ORDER

Notification under Section 4(1) of the Land Acquisition Act, 1894 (for short, the Act ) acquiring 20 acres and 4 gunthas of land for industrial development, was published on January 21, 1982. The Land Acquisition Officer determined compensation at the rate of Rs.8000/- per acre. On reference the Civil Court enhanced the compensation to Rs.8.97 per sq. ft. which worked out to Rs.3,90,000/- per acre. On appeal, the High Court reduced the compensation to Rs.67,200/- per acre. Thus, appeal by special leave.

2. Shri Javali, learned senior counsel for the appellant contended that the High Court, having noticed that the lands are possessed of immense potentiality for non-agricultural use and that Dharwad City has been developing towards the land under acquisition, committed grievous error of law in reducing the compensation. He also referred to another judgment of the High Court wherein the High Court had held that 10% escalation in price is to be given for each year. In this case, even accepting the view of the High Court that Rs.67,200/- would be the market value, due to time lag of about 10 months from previous notification, the appellant is entitled to 10% more compensation.

3. Th