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2025 Supreme(Telangana) 2242

IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
ABHINAND KUMAR SHAVILI AND LAXMI NARAYANA ALISHETTY, JJ.
Bashara Bhawan Flat Owners Association, Hyderabad and others – Appellant
Versus
Special Deputy Collector, Land Acquisition MCH, Hyderabad – Respondent 
LAAS No.100 of 2015
Decided On : 31-01-2025

Advocates Appeared:
For the Appellant : (Ms.) Ayesha Tasneem
For the Respondent: Government Pleader for Appeals

The burden of proof lies with claimants to establish a higher market value than that fixed by the Reference Court, which was upheld as reasonable.

Headnote:(A) Land Acquisition Act, 1894 - Section 54 and Section 18 - Appeal against compensation awarded for acquired land - Claimants sought enhancement of market value from Rs.2,229/- to Rs.5,400/- per square yard - Reference Court dismissed the claim, leading to appeal - Court emphasized that the burden lies on claimants to prove higher market value. (Paras 3, 8, 18)

(B) Market Value Determination - The market value is defined as the price a willing purchaser would pay to a willing seller, excluding advantages due to compulsory acquisition - The Reference Court's reliance on sale deeds was justified as they reflected true market conditions. (Paras 15, 17)

Facts of the case:
The Government acquired land for a flyover, with the claimants dissatisfied with the compensation awarded by the Land Acquisition Officer, leading to a reference and subsequent appeal.

Findings of Court:
The Reference Court's valuation of Rs.5,400/- per square yard was upheld, as the claimants failed to provide evidence for a higher market value.

Issues: The main issues were whether the Reference Court erred in its valuation and if the claimants provided sufficient evidence for a higher market value.

Ratio Decidendi: The court ruled that the claimants did not meet the burden of proof for a higher valuation and that the Reference Court's decision was based on valid evidence.

Result: Appeal dismissed.

Table of Content
1. government acquired land (Para 2 , 3 , 5)
2. claimants sought reference (Para 4)
3. reference court dismissed (Para 6 , 7 , 8)
4. claimants' contention (Para 9 , 12 , 13)
5. respondent's contention (Para 10)
6. assessment of market value (Para 11)
7. sale deeds examined (Para 14 , 15)
8. genuineness of sale deed (Para 16 , 17)
9. burden of proof on claimants (Para 18 , 20 , 21)
10. appeal dismissed (Para 19)

JUDGMENT : 

Laxmi Narayana Alishetty, J.

Heard Ms. Ayesha Tasneem, learned counsel for the appellants-claimants and learned Assistant Government Pleader for Appeals appearing for the respondent-Land Acquisition Officer.

2. This Appeal, under Section 54 of the Land Acquisition Act, 1894 , (for brevity ‘the Act’), is filed by the claimants aggrieved by the order and decree dated 04.02.2013 passed in L.A.O.P.No.33 of 2006 on the file of the Ist Senior Civil Judge, City Civil Courts, Hyderabad, (for brevity, hereinafter referred to as “the Reference Court”).

3. In nut-shell, the facts of the case are that the Government acquired a total extent of 4,127.47 square yards of property, which includes land admeasuring 116.17 square yards bearing premises No.16-10-49 and land admeasuring 67.75 square yards bearing premises No.16-10-49/C, situated at Nalgonda X-Roads, Malakpet, Hyderabad, belonging to the appellants/claimants, for the purpose of construction of fly over bridge at Nalgonda Cross roads; that Draft notification under Section 4(1) of the Act was published in Hyderabad District Gazette on 29.09.2005; that Draft declaration under Section 6 of the Act was published in Hyderabad District Gazette on 30.09.2005 and after following the procedure prescribed under the Act and on conducting enquiry, the Land Acquisition Officer passed Award, dated 13.03.2006, fixing the market value of the acquired land @ Rs.2,229/- per square yard.

4. Not being satisfied with the compensation awarded by the Land Acquisition Officer, the claimants sought reference under Section 18 of the Act and the same was referred to the competent Civil Court, which was numbered as LAOP.No.33 of 2006.

5. Before the Reference Court, on behalf of the appellants /claimants, P.Ws.1 to 3 were examined and Exs.A-1 to A-7 were marked.

6. The Reference Court, on due enquiry, by order dated 20.04.2009 dismissed the said OP. Challenging the said order, the claimants carried the matter to the erstwhile High Court of Andhra Pradesh by filing LAAS.No.412 of 2009 and the High Court vide judgment dated 21.02.2011 set aside the order dated 20.04.2009 of the Reference Court and remanded the matter to the Reference Court for fresh disposal on merits, in accordance with law, after giving notices and opportunity to the parties concerned.

7. After remand of the said OP, before the Reference Court, on behalf of the claimants, Exs.P-1 to P-4 were marked and P.W-1 was further examined by filing his additional affidavit in lieu of chief examination. On behalf of the respondent-Referring Officer, R.W-1-Special Deputy Collector, Land Acquisition, GHMC, was examined and Exs.R-1 to R-3 were marked.

8. On due appreciation of the entire evidence, both oral and documentary, placed before it, the Reference Court enhanced the market value of the acquired land from Rs.2,229/- per square yard to Rs.5,400/- per square yard, apart from granting other statutory benefits under the Act to the claimants. Seeking further enhancement of the market value fixed by the Reference Court for the acquired property, the present appeal is filed by the claimants.

9. Learned counsel for the appellants/claimants inter alia contended that the Reference Court erred in appreciating the documents filed by the appellants/claimants in proper perspective; that the Reference Court while fixing the market value of the acquired properties ought to have taken the highest of the exemplars, i.e., Ex.P-2-sale deed into consideration, but it failed to do so; that the Reference Court has failed to take note of the fact that the acqui

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