The Supreme Court has strongly criticized the Orissa government for offering and giving undue favors and undue leniency to Anil Agarwal Foundation for its proposed Vedanta University. The court was hearing a case in which the land acquisition proceedings initiated by the Orissa government to acquire about 6000 acres of land for the proposed Vedanta University was quashed by the Orissa High Court in 2010. The Supreme Court has upheld the High Court's decision and dismissed the appeal filed by the Anil Agarwal Foundation challenging the High Court's decision.Dismissing the appeal, the Supreme Court also imposed a fine of ₹500,000 on the Anil Agarwal Foundation.This amount of fine will be transferred by the Supreme Court Registrar to the Orissa State Legal Services Authority. The court noted that the land acquisition proceedings were initiated at the behest of a private company, Vedanta Foundation, and the land was also identified in the Puri district by the same company.At the behest of the company, the state government had initiated land acquisition proceedings, violating section 44 B of the Land Acquisition Act, 1894 because Section 44 B of the Act prohibits the State Government from taking action to acquire land for any private company.Despite this, the government started the process of acquiring 6000 acres of land of about 6000 families.The court noted that all the land was agricultural land, due to land acquisition, there was also displacement of about 3000 people and the entire process of land acquisition was being done for the benefit of a company. The court said that a private company cannot demand the government to acquire land.The court was of the view that the land acquisition proceedings violated the provisions of Rule 3 and 4 of the Land Acquisition Rules, 1963 read with Sections 39, 40 and 41 of the Land Acquisition Act, 1894. The court also took exception to handing over the maintenance and control of two rivers Nuanai and Nala flowing through 6000 acres of acquired land to a private company.The court said that the way the Odisha government has acted in this whole matter the need to maintain the water flow of both the rivers flowing through the land acquisition area may also affect the residents living in the area at large.,,The court said that the most important aspect of the matter which needed to be considered is the neglect of the environmental aspects of the matter by the government.If the land in question continues to be acquired by the beneficiary company, the maintenance and control of the rivers will go to a private company, which will violate the principle of public trust.The court believed that the work of maintenance and control of rivers etc. cannot be entrusted to any private company. The court said that the proposed university may have an adverse effect on the ecosystem of the entire area, which may also affect the ecological environment of the area.,Wild life sanctuary which is near the proposed land, there will be massive construction work for the establishment of the proposed university, which will have an adverse effect on the animals and plants living in the sanctuary.,,Due to which the ecosystem of the area will be disrupted, the court said that it is the duty of the government to protect the wildlife sanctuary to save the ecosystem. The government's assertion that the wildlife sanctuary is separated from the proposed site by a highway Puri-Konark Marine Drive cannot be the basis for acquiring vast land for the proposed university. The court also noted that the proposed university would be just 2000 meters away from the sea. The court expressed surprise that the land was acquired by the government at the behest of a particular company and to benefit it.The court said that the government cannot consider the proposal of a particular company, there can be many such companies which are interested in setting up the university, The court also expressed surprise that the government has offered several concessions and facilities to the company for its benefit.Gover
nment has assured the company prior autonomy in respect of university administration, admission, fee, course faculty selection.Any reservation law of the state will not be applicable to the proposed university.The agreement with the company states that the government will provide prior assistance in obtaining approvals from regulatory bodies such as the UGC, AICTE.The government will also provide a 4-lane road to the company from Bhubaneshwar to the proposed site.The government has promised in the agreement with the company that it will consult the company before making any project related to the use within 5 kilometers of the university.The government has also promised the company that it will help the company in obtaining NOC from the State Pollution Control Board, in addition to obtaining all clearances from the central government for the university. The government has promised the company that it will not charge any tax from it in all matters related to the proposed university. The company has been promised exemption from all state levies,tex and duties.The government has also promised to provide electricity and water in bulk to the company. The court said the entire land acquisition proceedings for the benefit of a company and the benefits offered by the government to the company are discriminatory and violative of Article 14 of the Constitution. A division bench of Justice M.R. Shah and Justice Krishna Murari agreed with the Orissa High Court judgment which had set aside the land acquisition proceedings initiated by the government.Appellant Anil Agarwal Foundation's appeal dismissed.
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