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2025 Supreme(Guj) 1881

IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
Hemant M. Prachchhak, J.
Thakor Babuji Ravaji - Appellant
Versus
Special Land Acquisition Officer & Anr. – Defendant
R/First Appeal No. 588 of 2016, R/First Appeal No. 1100 of 2017, R/First Appeal No. 1445 of 2017, R/First Appeal No. 589 of 2016, R/First Appeal No. 590 of 2016, R/First Appeal No. 591 of 2016, R/First Appeal No. 592 of 2016, R/First Appeal No. 593 of 2016, R/First Appeal No. 594 of 2016, R/First Appeal No. 595 of 2016, R/First Appeal No. 596 of 2016, R/First Appeal No. 597 of 2016, R/First Appeal No. 2829 of 2016, R/First Appeal No. 2830 of 2016, R/First Appeal No. 2831 of 2016
Decided On : 03-10-2025

Advocates Appeared: For the Appellant : Mr A V Prajapati For the Defendant : Ms Roshni Patel AGP

Compensation for land acquisition must be based on current market value, informed by recent sale transactions and relevant valuation reports.

Headnote:(A) Land Acquisition Act - Sections 4, 6, 11, and 18 - Appellants challenged compensation determined by Reference Court - Court partly allowed appeals and awarded additional compensation of Rs. 376.95 per square meter over the compensation awarded by Special Land Acquisition Officer, after observing that the Reference Court had erred in assessing market value and ignored significant valuation evidence. (Paras 3, 8, 12, 14)

(B) Market valuation principles - Determination of fair market value of acquired land should be based on contemporaneous land sales and relevant valuation reports, with consideration of changes in market conditions over time. (Paras 10, 12)

Facts of the case:
Lands were acquired for public purpose, specifically for a canal in village Kamana, resulting in disputes over the inadequacy of the compensation awarded by the Special Land Acquisition Officer. The Reference Court initially awarded Rs. 34.85 per square meter. (Para 2)

Findings of Court:
The Reference Court’s valuation was found inadequate and not justifiable based on the evidence, leading to the modification of the compensation awarded. (Paras 8, 14)

Issues: The main issues involved determining whether the compensation awarded was inadequate and the appropriate additional compensation entitled to the claimants. (Para 3.2)

Ratio Decidendi: The court emphasized the necessity of basing compensation on reliable, contemporary evidence and valuation reports, critiquing the Reference Court for relying on outdated judgments that did not reflect current market conditions. (Paras 8, 10, 12)

Result: Appeals were partly allowed, and additional compensation of Rs. 376.95 per square meter was awarded. (Para 14)

JUDGMENT :

Hemant M. Prachchhak, J.

1. All these appeals involve identical and similar issues arising out of common facts and circumstances. Therefore, with the consent of the learned advocates appearing for the respective parties, they are heard together and are being disposed of by this common judgment.

2. Present appeals are filed against the common judgment and award dated 29.5.2010 passed by learned Principal Senior Civil Judge, Mehsana (hereinafter be referred to as the "Reference Court") in Land Acquisition Reference Case No. 958 of 2003 to 973 of 2003, whereby the Reference Court has partly allowed the said Reference Cases and awarded additional amount compensation of Rs.34.85 ps. per square meter over and above the compensation awarded by Special Land Acquisition Officer along with other statutory benefits in favour of the appellants of all the First Appeals.

3. The facts giving rise to present appeals are that the competent authority under the LAND ACQUISITION ACT had acquired lands of the claimants for public purpose to make Canal situated at Village Kamana, Taluka Visnagar, District Mehsana. For that the notification under Section 4 of the Act had been published in 2 daily newspaper on 17.07.2002 and even in village Kamana on 19.7.2002 and the notification under Section 6 of the Act was publlished in newspaper on 18.11.2002 and in village Kamana on 01.12.2002. After following due procedure and after hearing the concerned parties, the Special Land Acquisition Officer has passed an award dated 13.1.2003 under Section 11(1) of the Act and the possession of the land was taken on 8.8.2001 by consent of the claimants and the Special Land Acquisition Officer has fixed the market value of the lands at Rs.8.10 N.P. per square meter.

3.1 Being aggrieved and dissatisfied with the said award all the claimants filed Land Acquisition Reference Case No. 958 of 2003 to 973 of 2003 before the Reference Court.

3.2 The Reference Court after hearing both the parties and after evaluating the evidence placed on record has framed the issues at Exh.9 referred in paragraph No.5 of the judgment and award, which reads as under:-

1. Whether the applicants/claimants proves that compensation awarded is inadequate?

2. If ayes, what additional compensation the applicants/claimants are entitled to?

3. Whether reference cases filed within limitation provisions under Section 18 of the Act?

3.3 The Reference Court answered the said issues in paragraph No.6. Thereafter, Reference Court considered oral as well as documentary evidence of both the sides which read as under:-

"ORAL EVIDENCE:

(a) Applicants witness No.1- Babuji Ravaji Thakor applicant of L.A.R.No.958/03 has been examined on oath at Exh.55, on behalf of the applicants and the applicant's side has submitted closing pursis at Exh. 74. The same witness had been examined earlier at Exh.36.

(b) Opponent's witness:- The opponents side has not repeated the witness instead, the opponent side has examined fresh witness namely Shri Sagardan Abheysinh Zibha, Deputy Collector, CIPU Project, Palanpur at Exh.73. Earlier Government had examined Shri Rameshchandra Amarsinhbhai Thakkar, Deputy Mamlatdar, Office of CIPU Project, LAQ Officer for CIPU Project at Exh.38.

(A) Documents produced by the applicants:-

Again, applicants have produced following documents:-

(1) A letter written by office of Town Planning office under the information asked by H.P.Patel dated 01.01.2010 at Exh.49

(2) Valuation Report prepared by Town Planning Office, Mehsana dated 26.11.1998 for the land survey No. 1252 paiki 505.85 sq.mtr of village Kamana produced at Exh.50.

(3) Valuation Report prepared by Town Planning Office, Mehsana dated 26.11.1998 at Exh.51.

(4) Report of District Valuation Committee dated 26.11.1998 at Exh.52.

(5) Copy of Valuation Report prepared by Town Planning Office of Survey No. 1252 paiki of village: Kamana 14.07.2000 at Exh.53.

(6) Valuation Report prepared by Town Planning Office on 14.07.2000 at Exh.54

(7) A note of meeti

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