The assessment of compensation for acquired land should be based on the facts and circumstances of each case, and there is no strait-jacket formula for slashing the price from comparable sale instances.

JUDGMENT

V.K. Bali, J. - After working out average of comparable sale instances, a cut of little more than 50% has been applied in assessing the market value of the acquired land at the time of issuance of notification under Section 4 of the Land Acquisition Act, 1894 (hereinafter referred to as the said Act).

2. Concededly, area of the appellant (hereinafter referred to as the claimant) abutted on two main roads and was located in Khanna town itself and was being used for running flour mill and other factory. Facilities of electricity and water supply were available. Undisputed findings returned by the learned Additional District Judge reveal that the acquired land of the claimant was a very valuable piece of land. Its location was ideal. It was already being used for commercial purpose. Two factories were being run on it. One was Balak Ram Flour and Oil Mills and the other was Punjab Wooden Industries. It adjoined the New Grain market and had been acquired for its extension. It was fully developed. Facilities of electricity and water were already available. There was no need to further develop it. It was a small compact piece of land. It was already being used for commercial purposes for the last more than 30 years. Grain Market, Khanna was the greatest grain market in the country.

3. Such being the location and development of the land under acquisition, the only question that has been mooted out by the claimant in this appeal filed by him under Clause X of the Letters Patent is as to whether a cut of 50% from the average price of the comparable sale instance that was cited before the court, was justified.

4. Brief facts of the case, insofar as the same are relevant for determination of the point raised in the present appeal, as mentioned above, reveal that pursuant to notification, under Section 4 of the said Act, published on January 25, 1978 some land including land measuring 22 kanals 12 marlas, owned by the claimant, where there was a running flour mill and other factory, and which was situated within the municipal limits of Khanna town, was sought to be acquired for the extension of new grain market. Follow-up declaration under Section 6 was issued on July 2, 1979. The Land Acquisition Collector, vide his award dated January 30, 1980, assessed the market value of the land under acquisition at Rs. 52,000/-, i.e. Rs. 1,60,000/- pre acre. On a reference made by the claimant under Section 18 of the said Act, learned Additional District Judge, vide his award dated August 24, 1984 assessed Rs. 94,250/- as market value of the land under acquisition. On a further appeal, learned single Judge vide order dated August 10, 1989 assessed the market value of the acquired land as Rs. 100/- per sq. yard. Still not satisfied, claimant has preferred this appeal for further enhancement.

5. The claimant, in support of his claim of Rs. 200/- per sq. yard, relied upon sale instances, Ex.AW9/1 to Ex. AW9/16. Undisputedly, all these sale instances are of small pieces of land but are certainly comparable vis-a-vis the land under acquisition. The average price of said sale instances works out to be Rs. 204.12 per sq.yard and while applying a cut of 1/2, learned Single Judge worked out the market value of the land under acquisition @ Rs. 100/- per sq. yard. Learned Single Judge also discussed sale instances Ex. AW6/A, AW6/B and AW6/C vide which booths of small sizes in the acquired land itself were later sold @ Rs. 300/- per sq.yard. With a view to support the assessment of market value of the acquired land @ Rs. 100/- per sq. yard, learned Single Judge was of the opinion that since sale instances, Ex.AW6/A to Ex.AW6/C were in the shape of small plots and sufficient area was left for parks, roads and other common purposes and as lot of space had to be left while converting ordinary land into a grain market for providing parks and open space for parking of vehicles etc., 2/3rd cut ought to have been applied on these sale instances and in that way