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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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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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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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
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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
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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)
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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
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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.
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(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
CT: SB
