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Bombay High Court

India through The General Manager Central RailwayversusBabasaheb Lahanu Kale

Disposal
DISPOSED OFF

Holding

The High Court upheld the Reference Court’s enhanced compensation rate and statutory benefits, finding no jurisdictional error or illegality.

Summary

The Union of India, represented by the Central Railway, acquired land in Rajuri Navgan village for a new railway line and initially offered compensation of Rs.2000‑2250 per R. Claimants filed reference petitions, and the Reference Court enhanced the compensation to Rs.6875 per R for Jirayat land and granted statutory benefits under Section 23(1‑A). The acquiring body appealed, alleging jurisdictional error, lack of material support for the enhancement, and improper award of solatium and interest. The High Court examined the evidence, noting that the claimants had produced oral and documentary proof, including a sale deed, while the appellants offered no oral evidence. Relying on the reasonableness of the Reference Court’s discretion, precedent on market‑value estimation, and the applicable government resolution, the Court upheld the enhanced rate and statutory benefits. Consequently, the appeals were dismissed and the award was confirmed, with the deposited amount to be disbursed to the claimants with interest.

Issues considered

  • Whether the enhancement of compensation rate by the Reference Court is liable to be quashed.
  • Whether the statutory benefits (solatium and interest) granted by the Reference Court are in accordance with law.

Legislation cited

Subjects

  • land acquisition
  • compensation enhancement
  • statutory solatium
  • railway project
  • reference court
  • appeal
  • Section 23(1-A)
  • Jirayat land
  • market value estimation

Judgment

2026:BHC-AUG:21693




                                      1        fa 968.26 Adv. S.R. Shirsat,Rajuri Navgan

                     IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                BENCH AT AURANGABAD

                               FIRST APPEAL NO. 968 OF 2026

                       Union of India through the General
                       Manager, Central Railway and others        .. Appellants
                            Versus
                       Bhima Vishwanath Bankar and Ors.           ..   Respondents

                                          AND
                               FIRST APPEAL NO. 969 OF 2026

                       Union of India through the General
                       Manager, Central Railway and others        .. Appellants
                            Versus
                       Santaram Lahanu Kale Died
                       Through its Lrs Ashabai and ors.           ..   Respondents

                                           AND
                                  FIRST APPEAL NO. 2507 OF 2025

                       Union of India through the General
                       Manager, Central Railway and others        .. Appellants
                            Versus
                       Savataram Sahebrao Bankar and anr.         ..   Respondents

                                           AND
                                  FIRST APPEAL NO. 2508 OF 2025

                       Union of India through the General
                       Manager, Central Railway and others        .. Appellants
                            Versus
                       Babasaheb Lahanu Kale                      ..   Respondent

                 Shri Ajay G. Talhar, D.S.G.I.for the Appellants in all matters.
                 Shri S. R. Shirsat, Advocate for the Respondents/ claimants in all
                 matters.


                                  CORAM : SHAILESH P. BRAHME, J.
                           2             fa 968.26 Adv. S.R. Shirsat,Rajuri Navgan

                         DATE        : 18TH APRIL, 2026.

FINAL ORDER :


.     Taken up for final disposal with the consent of the parties.


2.    The acquiring body has preferred these appeals against
common judgment and award dated 02.05.2023 passed in group
of Reference Petitions. The rate fixed by the Reference Court for
the lands under acquisition and consequential quantum is under
challenge. The evidence adduced before the Reference Court is
common, hence these appeals are decided by this common order.


3.    Appellants have undertaken acquisition for laying down
new railway track from Ahmednagar – Beed – Parli. Lands from
various villages have been acquired, which resulted into filing of
various references. Those were decided by forming groups by the
Reference Court.          The judgments passed by the Courts are
subjected to challenge by the acquiring body as well as the
claimants in few of the matters.                    In the present group the
claimants have not preferred any cross objection or appeal. The
lands are from village Rajuri Navgan, Tq. and Dist. Beed.


4.    Following are the material particulars :

S First      L.A.R. No. Gut    Area    Date of Sec. 4 Rate awarded Rate fixed by the
r. Appeal               No.    acqui   notification   by the SLAO  Reference Court.
N No.                          red
o.
1 968/2026   1781/2017    617 00H-     18.12.2008    Rs.2000/- to Rs. Rs. 6875/- per R.
                              02 R                   2250/- per R     Jirayat
                         3            fa 968.26 Adv. S.R. Shirsat,Rajuri Navgan

2 2508/2025 208/2017    639 04 R    18.12.2008   Rs.2000/- to Rs. Rs. 6875/- per R.
                                                 2250/- per R     Jirayat


3 969/2026   206/2017   551 .44 R   18.12.2008   Rs.2000/- to Rs. Rs. 6875/- per R.
                                                 2250/- per R     Jirayat


4 2507/2025 209/2017    551 0.16    18.12.2008   Rs.2000/- to Rs. Rs. 6875/- per R.
                            R                    2250/- per R     Jirayat



5.    The lands of the respondents were acquired by preliminary
notification issued on 18.12.2008. The Special Land Acquisition
Officer passed award on 11.11.2011               offering the rate of Rs.
2000/- per R to Rs. 2250/- per R. Being aggrieved respondents
approached the Civil Court by preferring reference petitions.
The Reference Court enhanced the rate to Rs. 6875/- per R for
Jirayat land.


6.    Mr. Ajay Talhar, learned D. S. G. I. submits that Reference
Court committed error of jurisdiction in enhancing the rate
which is not supported by adequate material. It is submitted
that S. L. A. O. had undertaken due procedure of law and
inspection was done. The documents were collected to arrive at
market rate. As against that the sale instances placed before the
Reference Court were incompatible. It is submitted that
considering the location and the potential of the lands under
acquisition, the Reference Court erred in enhancing the rate.
The Reference Court further committed illegality in granting
statutory benefits of solatium and additional component.


7.    Per contra, learned counsel appearing for the respondents
                      4           fa 968.26 Adv. S.R. Shirsat,Rajuri Navgan

– claimants supports the impugned judgment and award. It is
submitted that claimants – respondents have adduced oral and
documentary evidence. The appellants did not adduce any oral
evidence. The sale deed at Exhibit 23 was relied upon. The
Reference Court found the sale instance at Exhibit 23
compatible. The Reference Court has adopted a reasonable and
practical approach in fixing the rate at Rs. 6875/- per R for
Jirayat


8.    I have considered rival submissions of the parties. I have
formulated following points for determination.


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 ?


9.    The respondents adduced oral and documentary evidence.
The appellants did not lead oral evidence.


10.   Point No. I :
      The evidence was led by the claimants in L.A.R. No. 1781
of 2017. The claimants produced sale deed at Exhibit 23. The
land in the sale instance at Exhibit 23 was from village Rajuri
Navgaon. In the present matters lands from self same village
have been acquired. The Reference Court, therefore, preferred to
rely upon sale deed at Exhibit 23 for fixing the rate.
                       5          fa 968.26 Adv. S.R. Shirsat,Rajuri Navgan

Accordingly the rate is fixed at Rs. 6875/- per R for Jirayat land.
I do not find any illegality in the rate fixed by the Reference
Court. The discretion has been exercised judiciously and
reasonably.


11.   No enhancement is granted by Reference Court in
compensation for trees, stonebund, pipeline, structure, tin house,
well etc. Therefore, the quantum of compensation to the extent
of land is under consideration.


12.   There is no reason to discard the rate. There is always
some element of guesswork in fixation of the probable market
value. It is permissible to have guesstimate as explained by the
Hon’ble Apex Court in Trishala Jain V. State of Uttaranchal, reported in
AIR 2011 SC 2458 which is rightly followed by the reference Court.
The appellant has failed to make out any case to cause
interference in fixing the rate which is reasonable and akin to
the market value at the prevalent time.


13.   It is noticed that the enhancement granted by the
Reference Court is within four times in all the matters.
Therefore, the      matters are      covered    by   the    Government
Resolution No. Sankirna – 2014/Prak.Kra. 4/Bham-1/A-4 dated
03rd November, 2016 with Corrigendum dated 23 rd February,
2017 and 13th August, 2018 to the said Government Resolution.
On that count also the enhancement needs to be upheld.


              I answered point No. I against the appellants.
                      6          fa 968.26 Adv. S.R. Shirsat,Rajuri Navgan



14.   Point No. II
      The claimants are granted benefits under Section 23(1-A)
of the Act. The interest has been awarded in accordance with
law laid down in State of Maharashtra V. Kailash Shiva Rangari reported
in 2016(3) Mh.L.J. 457. No case is made out by the appellants to
show any fault or illegality in awarding statutory benefits and
the interest.


      I answered point No. II against the appellants.


15.   It is made clear that dismissal of these Appeals preferred
by the acquiring body would not bind any other claimants’ whose
lands have been acquired for the self same project in claiming
enhancement of the compensation by preferring independent
Appeals or the Cross-Objections. Their claims for any further
enhancement would be dealt with in accordance with law and on
the basis of the evidence produced on record.


16.   It is further clarified that the counsel appearing for the
respondents/claimants has made candid statement that his
clients are unable to prefer any appeal or cross objection for
enhancement in the High Court.            They are precluded from
claiming enhancement in future.


17.   This Court had an occasion to deal with first appeals
preferred by the self same acquiring body challenging judgments
                      7        fa 968.26 Adv. S.R. Shirsat,Rajuri Navgan

of the Reference Court arising out of self same purpose of
acquisition.    This Court dismissed the appeals by assigning
elaborate reasons in the matter of the Executive Engineer,
Central Railway, Pune and others Vs. Subhash Narayan
Gore and others in First Appeal No. 418 of 2026 with other
connected matters vide judgment and order dated
10.04.2026. I propose to follow the same course in upholding the
judgments rendered by the Reference Court in the present
matters also.


18.   For the reasons stated above, I do not find that there is any
perversity or illegality in the judgment and award passed by the
reference Court. The Appeals preferred by the acquiring body
sans merit. Hence, I pass the following order :


                            ORDER

A.    First Appeals are dismissed.
B.    Award be drawn accordingly.
C.    There shall be no order as to costs.
D.    The amount deposited by the appellants – acquiring body
      shall be disbursed to the respondents – claimants with
      accrued interest as per their entitlement.


E.    In case the amount is not deposited, appellants shall make
      the payment expeditiously.



                              [ SHAILESH P. BRAHME J. ]
               8   fa 968.26 Adv. S.R. Shirsat,Rajuri Navgan


bsb/April 26


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