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1987 DIGILAW 427 (DEL)

PRAKASH CHAND KASHYAP v. UNION OF INDIA

1987-11-04

S.S.CHADHA, Y.K.SABHARWAL

body1987
S. S. CHADHA, J. ( 1 ) THIS appeal under Cl. X of the Letters Patent is against the judgment and decree passed by Hon ble Mr. Justice Avadh Behari dated 10th March, 1980 in R. F. A. No. 35/70 dismissing the appeal for enhancement of compensation for the acquired land. ( 2 ) THE land situate in the estate of Sadhora Kalhan was needed by the Government at the public expenses for a public purpose, namely, for the planned development of Delhi. A preliminary notification under S. 4 of the Land Acquisition Act, 1894 (hereinafter referred to as the Act ) was made vide notification dated 25th March, 1964. A declaration under S. 6 of the Act was made vide notification dated 15th July, 1964. The Land Acquisition Collector made his award No. 1801 and announced on 12th March, 1965. It covered a total area of 60 bighas and 5 biswas. The acquired land was divided into three blocks. He offered compensation for block a @ Rs. 5,500. 00 per bigha, for block b @ Rs. 5,000. 00 per bigha, and for block c @ Rs. 4,500. 00 per bigha. ( 3 ) SHRI Prakash Chand Kashyap, the appellant herein, had purchased field No. 203/2 measuring 7 bighas and 4 biswas situate in the revenue estate of Sadhora Kalan in an auction held by the Ministry of Rehabilitation on 1st Sept. 1959 for a total consideration of Rs. 1,50,500. 00. This land was acquired by the aforesaid award No. 1801. He was aggrieved with the compensation offered by the Collector and filed reference petition under S. 18 of the Act claiming the market value of the acquired land @ Rs. 250. 00 per sq. yard. The reference was entrusted to the court of Shri G. R. Luthra, the then Additional District Judge, Delhi. The learned Additional District Judge taking in view the good situation of the land and the lapse for 4 years after the purchase of land gave an increase of 25% and found the market value of the acquired land at Rs. 1,55,000. 00. The appeal of the appellant against the judgment and decree of the learned Additional District Judge was dismissed by Avadh Behari, J. vide order dated 10th March, 1980. ( 4 ) BEFORE the learned single Judge, the resolution dated 9th Feb. 1954, Ext. 1,55,000. 00. The appeal of the appellant against the judgment and decree of the learned Additional District Judge was dismissed by Avadh Behari, J. vide order dated 10th March, 1980. ( 4 ) BEFORE the learned single Judge, the resolution dated 9th Feb. 1954, Ext. Al, of the Delhi Improvement Trust was relied upon whereby plot No. 5 in block No. 23 in Roshanara Extension Scheme measuring 312 sq. yards was allotted for an electric sub station to the Electricity Board. This allotment was on payment of premium at the rate of Rs. 88,000. 00per acre plus 2% p. a. as ground rent thereon on perpetual lease basis. The second resolution No. 308 dated 27th July, 1963, Ext. A3, relied upon was in respect of allotment of plot No. SF 6, block No. 23, Roshanara Extension measuring 400 sq. yards for extention of the existing electric sub station building. In this resolution it is noticed that an enquiry from the property dealers was made and it had been found that the freehold value of the land in that locality varied from Rs. 225. 00to Rs. 275. 00 per sq. yard and, thus, giving an average of Rs. 250. 00 per sq. yard freehold. The land was leased to the Municipal Corporation of Delhi @rs. 167. 00persq. yard plus 21/2 p. a. as ground rent thereon. The third resolution No. 624 dated 16th Oct. 1965, Ext. A2, is in respect of allotment of plots. Nos. SF9,10 and 11 (each measuring 257. 91, 257. 91 and 314. 16 sq. yards respectively), block No. 27, Roshanara Extension Scheme to the Delhi Electric Supply Undertaking for an office building. This was allotted to the Municipal Corporation of Delhi for the purpose @rs. 150. 00per sq. yard on perpetual leasehold basis plus 2 P. a. ground rent thereon. Reference is also made to statement of Shri E. V. Wayali, Clerk, Delhi Development Authority, AW 2, about the sale of leasehold rights in plots in Roshanara Extension Scheme in the years 1961 to 1963. The tendered rate in the year 1961 for residential plots is deposed as Rs. 70. 00 per sq. yard. ( 5 ) IN our view the learned single Judge rightly opined that the aforesaid evidence is entirely irrelevant. The evidence of the resolutions and the land values all related to Roshanara Bagh Extension and that was a highly developed colony. The tendered rate in the year 1961 for residential plots is deposed as Rs. 70. 00 per sq. yard. ( 5 ) IN our view the learned single Judge rightly opined that the aforesaid evidence is entirely irrelevant. The evidence of the resolutions and the land values all related to Roshanara Bagh Extension and that was a highly developed colony. The acquired land is situated in the revenue estate of Sadhora Kalan on the other side of the railway lines. The two lands by no stretch of imagination could be considered as at par. They are dis- similar in quality as one is having small plots in a developed colony and the acquired land is wholly undeveloped. ( 6 ) THE land of the appellant bearing khasra No. 203/2 measuring 7 bighas 4 biswas in the revenue estate of Sadhora Kalan is near Shakti Nagar and only one railway line intervenes between Shakti Nagar and the acquired land. It is abutting on a round-about as is evident from Aks Shajra, Ext. R7. It is connected by a manned railway crossing. To the same effect is the statement of the appellant as AW 6. The Land Acquisition Collector also gives the kind of land as Ghair Muttik in Abadi. Before the learned Additional District Judge a statement was made by Shri Raj Lal, Advocate for the appellant, giving an indication as to the actual payment to the Ministry of Rehabilitation tor the value ot land auctioned on 1st Sept. 1955 at Rs. 1,55,000. 00. The appellant had actually paid a sum of Rs. 1,24,000. 00 partly in cash and partly by adjustment of compensation payable under the Displaced Persons (Compensation and Rehabilitation) Act, 1954 by buying compensation claims. Thus, the total cost to the appellant was Rs. 1,24,000. 00 only. It comes to roughly @rs. 17. 00 per sq. yard. ( 7 ) SHRI C. S. Gupta, Architect, Town and Country Planning Department, New Delhi was produced as AW 3. He was a planning member of the Delhi Development Authority. A printed copy of the interim general plan was produced and marked Ext. A13. According to this plan, the use prescribed for the acquired land was gardens and nurseries. A blow up photographic copy of Delhi Guide Map, 1959 Edition, is Ext. A14 and in this the acquired land is shown in red. A printed copy of the interim general plan was produced and marked Ext. A13. According to this plan, the use prescribed for the acquired land was gardens and nurseries. A blow up photographic copy of Delhi Guide Map, 1959 Edition, is Ext. A14 and in this the acquired land is shown in red. A draft master plan was prepared in July, 1960 and the master plan came into force with effect from 1st Sept. 1962. In the master plan, the land use prescribed for the acquired land is residential as well as for flatted industries. AW 3 deposed that in connection with the land whose plan is Ext. A 9 he was asked to report about the land use and he indicated the use according to the master plan. Ext. A9a gives the area of the acquired land falling under different uses. The land falling under residential use is shown in yellow measuring 1529 + 470 sq. yards. The land under flatted factories is shown in blue colour measuring 3200 4+450 sq. yards. The balance of 1600 sq. yards falls under a road proposed to be constructed, It is, thus, clear from the evidence given from the official records that the land use at the time of purchase fay the appellant was garden land and at the time of acquisition the land use was residential as well as for flatted factories. ( 8 ) THE appellant has produced on record Ext. A16 which is the site plan of Ram Roop Vidya Mahdir School. In that plan the acquired land is shown within red lines. Ext. A 19 and Ext. A20 are the building palns of Ram Roop Vidya Mandir School and Ext. A18 is the copy of the letter of Municipal Corporation of Delhi sanctioning these plain Ext. Al9 and Ext. A20. Ram Roop Vidya Mandir School is adjoining the acquired land and, therefore, its plans and letter sanctions the same have been placed on record to show that no development was needed for making the use of the land tor residential purposes as well as for flatted factories. The building activity for Ram Roop Vidya Mahdir School would not have been allowed unless all requisite amenities were available. In out view the land of the appellant was located in an area which was developed and building activity had commenced or was easily permissible. The building activity for Ram Roop Vidya Mahdir School would not have been allowed unless all requisite amenities were available. In out view the land of the appellant was located in an area which was developed and building activity had commenced or was easily permissible. ( 9 ) R. F. A. No. 570/1979, Jalil Ahmed v. Union of India, arose out of the judgment dated 30th Oct. 1979 from the court of Additional District Judge determining the market value of the acquired land in village Sadhora Kalan. The land in that case comprised in khasra No. 633/199/1 measur in 57 bighas 6 biswas and was acquired In pursuance of the notification under S. 4 of 13th Nov. 1959. A declaration under S. 6 of the Act was made vide notification dated 29th Oct. 1966. The land in that case abutted on a road which is 80 ft. Circular Road and that road connects Rohtak Road with Shakti Nagar which is at a distance of furlong in that case. This Court assessed the market value of the land @rs. 15,000. 00 per bigha The land of the appellant partly abuts on the 80 ft. Circurlar Road and partly on the second road going to Bharat Nagar and is on the round about where the third road goes to Shakti Nagar. It is the nearst land to Shant Colony and only the land of the aforesaid School intervenes. The land of RFA 570779 was assessed as a potential building site can be a safe guide for assessing the market value of the acquired land in this appeal. ( 10 ) THE appellant paid a sum Rs. l,24,000. 00,i. e. , @rs. 17. 00per sq. yard for the acquired land purchased on 1st Sep. 1959. The market value of the land on 13th Nov. 1959 as potential residential site distarice of about furlong was assess @rs. l5,000. 00 per bigha. the learned Additional District Judge has granted an increase of 25% for 4 years by treating the entire land as residential site. This increase does not represent the true market value. ( 11 ) AS is apparent from the Government of India Survey Map, Plan Ext. A9a Delhi Guide Map, Ext. A14 and the Aksh Shajra, Ext. R 7, the land of the appellant abutted on a round about and had the facility of three roads. This increase does not represent the true market value. ( 11 ) AS is apparent from the Government of India Survey Map, Plan Ext. A9a Delhi Guide Map, Ext. A14 and the Aksh Shajra, Ext. R 7, the land of the appellant abutted on a round about and had the facility of three roads. One more road passing through the acquired land had been proposed in the master plan. The letter Ext. A 8 and the Plans fats. A9 and 9a show that the acquired land ceased to be agricultural for garden and nurseries at the time of issue of notification under S. 4. There was a change of user. It had the potentialities of a residential building site and for flatted factories. The area of flatted factories abutted on the round about and on two roads in chunks of 3200 sq. yards and another of 450 sq. yards, in all 3650 sq. yards. The land which fell in the residential use abutted on 80 wide road (called Circular Road ). It did not constitute a very big piece of land as it was bifurcated by 80 wide road. The area of one plot was 1527 sq. yard and the other 2070 sq. yards out of which 1600 sq. yards was earmarked for a road. It is also established on the record that the factilities and amenities like water and electricity were available in the said school adjoining the acquired land. ( 12 ) THERE are no sale transactions or court judgments available as to the market value of site of flatted factories. The estimation of market value, thus, has to enter the field of a conjecture or guess. The only evidence available on the record as to what is the potential value of the residential site is the judgment in R. F. A 570/79 of the land about furlong away from the acquired land. The market value was assessed @rs. 1500. 00 per bigha as on 13-11-1959, whereas the appellant paid @ Rs. 17. 00 per sq. yard on 1-9-1959. The acquired land thus even at that time had an edge over the land of RFA 570/79. This was due to the fact that the acquired land was nearer to the highly developed colony of Shakti Nagar, only a manned railway crossing and the land or said school intervening. 17. 00 per sq. yard on 1-9-1959. The acquired land thus even at that time had an edge over the land of RFA 570/79. This was due to the fact that the acquired land was nearer to the highly developed colony of Shakti Nagar, only a manned railway crossing and the land or said school intervening. ( 13 ) MOHAMMAD Karimuddin v. Collector, Madras, ILR (1964) 2 Mad 337, a Division Bench of the Madras High Court. "it is not one of those cases where the Government has acquired land in an undeveloped area for the purpose of converting it alto a housing area, where naturally other amenities have to be provided for the residents in that area. The Government would be justified in such cases in deducting the cost of the amenities from the compensation payable to the owners. This principle will not apply to a case of acquisition of a large extent of land in the occupation of a single owner and situated in the heart of the town where all amenities have already been provided for the residents in the neighbourhood. "the acquired land adjoined a developed area and is entitled to be evaluated as a building site. ( 14 ) UNDER S. 23 (1a) of the Act the legislature has ordained that the court shall in every case award an amount calculated at the rate of twelve per cent per annum as additional compensation. This has been assessed as a fair rise in the market value when hypothetically the prices are freezed. It is common knowledge that the price of land rose appreciably between 1959 and 1964, particularly after the master plan came into force with effect from 1-9-1962. We estimate the increase of 50% as against 25% allowed by the learned Additional District Judge. The total acquired land is 7 bighas 4 biswas : 7258 sq. yards. Thus the market value of the acquired land is assessed @rs. 26. 00 per Sq. yard (round figure) for the area of 3608 sq. yards for the residential area. The price of land for flatted factories is probably more and as a fair guess it should be increased by 25% i. e. , at the rate of Rs. 32. 00 per sq. yard for an area of 3650 sq. yards. ( 15 ) IN addition to the market value calculated at the rate of Rs. 26. The price of land for flatted factories is probably more and as a fair guess it should be increased by 25% i. e. , at the rate of Rs. 32. 00 per sq. yard for an area of 3650 sq. yards. ( 15 ) IN addition to the market value calculated at the rate of Rs. 26. 00 per sq. yard for the residential area and at the rate of Rs. 32. 00 per sq. yard for the flatted factories area, the appellant will be entitled to solatium at the rate of 15% and interest at the rate of 6% per annum from the date of taking over the possession till the date of deposit or the enhanced amount of compensation. So far as the, entitlement of the appellant to the additional amount in terms of S. 23 (1a) at the rate of 12%, solatium at the rate of 30% on the market value under the Amendment Act 68 of 1984 and interest at the rate of 9% per annum for a period of one year from the taking over of possession and thereafter 15% on the enhanced compensation till payment is concerned, we are informed that these questions have been referred to a larger Bench of the Supreme Court and the judgment has been reserved. If and when the judgment is delivered in the matter and if the appellant is found to be entitled to the increased amount, solatium, interest or additional amount, they will be entitled to receive the same from the Land Acquisition Collector in accordance with law. The appellant is also entitled to proportionate costs of the appeal.