Bombay High Court
NANDED WAGHALA CITY MUNICIPAL CORPORATION THR COMMISSIONERversusGOUSIYA BEGUM SK HASAN@BABA MIYAN AND ORS
- Disposal
- DISMISSED
Holding
The appeal is dismissed; the enhancement of compensation and the statutory benefits are upheld.
Summary
The Nanded Waghala City Municipal Corporation appealed a 2012 award that enhanced compensation for land acquired from Gousiya Begum and others, arguing that the increase was unsupported and that statutory benefits were improperly granted. The respondents relied on oral and documentary evidence, including comparable sale deeds from the same village, to justify the higher market value. The High Court held that the reference court correctly used the comparable sale to estimate market value and that the enhancement fell within the limits of a government resolution. It further affirmed the award of statutory benefits—30% solatium, a 12% increase, and interest—under the Land Acquisition Act, 1894, citing relevant case law. Consequently, the appeal was dismissed and the enhanced compensation and benefits were upheld.
Issues considered
- Whether the enhancement of compensation awarded by the reference court is liable to be quashed.
- Whether the statutory benefits (solatium, additional percentage increase, and interest) granted by the reference court are in accordance with law.
Legislation cited
- Land Acquisition Act, 1894 — s. 23(1-A), 23(2), 28, 34
Subjects
- land acquisition
- compensation enhancement
- solatium
- interest
- statutory benefits
- market value
- government resolution
- appeal
Judgment
907-FA-1642-2012.doc
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
BENCH AT AURANGABAD
907 FIRST APPEAL NO. 1642 OF 2012
Nanded Waghala City Municipal Corporation Thr Commissioner
VERSUS
Gousiya Begum Sk Hasan@baba Miyan And Ors
...
Mr. M. D. Narwadkar for the Appellant.
Mr. Mahesh Ghatge for the Respondents (absent).
...
CORAM : SIDDHESHWAR S. THOMBRE, J.
DATE : 25 JUNE 2026
P. C.:
1. Heard learned counsel for the respective parties.
2. By the present Appeal, the Appellant/acquiring body assails the
judgment and award dated 27.03.2012, passed by learned Jt. Civil Judge
Senior Division, Nanded in LAR No.753 of 2010 whereby the Reference
Court granted enhanced compensation to the Respondents/Claimants along
with other consequential benefits.
3. Mr. Narwadkar, leaned counsel for the Appellant/acquiring body
submits that the Reference Court committed apparent error in enhancing the
compensation which was not supported by adequate material. The SLAO
had undertaken due procedure of law and appropriate inspection along with
joint measurement was carried out before arriving at market value. The
comparable sale instance relied upon by the Respondent/Claimant is
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incompatible. He further submits that considering the location and potential
of land under acquisition, the Reference Court has grossly erred in
enhancing the compensation. The Reference Court further committed error
in granting statutory benefit of solatium, additional component and interest.
Such enhancement has caused illegal burden on the public exchaquer.
Therefore, he prays that the impugned award be set aside.
4. Though Respondent No.1-Original Claimant is served, none appeared
for Respondent No.1-Original Claimant.
5. Upon considering the rival submissions, the following points for
determination arose for reaching the conclusion:
I. Whether the enhancement granted by the Reference Court is liable to
be quashed?
II. Whether the statutory benefits extended by the Reference Court are in
accordance with law?
The record reveals that the Respondent/Claimant has adduced oral as
well as documentary evidence whereas the Appellant/acquiring body has
not adduced either oral or documentary evidence.
6. As to point No.I :-
The Respondent/Claimant has produced on record comparable sale
instance as sale deeds at Exh.23. The land in the said sale instance was from
the same village as that of the land acquired in the present matter.
Therefore, the learned Reference Court has rightly relied on the market
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value of the land in the said sale instance. The Reference Court has also
considered reasonable increase in the market value after the date of
execution of comparable sale instance till the passing of the impugned
award by the SLAO.
7. The Hon’ble Apex Court in Trishala Jain Vs. State of Uttaranchal (AIR
2011 SC 2458) has held that it is permissible to guess fixation of probable
market value, which has been rightly followed by the Reference Court. The
Appellant/State has failed to make out any case for interference in fixing
rate which is reasonable and akin to the market value at the relevant time.
8. It is noticed that enhancement granted by Reference Court is within
four times than that of SLAO. Therefore, the matter is covered by
Government Resolution No.Sankirna-2014/Prak.Kra.4/Bham-1/A-4 dated 3 rd
November 2016 with Corrigendum dated 23rd February 2017 and 13th
August 2018 to the said Government Resolution. On that count also the
enhancement needs to be upheld. Based on the above discussion I do not
find any illegality in the enhancement of compensation by the Reference
Court. Hence, I answer Point No.I in negative.
9. As to Point No.II:-
The claimants have been granted statutory benefit such as 30%
solatium under Section 23(2), 12% increase under Section 23(1-A), interest
under Section 28 and 34 of the Land Acquisition Act, 1894 at the
appropriate rate. The issue of interest is no more a res integra and is already
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covered the law laid down by Full Bench of this Court in State of
Maharashtra Vs. Kailash Shiva Rangari (2016(3) Mh.L.J. 457). Hence, no
case is made out by the Appellant to show any fault or illegality in awarding
statutory benefits and the interest. Hence, I answer Point No.II in negative.
10. For the reasons stated above, I do not find any perversity or illegality
in the impugned judgment and award. Hence, I pass the following order:-
ORDER
i. First Appeal is dismissed.
ii. No order as to costs.
iii. The amount deposited, if any, by the Appellant/State be disbursed
to the Respondent/Claimant with the accrued interest as per the
entitlement of Respondent/Claimant.
iv. In case the amount is not deposited, the Appellant/State shall pay
the amount expeditiously.
v. Pending Civil Applications, if any, stand disposed of.
[SIDDHESHWAR S. THOMBRE, J.]
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