Bombay High Court
THE STATE OF MAHARASHTRA AND OTHERSversusPUNDALIK DHONDIBA SHINDE
- Disposal
- DISMISSED
Holding
The appeal is dismissed as the Reference Court’s enhancement of compensation based on the sale deeds is legally sound.
Summary
The State of Maharashtra appealed against the common Judgment and Award of the Joint Civil Judge, Senior Division, Udgir, which had enhanced compensation for lands acquired for a Ring Road project based on sale deeds presented by the claimants. The State argued that the Reference Court erred by relying on sale transactions of small plots and that the Land Acquisition Officer had correctly rejected those instances. The claimants contended that the sale deeds, executed before the Section 4 notification, were genuine and constituted the best evidence of market value. The Court held that sale deeds, even of smaller extents, are admissible if comparable in time, location and potential, and that the Reference Court had properly appreciated the evidence. It found no perversity or illegality in the Reference Court’s determination and therefore dismissed the appeal. The pending civil applications, if any, were also disposed of.
Issues considered
- Whether the Reference Court erred in enhancing compensation by relying on sale deeds of smaller parcels of land.
- Whether the Land Acquisition Officer was justified in rejecting the sale instances on the ground of their size.
- Whether the enhanced compensation complies with the provisions of the Land Acquisition Act, 1894, particularly Sections 4 and 18.
Legislation cited
- Land Acquisition Act, 1894 — s. 18, 4
Subjects
- land acquisition
- compensation enhancement
- market value determination
- sale deeds
- Section 18
- Ring Road project
- Maharashtra
Judgment
2026:BHC-AUG:27092
FA No. 644/15
1
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
BENCH AT AURANGABAD
33 FIRST APPEAL NO. 644 OF 2015
THE STATE OF MAHARASHTRA AND OTHERS
VERSUS
PUNDALIK DHONDIBA SHINDE
...
Advocate for Appellant : Mr. D.R. Korde
...
CORAM : SIDDHESHWAR S. THOMBRE, J.
Dated : July 07, 2026
PER COURT :-
1. The learned AGP submits that the present appeal can be disposed of
in view of the order dated 29.6.2026 passed by this Court in FA No.
645/2015 (The State of Maharashtra and Ors. Vs. Shivaji Sangram Biradar
and Ors.) and other connected matters. The said order reads thus :-
“1. Heard learned AGP Mr. Korde for the appellant-State and
learned counsel Mr. Nandgavale holding for Mr. V.G. Sakolkar for
the respondents- claimants.
2. These appeals arise out of the common Judgment and
Award dated 05.10.2012 passed by the learned Joint Civil Judge,
Senior Division, Udgir, in Land Acquisition Reference Nos.486 of
2010, 481 of 2010, 1423 of 2010, 508 of 2010 and 395 of 2010,
whereby the learned Reference Court partly allowed the
references and enhanced the compensation payable to the
claimants.
3. The acquisition was undertaken for construction of the
Ring Road outside Udgir City. The acquired lands are situated at
villages Udgir, Somnathpur and Madlapur, Taluka Udgir, District
Latur. The notification under Section 4 of the Land Acquisition
Act, 1894 was published on 17.06.1999. The Special Land
Acquisition Officer awarded compensation at the rate of
Rs.7,56,000/- per hectare for the lands situated at Udgir,
Rs.2,77,800/- per hectare for the lands situated at Somnathpur
and Rs.9,50,000/- per hectare for the lands situated at
Madlapur. The claimants accepted the compensation under
protest and sought references under Section 18 of the Act for
enhancement of compensation.
FA No. 644/15
2
4. Upon appreciation of the oral and documentary evidence,
the Reference Court enhanced the market value of the acquired
lands. In LAR No.486 of 2010, compensation was determined at
the rate of Rs.32/- per square foot for the lands situated at
Udgir. In LAR Nos.481 of 2010, 508 of 2010 and 480 of 2010,
compensation was determined at the rate of Rs.40/- per square
foot for the lands situated at Madlapur. In Land Acquisition
Reference Nos.395 of 2010 and 1423 of 2010, compensation for
the lands situated at Somnathpur was enhanced at the rate of
Rs.11,000/- per R. Aggrieved thereby, the State has preferred
the present appeals.
5. Learned AGP Mr. Korde submitted that the Land
Acquisition Officer had awarded different rates of compensation
after taking into consideration the location, nature and potential
of the acquired lands situated in different villages. According to
him, the Reference Court failed to appreciate these
distinguishing features and granted excessive compensation. He
further submitted that the sale instances relied upon by the
claimants pertained to small developed plots and, therefore,
could not have been treated as safe guides for determining the
market value of large tracts of acquired agricultural land. It was
also contended that the Reference Court failed to make
appropriate deductions while relying upon such sale instances.
On these grounds, he prays that the impugned Judgment and
Award be quashed and set aside.
6. Per contra, learned counsel Mr. Nandgavale, holding for Mr.
V.G. Sakolkar for the respondents-claimants, supported the
impugned Judgment and Award. He submitted that the sale
instances relied upon by the claimants had already been
produced before the Land Acquisition Officer. However, the Land
Acquisition Officer discarded the same merely on the ground that
the transactions related to comparatively smaller pieces of land,
without assigning any other cogent reason. He submitted that
the sale deeds were genuine transactions executed prior to the
publication of the notification under Section 4 of the Act and
constituted the best available evidence for determination of
market value. According to him, the Reference Court has rightly
appreciated the entire evidence and rightly determined the
market value of the acquired lands. He, therefore, prayed for
dismissal of the appeals.
7. I have considered the rival submissions and perused the
record and proceedings as well as the impugned Judgment and
Award.
8. It is evident from the record that the claimants had placed
on record registered sale deeds executed prior to the publication
of the notification under Section 4 of the Act. These sale
transactions were also available before the Land Acquisition
FA No. 644/15
3
Officer. However, the Land Acquisition Officer discarded the said
sale instances solely on the ground that they related to smaller
pieces of land. Except for this reason, no material has been
pointed out to demonstrate that the transactions were either not
genuine or were otherwise unsuitable for determining the
prevailing market value.
9. Merely because the comparable sale instances pertain to
smaller extents of land, the same cannot be rejected outright. It
is well settled that bona fide sale transactions executed within a
reasonable period prior to the notification under Section 4
constitute the best evidence of market value. If the transactions
are otherwise comparable in respect of time, location and
potentiality, they furnish a reliable basis for determining the
compensation payable. Necessary deductions, wherever
warranted, are matters of appreciation of evidence depending
upon the facts of each case.
10. The Reference Court has considered the oral as well as
documentary evidence in detail and has assigned cogent reasons
while determining the market value of the acquired lands
situated at the three villages. The enhancement granted by the
Reference Court is founded upon legally admissible evidence and
proper appreciation of the comparable sale instances. Learned
AGP has not been able to point out any perversity, illegality or
misreading of evidence warranting interference by this Court. I
fined that the Reference Court has corrected the omission
committed by the Land Acquisition Officer in ignoring the
relevant sale instances produced by the claimants.
12. In view of the aforesaid discussion, I am of the considered
opinion that the impugned common Judgment and Award does
not suffer from any legal infirmity warranting interference in
these appeals.
13. The First Appeals stand dismissed.
14. Pending Civil Applications, if any, stand disposed of.”
2. In view of the above, the present first appeal stands dismissed.
Pending civil application, if any, also stands disposed of.
( SIDDHESHWAR S. THOMBRE, J. )
ssc/
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