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1964 Supreme(HP) 11

Himachal Pradesh High Court
OM PARKASH
Collector Bilaspur - Appellant
Versus
Daulat Ram - Respondent
Decided On : 07/02/1964

Advocates:
Jai Chand, Govt. Advocate, for Appellant; Sukh Dev, for Respondents.

The court laid down the principle that in a normal case, the ends of justice will be met if six months' income is awarded as compensation to an oustee business-man for the injurious affection of his business.

Headnote:

LAND ACQUISITION ACT - COMPENSATION - LOSS OF EARNINGS - MARKET VALUE OF BUILDINGS AND LAND - ASSESSMENT - PRINCIPLES.

Fact of the Case:

Land and buildings in Bilaspur town were acquired for the construction of Bhakra Reservoir. The Collector awarded compensation, but the landowners, Smt. Reshmu and her sons, Daulat Ram and Nauria Mal, filed references under Section 18 of the Land Acquisition Act, objecting to the compensation and claiming additional compensation for loss of earnings due to the acquisition of buildings where they carried on business.

Finding of the Court:

The court held that the Collector's assessment of compensation for buildings and land was inadequate and enhanced the compensation. It also held that the landowners were entitled to compensation for loss of earnings due to the injurious affection of their business caused by the acquisition.

Issues: 1. Whether the Collector's assessment of compensation for buildings and land was adequate. 2. Whether the landowners were entitled to compensation for loss of earnings due to the injurious affection of their business caused by the acquisition.

Ratio Decidendi: 1. The court held that the Collector's assessment of compensation for buildings and land was inadequate based on the evidence presented by the landowners and the report of a Commissioner appointed to assess the market value of the buildings. 2. The court held that the landowners were entitled to compensation for loss of earnings based on the evidence of witnesses who testified that the landowners carried on business in the acquired buildings and that their income was injuriously affected by the acquisition.

Final Decision: The court partly allowed the appeal and modified the order of the lower court, reducing the excess compensation awarded to the landowners from Rs. 4,500 to Rs. 2,500.

Judgement

JUDGMENT :- This appeal, by the Collector, Bilaspur, is directed against an order of the learned Additions District Judge Bilaspur, whereby, on three references, under S. 18 of the Land Acquisition Act, the compensation, payable for 'acquisition of property, was enhanced, by Rs. 28,934.75 P.

2. Land and buildings, situated in Bilaspur town, were acquired, in connection with the construction of Bhakra Reservoir. The major part of the property, acquired, was owned, exclusively, by Smt. Reshmu, since deceased, and her sons, Oaulat Ram and Nauria Mal, respondents, and the rest was owned by them, jointly, with other persons. The Collector awarded compensation with respect to the acquisition of property. Smt. Reshmu and Daulat Ram and Nauria Mal, respondents, did not accept the award. Each of them filed a separate reference, putting forth objections, against the award qua her or his own share in the property, acquired. The three references were forwarded to the Court for determination.

3. The learned Additional District Judge, Bilaspur consolidated the three references, held one trial and disposed of them by one order.

4. The objections taken up, against the award, in the three references, were the same. The objections, which are relevant far the decision of the present appeal, were that the compensation for land and buildings, as assessed by the Collector, was inadequate and that the respondents were carrying on business in the buildings acquired and that as the business was injuriously affected by reason of the acquisition, they were entitled to get compensation for loss of earnings but the Collector did not award any compensation in this behalf.

5. The objections were controverted, on behalf of the appellant.

6. The learned Additional District Judge held that the compensation, assessed by the Collector, for buildings and land, was low. He enhanced the compensation, by Rs. 22,591.75 P and Rs. 1,843/-, for buildings and land respectively. He, further, held that the respondents were carrying on business in the buildings acquired and that their business had been injuriously affected by reason of the acquisition and they were entitled to get Rs. 4,500/-, as compensation, for loss of earnings.

7. Feeling aggrieved by the enhancement of compensation, the Collector has come up in appeal. Only one appeal has been filed1, though there were three separate references. The memorandum of appeal has been stamped with court-fees, chargeable on Rs. 28,934.75 P, the total excess compensation, awarded by the learned Additional District Judge, in the three references.

8. Smt. Reshmu died during the pendency of the appeal. Her name was struck off the records as Daulat Ram and Nauria Mal, her sons, in whose favour, she had executed a will, were already on the record.

9. The office had raised an objection that, as there were three references, three appeals should have been filed and the present appeal was not competent. The learned counsel for the respondents, also, supported this objection and contended that as three appeals were not filed, the present appeal was barred by the principles of res judicata. He placed reliance on Badri Narayan Singh v. Kamdeo Prasad Singh, AIR 1962 SC 338. In my opinion, the present appeal is competent and the authority, relied upon, by the, learned counsel for the respondents, is not applicable to the present case. The three separate references were consolidated, by an order dated 27th April, 1959, of the learned Additional District Judge. There was only one set of issues and one trial. The three references were disposed of by one order. It is clear that the learned Additional District Judge had applied his mind to the determination of the issues, involved in the references, only once, and there was one trial, one finding and one decision. There were not three independent trials. The appellant has impleaded all the parties, who had filed the references, and has paid court-fees on the total excess amount of compensation,


















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