SUPREME COURT OF INDIA
AJAY RASTOGI, ABHAY S. OKA, JJ.
Bhupendra Ramdhan Pawar – Appellant
Versus
Vidarbha Irrigation Development Corporation, Nagpur and Others – Respondents
Civil Appeal Nos. 5611-5612, 5613, 5614 of 2021, SLP (Civil) Nos. 36247-36248 of 2016, 13859, 13874 of 2019
Decided On : 09-09-2021
Land Acquisition Act, 1894 – Section 18 – Acquisition of land – Quantum of compensation – Compensation @ Rs. 1,00,000/- per hectare awarded by High Court – Sale instance of 12th March, 1996 is one year prior to Section 4 notification – Even by adding 10% increase in value, market value of 1 hectare would be Rs. 82,500/- – Compensation of Rs. 1,00,000/- per hectare as awarded by High Court in impugned judgment is a fair compensation duly supported by material on record and that needs no interference – Since, there was no evidence on record establishing existence of 100 mango trees as claimed on the date when acquisition proceedings were initiated in August 1997, claim was rightly rejected by High Court – In a case where land value has been determined with reference to sales statistics, trees will have to be valued separately – In instant case, land value has been determined with reference to sales statistics by High Court in impugned judgment – That being factual position, appellant is entitled for compensation for 2 hectares of land in reference to which compensation has not been awarded under impugned judgment at the rate of Rs. 1,00,000/- per hectare along with statutory entitlement to claimant/appellant. (Paras 7, 11, 12, 14 and 15)
Facts of the case:
Appellant has challenged the judgment and order dated 23rd October, 2015 passed by High Court of Bombay determining the compensation payable to the appellant in reference to the acquisition proceedings which were initiated pursuant to a notification under Section 4 of the Land Acquisition Act, 1894 dated 14th August, 1997.
Findings of Court:
Appellant shall be entitled to compensation @ Rs.1,00,000/- per hectare for the land admeasuring 2 hectares situated at Mouza Khandala, Tq. Manora, District Washim along with statutory entitlement as referred to by the High Court in para (viii) of the impugned judgment dated 23rd October, 2015 till realization. The compliance be made within three months.
Result : Appeals Partly allowed.
JUDGMENT :
AJAY RASTOGI, J.
Civil Appeals @ SLP (Civil) Nos. 36247-36248 of 2016
1. Leave granted.
2. The appellant has challenged the judgment and order dated 23rd October, 2015 passed by the High Court of Bombay determining the compensation payable to the appellant in reference to the acquisition proceedings which were initiated pursuant to a notification under Section 4 of the Land Acquisition Act, 1894 (hereinafter being referred to as the ‘Act’) dated 14th August, 1997.
3. The total land admeasuring 9 hectares and 98 ares situated at Mouza Khandala, Tq. Manora, District Washim came to be acquired by the respondents pursuant to the acquisition proceedings initiated under Section 4 of the Act published in the Gazette dated 14th August, 1997. In furtherance thereof, declaration was made under Section 6 of the Act which was published in the Government Gazette on 20th August, 1998. The land acquisition officer pursuant thereto passed an award dated 20th August, 1999 in respect of the acquired land and valued the land under field Gat No. 1/1 and 1/2 at the rate of Rs. 35,000/- per hectare for dry crop land and under Gat No. 11 at the rate of Rs. 46,600/- per hectare on the basis of revenue assessment with standing trees. On appeal being preferred at the instance of the present appellant under Section 54 of the Act read with Section 96 of Civil Procedure Code, 1908, the High Court under the impugned judgment, after hearing the parties, granted him the following reliefs:
(ii) Claimant is held entitled to compensation at the rate of Rs. 3000/- per tree for 554 orange trees in Gat No. 1/1 and 1/2.
(iii) Claimant is held entitled to Rs. 91,305/- as compensation for well in Gat No. 1/1 and for well in Gat No. 1/2 to Rs. 26,000/-.
(iv) Claimant is held entitled to compensation for 327 firewood trees at the rate of Rs. 300/- per tree.
(v) Claimant is held entitled to compensation at the rate of Rs. 500/- per tree for 400 Sindhi trees.
(vi) Claimant is held entitled to compensation at the rate of Rs. 250/- per tree for 30 berry trees.
(vii) The claim in respect of 100 mango trees at the rate of Rs. 1000/- per tree, as has been awarded by the reference Court, is rejected.
(viii) Rest of the statutory entitlements of the claimant including solatium under Section 23(2) of the Act, interest under Section 28 of the Act and component under Section 23A of the Act of 1894 be calculated accordingly along with future interest at the rate of 15% per annum till full realization.
(ix) The judgment and order dated 17th of April, 2008 passed by reference Court in LAC No. 170 of 1999 stands modified accordingly.
(x) The reference Court is directed to calculate the compensation payable to the claimant after giving notice to both sides within four months from the date of receipt of writ and certified copy of the judgment.
(xi) If any amount is withdrawn by the claimant, same shall be taken into consideration while making ultimate payment of dues to the claimant.
(xii) The amount deposited by the appellant in Appeal No. 1265 of 2013 if found to be in excess, the same shall be refunded to the appellant.
(xiii) In the circumstances, there shall be no order as to costs.”
4. Learned counsel for the appellant submits that the compensation @ Rs. 1,00,000/- per hectare awarded by the High Court is not adequate and under the two sale deeds dated 28th December, 1994 and 12th March, 1996, the market price comes to Rs. 50,000/- per hectare in the year 1994 and on the basis of second sale deed of March, 1996, the market price came to Rs. 75,000/- per hectare and the present acquisition being of the year 1997, adequate appreciation has not been made while computing compensation and it deserves further enhancement.
Ambya Kalya Mhatre(Dead) through LRs and Others Vs. State of Maharashtra
The main legal point established in the judgment is the determination of just, fair, and reasonable compensation for acquired land and fruit-bearing trees under the Land Acquisition Act, 1894.
Compensation for land and trees under the Land Acquisition Act must be based on reliable evidence, and when determined by income capitalization method, it includes both land and trees, prohibiting se....
Compensation for land and trees cannot be awarded separately when determined by income capitalization method, as it includes both values.
Compensation for land and trees cannot be awarded separately when determined by income capitalization method; it constitutes a composite valuation.
The main legal point established in the judgment is the determination of compensation under the Land Acquisition Act, 1894, based on the correct market value of the acquired land and the valuation of....
Compensation for land and trees in land acquisition cases must be determined by income capitalization method, which includes both, and separate compensation is not permissible.
The court established that compensation for acquired land and trees must be based on fair market value and supported by credible evidence, with a clear obligation to adhere to established legal prece....
The court affirmed that reasonable guesswork is permissible in compensation assessments under the Land Acquisition Act, provided it balances equities and is supported by credible evidence.
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