Citation : 2024 Latest Caselaw 4355 Tel
Judgement Date : 8 November, 2024
HON'BLE SRI JUSTICE ABHINAND KUMAR SHAVILI
AND
HON'BLE SRI JUSTICE LAXMI NARAYANA ALISHETTY
LAAS.No.1026 of 2007
JUDGMENT:
(per Hon'ble Sri Justice Laxmi Narayana Alishetty)
Heard Sri A.Vishnu Vardhana Reddy, learned counsel for
the appellants-claimants and the learned Government Pleader for
Appeals appearing for the respondent-Land Acquisition Officer.
2. This appeal, under Section 54 of the Land Acquisition Act,
1894 (for short 'the Act'), is filed by the claimants aggrieved by
order and decree dated 30.12.2006 passed in O.P.No.8 of 1989 on
the file of the Court of the Senior Civil Judge, Mahabubnagar
(hereinafter referred to as "the Reference Court'), seeking
enhancement of the compensation awarded by the Reference Court
for the subject acquired lands.
3. Briefly, stated, the facts of the case are that on a requisition
made by the Chairman, Agricultural Market Committee,
Kalwakurthy, lands admeasuring Acs.10.11 gunatas in Sy.Nos.665,
668 and 669 of Amangal Village, Kalwakurthy Taluq,
Mahabubnagar District, belonging to the appellants/claimants were 2 AKS, J & LNA, J
acquired for the purpose of establishment of market yard; that draft
Notification under Section-4(1) was published in A.P.Gazette on
26.12.1980; that Draft Declaration under Section-6 of the Act was
published in the Gazette on 26.12.1980; that thereafter due to some
administrative exigencies, finally, another draft notification and
draft declaration were published in the District Gazette on
09.07.1985, with errata; that the Land Acquisition Officer, after
conducting necessary award enquiry, passed an Award, fixing the
market value of the subject acquired land @ Rs.7,000/- per acre
and granted other benefits to the appellants/claimants.
4. Not being satisfied with the said Award, the claimants
sought reference under Section 18 of the Act and the same was
referred to the competent civil Court and numbered as O.P.No.8 of
1989 on the file of the Reference Court.
5. Before the Reference Court, on behalf of the appellants/
claimants, P.Ws.1 to 3 were examined and Exs.A-1 to A-6 were
marked. On behalf of the Referring Officer, R.W-1 was examined
and no documents were marked.
6. The Reference Court, on appreciation of the evidence, both
oral and documentary, available on record, enhanced the 3 AKS, J & LNA, J
compensation from Rs.7,000/- per acre to Rs.8/- per square yard,
apart from granting all other benefits under the Act to the
appellants/claimants. Challenging the said order, the present appeal
is filed by the Land Acquisition Officer.
7. Learned counsel for the appellants/claimants contended that
the Reference Court grossly erred in not considering the oral and
documentary evidence adduced by the claimants, particularly
Exs.A-3 and A-6-sale deeds; that though the case of the
appellants/claimants regarding location of the acquired lands is
supported by the Land Acquisition Officer by the observations
made in the Award, the Reference Court failed to take note of the
potentiality of the acquired lands and thus, erred in fixing meager
compensation for the subject acquired lands; and therefore, he
prayed to set aside the impugned order and enhance the
compensation for the subject acquired lands.
8. Per contra, learned Government Pleader for Appeals
appearing for the respondent-Land Acquisition Officer contended
that the Reference Court has rightly appreciated the entire evidence
placed on record and has given proper and cogent reasons in
support of its conclusion in fixing the market value of the subject 4 AKS, J & LNA, J
acquired lands @ Rs.8/- per square yard, which is fair and
reasonable and as such, the impugned order needs no interference
by this Court.
9. For determination and fixation of true and correct market
value of the subject acquired lands, this Court has meticulously
perused the impugned order passed by the Reference Court.
10. The claimants, in support of their claim for enhancement of
market value of the subject acquired land, have got marked five
sale deeds, i.e., Exs.A-2 to A-6. Ex.A-2-sale deed is dated
05.07.1982, Ex.A-4-sale deed is dated 04.12.1991 and Ex.A-5-sale
deed is dated 10.01.1992. Thus, it is evident that Exs.A-2, A-4 and
A-5-sale deeds relate to post-notification and hence, they are
discarded.
11. Now, the exhibits that remained for consideration are
Exs.A-1 and A-6. Ex.A-1-sale deed is dated 22.08.1980 and
Ex.A-6-sale deed is dated 19.11.1979.
12. P.Ws.1 and 2 are claimant Nos.8 and 11, respectively.
P.W-1 deposed as regards the location of the subject acquired
lands, i.e., the subject acquired lands are part of Amangal Village;
that the subject acquired lands are abutting black top road leading 5 AKS, J & LNA, J
from Hyderabad to Srisailam and as such, the subject acquired
lands have high potentiality. Through P.W-1, Exs.A-1-Protest
Petition and Ex.A-2-sale deed were marked. P.W-2, who is also
one of the claimants, deposed corroborating the evidence of P.W-1
with regard to the location and nature of the land. He deposed to
the effect that the subject acquired lands are red soil and are
situated by the side of PWD road leading from Kalwakurthy to
Hyderabad; that Police Station, Post-Office, restaurants, post-
office, etc., are in the vicinity of the subject acquired lands. Though
he was cross-examined at length, nothing contra was elicited nor
his evidence was shattered as regards the location and potentiality
of the subject acquired lands.
13. The Land Acquisition Officer who was examined as R.W-1
in his cross-examination admitted that the subject acquired lands
are abutting black top road leading from Hyderabad to Sirsailam
and also the roads leading from Shadnagar and Devarkonda are
very near to the subject acquired lands. In the Award, the Land
Acquisition Officer has stated that subject acquired lands
categorized as red chelka soil are situated at the entrance of the
Village and are by the side of PWD road from Kalwakurthy to 6 AKS, J & LNA, J
Hyderabad; that in part of the subject acquired lands, there are
number of shops; that there is one cinema hall in front of the
subject acquired lands; that there is a Police Station within a
distance of ½ km and one more cinema hall is within one furlong
from the subject acquired lands. It was further stated that there is
heavy demand for house sites in Amangal Village. All these
aspects show the potentiality of the subject acquired lands for being
utilized for house sites or shops.
14. Thus, the claimants established their claim with regard to
the location and potentiality of the subject acquired lands.
15. The evidence of P.Ws.1 and 2 coupled with the contents of
the Award passed by the Land Acquisition Officer to the effect that
the remaining unacquired part of land in the survey numbers in
question there are several shops, makes it evident that the subject
acquired lands being situated in prime locality i.e., at the entrance
of the Village and abutting the PWD road from Kalwakurthy to
Hyderabad and also being surrounded by shops, Government
Office, etc., will definitely have high potentiality for being used for
non-agricultural purposes, therefore, this Court holds that the 7 AKS, J & LNA, J
Reference Court has rightly determined the market value of the
subject acquired lands on yardage basis.
16. In support of their claim for enhanced market value for the
subject acquired lands, the claimants got examined the vendor of
Ex.A-6-sale deed as P.W-3. He deposed that he sold an extent of
48 square yards out of 160 square yards of house bearing No.8-89
@ Rs.89/- per square yard. However, the evidence of P.W-3 does
not show the actual distance between the land covered under
Ex.A-6 and the subject acquired lands. Even the Village map was
not filed to enable this Court to know the actual distance between
them.
17. However, a perusal of the Award passed by the Land
Acquisition Officer shows that there is mention of sale deeds in
respect of land in Sy.No.667 at Sl.Nos.159 and 160, and sale deeds
in respect of land in Sy.No.666 at Sl.Nos.220, 221 and 22,
whereunder the lands are sold on yardage basis. The Village map
of Amangal shows that Sy.Nos.666 and 667 are abutting the
subject acquired lands. As such, though there are several sale deeds
i.e., as many as 251 sale deeds which pertain to different survey
numbers of Amangal Village referred to by the Land Acquisition 8 AKS, J & LNA, J
Officer in the Award, since the lands covered by sale deeds in
Sy.Nos.666 and 667 are situated adjacent to the subject acquired
lands, they can be safely taken into consideration for fixing the
market value of the subject acquired lands. Out of all the five sale
deeds in respect of lands in Sy.Nos.666 and 667, the sale deeds,
dated 27.02.1980, shown at Sl.Nos.159 and 160 of the Award
reflects the highest market value of the land @ Rs.10.66 paise per
square yard.
18. In the instant case, though the 4(1) notification was initially
published on 26.12.1980, due to some administrative hurdles and
further, as there was some errata to the 4(1) notification, the same
was corrected and the 4(1) notification was again finally published
on 09.07.1985 and subsequently, the Award was passed on
03.12.1985.
19. As indicated above, the sale deed, dated 27.02.1980,
pertaining to land in Sy.No.667, which reflects the market value of
the land covered thereunder @ Rs.10.66 paise per square yard, is
taken as an exemplar sale deed for fixing the market value of the
subject acquired lands. The material on record shows that there is a
time gap of five years between the date of the said exemplar sale 9 AKS, J & LNA, J
deed and the date of final 4(1) notification under the Act.
Therefore, as per the ratio laid down by the Hon'ble Supreme Court
in General Manager, ONGC Ltd Vs. Rameshbhai Jivanbhai Patel
and another 1, while fixing the market value of the subject acquired
lands, the claimants are entitled to escalation @ 7.5% per annum
on Rs.10.66 paise for the period of five years, which works out to
Rs.15.23 paise per square yard. However, since the land covered
under the exemplar sale deed is small extent and is in respect of
house site, whereas the subject acquired lands are agricultural
lands, in the light of the law laid down by the Hon'ble Supreme
Court, it is appropriate to deduct 33% of Rs.15.23 paise, which
works out to Rs.10.23 paise, rounded off to Rs.10.25 paise per
square yard.
20. Therefore, in view of the aforestated reasons, this Court is of
considered view that the Reference Court committed error in
determining the market value of the subject acquired lands and
accordingly, the impugned order passed by the Reference Court is
liable to be modified to the extent indicated above.
(2008) 14 SCC 745 10 AKS, J & LNA, J
21. Accordingly, this Appeal is allowed in part, modifying the
impugned order of the Reference Court and the market value of the
subject acquired lands fixed by the Reference Court @ Rs.8/- per
square yard is enhanced to Rs.10.25 paise per square yard. It is
needless to say that the claimants are entitled to all the statutory
benefits like solatium, additional market value, interest, etc., on the
enhanced market value as per the Land Acquisition Act, 1894.
22. Pending Miscellaneous Petitions, if any, shall stand closed.
No costs.
_______________________________ ABHINAND KUMAR SHAVILI, J
___________________________________ LAXMI NARAYANA ALISHETTY, J Dated:08.11.2024 dr
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