Full Judgment Text
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PETITIONER:
COLLECTOR, LAND ACQUISITION
Vs.
RESPONDENT:
GANARAM DHOBA
DATE OF JUDGMENT04/12/1995
BENCH:
RAMASWAMY, K.
BENCH:
RAMASWAMY, K.
PARIPOORNAN, K.S.(J)
CITATION:
1996 SCC (1) 631 JT 1995 (9) 613
1995 SCALE (7)365
ACT:
HEADNOTE:
JUDGMENT:
O R D E R
Leave granted.
This appeal by special leave arises from the judgment
dated 16th August, 1991 of the Division Bench of the Orissa
High Court made in F.A. No.135/91. The High Court accepted
the oral evidence that the yield from the land was 22 bags
per acre. It also accepted the deduction of 50% of the value
of the crop for cultivation expenses. It also accepted the
prevailing price as on the relevant dated as Rs.130/- per
bag; 27.20 acres for single crop wet lands and 4 acres for
double crop wet lands. Therefore, it accepted the findings
of the reference Court and modified the same to the extent
of single crop wet lands. Thus this appeal by special leave.
Notification under Section 4 [1] of the Land
Acquisition Act, 1894 [for short, "the Act"] was published
on 19th August, 1983. The award under Section 11 was made on
April 25, 1987. The reference Court awarded compensation on
8th February, 1991. On appeal, by judgment and decree dated
16th August, 1991, the High Court confirmed the award with
the above modification.
It is contended for the State that statistics for the
year 1957 show that the yield in that area was about 10 bags
and that, therefore, the High Court was not right in
confirming the compensation at 22 bags per acre. It is seen
that from the year 1957 till 1987 considerable improvement
must obviously have been made. Under those circumstances, no
attempt has been made by the State to produce the relevant
statistics of the produce as on the date of the
notification, viz., 19th August, 1983. Therefore, we cannot
accept the contention of the State that the produce from the
lands would be as per the statistics prevailing in 1957.
Even accepting the valuation given by the reference Court as
well as the High Court, it is settled law that multiplier of
10 would be the proper multiplier to determine the
compensation when the land is assessed on the basis of the
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yield of agricultural lands. The reference Court applied
multiplier of 16 and the High Court upheld it. This
obviously is illegal and application of wrong principle of
law.
The annual yield at Rs.1430/- should be multiplied by
10 and the market value should be determined at Rs.14,300/-
per acre. The compensation should accordingly be determined.
The claimants would also be entitled to enhanced solatium
and interest and also 12% additional amount per annum on
enhanced compensation under the Act as amended by Act 68 of
1984.
The appeal is allowed accordingly. No costs.