Karnataka High Court
Syed Sarvar Hussaini S/O Syed Ziauddin ... vs The Chief Engineer,Knnl Ip Zone ... on 9 October, 2025
Author: H.T.Narendra Prasad
Bench: H.T.Narendra Prasad
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NC: 2025:KHC-K:5943-DB
MFA No. 32630 of 2013
HC-KAR
IN THE HIGH COURT OF KARNATAKA,
KALABURAGI BENCH
DATED THIS THE 9TH DAY OF OCTOBER, 2025
PRESENT
THE HON'BLE MR. JUSTICE H.T.NARENDRA PRASAD
AND
THE HON'BLE MR. JUSTICE TYAGARAJA N. INAVALLY
MISCL. FIRST APPEAL NO.32630 OF 2013 (LAC)
BETWEEN:
SYED SARVAR HUSSAINI
SINCE DECEASED BY HIS L.R.
SYED HAMEED HUSSAINI
S/O LATE HAMEED HUSSAINI,
AGE: 32 YEARS, OCC: AGRICULTURE,
R/O NAGUR, NEAR PANCHAYAT OFFICE,
Digitally signed by
RAMESH
NAGUR, TALUKA & DIST. KALABURAGI.
MATHAPATI
Location: HIGH
COURT OF
...APPELLANT
KARNATAKA
(BY SRI GANESH SUBHASHCHANDRA KALABURGI, ADVOCATE)
AND:
1. THE CHIEF ENGINEER, KNNL IP
ZONE, KALABURAGI.
2. THE EXECUTIVE ENGINEER,
KNNL, BENNITORA DIVN. NO.1
KALABURAGI.
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NC: 2025:KHC-K:5943-DB
MFA No. 32630 of 2013
HC-KAR
3. THE SPECIAL LAND ACQUISITION
OFFICER, M & MIP,
KALABURAGI.
...RESPONDENTS
(BY SRI. SANJEEV KUMAR C. PATIL, ADV. FOR R1 AND R2;
SMT. MAYA T.R., HCGP FOR R3)
THIS MISCELLANEOUS FIRST APPEAL IS FILED U/S 54
(1) OF THE LAND ACQUISITION ACT, PRAYING TO ALLOW THIS
APPEAL AND TO ENHANCE THE COMPENSATION BY MODIFYING
THE JUDGMENT AND AWARD DATED 07.08.2013 PASSED IN
LAC NO.242/2006 BY THE LEARNED III ADDITIONAL SENIOR
CIVIL JUDGE, GULBARGA, BY FIXING THE MARKET VALUE AT
Rs.27,80,000/- WITH ALL CONSEQUENTIAL AND STATUTORY
BENEFITS ETC.
THIS APPEAL COMING ON FOR FINAL HEARING, THIS
DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER:
CORAM: HON'BLE MR. JUSTICE H.T.NARENDRA PRASAD
AND
HON'BLE MR. JUSTICE TYAGARAJA N. INAVALLY
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NC: 2025:KHC-K:5943-DB
MFA No. 32630 of 2013
HC-KAR
ORAL JUDGMENT
(PER: HON'BLE MR. JUSTICE H.T.NARENDRA PRASAD) This appeal is filed by land-loser under Section 54(1) of the Land Acquisition Act challenging judgment and award dated 07.08.2013 passed by III Addl. Senior Civil Judge, Gulbarga in LAC No.242/2006.
2. Brief facts of the case are that, the appellant is the owner of house property bearing No.4/134 of Nagoor village. The said property was acquired by the Special Land Acquisition Officer for submerging Bennetora Project. Accordingly, the award was passed awarding for a sum of Rs.5,24,881/-. Being aggrieved by the same, the claimant has sought for reference under Section 18(1) of the Land Acquisition Act for enhancement of compensation. The reference case has been numbered as LAC No.242/2006. The Reference Court by its judgment dated 07.08.2013 has enhanced the compensation amount from Rs.5,24,881/- to Rs.16,36,689/-. While enhancing the market value in respect of subject house property, the -4- NC: 2025:KHC-K:5943-DB MFA No. 32630 of 2013 HC-KAR Reference Court has deducted 5% towards depreciation value of the property on the ground that Commissioner's report is submitted in the year 2007. The acquisition is of the year 2000. Being aggrieved by this part of the judgment, the land loser is before this Court.
3. Learned counsel appearing for the appellant has submitted that even though the Commissioner has submitted a report in the year 2007, the property has been valued as it exists in the year 1999-2000. Therefore, there is no question of depreciation of 5% on the determined compensation. Secondly, he has contended that the Reference Court has not added the expenses incurred towards electrification, water and sanitary while awarding compensation on the market value of the acquired house.
4. Per contra, learned counsel for the respondent Nos.1 and 2 and learned High Court Government Pleader contended that even assuming as per the report, the -5- NC: 2025:KHC-K:5943-DB MFA No. 32630 of 2013 HC-KAR valuation has been considered as it exists in the year 1999-2000, the land was acquired in the year 2001. Therefore, one year depreciation has to be deducted. They further contended that entire structure has been assessed at Rs.24,87,975/-. Therefore, addition of electrification, water supply and sanitary fittings cannot be added. Considering the report submitted by the Court Commissioner, the Reference Court has rightly deducted 5% depreciation and awarded compensation of Rs.16,36,689/-. Hence, sought to dismiss the appeal.
5. Heard learned counsel for the parties. Perused the appeal papers.
6. It is not in dispute that the claimant/landloser is the owner of the house property bearing No.4/134 of Nagoor village. It is also not in dispute that the said house has been acquired by the respondent/authority for the purpose of sub-merging in Bennetora Project while issuing preliminary notification under Section 4 (1) -6- NC: 2025:KHC-K:5943-DB MFA No. 32630 of 2013 HC-KAR of the Land Acquisition Act on 28.11.2001. The Land Acquisition Officer has passed an award to the extent of Rs.5,24,881/-. Being aggrieved by the same, the claimant sought reference under Section 18(1) Land Acquisition Act. The reference petition has been numbered as LAC No.242/2006. The Reference Court has rightly enhanced the market value of the acquired house. While enhancing the compensation, the Reference Court erred in deducting 5% towards depreciation for 7 years. In fact, in the Commissioner's report, the value of the property has been assessed as it was exited in the year 1999-2000. The preliminary notification has been issued for acquiring the said house is in the year 2001. Therefore, depreciation should be for one year. In the Commissioner's report, the total value of structure of the house has been assessed at Rs.24,87,975/-. In addition, 2½% towards electrification which comes to Rs.62,199/- and 7.5% for water supply and sanitary fittings would come to Rs.1,86,598/-, and while awarding the compensation the additional value of -7- NC: 2025:KHC-K:5943-DB MFA No. 32630 of 2013 HC-KAR the electrification and water supply and sanitary fittings has not been considered by the Reference Court. Therefore, the order passed by the Reference Court required to be modified. As per the Commissioner's report, the total value of the house property has been assessed as Rs.27,80,000/-. Out of which, a sum of Rs.13,228/- has to be deducted for additional L.S. for unforeseen. Then, the total value of the house property comes to Rs.27,66,772/-. Out of which, one year depreciation has to be deducted at the rate of 5% i.e., Rs.1,38,338/-. After deducting depreciation of one year, the value of the property comes to Rs.26,28,434/- (Rs.27,66,772/- minus Rs.1,38,338/-). Therefore, the enhanced market value of the acquired house property comes to Rs.9,91,745/-.
7. Accordingly, we proceed the following:
ORDER
(i) The appeal is allowed in part with costs. -8-
NC: 2025:KHC-K:5943-DB MFA No. 32630 of 2013 HC-KAR
(ii) The total market value of the subject acquired house is fixed at Rs.26,28,434/- as against Rs.16,36,689/-, awarded by the Reference Court with all consequential benefits including cost.
(iii) The appellant/claimant shall not be entitled for interest on the enhanced compensation i.e., from 21.12.2022, the date of dismissal of appeal for non- prosecution till the date of restoration of appeal i.e., on 27.09.2023.
Sd/-
(H.T.NARENDRA PRASAD) JUDGE Sd/-
(TYAGARAJA N. INAVALLY) JUDGE AMM,BL List No.: 1 Sl No.: 53 CT: SB