M/S. HINDUSTAN PAPER CORPN. LTD.versusSAKHRAM GOUR AND ORS .
- Citation
- 1995 INSC 412
- Decided
- 25 July 1995
- Disposal
- Disposed off
Holding
The appropriate market value is Rs 4,875 and Rs 6,375 per bigha, and the claimants are entitled to the statutory solatium, interest, and additional amount under the 1984 amendment.
Summary
The Supreme Court examined a land acquisition dispute where the Collector initially awarded Rs 2,000‑3,000 per bigha as compensation. The reference court, under Section 18 of the Land Acquisition Act, enhanced the market value to Rs 6,500‑8,500 per bigha, a decision affirmed by the Guwahati High Court. On appeal, the Court held that the appropriate market value as of the notification date (3 July 1979) should be Rs 4,875 and Rs 6,375 per bigha, reflecting the prevailing market conditions. Since the reference court's award was made after the Amendment Act 68 of 1984 came into force, the claimants were entitled to statutory benefits: a 30% solatium, interest of 9% for the first year and 15% thereafter, and 12% of the additional amount under Section 23(1‑A). The Court modified the reference court's award accordingly and directed the appellants to deposit the determined amount within eight months. The appeals were disposed of with the award altered.
Issues considered
- What is the correct market value of the acquired land for compensation purposes as of the notification date?
- Whether the claimants are entitled to the statutory benefits provided under Amendment Act 68 of 1984, including solatium, interest, and the additional amount under Section 23(1‑A).
Legislation cited
- Amendment Act 68 of 1984
- Land Acquisition Act, 1894s. 18, s. 23(1-A), s. 4(10)
Subjects
Judgment
M/S. HINDUSTAN PAPER CORPN. LTD. A
v.
SAKHRAM GOUR AND ORS .
. JULY 25, 1995
[K. RAMASWAMY AND K.S.PARIPOORNAN, JJ.]
B
Land Acquisition Act, 1894
Award of compensation-Market value determined by courts
below-Enhancement of-Statutory benefits of Amendment Act 68 of C
1984-Solatium, interest and additional amount under s.23(1- A)-Entitle-
ment to.
Certain lands were acquired and the Collector classified the land
and awarded compensation at Rs. 2,000 to Rs. 3,000 per bigha to the D
respective lands. The reference Court maintained the classification, but
enhanced the market value to Rs. 6,500 to Rs. 8,500 per bigha. On appeal,
it was affirmed by the High Court. Hence these appeals.
Disposing of the appeals, this Court
E
HELD : 1. On the facts and circumstances of the case, the ap-
propriate market value would be Rs. 4,875 and Rs. 6,375 instead of Rs.
6,500 and 8,500 respectively for the lands as it would reflect the prevailing
market value as on the date of the ··Notification, namely, July 3, 1979.
Accordingly, the market value is determined at Rs. 4,875 and Rs. 6,375 per F
bigha as per the classification, nature and quality of the lands. Award of
the reference court being made after the Amendment Act had come into
force, the claimants are entitled to the statutory benefits of the Amendment
Act 68 of 1984. Accordingly, the claimants are entitled to 30% solatium on
the enhanced compensation, 9% interest for one year and 15% interest
thereafter from the date of taking possession on the enhanced compensa- G
tion till date of deposit or payment, whichever is earlier. They are entitled
to 12% of the additional amount under s.23(1-A) of the Act. [314-F-H]
2. The appellants are directed to deposit the amount, if not already
deposited, within a period of eight months from the date of the receipt of H
313
314 SUPREME COURT REPORTS (1995] SUPP. 2 S.C.R.
A this order. [315-A]
CIVIL APPELLATE JURISDICTION : Civil Appeal No. 5166 of
1992 etc.
From the Judgment and Order dated 30.1.89 of the Assam High
B Court in F.A. No. 163 of 1986.
Santosh Hegde and K.K. Lahiri, C. Chandrasekharan, Sinha & Das,
Mrs. Vijay Lakshmi Menon, Bhargwan, M.L. Lahoty and S.K. Verma, (Not
present.) for the Appearing Parties.
c The following Order of the Court was delivered :
Notification under s.4(10 of the Land Acquisition Act 1 of 1898 (for
short 'the Act') was published on July 3, 1979. The Land Acquisition
Collector classified the land and awarded the compensation @ Rs. 2,000
D to 3.000 per bigha to the respective lands. On reference under s.18, the
reference court enhanced the market value to Rs. 8,500 to Rs. 6,500 per
bigha while maintaining classification of the land. In First Appeal No. 81/86
and other connected cases by Judgment and decree dated January 30, 1989,
Guwahati High Court affirmed that award and decree of the reference
E court. Thus these appeals by special leave.
We have gone through the judgment of the Reference Court vis-a-
vis the judgment of the High Court. We found, on the facts and circumstan-
ces of the case, that appropriate market value would be Rs. 4,875 and Rs.
6,375 instead of Rs. 6,500 and 8,500 respectively for the lands as it would
F reflect the prevailing market value as on the date of the Notification,
namely, July 3, 1979. Accordingly, the market value is determined at Rs. -
4,875 and Rs. 6,375 per bigha as per the classification, nature and quality
of the lands. Award of the reference court being made after the Amend-
ment Act had come into force, the claimants are entitled to the statutory
G benefits of the Amendment Act 68 of 1984. Accordingly, the claimants are
entitled to 30% solatium on the enhanced compensation, 9% interest for
one year and 15% interest thereafter from the date of taking possession on
the enhanced compensation till date of deposit or payment, whichever is
earlier. They are also entitled to 12% of the additional amount under
H s.23(1-A) of the Act. The appeals are disposed of accordingly. The award
HINDUSTAN PAPER CORPN. LTD. v. V.S. GOUR 315
and decree of the reference court is modified accordingly. No costs. A
The appellants are dir~cted to deposit the amount, if not already
deposited, within a period of eight months from the date of the receipt of
this order.
G.N. Appeals disposed of.
. '
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