Judgment

VENKATARAMIAH, J. :- What should be the true multiplier to be adopted in determining the compensation payable in respect of land acquired in or about the year 1962-63 where the market value of the land is to be fixed on the basis of the capitalisation principle is the question which arises for consideration in these appeals.

2. The construction of the Beas Project was commenced in the year 1960 as a joint venture of the erstwhile State of Punjab and the State of Rajasthan by mutual agreement between the two States. All decisions on the policy and administrative matters were taken by a Board known as the Beas Control Board which was set up by the Central Government in consultation with the two States on February 19, 1961. The Beas Project Board was presided over by the Governor of the then State of Punjab and its members included Ministers of the States of Punjab and Rajasthan and senior officers of the Central Government and of the two States. The decisions of the Beas Control Board used to be implemented by the Punjab Government which was administering and executing the works on the Project. The expenditure on the Project was shared by the Rajasthan Government.

3. With the coming into force of the Punjab Reorganisation Act, 1966 (Act 31 of 1966), the new State of Haryana and the Union Territory of Chandigarh came into being, having been formed out of the territory of the erstwhile State of Punjab. A part of the Punjab territory was also transferred to what was then the Union Territory of Himachal Pradesh. What remained with Punjab became the new State of Punjab.

4. Sub-section (1) of Section 80 of the Punjab Reorganisation Act. 1966 provided that the construction including the completion of any work already commenced of the Beas Project should on and from November 1, 1966 be undertaken by the Central Government on behalf of the successor States (as defined under that Act) and the State of Rajasthan should provide the necessary funds to the Central Government for the expenditure on the Project including the expenses of the Beas Construction Board. For the discharge of its functions, sub-section (1) and sub-section (2) of Section 80 of the Punjab Reorganisation Act empowered the Central Government in consultation with the Governments of the successor States and the State of Rajasthan to constitute a Board to be called the Beas Construction Board. Thus by the Punjab Reorganisation Act, 1966, the entire expenditure for the construction and completion of the Beas Project was to be shared by the successor States and the State of Rajasthan but the responsibility of construction and completion of the Beas Project was entrusted to the Central Government.

5. About 70,000 acres of land had to be acquired for the Beas Dam Project which was located, in the Kangra area of the erstwhile State of Punjab which stood transferred to the then Union Territory of Himchal Pradesh under the Punjab Reorganisation Act, 1966. The necessary notifications under Sec. 4 (1) of the Land Acquisition Act, 1894 had been issued by the appropriate Government for that purpose. We are concerned in these cases with lands which were notified for acquisition in the years 1962 and 1963 under Section 4 (1) of the Land Acquisition Act. The acquisition proceedings in respect of the lands which stood transferred to the Union Territory of the State of Himachal Pradesh, as mentioned above, were to be completed by its officers. The lands in question are situated in Tikka Bhararian, Mauza Dhameta, Tehsil Dehra, District Kangra, Himachal Pradesh. The Land Acquisition Officer issued notices tinder Section 9 (3) of the Land Acquisition Act to the interested persons inviting their representations and objections with regard to the determination and payment of the compensation. After receiving the representations and objections, the Land Acquisition Officer (Shri Didar Singh) passed a common award on January 31, 1972 in respect of an extent of 1125.33 acres of land in Tikka Bha