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2003 Supreme(P&H) 1236
PUNJAB AND HARYANA HIGH COURT
Satish Kumar Mittal, J.
Smt. Sarjo and another - Appellants
Versus
State of Punjab - Respondent
Regular First Appeal No. 3 of 1987.
Decided On : 3 September, 2003
For the Appellants :Mr. Pritam Saini, Advocate.
For the Respondent: Ms. Swati Gupta, A.A.G., Punjab.
The main legal point established in the judgment is the application of the Land Acquisition Act, 1894, particularly the provisions related to the determination of market value, compensation, and interest. The court also emphasized the principle of setting a uniform rate for land acquired in different villages.
Headnote:
Land Acquisition - Market Value - Land Acquisition Act, 1894 - Section 4, Section 18, Section 23(2), Section 23(1-A), Section 28 - The court discussed the market value of acquired land in the context of the Land Acquisition Act, 1894, and relied on the provisions of Section 4 for acquisition, Section 18 for enhancement of compensation, Section 23(2) for solatium, Section 23(1-A) for additional amount, and Section 28 for interest. The court's decision was influenced by the interpretation of these provisions and the application of a Division Bench judgment setting a uniform rate for land acquired in different villages.
Fact of the Case:
The appeals were filed by the claimants-land owners against the award fixing the market value of the acquired land at a lower rate. The acquired land was treated as Abi land, but the claimants argued it should have been treated as Chahi land, as in other villages. The District Judge found in favor of the claimants, relying on evidence and a previous judgment.
Finding of the Court:
The court found that the acquired land should have been treated as Chahi land and determined the market value at a higher rate based on a previous judgment setting a uniform rate for land acquired in different villages.
Issues: The main issue was the classification of the acquired land as Abi land and the determination of its market value. The court also considered the applicability of a previous judgment setting a uniform rate for land acquired in different villages.
Ratio Decidendi: The court held that once urbanization had occurred and the acquired land had gained potential for that purpose, it would be wrong to classify the land based on agricultural quality. The court also applied the principle of setting a uniform rate for land acquired in different villages.
Final Decision: The court allowed both appeals, determined the market value of the acquired land at a higher rate, and awarded additional compensation and interest to the claimants.
Satish Kumar, Mittal, J. - This order shall dispose of two Regular First Appeals bearing R.F.A. Nos. 3 and 4 of 1987 in which common questions of facts and law are involved.
2. These appeals have been filed by the claimants-land owners against the award dated 24.9.1986 passed by the District Judge, Ropar vide which the market value of the acquired land has been fixed at the rate of Rs. 85,000/- per acre treating the acquired land of the appellant as Chahi. Vide notification dated 4.2.1984 issued under Section 4 of the Land Acquisition Act, 1894 (hereinafter referred to as the Act), the State of Punjab acquired huge chunk of land in village Chilla for expansion of the Industrial Focal Point, S.A.S. Nagar, Mohali. On the same date, the lands in other villages namely, Kumbra, Kambali and Kambala were also acquired for the same purpose. The Land Acquisition Collector vide his award dated 22.12.1983 assessed the market value of the acquired land of all the villages including the village in question at the rate of Rs. 55,000/- per acre for Abi land. The land of the appellants was treated as Abi land.
3. Feeling dissatisfied against the aforesaid award, the appellants sought reference under Section 18 of the Act for enhancement of compensation. It was pleaded that the acquired land was actually the Chahi land as the same was irrigated with water of Ganda Nala and for the Chahi type of land even the Land Acquisition Collector had assessed the market value at the rate of Rs. 85,000/- per acre in villages Kumbra, Kambali and Kambala. The learned District Judge on the basis of the evidence recorded a finding that the land in question was wrongly assessed as Abi and the same should have been treated as Chahi land and the market value of the acquired land should have been assessed at the rate of Rs. 85,000/- per acre. While assessing the market value of the acquired land of the appellants of village Chilla, the learned District Judge put reliance upon a judgment dated 13.8.1986 passed by the then District Judge, Ropar in Land Reference No. 36 of 21.2.1985, in which the market value of the acquired land in village Kambala was also assessed at the aforesaid rate.
4. The learned counsel for the appellants submitted that the market value of the acquired land in villages Kumbra, Kambali and Kambala was fixed at Rs. 1,75,000/- per acre by a Division Bench of this Court in Harchal Singh v. The State of Punjab, 1991 PLJ 20. It has been submitted that the instant appeal of the appellants is squarely covered by the said decision and the appellants are entitled for compensation of the acquired land at the same rate, i.e. Rs. 1,75,000/-.
5. I have heard the arguments of the learned counsel for both the parties and have perused the record of the case.
6. After going through the Division Bench judgment of this Court in Harchal Singhs case (supra) and the impugned award, I am of the opinion that the appeal filed by the appellants is squarely covered by the aforesaid decision. The learned counsel for the respondent has also not disputed this position. In the aforesaid case, the Division Bench of this Court has observed as under:-
"7. The four villages are in the near vicinity of each other and are part of S.A.S. Nagar/Mohali and this town is adjoining Union Territory of Chandigarh on one side and, therefore, has acquired potential for urbanisation. In Mohali itself lot of construction had come up before the acquisitions in dispute and therefore contiguous villages on this ground had also gained potential for urbanisation. Once urbanisation has come up and the acquired land has gained potential for that purpose it will be wholly wrong to classify the land on the basis of agricultural quality. Therefore, we are of the view that the entire land including those which are Gair Mumkin and Banjar Qadim cannot be kept in a separate category for fixing price. However, if it is found that the land is in depression because of Chhapper (Pond) or because of Kh
