may be called the coal bearing areas acquisition and development act it extends to the whole of india except the state of jammu and kashmir it shall come into force on such date as the central government may by notification in the official gazette appoint definitionsin this act unless the context otherwise requires a competent authority means any person appointed to be a competent authority under section b government company means a government company as defined in section of the companies act of in which any land or rights in or over land shall have vested under section c mineral concession rules means the rules for the time being in force made under the mines and minerals regulation and development act of cc mining lease includes a mining sublease and lessee shall be construed accordingly d the expression person interested includes all persons claiming an interest in compensation to be made on account of the acquisition of land or of the acquisition extinguishment or modification of any rights in or over land under this act e prescribed means prescribed by rules made under this act f tribunal means the tribunal constituted under section appointment of competent authoritythe central government may by notification in the official gazette appoint any person to be the competent authority for the purposes of this act and different persons may be appointed as competent authorities for different provisions of this act and for different areas preliminary notification respecting intention to prospect for coal in any area and powers of competent authorities thereupon whenever it appears to the central government that coal is likely to be obtained from land in any locality it may by notification in the official gazette give notice of its intention to prospect for coal therein every notification under subsection shall give a brief description of the land and state its approximate area on the issue of a notification under subsection it shall be lawful for the competent authority and for his servants and workmen a to enter upon and survey any land in such locality b to dig or bore into the subsoil th june vide notification no sro e dated th june see gazette of india extraordinary part ii sec i ins by act of s wef vide notification no so e dated th october this act is made applicable to the union territory of jammu and kashmir and the union territory of ladakh c to do all other acts necessary to prospect for coal in the land d to set out the boundaries of the land in which prospecting is proposed to be done and the intended line of the work if any proposed to be made thereon e to mark such boundaries and line by placing marks and f where otherwise the survey cannot be completed and the boundaries and line marked to cut down and clear away any part of any standing crop fence or jungle provided that no person shall enter into any building or upon any enclosed court or garden attached to a dwelling house unless with the consent of the occupier thereof without previously giving such occupier at least seven days notice in writing of his intention to do so in issuing a notification under this section the central government shall exclude therefrom that portion of any land in which coal mining operations are actually being carried on in conformity with the provisions of any enactment rule or order for the time being in force or any premises on which any process ancillary to the getting dressing or preparation for sale of coal obtained as a result of such operations is being carried on are situate effect of notification on prospecting licences and mining leaseson the issue of a notification under subsection of section in respect of any land a any prospecting licence which authorises any person to prospect for coal or any other mineral in the land shall cease to have effect and b any mining lease shall in so far as it authorises the lessee or any person claiming through him to undertake any operation in the land cease to have effect for so long as the notification under that subsection is in force compensation for any necessary damage done under section whenever any action of the nature described in subsection of section is to be taken the competent authority shall before or at the time such action is taken pay or tender payment for all necessary damage which is likely to be caused and in case of dispute as to the sufficiency of the amount so paid or tendered or as to the person to whom it should be paid or tendered he shall at once refer the dispute to the decision of the central government and the decision of the central government shall be final the fact that there exists any such dispute as is referred to in this section shall not be a bar to action under subsection of section power to acquire land or rights in or over land notified under section if the central government is satisfied that coal is obtainable in the whole or any part of the land notified under subsection of section it may within a period of two years from the date of the said notification or within such further period not exceeding one year in the aggregate as the central government may specify in this behalf by notification in the official gazette give notice of its intention to acquire the whole or any part of the land or of any rights in or over such land as the case may be if no notice to acquire the land or any rights in or over such land is given under subsection within the period allowed thereunder the notification issued under subsection of section shall cease to have effect on the expiration of three years from the date thereof objections to acquisition any person interested in any land in respect of which a notification under section has been issued may within thirty days of the issue of the notification object to the acquisition of the whole or any part of the land or of any rights in or over such land subs by act of s for granted to any person under the mineral concession rules which authorises him wef the words granted to any person under the mineral concession rules omitted by s ibid wef explanationit shall not be an objection within the meaning of this section for any person to say that he himself desires to undertake mining operations in the land for the production of coal and that such operations should not be undertaken by the central government or by any other person every objection under subsection shall be made to the competent authority in writing and the competent authority shall give the objector an opportunity of being heard either in person or by a legal practitioner and shall after hearing all such objections and after making such further inquiry if any as he thinks necessary either make a report in respect of the land which has been notified under subsection of section or of rights in or over such land or make different reports in respect of different parcels of such land or of rights in or over such land to the central government containing his recommendations on the objections together with the record of the proceedings held by him for the decision of that government for the purposes of this section a person shall be deemed to be interested in land who would be entitled to claim an interest in compensation if the land or any rights in or over such land were acquired under this act declaration of acquisition when the central government is satisfied after considering the report if any made under section that any land or any rights in or over such land should be acquired a declaration shall be made by it to that effect and different declarations may be made from time to time in respect of different parcels of any land or of rights in or over such land covered by the same notification under subsection of section irrespective of whether one report or different reports has or have been made wherever required under subsection of section provided that no declaration in respect of any particular land or rights in or over such land covered by a notification under subsection of section issued after the commencement of the coal bearing areas acquisition and development amendment and validation act of shall be made after the expiry of three years from the date of the said notification provided further that where a declaration relates to any land or to any rights in or over land belonging to a state government which has or have not been leased out no such declaration shall be made except after previous consultation with the state government every declaration shall be published in the official gazette and a in any case where land is to be acquired shall state the district or other territorial division in which the land is situate and its approximate area and where a plan shall have been made of the land the place where such plan may be inspected b in any case where rights in or over such land are to be acquired shall state the nature and extent of the rights in addition to the matters relating to the land specified in clause a and a copy of every such declaration shall be sent to the state government concerned a special powers in cases of urgencyif the central government is satisfied that it is necessary to acquire immediately the whole or any part of the land notified under subsection of section or any rights in or over such land the central government may direct that the provisions of section shall not apply and if it does so direct a declaration may be made under section in respect thereof at any time after the issue of the notification under section vesting of land or rights in central government on the publication in the official gazette of the declaration under section the land or the rights in or over the land as the case may be shall vest absolutely in the central government free from all encumbrances subs by act of s for certain words wef ins by s ibid wef subs by s ibid for provided that where the declaration wef subs by s ibid for the declaration wef ins by act of s wef ins by s ibid wef where the rights under any mining lease granted or deemed to have been granted by a state government to any person are acquired under this act the central government shall on and from the date of such vesting be deemed to have become the lessee of the state government as if a mining lease under the mineral concession rules had been granted by the state government to the central government the period thereof being the entire period for which such a lease could have been granted by the state government under those rules power of central government to direct vesting of land or rights in a government company notwithstanding anything contained in section the central government may if it is satisfied that a government company is willing to comply or has complied with such terms and conditions as the central government may think fit to impose direct by order in writing that the land or the rights in or over the land as the case may be shall instead of vesting in the central government under section or continuing to so vest vest in the government company either on the date of publication of the declaration or on such other date as may be specified in the direction where the rights under any mining lease acquired under this act vest in a government company under subsection the government company shall on and from the date of such vesting be deemed to have become the lessee of the state government as if a mining lease under the mineral concession rules had been granted by the state government to the government company the period thereof being the entire period for which such a lease could have been granted by the state government under those rules and all the rights and liabilities of the central government in relation to the lease or the land covered by it shall on and from the date of such vesting be deemed to have become the rights and liabilities of the government company power to take possession of land acquiredthe competent authority may by notice in writing require any person in possession of any land acquired under this act to surrender or deliver possession of the land within such period as may be specified in the notice and if a person refuses or fails to comply with any such notice the competent authority may enter upon and take possession of the land and for that purpose may use or cause to be used such force as may be necessary compensation for prospecting licences ceasing to have effect rights under mining leases being acquired etc where a prospecting licence ceases to have effect under section there shall be paid to the person interested compensation the amount of which shall be a sum made up of all items of reasonable and bona fide expenditure actually incurred in respect of the land that is to say i the expenditure incurred in obtaining the licence ii the expenditure if any incurred in respect of the preparation of maps charts and other documents relating to the land the collection from the land of cores or other mineral samples and the due analysis thereof and the preparation of any other relevant records or material iii the expenditure if any incurred in respect of the construction of roads or other essential works on the land if such roads or works are in existence and in a usable condition iv the expenditure if any incurred in respect of any other operation necessary for prospecting carried out in the land where the rights under a mining lease are acquired under this act there shall be paid to the person interested compensation the amount of which shall be a sum made up of the following items namely i if the lease was granted after prospecting operations had been carried out in respect of the land under a prospecting licence the sum of all items of reasonable and bona fide expenditure actually incurred with respect to the matters specified in clauses i ii iii and iv of subsection before the date of the lease subs by act of s for granted by a state government wef provided that where two or more leases had been granted in relation to any land covered previously by one prospecting licence only so much of the expenditure aforesaid as bears to the total expenditure the same proportion as the area under the mining lease in respect of which the rights have been acquired bears to the total area covered by the mining leases shall be payable under this clause ii any reasonable and bona fide expenditure of the nature referred to in clauses i ii and iii of subsection actually incurred in relation to the lease together with the salami if any paid for obtaining the lease iii the expenditure if any incurred by way of payment of deadrent or minimum royalty during any year or years when there was no production of coal iv interest on any such expenditure referred to in clauses i ii and iii as has actually been incurred up to the year in which the rights under the lease are acquired interest being calculated in the following manner that is to say interest at the rate of five per centum per annum in respect of the expenditure incurred during each calendar year for the first five years commencing from the year in which such expenditure was incurred plus interest at the rate of four per centum per annum in respect of each subsequent year after the expiration of the first five years and ending with the year in which the rights under the lease are acquired provided that the total sum payable under this clause shall not exceed onehalf of the total amount referred to in clauses i ii and iii where the rights under a mining lease acquired under section relate only to a part of the land covered by the mining lease the amount of compensation payable shall be such as bears to the total compensation which would have been payable if the rights of the mining lessee in respect of the entire land had been acquired the same proportion which the area of the land in respect of which the rights are acquired bears to the total area of the land covered by the mining lease where a mining lease ceases to have effect for any period under clause b of section there shall be paid by way of compensation for the period during which the lease so ceased to have effect a sum equivalent to five per centum of any such expenditure as is referred to in clauses i and iii of subsection for each year during which the lease remains suspended where any land is acquired under section there shall be paid compensation to the person interested the amount of which shall be determined after taking into consideration a the market value of the land at the date of the publication of the notification under subsection of section explanationthe value of any minerals lying in the land shall not be taken into consideration in determining the market value of any land b the damage sustained by the person interested by reason of the taking of any standing crops or trees which may be on the land at the time of the taking possession thereof c the damage if any sustained by the person interested at the time of taking possession of the land by reason of severing such land from other land d the damage if any sustained by the person interested at the time of taking possession of the land by reason of the acquisition injuriously affecting his other immovable property in any other manner or his earnings e if in consequence of the acquisition of the land the person interested is compelled to change his residence or place of business the reasonable expenses if any incidental to such change and subs by act of s for during the period commencing from the date of the lease and ending with wef subs by s ibid for clauses ii and iii wef f the damage if any bona fide resulting from diminution of the profits of the land between the time of the publication of the notification under subsection of section and the time of the publication of the declaration under subsection of section a in determining the amount of compensation for any land acquired under section any increase to the value of the other land of the person interested likely to accrue from the use to which the land acquired will be put shall not be taken into consideration where any operation carried on by or on behalf of the central government in the exercise of any powers conferred by this act causes or is likely to cause damage to the surface of any land or any works thereon and in respect thereof no provision for compensation is made elsewhere in this act the competent authority shall pay or tender payment for all such damage and in case of dispute as to the sufficiency of the amount so paid or tendered or as to the person to whom it is to be paid or tendered he shall refer the dispute to the decision of the tribunal no compensation under this section in relation to maps charts and other documents shall be paid unless the person to whom it is payable has delivered to the prescribed authority all the maps charts and other documents method of determining compensation where the amount of any compensation payable under this act can be fixed by agreement it shall be paid in accordance with such agreement where no such agreement can be reached the central government shall constitute a tribunal consisting of a person who is or has been or is qualified to be a judge of a high court for the purpose of determining the amount the central government may in any particular case nominate a person having expert knowledge in mining to assist the tribunal and where such nomination is made the person or persons interested may also nominate any other person for the same purpose at the commencement of the proceedings before the tribunal the central government and the person interested shall state what in their respective opinions is a fair amount of compensation the tribunal shall after hearing the dispute make an award determining the amount of compensation which appears to it to be just and specify the person or persons to whom the compensation shall be paid and in making the award the tribunal shall have regard to the circumstances of each case and to the foregoing provisions of this act with respect to the manner in which the amount of compensation shall be determined in so far as the said provisions or any of them may be applicable where there is a dispute as to the person or persons entitled to compensation and the tribunal finds that more persons than one are entitled to compensation it shall apportion the amount thereof among such persons and in such manner as it thinks fit nothing in the arbitration act of shall apply to any proceedings under this section the tribunal in the proceedings before it shall have all the powers which a civil court has while trying a suit under the code of civil procedure of in respect of the following matters namely i summoning and enforcing the attendance of any person and examining him on oath ii requiring the discovery and production of any document iii reception of evidence on affidavits iv requisitioning any public record from any court or office and v issuing commissions for examination of witnesses costsevery award made by the tribunal shall also state the amount of costs incurred in the proceedings before it and by what persons and in what proportions they are to be paid ins by act of s wef ins by s ibid wef interest on awardsif the sum which in the opinion of the tribunal ought to have been awarded as compensation is in excess of the sum which the central government has stated to be a fair amount of compensation the award of the tribunal may direct that the central government shall pay interest on such excess at the rate of five per centum per annum from the date on which it became payable to the date of payment of such excess payment of compensation any compensation payable under this act may be tendered or paid to the persons interested entitled thereto and the central government shall pay it to them unless prevented by some one or more of the contingencies mentioned in subsection if the persons interested entitled thereto shall not consent to receive it or if there be any dispute as to the sufficiency of the amount of compensation or the title to receive it or the apportionment thereof the central government shall deposit the amount of compensation with the tribunal provided that any person admitted to be interested may receive such payment under protest as to the sufficiency of the amount provided further that every person who claims to be an interested person whether such person has been admitted to be interested or not including the person referred to in the preceding proviso shall be entitled to prefer a claim for compensation before the tribunal provided also that no person who has received the amount otherwise than under protest shall be entitled to prefer any such claim before the tribunal when the amount of compensation is not paid or deposited as required by this section the central government shall be liable to pay interest thereon at the rate of five per centum per annum from the time the compensation became due until it shall have been so paid or deposited prospecting and mining to be done by central government in conformity with the mineral concession ruleswhere prospecting is done under this act by or on behalf of the central government in any land situate within the jurisdiction of a state government or where the central government or a government company has become the lessee of a state government in respect of any land under this act the terms and conditions under which the prospecting can be done or rights under the lease exercised shall as far as may be be the same as the terms and conditions applicable to prospecting licences and mining leases under the mineral concession rules and in case of doubt or dispute shall be settled by arbitration or in such other manner as the central government and the state government may decide a payment to state governments in lieu of royaltynotwithstanding anything contained in this act where any land or any rights in or over land belonging to a state government other than the rights under a mining lease granted or deemed to have been granted by the state government to any person vest in the central government under section or in a government company under section the central government or the company as the case may be may pay to the state government such sum of money as would have been payable as royalty by a lessee had such land or rights been under a mining lease granted by the state government power to delegatethe central government may by notification in the official gazette direct that all or any of the powers or duties which may be exercised or discharged by it under this act shall in such circumstances and under such conditions if any as may be specified in the notification be exercised or discharged also by any person specified in this behalf in the notification and any such person may with the previous approval of the central government by order in writing direct that any power or duty which has been directed to be exercised or discharged by him shall in such circumstances and under such conditions if any as may be specified in the direction be exercised or discharged by any such person subordinate to him as may be specified therein subs by act of s for the second proviso wef ins by s ibid wef appeals any person aggrieved by any award of the tribunal under section may within thirty days from the date of such award prefer an appeal to the high court within whose jurisdiction the land or some portion of the land which has been acquired or the land or some portion of the land covered by a prospecting licence or by a mining lease in respect of which mining rights have been acquired is situate any person aggrieved by an order made by a competent authority or by any other person in virtue of any powers exercisable by him under this act may within twentyone days from the date of the order prefer an appeal to the central government on receipt of an appeal under subsection the central government may after calling for a report from the competent authority of person concerned and giving an opportunity to the parties to be heard and after making such further inquiry as may be necessary pass such orders as it thinks fit and the order of the central government shall be final where an appeal is preferred under subsection the central government may stay the enforcement of the order of the competent authority or person concerned for such period and on such conditions as it thinks fit power to obtain informationthe central government or any person authorised in writing by it in this behalf may by order in writing require any person to furnish to such authority as may be specified in the order such information in his possession as may be required relating to any property in respect of which action is proposed to be taken under this act power to enter and inspectthe competent authority or any person authorised in writing by it in this behalf by general or special order may enter and inspect any property for the purpose of determining whether and if so in what manner an order under this act should be made in relation to any property or with a view to securing compliance with any order made under this act penaltieswhoever wilfully obstructs any person in doing any of the acts authorised by subsection of section or wilfully fills up destroys damages or displaces any mark made under section or wilfully obstructs the lawful exercise of any other power conferred by or under this act or fails to comply with any order made or direction given under this act shall be punishable with imprisonment which may extend to six months or with fine which may extend to one thousand rupees or with both service of notices and orderssubject to any rules that may be made under this act every notice or order issued or made under this act shall a in the case of a notice or order of a general nature or affecting a number of persons be notified in the official gazette and also published in the locality in such manner as may be prescribed and b in the case of a notice or order directed to an individual be served on such individual i wherever it is practicable to do so by delivering or tendering it to that individual or ii if it cannot be so delivered or tendered by affixing it on the door or some other conspicuous part of the residence in which that individual lives and a written report thereof shall be prepared and witnessed by two persons living in the neighbourhood or iii failing service by these means by post protection of action taken in good faith no suit prosecution or other legal proceeding shall lie against the central government or any person for anything which is in good faith done or intended to be done in pursuance of this act or any rule or order made thereunder ins by act of s and the second schedule wef no suit or other legal proceeding shall lie against the central government or the competent authority or any other person for any damage caused or likely to be caused by anything which is in good faith done or intended to be done in pursuance of this act or any rule or order made thereunder jurisdiction of civil courtssave as otherwise expressly provided in this act no civil court shall have jurisdiction in respect of any matter which the central government or the competent authority or any other person is empowered by or under this act to determine power to make rules the central government may by notification in the official gazette make rules for carrying out the purposes of this act in particular and without prejudice to the generality of the foregoing power such rules may provide for all or any of the following matters namely a the procedure to be followed in making any inquiry under this act b the procedure to be followed by the tribunal in proceedings under section c the form and manner in which appeals to the central government may be made under this act and d any other matter which has to be or may be prescribed every rule made by the central government under this act shall be laid as soon as may be after it is made before each house of parliament while it is in session for a total period of thirty days which may be comprised in one session or in two or more successive sessions and if before the expiry of the session immediately following the session or the successive sessions aforesaid both houses agree in making any modification in the rule or both houses agree that the rule should not be made the rule shall thereafter have effect only in such modified form or be of no effect as the case may be so however that any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule notifications under act of in which proceedings are pending to be treated as notifications under this act every notification issued before the commencement of this act whether by the central government or by a state government under section of the land acquisition act of hereinafter referred to as the said act in which lands were stated to be needed for the prospecting of coal seams for the development of collieries to be worked by the union of india shall be deemed to have been issued by the central government under section of this act as if this act had been in force on the date of the notification every notification issued before the commencement of this act whether by the central government or by a state government under section of the said act in which lands were stated to be needed for the development of coal shall be deemed to have been issued under section of this act as if this act had been in force on the date of the notification any objection preferred under section a of the said act in respect of any land covered by any notification issued under section of the said act shall be deemed to be an objection preferred under section of this act to the relevant competent authority and may be disposed of by him as if the objection had been made in relation to a notification issued under section of this act in respect of such land or of any rights in or over such land and the central government may at any time make a declaration under section of this act in respect of the land or any part thereof or any rights in or over such land or part subs by act of s and the schedule for subsection wef subs by act of s for disposed of by him accordingly wef subs by act of s for certain words wef a where in respect of any land covered by any notification issued under section of the said act no objection has been preferred under section a thereof within the period specified in that section then it shall be deemed that a notification had been issued under section of this act in respect of such land or of any rights in or over such land and that no objection to the acquisition of the land or any rights in or over the land had been preferred under section of this act and accordingly the central government may at any time make a declaration under section of this act in respect of the land or any part thereof or any rights in or over such land or part subject to the other provisions contained in this section the provisions of this act including provisions relating to compensation shall apply in relation to any such notification as is referred to in subsection or subsection as they apply in relation to any notification issued under section or section as the case may be of this act ins by act of s wef