Case Note & Summary
The appellant, Pramod Sadashiv Khodke, owned agricultural land bearing Gat No.82, area 4.31 hectares, situated at village Kohli, Taluka Babhulgaon, District Yavatmal. The land was acquired by the respondents for the Bembla Project under the Land Acquisition Act, 1894. Notification under Section 4 was published on 5.06.2003, followed by Section 6 notification on 22.09.2005. The Special Land Acquisition Officer passed an award on 22.09.2005, granting total compensation of Rs.20,29,256/- for the land and fruit bearing trees. The appellant accepted the compensation under protest and filed a reference under Section 18, claiming that the compensation was meager and inadequate. The Reference Court (Joint Civil Judge, Senior Division, Yavatmal) partly allowed the reference and awarded enhanced compensation of Rs.33,68,720/-. Dissatisfied, the appellant filed the present appeal seeking further enhancement. The High Court considered the issues of market value determination and compensation for fruit bearing trees. The Court noted that the Reference Court had determined the market value at Rs.3,00,000/- per hectare based on sale instances, but the appellant argued that the land had potential for non-agricultural use due to its location near a village and road. The High Court found that the land was situated near a village and had access to a road, and thus had potential for development. Relying on sale instances of similar lands, the Court enhanced the market value to Rs.4,00,000/- per hectare. Regarding fruit bearing trees, the appellant claimed 100 mango trees and 50 guava trees, but the Court found that the evidence was insufficient to prove the number and age of the trees. The Special Land Acquisition Officer had already awarded Rs.1,00,000/- for trees, and the Reference Court did not enhance it. The High Court upheld this finding. The Court also directed that the appellant is entitled to 12% additional market value under Section 23(1A) and 30% solatium under Section 23(2) on the enhanced compensation. The appeal was partly allowed, and the compensation was enhanced accordingly.
Headnote
A) Land Acquisition - Market Value Determination - Potentiality of Land - Sections 23, 4, 6, Land Acquisition Act, 1894 - The appellant sought enhancement of compensation for agricultural land acquired for Bembla Project. The Court held that the Reference Court erred in not considering the potentiality of the land for non-agricultural use due to its location near a village and road. The market value was enhanced from Rs.3,00,000/- to Rs.4,00,000/- per hectare based on sale instances and potential. (Paras 1-20) B) Land Acquisition - Compensation for Fruit Bearing Trees - Section 23, Land Acquisition Act, 1894 - The appellant claimed compensation for 100 mango trees and 50 guava trees. The Court found that the Special Land Acquisition Officer had awarded Rs.1,00,000/- for trees, but the Reference Court did not enhance it. The High Court held that the appellant failed to prove the number and age of trees, and thus no enhancement was warranted. (Paras 21-25) C) Land Acquisition - Additional Benefits - Section 23(1A), 23(2), Land Acquisition Act, 1894 - The Court directed that the appellant is entitled to 12% additional market value under Section 23(1A) and 30% solatium under Section 23(2) on the enhanced compensation. (Para 26)
Issue of Consideration
Whether the Reference Court correctly determined the market value of the acquired agricultural land and compensation for fruit bearing trees?
Final Decision
The appeal is partly allowed. The market value of the acquired land is enhanced from Rs.3,00,000/- to Rs.4,00,000/- per hectare. The appellant is entitled to 12% additional market value under Section 23(1A) and 30% solatium under Section 23(2) of the Land Acquisition Act, 1894 on the enhanced compensation. The compensation for fruit bearing trees remains as awarded by the Reference Court. The respondents are directed to pay the enhanced compensation with interest within three months.
Law Points
- Land Acquisition Act
- 1894
- Section 4
- Section 6
- Section 23
- Section 18
- market value determination
- potentiality of land
- fruit bearing trees compensation



