Absence of local sales permits reliance on nearby circle awards for market value, with 10% annual cumulative increase for time gap; uniform rate applies to single-unit public acquisitions irrespective of land type.

Judgment :

Sushil Kukreja, J.

The instant appeal has been preferred by the appellants, who were the petitioners before the learned Court below against the award dated 18.06.2016, passed by learned District Judge (Forests), Shimla, H.P., (hereinafter referred to as “the learned Reference Court”), in Reference Petition No. 6-S/4 of 2015/13, whereby reference petition filed by petitioners was allowed and the award of the Land Acquisition Collector was modified to the extent that the market value of the land acquired was assessed as Rs. 324.32 per square meters alongwith additional compensation, Solatium, interest etc.

2. The brief facts of the case are that land of the petitioners, comprised in Khasra No. 451, measuring 0-08-57 hectares, was acquired by respondent No. 1 for construction of Shananghati-Dargi-Machryana link road, vide Notification dated 30.12.2009, under Section 4 of the LAND ACQUISITION ACT (for short “the Act”). After the completion of acquisition proceedings, the Collector passed the award on 16.02.2012, vide award No. 67/2012.

3. The petitioners/claimants, feeling aggrieved with the award of the Land Acquisition Collector preferred a petition under Section 18 of the Act before the learned Reference Court for enhancement of the compensation amount, which was allowed and award of the Collector was modified to the extent that market value of the land acquired was assessed as Rs. 324.32 per square meter and the petitioners were also held entitled for the following reliefs:-

“(a) Additional compensation at the rate of 12% per annum on the market value of the acquired land w.e.f. 30.12.2009, i.e. date of notification under Section 4 of the Act till 16.02.2012, i.e. the date of award.

(b) Solatium @ 30% of the market value of the acquired land.

(c) Interest @ 9% per annum on enhanced amount of compensation from the date of taking possession of the land till the expiry of the period of the land of one year therefrom and thereafter 15% per annum till the date of payment/deposit of the amount.

(d) Additional interest @ 15% per annum on the amount awarded by the Land Acquisition Collector from January, 1999 the date of dispossession upto 30.12.2009 the date of notification under Section 4 of the Act.”

4. Learned Senior Counsel for the appellants contended that the reference Court has gravely erred both under law and facts, as the claimants had claimed the compensation of land as per Award, dated 04.07.2013 (Ext. PW-1/D), which has been passed in reference petition No. 7-S of 2012/06, but the learned reference Court had ignored the relevant piece of evidence, i.e. Ext. PW-1/D. He further contended that in the present case notification under Section 4 of the Act was issued on 30.12.2009, whereas, notification in award, Ext. PW-1/D was issued on 02.12.2002, as such, determination of market value of acquired land in the instant case has to be enhanced @ 10% per year in view of the settled law and he prayed that impugned award deserves to be enhanced/modified.

5. Conversely, learned Additional Advocate General for the respondent/State contended that the learned Reference Court had rightly held the appellants entitled for enhanced compensation, hence, the awarded amount of compensation is just and fair and necessitates no interference and prayed for dismissal of the instant appeal.

6. I have heard the learned Senior Counsel for the appellants, learn