JUDGMENTBY: SALLEH ABAS CJ (MALAYA)

(delivering the Judgment of the Court read by Edgar Joseph Jr. J.) The issue involved in this appeal concerns the legality of the acquisition of a piece of land comprising Lot 532 in Mukim 12, South West District of Penang. The land is part of the estate of one Ong Joo Sun (deceased) and has a total area of 42 acres, 3 roods and 35 poles.

On April 25, 1974 by Gazette Notification No. 103 of 1974 the Penang State Authority made a declaration under section 8 of the Land Acquisition Act, 1960 (the Act) to the effect that the whole area of this land together with six other pieces of lands specified in the Notification was needed for --

"Public, Industrial, Residential, Commercial and Agricultural Purposes

to wit for land development and utilisation, resettlement of squatters,

housing, institutional and recreational amenities in relation to

integrated urban development and matters connected therewith."

Nothing was done in regard to this declaration until seven years later, when on June 15, 1981 an inquiry under section 10 of the Act was held and on July 7, 1981 an award of $ 1,117,418.50 calculated at the rate of 60 cents p