Landowners with equally potential lands in the same village are entitled to equal compensation.

The appellants’ lands were acquired under a Section 4 notification published on 2 February 1978. The Land Acquisition Officer awarded Rs.1.50 per sq. m.; on reference under Section 18 of the Land Acquisition Act, 1894, the Reference Court enhanced compensation to Rs.7.50 per sq. m. for non-irrigated land and Rs.9.38 per sq. m. for irrigated land

The appellants sought further enhancement, relying on an award in Land Reference Case No.299 of 1984 concerning land in the same village, acquired under a Section 4 notification issued two days earlier. That award fixed compensation at Rs.35 per sq. m. for non-irrigated land and Rs.43.75 per sq. m. for irrigated land, and had not been challenged by the State

1. Whether the appellants were entitled to the same compensation rates awarded for comparable land in the same village under the earlier acquisition

2. If so, what additional compensation was payable over the Reference Court’s award

The Court applied the Land Acquisition Act, 1894, including Sections 4, 6 and 11 concerning acquisition and the Collector’s award, and Section 18 concerning reference to the court

It treated a prior award concerning land in the same village, with the same potentiality and no identified distinguishing circumstances, as a basis for awarding the same rate of compensation.

No judicial precedent was cited.

The Court accepted that the lands in the two matters were in the same village and had the same potentiality. The State did not identify any material difference warranting a different valuation, and acknowledged that the award in Land Reference Case No.299 of 1984 had not been challenged

The Court therefore applied the rates in that award to the appellants’ lands and calculated the additional amounts by deducting the compensation already awarded by the Reference Court

The authorities were directed to deposit the compensation, together with statutory benefits, within eight weeks; the Reference Court was directed to disburse the amount in accordance with the settled procedure.