Land acquisition lapse under Section 24(2) applies when possession is not taken and compensation remains unpaid.

Land acquisition proceedings lapse under Section 24(2) of the 2013 Act where the award was made more than five years before commencement, physical possession was not taken, and compensation was not paid. A deposit in the Government treasury was not treated as payment in law, so the statutory conditions for lapse were satisfied and the legal fiction operated. The later amendment excluding periods covered by stay orders was held prospective and did not apply to pending proceedings. On these facts, the acquisition had lapsed and relief followed.

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Issues: Whether the land acquisition proceedings had lapsed under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 because the award had been made more than five years before the commencement of the Act and neither physical possession had been taken nor compensation paid.

Analysis: The award in respect of the acquired land was made long before the commencement of the 2013 Act. The record showed that the appellants continued to remain in possession of the land and that compensation had not been paid to them; a deposit in the Government treasury was not treated as payment in law. The Court applied the earlier interpretation of Section 24(2) and held that, on satisfaction of the statutory conditions, the legal fiction of lapse operates. The subsequent amendment inserting an exclusion for periods covered by stay orders was held to be prospective and did not govern the pending proceedings.

Conclusion: The acquisition proceedings had lapsed under Section 24(2) and the appellants were entitled to relief.

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