FOMENTO RESORTS AND HOTELS LTD vs GUSTAVO RANATO DA CRUZ PINTO & ORS.

The Supreme Court held that compliance with Rule 4 of the Land Acquisition (Companies) Rules, 1963 is not mandatory before issuing a notification under Section 4 of the Land Acquisition Act, 1894. The Court clarified that while an inquiry under Rule 4 may precede the notification in appropriate cases, it is not a strict requirement. The High Court's decision to quash the notifications solely on the basis of non-compliance with Rule 4 was overturned, and the case was remitted for further consideration of other grounds of challenge.