Madras High Court
The Special Tahsildar -Cum vs Akila on 1 October, 2021
A.S.No.113 of 2020
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 01.10.2021
CORAM
THE HONOURABLE Ms. JUSTICE P.T. ASHA
A.S.No.113 of 2020
and
C.M.P.No.1239 of 2020
The Special Tahsildar -cum-
Land Acquisition Officer,
Uthangarai. ... Appellant
Vs.
1.Akila
2.State Industries Promotion Corporation
of TamilNadu (SIPCOT) Limited,
rep.by its Managing Director
No.19-A, Rukmani Lakshmipathy Road,
Egmore,
Chennai - 600 008. ... Respondents
(Respondent 2 impleaded the party vide Court order dated
23.09.2021 made in C.M.P.No.9001 of 2021 in A.S.No.113 of 2020
by PTAJ)
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A.S.No.113 of 2020
PRAYER: Appeal Suit filed under Section 96 of the Code of Civil
Procedure against the Judgment and Decree dated 20.04.2018 in
LAOP No.1 of 2014 on the file of the learned Subordinate Judge,
Uthangarai.
For Appellant : Mr.Edwin Prabhakar,
Government Advocate (CS)
For Respondents : Mr.K. Elango for R1
Mr.Sriram for R2
JUDGMENT
The Special Tahsildar (Land Acquisition) is the appellant
before this Court challenging the Judgment and Decree dated
20.04.2018 in LAOP No.1 of 2014 on the file of the learned
Subordinate Judge, Uthangarai.
2.The lands of the respondent/claimant had been acquired for
the purpose of setting up an Industrial Complex for the State
Industries Promotion Corporation of Tamil Nadu (SIPCOT)
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A.S.No.113 of 2020
Limited to an extent of 13.88.0 Hectares of land in Survey
No.150/1C, etc., of Olapatti Village, Krishnagiri District.
3.On the request of SIPCOT, the Land Acquisition Officer
had initiated proceedings under the Land Acquisition Act. Section
4(1) Notification was published in the locality on 23.04.1996 and
ultimately, an Award came to be passed on 12.01.1999 fixing the
value of the land Rs.29,709/- per hec. The claimant had received a
sum of Rs.36,268/- under protest for an extent of 0.81.0 hec.
acquired from him. Therefore, the Land Acquisition Officer had
referred the matter under Section 18 of the Act. On receiving the
same, the learned Subordinate Judge had registered the claim as
LAOP No.1 of 2014.
4.It is seen that in the proceedings before the learned
Subordinate Judge, Uthangarai, the claimant had relied upon a Sale
Deed under which they had purchased the lands acquired in the
year 1990 and it is marked as Ex.A.1 and Ex.A.2. The learned
Subordinate Judge, Uthangarai had enhanced the compensation
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A.S.No.113 of 2020
from Rs.29,709/- to a sum of Rs.36,450/-. Thereafter, the learned
Judge had applied a multiplier of 19 and arrived at a compensation
of Rs.6,92,550/- per hec. and after deducting the sum of
Rs.36,268/- directed that a sum of Rs.6,56,282/- be paid to the
claimant. Aggrieved by the fact that the learned Subordinate Judge
had adopted the multiplier method to calculate the compensation,
the Land Acquisition Officer had filed the above appeal.
5.The learned counsel for the respondent/claimant fairly
conceded that the adoption of a multiplier method was unknown to
the land acquisition matters. He however stated that the learned
Subordinate Judge ought to have relied upon Ex.A.1 and Ex.A.2 to
arrive at the compensation since the land acquired was the very
same land which was valued on the date of the respondent/claimant
purchase at a sum of Rs.70,000/- per acre under Ex.A.1 and
Ex.A.2. He would therefore submit that the land value on the
date of purchase i.e., in the year 1990 was Rs.70,000/-. He would
further argue that the learned Judge ought to have applied the
escalation
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A.S.No.113 of 2020
method to calculate the rate of escalation to arrive at the market
value as laid down by the Hon'ble Supreme Court in (2018) 14
Supreme Court Cases 745 [General Manager, Oil and Natural
Gas Corporation Limited v. Rameshbhai Jivanshai Patel and
another]. This Court had directed the parties to submit a
calculation memo. The appellant/Land Acquisition Officer had
submitted a calculation sheet where the calculation has been done
on the basis of enhancement of value as per the Judgment. As per
this calculation, the total compensation worked out was a sum of
Rs.97,581.73p.
6.On the other hand, the respondent/claimant has submitted a
calculation sheet in which the land base value was taken at a sum
of Rs.70,000/- being the amount for which the property had been
purchased by the respondent/claimant in the year 1990
(06.06.1990). The respondent has worked out two calculations; (1)
by adopting 5% as the escalation and (2) by adopting 7.5% as the
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A.S.No.113 of 2020
escalation price.
7.The following is the calculation given:
CALCULATION OF LAND VALUE
Land value = Rs.70,000/- per Acres
as on 06.06.1990
Total land acquired = 2.01 Acres
Date of 4(1) Notification = 23.04.1996
Date of Award and Possession = 12.01.1999
Difference between the land value calculation and 4(1)
Notification is 4 years and 10 months.
------------------------------------------------------------------------------
Calculation of land value for the period of 4 years and 10
months on the basis of 5% as escalation price is as follows:
1991-1992 = Rs.73,500
1992-1993 = Rs.77,125
1993-1994 = Rs.81,034
1994-1995 = Rs.85,086
1995-1996 = Rs.88,631(Calculation for 10 months only)
The value of the land as on 4(1) notification was Rs.88,631/- on
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A.S.No.113 of 2020
5% as escalation price.
Calculation of land value for the period of 4 years and 10
months on the basis of 7.5% as escalation price is as follows:
1991-1992 = Rs.75,250
1992-1993 = Rs.80,894
1993-1994 = Rs.86,961
1994-1995 = Rs.93.483
1995-1996 = Rs.98,326(Calculation for 10 months only)
The value of the land as on 4(1) notification was Rs.98,326/- on
7.5% as escalation price.
Calculation of land valuation as per Section 23(1) (A)
-----------------------------------------------------------------------------
For Rs.88,631/- For Rs.98,326/-
-----------------------------------------------------------------------------
12% for the period of 2 years 12% for the period of 2 years
and 9 months is Rs.29,249/- and 9 months is Rs.32,447/-
Total i.e., (88,631 + 29,249) Total i.e., (98,326 + 32,447)
= Rs.1,17,880 = Rs.1,30,773
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1.The respondent is entitled for all other statutory benefit of 30%
solatium.
2.Interest 9% per annum from the date and award to date of order
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A.S.No.113 of 2020
and thereafter 15% per annum till the realisation of amount (as
per decree and judgment in LAOP).”
8.A perusal of the Judgment of the Hon'ble Supreme Court
referred to above indicates that while answering the question
"What should be the market value of the acquisition lands" the
learned Judges had applied a cumulative rate of escalation of 7.5%.
Therefore, by adopting the same method, the calculation set out by
the respondent /claimant under the heading “Escalation” at the rate
of 7.5% has to be adopted then, the value works out to a sum of
Rs.98,326/-. To this interest, at the rate of 12% additional market
value for the period of two years and nine months when added, the
total amount works out to a sum of Rs.1,30,773/- to which 30%
solatium amount has to be added, for the period of one year from
the date of Award interest should be added at 9% per annum and
thereafter, @15% per annum till the date of deposit after deducting
the amounts already paid. The Decree granting compensation of a
sum of Rs.36,450/- to which a multiplier of 19 is added is hereby
set aside.
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A.S.No.113 of 2020
9.Accordingly, this Appeal Suit is allowed and the Decree of
the learned Subordinate Judge, Uthangarai, is modified as follows:
The total compensation is fixed @1,30,773/- to which 30%
has to be added towards solatium and @9% per annum from the
date of Award for a year and thereafter, @15% per annum till the
date of payment. There shall be no order as to costs.
Consequently, connected Miscellaneous Petition is closed.
01.10.2021
Index : Yes/No
Internet : Yes/No
mps
To
The Subordinate Judge,
Uthangarai.
http://www.judis.nic.in
A.S.No.113 of 2020
P.T. ASHA, J,
mps
A.S.No.113 of 2020
and
C.M.P.No.1239 of 2020
01.10.2021
http://www.judis.nic.in
