ORDER :

1. Leave granted. Heard.

2. Respondents were the owners of a sweet lime orchard measuring 4 acres 38 cents situated in Survey No. 395/3A and 395/4A in Singanapalle village, Owk Mandal, Kurnool District in Andhra Pradesh. The said lands, alongwith surrounding lands (in all 58 acres 30 cents) were acquired for construction of a percolation tank. Possession was taken on 8.6.1988. However, the preliminary notification under Section 4(1) of the Land Acquisition Act, 1894 (‘Act’ for short) was issued only on 27.8.1993. The Land Acquisition Officer, by award dated 30.6.1994, offered compensation at the rate of 2 Rs. 16,000/- per acre. The reference Court determined the market value of the entire extent of 4 acres 38 guntas as Rs. 12,28,500/- by capitalisation of yield method. It awarded the said sum as compensation with additional market value at 12% per annum on such market value from the date of notification under Section 4(1) of the Act till date of award or possession whichever was earlier, 30% solatium on the market value and interest at 9% per annum from date of possession for a period of one year and thereafter at 15% per annum till date of payment on the aggregate of compens