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2008 Supreme(P&H) 1506

PUNJAB & HARYANA HIGH COURT
Ajai Lamba, J.
Anoop Kumar
Versus
State Of Haryana
Regular First Appeal No. 476 of 2004,
Decided On : SEPTEMBER 3, 2008

The main legal point established in the judgment is the principle of assessing the fair market value of acquired land based on actual use, potential, and comparable sale instances in the vicinity, as well as the relevance of evidence brought on record to determine the market value.

Headnote:

Land Acquisition Act - Assessment of Market Value - Section 4, Section 6, Section 18 - The court assessed the market value of land falling in Revenue Estate of Village Jagadhari, District Yamuna Nagar, as on 4.6.1997, the date of publication of the notification under Section 4 of the Land Acquisition Act, 1894. The claimants appealed for enhancement of compensation, while the State of Haryana and Haryana Urban Development Authority (HUDA) appealed for reduction in the compensation awarded by the reference court.

Fact of the Case:

The case involved the assessment of the market value of land falling in Revenue Estate of Village Jagadhari, District Yamuna Nagar, as on 4.6.1997, the date of publication of the notification under Section 4 of the Land Acquisition Act, 1894. The claimants appealed for enhancement of compensation, while the State of Haryana and Haryana Urban Development Authority (HUDA) appealed for reduction in the compensation awarded by the reference court.

Finding of the Court:

The court found that the evidence brought on record did not indicate any rise in the market value. It assessed the market value of the acquired land at the rate of Rs. 1,560/- per square meter, based on a sale deed executed by HUDA in favor of Power Grid Corporation of India Limited. The court dismissed the appeals filed by the respondent-State/HUDA and accepted the appeals filed by the claimants, awarding compensation at the rate of Rs. 1,560/- per square meter.

Issues: The main issue was the assessment of the market value of the acquired land falling in Revenue Estate of Village Jagadhari, District Yamuna Nagar, as on 4.6.1997, and the determination of compensation for the claimants.

Ratio Decidendi: The court considered the evidence brought on record, including sale instances, and the provisions of the Land Acquisition Act, to determine the fair market value of the land. It emphasized the principle of assessing the market value based on the actual use and potential of the land, as well as the relevance of comparable sale instances in the vicinity.

Final Decision: The court assessed the market value of the acquired land at the rate of Rs. 1,560/- per square meter and awarded compensation to the claimants at this rate. The appeals filed by the respondent-State/HUDA were dismissed.

Judgment

Ajai Lamba, J.

1. This is a bunch of 22 Regular First Appeals requiring the Court to assess the market value of land falling in Revenue Estate of Village Jagadhari, District Yamuna Nagar, as on 4.6.1997 i.e. the date of publication of the notification under Section 4 of the Land Acquisition Act, 1894 (for short the Act). While the claimants have come up in appeal claiming enhancement of compensation in Regular First Appeal Nos. 476 to 478 of 2004,1201,1233 to 1235 and 1238, of 2005, the State of Haryana and Haryana Urban Development Authority (for short HUDA) have filed Regular First Appeal Nos. 432 to 434, of 2004 and 836 to 845 of 2005, praying for reduction in the compensation awarded by the reference court.

2. For facts, First Appeal No. 476 of 2004 (Anoop Kumar etc. v. State of Haryana and others) is being taken up.

3. A brief history leading to the acquisition proceedings for which market value is required to be assessed, is required to be given. On 20.8.1980 (Exhibit P8), a notification under Section 4 of the Act, for acquisition of 700 acres of land falling in Revenue Estates of Villages Jagadhri, Garhi Mundon, Gobindpura, Tejli and Gobindpuri, was issued. The public purpose for which the acquisition was proposed was for development of land for residential and commercial purposes, by HUDA. The land of the claimants herein was also notified for acquisition. Notification/declaration under Section 6 of the Act was published on 13.7.1982 (Exhibit P9). The land of the claimants, however, was released. On the remaining land, Sector 17, Jagadhri, has been developed.

4. With regard to the land of the claimants, fresh acquisition proceedings were initiated through publication of notification under section 4 of the Act, on 4.6.1997. The land of the claimants falls in Revenue Estate of Village Jagadhri and the area proposed to be acquired is 4.21 acres. The notification under Section 4 of the Act also proposed acquisition of land measuring 2.60 acres falling in the Revenue Estate of Village Garhi Mundon. The public purpose for acquisition is for the development and utilization of land as residential, commercial and industrial area for Sectors 17 and 18, Jagadhri.

5. The declaration under Section 6 of the Act was issued on 2.6.1998. The acquisition of land falling in the Revenue Estate of Village Garhi Mundon was challenged by way of filing of a writ petition. The acquisition proceedings were stayed. It is under these circumstances that the market value of the land falling in the Revenue Estate of Village Jagadhri only i.e. 4.21 acres, is required to be assessed.

6. The Land Acquisition Collector pronounced the award on 1.6.2000 with regard to the land falling in the Revenue Estate of Village Jagadhri at the rate of Rs. 6 lacs per acre.

7. The claimants, not being satisfied, made a reference under Section 18 of the Act, while claiming Rs. 9,500/- per square meter. The claim was also made with regard to tubewells, etc. The learned counsel for the appellants have addressed arguments in these appeals only qua valuation of land. The issue with regard to valuation of tubewells, etc. has not been raised and, thus, the Court is required to assess only the market value of the land. The reference court vide the impugned award dated 18.11.2003 enhanced the compensation to the rate of Rs. 750/- per square meter.

8. The first contention of the learned counsel for the claimants is that the land has been within the municipal limits of Jagadhri since the year 1961. 36 years have gone-bye since the time of the inclusion of the land within the municipal limits, the land has been substantially improved and has a very high potential for being developed as residential, commercial and industrial area. It has further been contended by the learned counsel for the claimants that Sector 17, Jagadhri had already been developed. Sector 17, Jagadhri contains residential and commercial area. The land in close vicinity had been auctioned by HUDA in bet












































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