The court reaffirmed that compensation for acquired land must consider market value, development potential, and precedents from similar cases while ensuring adherence to statutory provisions regarding additional compensation.

1. This appeal is directed against the judgment dated 21.07.2008 in a reference, titled, „Pritam Singh and others vs. Collector Land Acquisition and another‟ passed by the court of learned Principal District Judge, Udhampur (hereinafter to be referred as „the reference court‟), whereby the compensation payable for the land acquired by the appellant-University, has been enhanced as under:

Culturable Land------------ Rs. 1,50,000/- per kanal Banjar Qadim--------------- Rs. 50,000/- per kanal Gair Mumkin--------------- Rs. 30,000/- per kanal

2. Aggrieved by the enhancement of the compensation made by the learned reference court, the appellant-Shri Mata Vaishno Devi University has assailed the judgment on the following grounds:

CFA No. 46/2008 (i) That the reference court has erred in fixing the market value of the land on the basis of the market value of a small piece of land, as in the instant case 2,361 kanals of land was acquired and the market value of small piece of land could not have been made basis for the purpose of determining the market value of big chunk of a land.

(ii) That the reference court has not taken into consideration that the appellant had provided 120 of kanals to the respondents for construction of their residential houses and each claimant was allotted a plot of 18 marlas of land and one shop site measuring one marla adjacent to the acquired land at the rate of Rs. 9000/- for residential plot and Rs. 5000/- for shop site. (iii) That the land in question falls in Tehsil Katra, whereunder the local revenue system, one kanal comprises of 13 marlas and not 20 marlas, which was the scale applicable in other parts of the erstwhile State of Jammu and Kashmir.

(iv) That the reference court has fixed a higher compensation on the ground that the land acquired by the Railway Authority for construction of a railway station reflected the market value of the acquired land at the time of notification issued under Section 6 of the Land Acquisition Act.

(v) That the reference court seems to have fixed higher compensation on the ground that the land being adjacent to Katra Town was witnessing increased commercial activity. It is stated that said finding is contrary to record as the acquired land is 13 kms. away CFA No. 46/2008 from Katra, where no trace of commercial activity was evident at the time of acquisition proceedings.

3. Mr. U. K. Jalali, learned Senior Counsel assisted by Mr. Adarsh Sharma, learned counsel appearing for the appellant-University has vehemently argued that the compensation for the culturable land has been enhanced without any justification from Rs. 25,000/- to 1,50,000/- per kanal. He has further submitted that for a land acquired by Shri Mata Vaishno Devi Shrine Board, Katra for establishment of Shri Mata Vaishno Devi University situated at Village, Kakryal, the village, which was having a better location, Shri Mata Vaishno Devi Shrine Board, Katra after negotiations with the owners, has agreed to pay Rs. 75,000/- per kanal for culturable land and Rs. 40,000 per kanal for other lands. He has further submitted that at the most, the respondents can be awarded compensation at the rate of Rs. 70,000/- per kanal for culturable land, as the land, which formed the subject matter of the compromise between Sri Mata Vaishno Devi Shrine Board and the owners, was having better location as compared to the land, which is the subject matter of the present appeal. During arguments, he has submitted the record note of the meeting held on 15.12.2023 in respect of the Kakryal Land Acquisition.

4. Mr. L. K. Sharma, learned Senior Counsel appe