Tenant not a person interested under Chapter XXA, so no locus to challenge dropped acquisition proceedings.

Under Chapter XXA of the Income-tax Act, a tenant or occupant is not a "person interested" unless the person claims an interest in the compensation payable on acquisition. Section 269A(g) confines that status to those with a compensation claim, while notice to an occupant under section 269D(2)(a) is limited to the statutory context. The scheme of sections 269D, 269E and 269F shows that objections are restricted to specified categories, and if acquisition proceedings are dropped there is no legal injury to a tenant or occupant. The article states that such a person has no locus standi to challenge the dropping of acquisition proceedings in writ jurisdiction.

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Issues: Whether a tenant or occupant is a "person interested" under Chapter XXA of the Income-tax Act, 1961, and therefore has locus standi to challenge the dropping of acquisition proceedings and seek interference in writ jurisdiction.

Analysis: Section 269A(g) defines a "person interested" as one claiming or entitled to claim an interest in the compensation payable on acquisition of the property. A tenant has no such claim to the compensation, though notice may be issued to a person in occupation under section 269D(2)(a) in the limited situation contemplated by the provision. The scheme of sections 269D, 269E and 269F shows that objections are filed by the specified categories of persons against acquisition, and the hearing is confined to those objections. Where the competent authority drops the acquisition proceedings, the tenant or occupant is not adversely affected in a legal sense and there is no lis between such person and the authority. The decision to drop proceedings is administrative in character, and a tenant cannot compel the High Court to interfere merely because the Department may have erred in not proceeding with acquisition.

Conclusion: The petitioners, being tenants and not persons interested, had no locus standi to maintain the writ petition challenging the dropping of the acquisition proceedings; the challenge failed.

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