Madras Act XI of 1954, The Madras Slum Improvement (Acquisition of Land) Act, confers by section 3 thereof power upon the State Government to acquire land for the purpose of clearing or improving an area, where such area has been notified to be a slum area. A notification published under section 3(1) vests the land in the State Government. Section 5 provides that every person whose right, title or interest in any land is acquired under the Act, shall be entitled to receive and be paid compensation as provided. Section 6 of the Act lays down that the amount payable as compensation shall be lesser of the two amounts: (1) an amount equal to five times the net annual average income derived from such land during the period of five consecutive years immediately preceding the publication of the notice: (2) the amount that would have been payable as compensation under the Land Acquisition Act, 1894, in respect of such land, had such land been acquired under that Act. The net average annual income has to be calculated in the manner and in accordance with the principles set out in the Schedule to the Act. The prescribed authority has to hold an enquiry in the prescribed manner and det