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2019 Supreme(SC) 752

SUPREME COURT OF INDIA
ARUN MISHRA, M.R. SHAH, JJ.
RB Dealers Private Limited – Appellant
Versus
The Metro Railway, Kolkata – Respondent
Special Leave Petition (Civil) No. 14078 of 2019
Kishan M. Agarwal – Appellant
Versus
The Metro Railway, Kolkata – Respondent
Special Leave Petition (Civil) No. 14170 of 2019
Decided on : 17-07-2019

Advocates:
Advocate Appeared:
For the Appellant : Mr. R. B. Phookan, Adv., Ms. Neha Tandon, Mr. Shailesh Madiyal, Adv.

IMPORTANT POINT
Solatium amount shall be equivalent to 100% of the market value plus the value of all assets attached to the land i.e. the total amount of the compensation. Shall not include an amount calculated at the rate of 12% per annum on such market value payable u/s Section 30(3).

Headnote:Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 - Section 30(1) - Solatium amount - 100% of compensation (market value as determined u/s 26 plus value of all assets attached to the land) - Shall not include an amount calculated at the rate of 12% per annum on such market value payable u/s 30(3). (Para 4, 5)

       Facts of the case:

       The short question arising in these SLPs is as to whether the solatium as contemplated under subsection (1) of Section 30 of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 has to be calculated only on the market value and assets or the sum total of the market value, the assets and additional 12% per annum on the market value stipulated under subsection (3) of Section 30 of the 2013 Act?

       Finding of the Court:

       High Court has rightly decided the issue.

       Result: SLPs dismissed.

JUDGMENT :

M.R. Shah, J.

1. The short question which is posed for consideration of this Court in the present Special Leave Petitions is as to whether the solatium as contemplated under subsection (1) of Section 30 of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (hereinafter referred to as the ‘2013 Act’) has to be calculated only on the market value and assets or the sum total of the market value, the assets and additional 12% per annum on the market value stipulated under subsection (3) of Section 30 of the 2013 Act?

2. That the lands owned by the petitioner herein came to be acquired for the purpose of construction of the Metro railway. That the said land was acquired under the provisions of the Metro Railways (Construction of Works) Act, 1978 (hereinafter referred to as the ‘1978 Act’). That the Central Government published a notification under Section 10 of the 1978 Act, inter alia, declaring that the said land should be acquired in connection with the aforesaid project. That, in the year 2014, the petitioner filed an application under Section 13(1) of the 1978 Act, inter alia, praying for the compensation in respect of the said land and the same was registered as Claim Case No. NGA32 OF 2014. That, on 05.12.2016, the petitioner filed an application for amendment of the original claim, inter alia, praying for compensation to be determined under the provisions of the 2013 Act. That the said application for amendment came to be allowed.

2.1 That by an order dated 16.12.2016, the competent authority disposed of the aforesaid claim case awarding Rs.1,48,29,312/towards the market value and a sum of Rs.6,75,526/within two months from the date of the order on account of value of structure.

2.2 That, on 11.01.2017, the petitioner preferred an appeal under Section 13(3) of the 1978 Act before the Appellate Authority, which was registered as Claim Appeal No. 1 of 2017. That, by an order dated 28.02.2018, the Appellate Authority allowed the appeal and enhanced the amount of compensation and held that the petitioner is entitled to get a sum of Rs.6,20,52,215/on account of market value of the land and a further sum of Rs.6,75,526/on account of value of structure. The Appellate Authority also held that the petitioner shall be entitled to a further sum at the rate of 12% per annum on market value in terms of subsection (3) of Section 30 of the 2013 Act and also held that the petitioner is entitled to get solatium @ 100% on the total compensation i.e. Rs.6,20,52,215/(market value) + Rs.6,75,526/(on account of value of structure) + Rs.3,66,91,239/(further sum at the rate of 12% per annum on market value in terms of subsection (3) of Section 30 of the 2013 Act) = Rs.9,94,18,980/.

2.3 That, being aggrieved and dissatisfied with the order passed by the Appellate Authority dated 28.02.2018, the respondent preferred an application under Article 227 of the Constitution of India before the High Court of Calcutta, being C.O. No. 1895 of 2018. That, by the impugned judgment and order dated 07.02.2019, the High Court has partly allowed the said revision application and has held that the solatium payable under subsection (1) of Section 30 of the 2013 Act has to be calculated only on the market value of the land acquired and the assets thereon and not on the total arrived at upon assessing the market value with additional 12% per annum thereon (further sum payable under subsection (3) of Section 30 of the 2013 Act). Consequently, the High Court has directed to reassess the total amount payable to the petitioner.

2.4 Feeling aggrieved and dissatisfied with the impugned judgment and order passed by the High Court holding and directing to determine and to pay the solatium payable under subsection (1) of Section 30 of the 2013 Act on the market value of the land acquired and the assets thereon and excluding the further sum at the rate of 12% per annum payable under subsection (3) of Section 30 of











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