Prabin Ram Phukan v. State of Assam
Background
Assam authorities auctioned nearly sixty bighas of land to recover ₹731.70 in revenue arrears, acquired it for ₹1 when no bidder participated, and allotted a large portion to Indian Oil Corporation. The owners challenged the proceedings for lack of notice and procedural safeguards. The revenue Board set the auction aside, but the High Court later reversed that relief.
Decision Breakdown
The Supreme Court allowed the owners' appeals and restored the Board's order. The State had not established service of demand or sale notices, justified bypassing recovery against movable property, or shown adequate publicity for the auction. Depriving the owners of land through proceedings held behind their backs violated the lawful procedure required by Article 300-A. The State was directed to pay the compensation deposited by Indian Oil Corporation with six per cent interest from deposit until payment and restore the remaining land within three months after verification and demarcation. The land already allotted to Indian Oil Corporation remained with it under the restored arrangement.
Lesson Learnt
Government recovery of small revenue arrears must still follow notice, sale and publicity safeguards. Property owners can challenge a sale conducted without legal procedure, although the remedy may combine return of land with compensation for a portion already allotted elsewhere.