THE HON’BLE SRI JUSTICE ABHINAND KUMAR SHAVILI AND THE HON’BLE SMT. JUSTICE TIRUMALA DEVI EADA CITY CIVIL COURT APPEAL NO.337 OF 2003 AND X-OBJECTIONS (SR) NO.1376 OF 2004 COMMON JUDGMENT: (Per Hon’ble Smt. Justice Tirumala Devi Eada) This is an appeal, under Section 54 of the Land Acquisition Act, 1894 (for short ‘the Act’) filed by the appellant – Special Deputy Collector-cum-Land Acquisition Officer (LA) Industries, Hyderabad, aggrieved by the order and decree dated 10.04.2003 passed in O.P.No.206 of 1992 by the learned First Senior Civil Judge, City Civil Court, Hyderabad (hereinafter referred to as ‘the Reference Court’). X-Objections are filed by the claimants.

2. For convenience and clarity, the parties herein are referred to as they were arrayed before the Reference Court.

3. The facts of the case in brief are that based on the requisition made by Defence Estate Officer, the land to an extent of Ac.22.14 guntas situated in T.S.No.1/2, Block G, Ward No.276, in old Sy.No.46/1, 47/2, 47/3, 48 to 52 and 53/1 of Kanchanbagh village, Charminar Mandal, Hyderabad was acquired, for the purpose of expansion of Defence Research Development Laboratory (DRDL).

The draft notification under Section 4(1) of the Act was issued on 30.01.1988 by invoking urgency clause under Section 17 of the Act and the same was published in the gazette on 26.02.1988. After conducting due enquiry, the Land Acquisition Officer (LAO) has passed an award dated 06.02.1993 and fixed the value @ Rs.100/- per square yard. Aggrieved by the said award, the claimants have made an application and the same was referred under Section 18 of the Act to the Court of First Senior Civil Judge, City Civil Court, Hyderabad.

4. The contention of the claimants is that the acquired lands are in well developed area and that they claimed Rs.800/- per square yard during the award enquiry, but the LAO has determined a meager value and that the surrounding area of the acquired land is already a developed area and the plots situated at Santhosh Nagar Colony are adjacent to the acquired land falling at a distance of half a KM and that the said lands of Santhosh Nagar Colony were auctioned by putting the upset price at Rs.600/- per square yard by the HUDA and that the acquired land is situated on the main road and is in the vicinity of DRDL Rakshapuram Cooperative Housing Society and Santoshnagar Colony and that there are several other factories and other industries situated in the vicinity and that it has got all the modern amenities like electricity, school, transport facilities etc., 5. The LAO has filed counter contending that he has rightly awarded the compensation by taking the sale statistics of three years preceeding to 4(1) notification and also considered the potentiality of the acquired land and that the sales are at a price of below Rs.100/- per square yard, except two or three transactions, and that after considering all the aspects, he has awarded a just compensation of Rs.100/- per square yard and that there is no necessity to enhance the same.

6. The Reference Court has framed the following points for consideration:

“1. Whether the market value fixed by LAO for the acquired land is inadequate and in sufficient and liable to be enhanced? If so, what is the real market value as on the date of 4(1) notification?

2. Whether the claimants are entitled for compensation for trees that were in existence in the acquired land by the date of 4(1) notification?

3. Whether the deduction of 1/3^rd area of the land made by LAO is permissible under the law?

4. To what relief?”

7. In support of their claim, the claimants got examined PWs 1 to 5 and got marked Exs.A1 to A20. The respondent got examined DW1 and Exs.B1 to B4 were marked. Based on the evidence on record, the reference Court has enhanced the compensation to Rs.380/- per square yard, apart from granting the statutory benefits. Aggrieved by the said order, the present appeal is preferred by the LAO and the cross objections are filed