Bombay High Court Partially Allows Appeal in Land Acquisition Compensation Case — Enhances Compensation to Rs. 60,000 per Acre. Court holds that sale instances from nearby villages and a valuer's report cannot be ignored while determining market value under the Land Acquisition Act, 1894.

High Court: Bombay High Court Bench: BOMBAY
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Case Note & Summary

The case pertains to a land acquisition dispute where the appellants, Rambhau Baliram Wandhe and Dhrupadabai Baliram Wandhe, owned agricultural land in village Awar, Tq. Khamgaon, District Buldana. A notification under Section 4 of the Land Acquisition Act, 1894 was issued on 23.6.1990 acquiring land bearing Survey Nos. 11/2, 13/1 and 41 (Gat No.17) admeasuring 0 H 30 R out of 14 H and 84 R. The Land Acquisition Officer by his Award dated 24.8.1992 granted compensation at Rs. 9,845 per acre. Dissatisfied, the appellants preferred a Reference under Section 18 of the Act, being Land Acquisition Case No.61 of 1992, which was decided on 27.11.1995 by the learned Civil Judge (Sr.Dn.), Khamgaon. The compensation was enhanced to Rs. 60,000 per hectare from Rs. 9,845 per acre. The appellants, still aggrieved by the refusal to grant enhanced compensation at Rs. 75,000 per acre, filed the present appeal. The appellants argued that they had produced sale instances from nearby villages (Sutala, Parkhed, Ghatpuri, Januna, Khamgaon) marked as Exhs. 19-22, 33-37, 31, 2, 26-30, and 23, as well as a valuer's report at Exh.83 and a judgment of this Court in First Appeal No.8 of 1994. They contended that the trial court ignored all this evidence. The respondent, State of Maharashtra, supported the trial court's order. The High Court, after hearing both sides, found that the trial court had not considered the sale instances and valuer's report. The court noted that the trial court had not even referred to these documents in its judgment. The High Court held that the trial court was required to consider all evidence on record. Accordingly, the appeal was partly allowed, the impugned judgment was set aside, and the matter was remanded back to the trial court for fresh consideration of the compensation amount, directing the court to consider all evidence including the sale instances and valuer's report. The court also directed that the reference be decided within six months from the date of receipt of the order.

Headnote

A) Land Acquisition - Compensation - Market Value - Sections 4, 18, 23 Land Acquisition Act, 1894 - Enhancement of Compensation - The appellants challenged the trial court's order refusing to grant compensation at Rs. 75,000 per acre, contending that the court ignored sale instances from nearby villages and a valuer's report. The High Court held that the trial court had not considered the evidence properly and remanded the matter for fresh consideration, directing the court to consider all evidence including sale instances and valuer's report. (Paras 1-5)

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Issue of Consideration

Whether the trial court erred in ignoring the sale instances and valuer's report produced by the claimants while determining the market value of the acquired land, and whether the compensation should be enhanced to Rs. 75,000 per acre.

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Final Decision

Appeal partly allowed. Impugned judgment and order set aside. Matter remanded to the trial court for fresh consideration of compensation amount, directing the court to consider all evidence including sale instances and valuer's report. Reference to be decided within six months.

Law Points

  • Land Acquisition
  • Compensation
  • Market Value
  • Sale Instances
  • Valuer's Report
  • Ignoring Evidence
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Case Details

2010 LawText (BOM) (01) 168

First Appeal No. 276 of 1996

2010-01-06

R. K. Deshpande, J.

Mr. Anil Kilor for appellants, Mr. D. M. Kale, A. G. P. for Respondent/State

Rambhau Baliram Wandhe and Dhrupadabai Baliram Wandhe

The State of Maharashtra, Through Collector, Buldana

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Nature of Litigation

Land acquisition compensation dispute

Remedy Sought

Enhancement of compensation from Rs. 60,000 per hectare to Rs. 75,000 per acre

Filing Reason

Dissatisfaction with the trial court's refusal to grant enhanced compensation at Rs. 75,000 per acre

Previous Decisions

Land Acquisition Officer awarded Rs. 9,845 per acre; Reference Court enhanced to Rs. 60,000 per hectare

Issues

Whether the trial court erred in ignoring the sale instances and valuer's report produced by the claimants? Whether the compensation should be enhanced to Rs. 75,000 per acre?

Submissions/Arguments

Appellants argued that sale instances from nearby villages and valuer's report were ignored by the trial court. Respondent supported the trial court's order.

Ratio Decidendi

The trial court is required to consider all evidence on record, including sale instances and valuer's report, while determining market value under the Land Acquisition Act, 1894. Ignoring such evidence vitiates the determination of compensation.

Judgment Excerpts

This appeal challenges the judgment and order dt. 27.11.1995 passed by learned Civil Judge (Sr.Dn.), Khamgaon in Land Acquisition Case No.61 of 1992 to the extent it refuses to grant compensation for acquisition of land in question to the claimants @ Rs.75,000/- per acre. The learned Counsel for the appellants has urged that the appellants/claimants have produced on record Sale instances Exh.19 to 22 from village Sutala, Exhs. 33 to 37 from village Parkhed, Exhs. 31 and 2 from village Ghatpuri, Exh.26 to 30 from village Januna and Exh.23 from Khamgaon. He has urged that the report of Valuer was also produced at Exh.83 and the judgment of this Court delivered in First Appeal no.8 of 1994 was also relied on.

Procedural History

Notification under Section 4 of the Land Acquisition Act, 1894 issued on 23.6.1990. Land Acquisition Officer awarded compensation on 24.8.1992. Reference under Section 18 filed, decided on 27.11.1995 by Civil Judge (Sr.Dn.), Khamgaon enhancing compensation to Rs. 60,000 per hectare. Present appeal filed against refusal to grant Rs. 75,000 per acre.

Acts & Sections

  • Land Acquisition Act, 1894: Section 4, Section 18, Section 23
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