Obligation to acquire land

(1) Where any land has been designated by any plan for— (a) development for the purpose of town expansion or town improvement, or (b) development for the purpose of the Union or State Government or any local authority or any special authority constituted under this Act, or (c) compulsory acquisition for development as a highway or public utility service, and the owner of that land— (i) claims that the land has become incapable of reasonable beneficial use in its existing state, or (ii) where permission to develop the land has been granted subject to conditions, claims that the land cannot be made capable of reasonable beneficial use by carrying out the permitted development in accordance with those conditions, (iii) claims that the sale value of that land has decreased due to its designation for acquisition or development, then the owner may serve a notice upon the Government in such time, in such manner and with such documents as may be prescribed, requiring the appropriate authority to purchase the interest in the land in accordance with the provisions of this Act. (2) Upon receipt of notice under sub-section (1), the State Government shall immediately call for such report or such records or both, as may be necessary, from the Director and the appropriate authority, which those authorities shall send to the State Government as soon as possible but not later than thirty days from the date of their requisition. (3) Upon receipt of such record or such report, the State Government— (a) if it is satisfied that the conditions specified in sub-section (1) have been fulfilled, and that the order or decision duly made for permission was not based on the ground that the applicant had not complied with the provisions of this Act or the rules made thereunder, may confirm the notice or may direct that permission be granted without conditions or subject to such conditions as would make the land capable of reasonable beneficial use, (b) in any other case, may refuse to confirm the notice, but in that case, the applicant shall be given a reasonable opportunity of being heard. (4) If the State Government does not pass any final order within a period of one year from the date on which the notice was served, it shall be deemed that the notice has been confirmed on the expiry of that period. (5) Upon confirmation of the notice, the State Government shall proceed to acquire that land or that part of the land in respect of which the notice has been confirmed, in accordance with the provisions of this Act, within a period of one year from the date of such confirmation.