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2023 Supreme(Online)(KAR) 17828
1
IN THE HIGH COURT OF KARNATAKA
DHARWAD BENCH
DATED THIS THE 6TH DAY OF JANUARY 2023
BEFORE
THE HON’BLE MR.JUSTICE N.S.SANJAY GOWDA
W.P.No.102584/2022 (GM-CPC)
BETWEEN:
The Special Land Acquisition Officer
Upper Krishna Project
Bilagi-587 116
… Petitioner
(By Smt.K.Vidyavati, AAG for
Sri.Shivaprabhu Hiremath, AGA)
AND:
Vithal Rao
S/o.Madhavrao Bakshi
Age: Major
Occ: Landlord
R/o.Mudhol
Dist: Bagalkot-587 313
… Respondent
(By Sri.S.S.Patil, Advocate)
This writ petition is filed under Articles 226 & 227 of the
Constitution of India praying to issue a writ in the nature of
certiorari to quashing the order passed in E.P. No.43/2019 (LAC
2
No.106/2004) on the file of Senior Civil Judge and JMFC Bilagi,
Dated: 20.11.2021 vide Annexure-A and etc.
This writ petition, having been heard and reserved for
orders on 16.12.2022, coming on for pronouncement of orders,
this day, the Court made the following:
Interest under Section 34 of the Land Acquisition Act, 1894 is to be computed on the entire compensation amount, which comprises of three components, i.e., the market value of the land, 30% solatium and 12% additional market value.
Headnote:
LAND ACQUISITION - INTEREST - CALCULATION - [SECTION 34 OF THE LAND ACQUISITION ACT, 1894] - Interest under Section 34 of the Land Acquisition Act, 1894 is to be computed on the entire compensation amount, which comprises of three components, i.e., the market value of the land, 30% solatium and 12% additional market value.
Fact of the Case:
The land loser, being dissatisfied with the determination of compensation by the Land Acquisition Officer, sought for reference under Section 18 of the 1894 Act and the Civil Court after considering the matter proceeded to enhance the compensation to Rs.6,75,000/- per acre. Not being satisfied with this determination also, the land loser preferred an appeal to the High Court and this court enhanced the compensation further to Rs.13,93,920/-. The land loser, being dissatisfied with this compensation also, approached the Supreme Court and the Supreme Court, after hearing the parties, ultimately, enhanced the compensation Rs.23,13,600/- per acre.
Finding of the Court:
The State has not computed interest as provided under Section 34 of the 1894 Act on the entire compensation, which comprises of the aggregate of the market value, solatium and the 12% additional market value. The State has, on the other hand, proceeded to compute interest only on the solatium amount and has not computed interest on the two other components, i.e., market value of the land and 12% additional market value.
Ratio Decidendi: Interest under Section 34 of the Land Acquisition Act, 1894 is to be computed on the entire compensation amount, which comprises of three components, i.e., the market value of the land, 30% solatium and 12% additional market value.
Final Decision: The State is directed to pay to the land loser, Rs.1,51,56,642/- with further interest at 15% p.a. from 28.11.2020 till the date of payment.
1.
On 25th of January 2003, a notification under
Section 4 (1) of the Land Acquisition Act, 1894 (for
short, "the 1894 Act") was issued. This was followed by
a declaration and ultimately an award was passed on
22nd of July 2003.
2.
By this award, the market value for the lands
acquired was fixed at Rs.96,164/- per acre for irrigated
lands.
3.
The
land
loser,
being
dissatisfied
with
determination of compensation by the Land Acquisition
Officer, sought for reference under Section 18 of the
1894 Act and the Civil Court after considering the matter
3
proceeded
to
enhance
the
compensation
to
Rs.6,75,000/- per acre.
4.
Not being satisfied with this determination also, the
land loser preferred an appeal to this court and this court
enhanced the compensation further to Rs.13,93,920/-.
5.
The
land
loser,
being
dissatisfied
with
this
compensation also, approached the Supreme Court and
the Supreme Court, after hearing the parties, ultimately,
enhanced the compensation Rs.23,13,600/- per acre.
6.
As this amount awarded as compensation was not
paid, the petitioner initiated execution proceedings. In
the said execution proceedings, the land loser filed a
Memo of Calculation stating that the entire amount due
to him had not been paid. The Memo of Calculation filed
by the land loser before the Executing Court reads as
follows:
4
Market value fixed by the Hon'ble
Supreme Court of India, Delhi at
the Rate of Rs.26,13,600/- per acre
total extent 3A-34Gu
Rs.1,00,62,360.00
30% Solitium
Rs.30,18,708.00
3
12% Additional Market Value from
22-02-2003 to 22-07-2003 (151
days)
4,99,534.00
Total
Rs.1,35,80,602.00
4
Less Paid by LAO
Rs.4,99,618.00
Balance
Rs.1,30,80,984.00
5
9% Interest Per annum from 15-
09-2003
to
14-09-2004
on
Rs.1,30,80,984.00 (365 days)
Rs.11,77,288.00
6
15% Interest from 15-09-2004 to
19-02-2013 on Rs.1,30,80,984.00
(3078 days)
Rs.1,65,46,548.00
7
High Court Costs
Rs.4,86,622.00
TOTAL
Rs.3,12,91,442.00
8
Less Deposited in court including
Rs.66,24,248/-
+
IT
Paid
Rs.4,01,838.00
Rs.70,26,086.00
Balance
Rs.2,42,65,356.00
9
15% Interest from 20-12-2013 to
22-12-2014 on Rs.2,42,65,356/-
(670 days)
Rs.66,81,282.00
Total
Rs.3,09,46,638.00
10 Less Deposited in court including
Rs.91,40,657 + IT Paid Rs.60,056/-
Rs.97,41,219.00
Balance
Rs.2,12,05,419.00
5
11 15% Interest from on
Rs.2,12,05,419/- from 23-12-2014
to 21-09-2016 (638 days)
Rs.56,59,886.00
Total
Rs.2,67,65,305.0
12 Less amount deposited in court
including Rs.5,26,690+IT
Rs.4,452/-
Rs.5,31,142.00
Balance
Rs.2,62,34,163.00
13 Interest 15% on Rs.2,62,34,163/-
from 22-09-2016 to 24-08-2017
(336 days)
Rs.36,22,470.00
Total Balance
Rs.2,98,56,633.00
14 Less amount deposited in court
including 1,78,25,798/- + IT
12,76,465/-
Rs.1,91,02,263.00
Balance
Rs.1,07,54,370.00
15 Interest 15% on Rs.1,07,54,370/-
from 25-08-2017 to 27-11-2020
(1186 days)
Rs.52,41,650.00
Net amount now payable
Rs.1,59,96,020.00
7.
The State, however, disagreed with the Memo of
Calculation filed by the land loser and it proceeded to file
its own Memo of Calculation, which reads as under:
Sl.
No.
Description
Amount
Market Value fixed by as per Hon'ble
Supreme
Court
order
per
acre
Rs.26,13,600/-
A-G 03-34 SY NO.555/A2(555/2)
Rs.1,00,62,360/-
6
Less paid by LAO
Rs.3,70,231/-
3
Previously
amount
deposited
to
court
Rs.22,28,519/-
4
Previously
amount
deposited
to
court
Rs.27,67,842/-
5
Total difference Amount
Rs.46,95,768/-
6
30% solatium
Rs.14,08,730/-
7
12% Additional market value Date
on: 17-08-2000 to 28-05-2002. 151
days
Rs.2,33,116/-
8
Total compensation Amount
Rs.63,37,614/-
9
9% Interest From 15-09-2003 to
14-09-2004
Rs.5,70,385/-
10
15% Interest From 15-09-2004 to
11-07-2017 (No of Days 4682)
Rs.1,21,94,264/-
12
Total Interest
Rs.1,27,64,649/-
13
Gross Amount
Rs.1,91,02,263/-
14
10% TDS
Rs.12,76,465/-
15
Net Amount Payable (Deposited to
Court)
Rs.1,78,25,798/-
8.
Thus, as could be seen from the above two sets of
calculations, the decree holder claimed that the entire
amount of compensation is yet to be paid, whe
