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Bombay High Court

THE STATE OF MAHA THROUGH COLLECTOR OSMANABADversusJANADHAN GANPAT MALI and ANOTHER

Disposal
DISMISSED

Holding

The reference court's enhancement of compensation was justified and the appeals were dismissed.

Summary

The State of Maharashtra appealed the award of compensation in a land acquisition proceeding for the Raibhar Medium Project in Osmanabad, where the original award of Rs.6,649.60 per acre was enhanced by the reference court to Rs.1,71,500 per acre. The claimants had sought Rs.40,000 per acre, while the State argued that the reference court improperly relied on sale instances located 1-3 km away and on expert testimony that were not comparable to the dry, agricultural land acquired. The reference court, however, considered a sale dated 2 July 1982 for Rs.80,000 as a genuine comparable transaction, noting its proximity, the presence of mango and tamarind trees, wells, pipelines, and cultivated crops such as sugarcane and turmeric. It concluded that these factors justified a higher market value and accordingly enhanced the compensation. The High Court examined the evidence and found the reference court's findings to be based on a proper appreciation of the record and expert reports, and therefore dismissed the State's appeals. All three first appeals (Nos. 1047, 1070, and 1072 of 2007) were dismissed, and any pending civil applications were disposed of.

Issues considered

  • Whether the reference court erred in enhancing compensation by relying on sale instances situated at a distance of 1-3 km from the acquired land
  • Whether the expert evidence and consideration of ancillary features (trees, wells, crops) justified the enhanced compensation

Legislation cited

Subjects

  • land acquisition
  • compensation
  • market value
  • reference court
  • appeal
  • Maharashtra
  • dry land
  • expert evidence

Judgment

2026:BHC-AUG:28592

                                                                       1-2-FA-1047-2007.doc




                         IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                     BENCH AT AURANGABAD
                                1 FIRST APPEAL NO. 1047 OF 2007

                           The State Of Maha Through Collector Osmanabad
                                              VERSUS
                                  Janadhan Ganpat Mali And Another

                                               AND
                                  2 FIRST APPEAL NO. 1070 OF 2007

                                     The State Of Maharashtra.
                                              VERSUS
                                   Bapu Bhagwan Mali And Others.

                                              WITH
                                  FIRST APPEAL NO. 1072 OF 2007

                                     The State Of Maharashtra.
                                              VERSUS
                                   Nandubai Shivaji Khune (mali ).

                                               ...
          Mr. S. S. Dande, AGP for State in FA/1047/2007.
          Mr. D. R. Korde, AGP for State in FA/7070/2007 and FA/7072/2007.
                                               ...


                                            CORAM :      SIDDHESHWAR S. THOMBRE, J.
                                            DATE :       10 JULY 2026

          P. C.:

          1.        As the acquisition proceeding is of the year 1982, the Appeals are

          heard finally with the consent of learned AGP.

          2.        In all these Appeals, the State is aggrieved by the judgment and order

          dated 30th March 1994 passed by the Civil Judge Senior Division,

          Osmanabad in LAR Nos.32 of 1992, 28 of 1993 and 672 of 1991.


          Shubham                                                                 Page 1 of 3
                                                             1-2-FA-1047-2007.doc


3.        The land was acquired for Raibhar Medium Project at Palaswadi, Dist.

Osmanabad by issuing a notification under Section 4 on 11 th October 1982.

The award was passed on 26 th November 1987. The LAO awarded

compensation of Rs.6,649.60/- whereas the learned Reference Court

enhanced the same to Rs.1,71,500/-. The Respondents-claimants claimed

compensation @Rs.40,000/- per acre.

4.        Learned AGP for State submits that the learned Reference Court ought

not to have relied upon the sale instances below Exhs.22 to 25 in LAR

No.672 of 1991 produced by claimants therein. The sale instances relied

upon by the learned Reference Court were situated at a distance of 1 to 3

kms from the acquired land. The lands acquired were dry lands and the

compensation granted by LAO was adequate. Despite that, the learned

Reference Court enhanced the same to an exorbitant amount of

Rs.1,71,500/- without any justification. He further submits that the learned

Reference Court ought not to have relied upon evidence of Mr. Baraskar.

Hence, he prays to allow the present Appeals.

5.        Though served, none appears for the Respondents.

6.        I have considered the submission of learned AGP and gone through

the record. It is clear that the learned Reference Court has relied upon sale

instance at Exh.23 dated 2nd July 1982 wherein sale consideration was

Rs.80,000/-. The said sale instance is three months prior to date of

notification and was safely relied upon by the learned Reference Court. The

Shubham                                                                 Page 2 of 3
                                                               1-2-FA-1047-2007.doc


learned Reference Court also recorded the finding that the said sale instance

was situated within the limits of Osmanabad Municipal Council and was

adjacent to the land acquired. Thus, the Reference Court considered it as a

genuine and comparable sale instance thereby reaching the market value.

The learned Reference Court also recorded a finding that there were mango

and tamarind in the acquired land. The acquired land contained wells and

pipeline, crops such as sugarcane and turmeric were being cultivated before

acquisition. Therefore, considering all these aspects, learned Reference

Court enhanced the compensation. The findings of learned Reference Court

are based upon appreciation of evidence on record and reports of expert

such as one Mr. Baraskar, thus I do not find any reason to interfere with the

said award.

7.        Hence, the First Appeal No.1047 of 2007 is dismissed.

8.        The First Appeal No.1070 of 2007 and 1072 of 2007 arise out of same

acquisition proceeding and similar issue is involved therein. Thus, the view

taken in the present order applies mutatis mutandis to the said Appeals.

9.        In view thereof, the First Appeal Nos.1070 of 2007 and 1072 of 2007

are dismissed.

10.       Pending Civil Applications, if any, stand disposed of.



                                          [SIDDHESHWAR S. THOMBRE, J.]



Shubham                                                                   Page 3 of 3


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