V. RAJAGOPALA REDDY, J.

( 1 ) THE petitioners filed the writ petition seeking a writ of mandamus directing the respondents to determine the compensation payable to the petitioners under the provisions of the Land Acquisition Act (for short the Act ) and to pay the same to the petitioners for the lands acquired by the Government from the petitioners, under the -Act, for the benefit of A. P. State Electricity Board (for short the Board ), the 4th respondent herein.

( 2 ) FOR the purpose of construction of a Sub-Station by the Board in Tenali, the Board requested the petitioners that their lands bearing TS Nos. 211, 214 and 209, would be acquired and for that purpose the petitioners should give their consent to hand over the lands pending finalisation of the acquisition proceedings by the Revenue authorities. All the petitioners have given their consent to the Board, subject to certain conditions. Accordingly, on 22-10-1990 the lands of the petitioners were measured by the surveyor of the Board and the Board has taken over possession of the said lands. Again subsequently for certain lands in TS No. 210 of 4 in Tenali, the petitioners have given their consent and they were also taken over possession by the Board. The 1st respondent published in the Gazette dated 30-9-1991 the notification under Section 4 (1) of the Act proposing to acquire the property mentioned therein, for the purpose of construction of a Sub-Station and staff quarters in Tenali, in respect of first stage of acquisition. Another notification dated 15-10-1992 issued under Section 4 (1) of the Act was published in the Gazette in respect of the second stage of acquisition. Declaration under Section 6 of the Act was also published on 15-10-1992, The petitioners were given notices under Sections 9 (3) and 10 of the Act and in response to the same the petitioners filed statements. The petitioners claimed between Rs. 600 and 800 per Sq. Yd. , as compensation. But, it is stated that no award was passed under the Act so far determining the compensation. As per Section 11-A of the Act, the Award should have been passed within two years from the dates of declarations, viz. , 29-9-1993 in respect of 1st phase and 14-10-1994 in respect of 2nd phase of acquisitions. However, at the instance of the Board the petitioners filed their statements seeking market value at the rate of Rs. 400 and 800 per Sq. Yd. Several negotiations took place between the petitioners and the Board. But the Board offered only Rs. 1,00,000. 00 per acre as compensation, which was refused by the petitioners. The Board, however, thereafter offered Rs. 33,46,200. 00per acre for the second stage and Rs. 34,94,700. 00per acre for the first stage. The petitioners declined the same claiming Rs. 50,62,500. 00 per acre for both the stages, subject to the condition that the amount should be paid on or before 31-8-1996. The Board has declined to accept the offer, nor paid any amount towards compensation. The petitioners filed this writ petition stating that the notifications lapsed as no awards were passed within two years from the date of publications, as required wider Section 11-A of the Act. On the taking of the possession of the lands by the Board and having constructed electrical sub-station and staff quarters, the lands stood vested with the Government. It is, therefore, obligatory for the Government to issue fresh notification under Section 4 (1) of the Act and pay compensation at the market value prevailing at the time of such notifications. Alternately, it is the case of the petitioners that even if the notifications did not lapse, as possession was taken by the respondents and the lands stood vested in the Government, the RDO should have passed an award in accordance with law, after holding an enquiry and paid compensation.

( 3 ) COUNTER affidavits were filed on behalf of the respondents. The basic facts pleaded by the petitioners were not, however denied. It is the case of the respondents that possess

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