No such applicant shall be placed in occupation of such land or water-course until he has paid to the person named by the Collector such amount as the Collector determines to be due as compensation for the land or water-course so occupied or transferred, and for any damage caused by the marking out or occupation of such land, together with all expenses incidental to such occupation or transfer.
Procedure in fixing compensation.--In determining the compensation to be made under this section the Collector shall proceed under the provisions of the Land Acquisition Act, 1870 ¹ (10 of 1870); but he may, if the person to be compensated so desires, award such compensation in the form of a rent-charge payable in respect of the land or water-course occupied or transferred.
Recovery of compensation and expenses.--If such compensation and expenses are not paid when demanded by the person entitled to receive the same, the amount may be recovered by the Collector as if it were any arrear of land-revenue, and shall, when recovered, be paid by him to the person entitled to receive the same.