Research › Search › Judgment

Punjab High Court · body

2003 DIGILAW 1340 (PNJ)

Shashi Bala v. State Of Punjab

2003-09-24

SATISH KUMAR MITTAL

body2003
Judgment Satish Kumar Mittal, J. 1. This judgment shall dispose of Regular Fist Appeals No. 1102 and 1769 of 1987 filed by the claimants-land owners and Regular First Appeals No. 1618 and 1619 of 1987 filed by the State of Punjab against the same award dated 19.2,1987 passed by learned Additional District Judge, Bathinda. 2. Vide notification dated 3.3.1977 issued under Section 4 of the Land Acquisition Act (hereinafter referred to as the Act), the State of Punjab acquired two shops measuring 265-1/2 square feet and 279 square feet bearing unit No. 8266 and 8277 respectively, for the purpose of providing passage to the public park of the Municipal Committee, Bathinda. The Land Acquisition Collector, vide his award dated 16.9.1982, determined the market value of the acquired land and superstructure separately. The market value of the land underneath the shops was assessed at Rs. 39.60 per square yard whereas the market value of the structure of unit No. 8206 and 8207 was assessed at Rs. 3,934/- and Rs. 4,578/- respectively. 3. Feeling dissatisfied against the aforesaid award, the claimants-land owners sought reference under Section 18 of the Act for determining the market value of their properties at a higher rate on the grounds that the shops were situated at Railway Road, Bathinda and the market value of the land at the time of acquisition was in no way less than Rs. 2,000/- per square yard. 4. The Additional District Judge, vide his award dated 19.2.1987, assessed the market value of the acquired land @ Rs. 400/- per square yard. The market value of the superstructure in case of unit No. 8206 was increased by Rs. 2,533/-. As regards unit No. 8207, no enhancement regarding the superstructure was made. The claimants-land owners were also held entitled for the additional amount @ 12% per annum on the aforesaid market value under Section 23(1-A), solatium @ 30% under Section 23(2) and interest @ 9% per annum for period of one year and @ 15% per annum for the subsequent years under Section 28 of the Act. Against the aforesaid award, the claimants-land owners as well as the State of Punjab have filed these four appeals. 5. Learned counsel for the claimants-land owners has submitted that the acquired property of the claimants-land owners was situated on the Railway Road, Bathinda, which is the oldest bazaar of Bathinda city. Against the aforesaid award, the claimants-land owners as well as the State of Punjab have filed these four appeals. 5. Learned counsel for the claimants-land owners has submitted that the acquired property of the claimants-land owners was situated on the Railway Road, Bathinda, which is the oldest bazaar of Bathinda city. The Railway Road is near the Mall Road and at the time of acquisition, it was the busiest commercial place. The Gole Diggi market, Dhobi bazar and the Post Office bazar are also very near to the acquired property. Thus, the shops of the claimants-land owners, at the time of acquisition, were situated in a very developed commercial area. The learned Additional District Judge has also held that the acquired site was very near to the Mall Road which was one of the best commercial place of Bathinda at the time of acquisition. It has also been held that site in question was just near the place from where the Mall Road starts and there were hotels and shops opposite to the site in question. Learned counsel for the claimants submitted that in spite of the aforesaid findings recorded by the learned Additional District Judge, the market value of the acquired site was assessed only at Rs. 400/- per square yard by ignoring the two relevant sale transaction i.e. Ex.A1 and Ex.A23. Ex.A1 is the sale deed dated 22.7.1977, vide which an area of shop measuring 7.44 square yard, situated in Fish Market, was sold for an amount of Rs. 13,000/- by the Municipal Committee on 4.4.1977 in an auction. The per square yard price of this sale deed comes to Rs. 1,693/-. Ex.A23 is the sale deed dated 30,8.1979, vide which 6 square yards of the site of a shop situated at Railway Bazar, Bathinda, was sold for an amount of Rs. 15,000/-. The per square yard price of the same comes to Rs. 2,450/-. Learned counsel for the claimants submitted that the aforesaid two sale deeds were the relevant sale transactions, on the basis of which the market value of the acquired shop sites of the claimants should have been assessed, but the learned Additional District Judge discarded the aforesaid sale transactions only on the ground that these are subsequent to the acquisition. 2,450/-. Learned counsel for the claimants submitted that the aforesaid two sale deeds were the relevant sale transactions, on the basis of which the market value of the acquired shop sites of the claimants should have been assessed, but the learned Additional District Judge discarded the aforesaid sale transactions only on the ground that these are subsequent to the acquisition. Learned counsel for the claimants has not raised any argument with regard to the compensation awarded by the learned Additional District Judge with regard to the superstructures of the acquired shops. 6. On the other hand, learned counsel for the State of Punjab submitted that the learned Additional District Judge has already fixed the market value of the acquired site at a higher rate, though she could not point out any relevant evidence in support of her arguments. All the sale deeds produced by the State Government pertain to Guru Nanak-pura, Harijan Basti and Paras Ram Nagar, Bathinda. No sale deed regarding the sale of site on the Railway Road, Gandhi Market, Gole Diggi Market or Post Office Bazar, Bathinda, has been produced by the State Government. 7. I have heard the arguments of learned counsel for both the parties and have perused the record of the case. 8. Undisputedly, in the instant case, two running shops were acquired by the State Government vide notification dated 3.3.1977, which was published on 11.3.1977, for the purpose of providing passage to the park of the Municipal Committee. These shops were situated on the Railway Road, Bathinda, which was the busiest market at the time of acquisition. Learned Additional District Judge has recorded a findings, which has not been disputed before me, that the Railway Road was a fully developed commercial area at the time of acquisition, and determined the market value of the acquired site @ Rs. 400/- per square yard. But there is no indication in the award that on what basis the aforesaid price was calculated. It has been only observed that price of the acquired land should be in between Rs. 648/- per square yard, as shown in mortgagee deed Ex.A12 and Rs. 2,450/- per square yard, as shown in the safe deed Ex.A23. I am of opinion that the sale deeds Ex.A1 and Ex.A23 are the relevant sale transactions on the basis which the market value of the acquired site should have been determined. 648/- per square yard, as shown in mortgagee deed Ex.A12 and Rs. 2,450/- per square yard, as shown in the safe deed Ex.A23. I am of opinion that the sale deeds Ex.A1 and Ex.A23 are the relevant sale transactions on the basis which the market value of the acquired site should have been determined. Though these sale deeds were effected after the date of acquisition in this case, but still these can be taken into consideration because it was not the case of the State Government, nor it can be, that after the acquisition of the shops in question, the value of the land might be increased in the area. It has also come on record that the site of shop which was sold vide Ex.A1 was not at a better situation than the site of the acquired shops. It is clear from the sale deed Ex.A1 that the shop site was auctioned by the Municipal Committee on 4.4.1977 at the rate of Rs. 1,692.90 per square yard. This shop was sold after one month of the date of notification in question. In my view, this is the best and relevant sale transaction on the basis of which the market price of the acquired sites should have been assessed. Sale deed Ex.A23 is dated 30.8.1979. This sale transaction took place after two years of the acquisition and by that time, the sale price was increased by near about 33%. Therefore, in my opinion, sale deed Ex.A1 is the most genuine transaction on the basis of which the just market value of the acquired site should have been assessed. It has also come into evidence that vide sale deed Ex.A1, the Municipal Committee sold the site to the shop on instalments. Learned counsel for the State Government argued that because the site was sold on instalments, therefore, the possibility of fetching higher rate cannot be ruled out. This argument appears to be genuine. Since the site under the said sale deed was sold on installments, some cut should be imposed on that account. In my opinion, a cut of 25% will be reasonable. If we exclude Rs. 493/- per square yard in this regard, then the market price of the site sold by this sale deed comes to Rs. 1,200/- per square yard. In my opinion, if the market value of the acquired shop site is assessed at Rs. In my opinion, a cut of 25% will be reasonable. If we exclude Rs. 493/- per square yard in this regard, then the market price of the site sold by this sale deed comes to Rs. 1,200/- per square yard. In my opinion, if the market value of the acquired shop site is assessed at Rs. 1,200/- per square yard, it will be most reasonable and just compensation. Accordingly, I assess the market value of the acquired site @ Rs. 1,200/- per square yard. 9. In view of the aforesaid discussion, RFAs No. 1102 and 1769 of 1987, filed by the claimants-land owners are accepted and the market value of the acquired sites is assessed at Rs. 1,200/- per square yard. The claimants-land owners shall also be entitled for all the statutory benefits on the aforesaid enhanced amount of compensation. RFAs No. 1618 and 1619 of 1987 filed by the State of Punjab are hereby dismissed.