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Gujarat High Court

Group General Manager vs Govindbhai Nanjibhai Patel & on 3 August, 2015

Author: Ks Jhaveri

Bench: Ks Jhaveri

                   C/FA/388/2010                                               JUDGMENT




                    IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

                                   FIRST APPEAL NO. 388 of 2010



         FOR APPROVAL AND SIGNATURE:


         HONOURABLE MR.JUSTICE KS JHAVERI


         and


         HONOURABLE MR.JUSTICE G.B.SHAH

         ================================================================

         1     Whether Reporters of Local Papers may be allowed
               to see the judgment ?

         2     To be referred to the Reporter or not ?

         3     Whether their Lordships wish to see the fair copy of
               the judgment ?

         4     Whether this case involves a substantial question of
               law as to the interpretation of the Constitution of
               India or any order made thereunder ?

         ================================================================
                        GROUP GENERAL MANAGER....Appellant(s)
                                       Versus
                     GOVINDBHAI NANJIBHAI PATEL & 1....Defendant(s)
         ================================================================
         Appearance:
         MR AJAY R MEHTA, ADVOCATE for the Appellant(s) No. 1
         MR DHAWAN JAYSWAL ASST. GOVERNMENT PLEADER for the
         Defendant(s) No. 2
         MR SHITAL PATEL WITH MR A J PATEL, ADVOCATE for the Defendant(s)
         No. 1
         ================================================================

                   CORAM: HONOURABLE MR.JUSTICE KS JHAVERI
                          and


                                              Page 1 of 8

HC-NIC                                     Page 1 of 8      Created On Thu Aug 06 01:05:47 IST 2015
                  C/FA/388/2010                                           JUDGMENT



                             HONOURABLE MR.JUSTICE G.B.SHAH

                                   Date : 03/08/2015


                                   ORAL JUDGMENT

(PER : HONOURABLE MR.JUSTICE KS JHAVERI)

1. This   appeal   is   directed   against   the   judgment   and  award  dated  16.05.2008  passed  by the  reference  Court  in  LAR   No.   4890/2003   whereby,   the   reference   was   partly  allowed   and   the   claimants   were   awarded   additional  compensation @ Rs.100/­ per sq. metre, over and above the  compensation   awarded   by   the   Land   Acquisition   Officer,  along with interest and other statutory benefits. 

2. The facts in brief are that the lands situated in Village : 

Adhraj, Taluka : Kadi, District : Mahesana were proposed to  be acquired by the State Government for the public purpose  of ONGC. The Notification u/s.4 of the Land Acquisition Act,  1894 (for short, "the Act") was published on 25.01.2000 and  Declaration   u/s.6   was   made   on   12.12.2000.   The   Land  Acquisition   Officer   passed   award   u/s.11   granting  compensation   @   Rs.24/­   per   sq.   metre   for   the   acquired  lands.  Being  aggrieved  by the award,  the claimants  raised  dispute,  which  culminated   into  reference  before   the  Court  below.   After   considering   the   evidence   on   record,   the  Page 2 of 8 HC-NIC Page 2 of 8 Created On Thu Aug 06 01:05:47 IST 2015 C/FA/388/2010 JUDGMENT reference   Court   partly   allowed   the   reference,   by   way   of  impugned award. Hence, this appeal.

3. We have heard learned counsel for both the sides and  perused   the   documents   on   record.   In   respect   of   lands  situated   in   adjoining   Village   :   Nani   Kadi,   this   Court   has  fixed the market price,  vide judgment and order passed in  First   Appeal   No.5241/2008   dated   06.07.2015,   which   is  reproduced hereunder for ready reference;

"1. Present appeal has been filed against the judgment and  award   dated   07/03/2008   passed   by   the   learned   9th  Additional   Senior   Civil   Judge,   Mahesana   in   Land  Acquisition   Reference   Case No.   5360   of   2003,   whereby,   the   reference   was   partly  allowed   and   the   appellant   ­   ONGC   was   ordered   to   pay  additional compensation @ Rs.100/­ per sq. mtr. over and  above the amount awarded by the Special Land Acquisition  Officer.
2. The   facts   in   brief   of   the   case   are   that   the   land  situated at village: Nani Kadi, Tal.: Kadi, Dist.: Mahesana  was   acquired   by   the   appellant   ONGC   for   which,  Notification   under   Section   4   of   the   Land   Acquisition   Act  (hereinafter referred to as the Act for brevity) was published  on 26/04/1999  and Section  6 Notification  was published  on 17/10/1999.  Thereafter,  award  came  to be passed  by  the competent authority fixing the amount of compensation  @ Rs.24/­ per sq. mtr. However, being dissatisfied with the  award,   the   original   claimants   raised   dispute   by   way   of  reference before the Court below. The reference Court, after  appreciating  the documents  on record,  partly  allowed  the  Page 3 of 8 HC-NIC Page 3 of 8 Created On Thu Aug 06 01:05:47 IST 2015 C/FA/388/2010 JUDGMENT same  by way of the impugned  award.  Hence,  the present  appeal.
3.   The   main   contention   raised   by   the   learned   advocate  appearing for the appellant ­ ONGC is that the acquisition  is pertaining to the land situated at village: Nani Kadi for  which   Notification   under   Section   4   of   the   Act   was  published  on 26/04/1999  and Section  6 Notification  was  published   on   17/10/1999.   The   Special   Land   Acquisition  Officer,   after   hearing   the   parties   and   following   due  procedure,   awarded   the   amount   of   compensation  @  Rs.24/­ per sq. mtr., however, the Reference Court, relying  upon the decision in Land Acquisition Reference Case No.  1205 of 1998, exh. 19, where Rs.30/­ was awarded per sq.  mtr.   where,   Section   4   Notification   was   published   on  23/09/1984   whereas,   in   the   case   on   hand,   Section   4  Notification   is   issued   on   26/04/1999,   granted   Rs.124/­  per   sq.   mtr.,   which   is   erroneous,   and   even   considering  afore­stated   exh.   19   and   considering   10%   increase   per  year,   Rs.75/­   per   sq.   mtr.   would   be   the   reasonable  compensation and Rs.124/­ is as awarded by the Tribunal  is on a much higher side and submitted that Rs.51/­ per  sq. mtr. would be the just and proper compensation over  and   above   what   was   granted   by   the   Special   Land  Acquisition Officer.
4.  Per   contra,   the   learned   advocate   appearing   for   the  respondent   relied   upon   the   award   passed   in   Land  Acquisition Reference Case Nos. 5383 of 2003 and 5384 of  2003,   which   is  not   exhibited   before   the  Reference   Court.  Relevant para 15 of same is extracted hereunder:
15. From the other side no iota of evidence is put   on record revealing the facts as to on which date   the   claimants   were   served   with   the   written   intimation   in   regard   with   declaration   of   award   coupled with the copy of award, so that the direct   or   the   constructive   knowledge   of   the   claimant   Page 4 of 8 HC-NIC Page 4 of 8 Created On Thu Aug 06 01:05:47 IST 2015 C/FA/388/2010 JUDGMENT regarding   the   point   of   limitation   can   be   easily   calculated.   Equally   acquiring   agency   has   not   disputed the point of limitation and hence, I have   not  dealt with  the  same  nor  any Issues  to  that   effect is framed and settled accordingly.

It   is   undisputed   fact   that   LAQ   No.:   935/96­M  proceeded   with   for   which   necessary   notification  under Section 4 is duly published. The claimants   are   claiming   Rs.1000=00   and   Rs.110=00   respectively per square meter as a market value  as   against   that   they   have   been   paid   Rs.18=50  paise per square meter, which obviously appears   very unfair and unjust compensation which does   not call any additional evidence to discharge the  initial burden of proof as to how the amount paid   by   the   land   acquisition   officer   being   unfair,   simply for the reason that if we go to purchase   handkerchief of cotton one has to spent minimum  Rs.15/­   per   square   meter.   As   against   that   the   claimants before me have lost their valuable piece   of land against their desire. It is out experience   that day by day price of the agriculture land is   going   up   at   a   rocket   speed   against   fast   falling   purchasing   power   of   money   there   is   an   acute   scarcity   of   the   agricultural   land   with   this   back   ground   the   entire   matter   is   required   to   be   evaluated.   The   claimants   have   placed   evidence  on the point of potentially of their land by stating   their land is having irrigation facilities for which   revenue   abstract   is   put   on   record.   Learned   Advocate M/s. Patel have put up great weight on   previous   judgment.   So   it   is   needless   to   discuss   the potential evidence in detail. It is further stated   that   judgment   of   the   same   Village   Nani   Kadi   (Jaydevpura)   is   produced   at   Exh.:   14   where   under the market value is assessed to the extent   Page 5 of 8 HC-NIC Page 5 of 8 Created On Thu Aug 06 01:05:47 IST 2015 C/FA/388/2010 JUDGMENT of   Rs.30=00   per   square   meter   for   which   a  preliminary   notification   is   dated   23.09.1984  whereas corresponding one is dated 23.04.1999,   thus, there is a clear time gap of 14 years and 07   months   i.e.   15   years.   Under   the   previous   judgment   the   market   value   of   the   land   was   determined to extent of Rs.30=00 Ps. Per square   meter;   so   where   the   claimants   are   not   coming   with   the   sale   transaction   the   market   value   is   fixed under the previous judgment same village to   the   extent   of   Rs.30=00   per   square   meter.   The   same   can   be   taken   as   base   for   awarding   compensation   in   the   present   reference   also.   So   year to year 10% price rise should be awarded as   the   material   factor   for   considering   the   market   value   prevalent   on   the   date   of   publication   of   notification under Section 4 of the Act for which a   case   of   Special   Land   Acquisition   Officer   Vs.   Motibhai   Mohanbhai   reported   in   1997   (2)   GLH:  

773.   So  considering  the  time  gap  the  claimants   are   entitled   to   get   Rs.125=24   paise   as   market   value   as   against   that   they   have   been   paid   Rs.18=50   Paise,   per   square   meter,   so   the   claimants   are   clearly   entitled   to   get   additional   compensation   of   Rs.106=74   per   square   meter,   which   figure   can   be   rounded   off   as   Rs.107=00   per   sq.   mt,   for   the   sake   of   convenience.   It   is   pertinent to note here that, the claimant of LAR   No.   5384/03   has   claimed   compensation   at   the   rate of Rs.110=00 only, therefore, he is entitled to   get   additional   compensation   of   Rs.92=00   (Rs.110=00 less Rs.18=50 received) only, as this  Court   cannot   award   more   compensation   that,   what is claimed by the claimant in the reference   application.
5. We have heard the learned advocates for the respective  Page 6 of 8 HC-NIC Page 6 of 8 Created On Thu Aug 06 01:05:47 IST 2015 C/FA/388/2010 JUDGMENT parties   and   perused   the   documents   on   record.   The  document, which is sought to be relied upon by the learned  advocate   appearing   for   the   respondents   is   not   exhibited  before   the   Reference   Court.   We   are   of   the   opinion   that  merely because the appellant ONGC has not challenged the  same before the appropriate forum, the same is not binding  to   us.   In   the   facts   of   the   case,   keeping   in   mind   10%  increase  per  year,  the  contention  of  the  learned  advocate  appearing   for   the   appellant   is   required   to   be   considered  and if it is considered, Rs.75/­ per sq. mtr. would be the  just   compensation.   The   Special   Land   Acquisition   Officer  has awarded Rs.24/­ per sq. mtr. and hence, in view of the  aforesaid,   the   respondents   are   entitled   for   additional  compensation @ Rs.51/­ per sq. mtr.
6.   For   the   foregoing   reasons,   present   appeal   is   hereby  partly   allowed   and   it   is   held   that   the   respondents   are  entitled to additional compensation @ Rs. 51/­ per sq. mtr. 

i.e.  Rs.75/­  in total.  It is further  held that the interest  is  awarded   from   the   date   of   award   under   Section   11.   The  excess   amount   lying   with   the   Reference   Court  shall   be  refunded to the appellant. No order as to costs."

4. Since   the   acquired   lands   are   situated   adjoining   to  Village   :   Nani   Kadi   and   have   the   same   potentiality,   the  aforesaid   decision   could   be   considered   as   comparable   for  assessing the market price of acquired lands. In that case,  the   Notification   u/s.4   was   published   on   26.04.1999  whereas,   in   the   present   case,   it   was   published   on  25.01.2000.   Therefore,   there   shall   be   an   appreciation   of  05% in the market price of acquired lands. However, since  Page 7 of 8 HC-NIC Page 7 of 8 Created On Thu Aug 06 01:05:47 IST 2015 C/FA/388/2010 JUDGMENT the   claimants   have   not   filed   any   cross­objections,   the  compensation   awarded   by   the   reference   Court   is   not  disturbed.  Insofar as the rate of interest is concerned,  the  same shall be payable from the date of award passed u/s.11  of   the   Act.   The   appeal   stands   allowed   to   the   aforesaid  extent. No order as to costs. R & P, if lying here, be sent to  the reference Court concerned forthwith.

(K.S.JHAVERI, J.) (G.B.SHAH, J.) Pravin Page 8 of 8 HC-NIC Page 8 of 8 Created On Thu Aug 06 01:05:47 IST 2015