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2006 DIGILAW 472 (PNJ)

State Of Punjab v. Gulab Kaur (Died)

2006-02-15

HEMANT GUPTA

body2006
Judgment Hemant Gupta, J. 1. The challenge in the present revision petition is to the order passed by the learned executing Court on 13.9.1993 whereby the learned executing Court has found that the decree-holder is entitled to interest on the enhanced amount of compensation at the rate of 9% per annum 1.11.1960 to 31.11.1961 and at the rate of 15% per annum for the subsequent period till the amount is deposited in Court. 2. Land measuring 6 bighas and 10 biswas was acquired by way of a Notification under Section 4 of the Land Acquisition Act, 1894 (hereinafter referred to as the Act), published in the State Government Gazette on 23.1.1981. Notification under Section 6 of the Act was published on 5.6.1981. The learned Land Acquisition Collector vide award dated 23.4.1985, assessed compensation at the rate of Rs. 48,000/- per acre. Admittedly, the possession of the acquired land was taken by the State Government on 1.11.1960. The Land Acquisition Collector awarded interest at the rate of 6% from 1.1.1960 to 23.1.1981. The Land Acquisition Collector also awarded an extra amount of 15% on account of compulsory acquisition and further interest at the rate 6% from 23.1.1981. Later on, in supplementary award dated 25.4.1985, the Land Acquisition Collector increased the amount of compensation on account of compulsory acquisition from 15% to 30%. The rate of interest was also raised from 6% to 9% for the period 30.4.1982 to 18.9.1984. 3. In a reference against the said award, the learned District Judge, Patiala, vide its award dated 1.2.1988 enhanced the amount of compensation to Rs. 50,000/- per acre. It was also found that the land owner shall be entitled to 30% of the amount of compensation on account of solatium. The land owner was further found entitled to all the benefits available to her under the amended new provisions of the Land Acquisition Act. 4. In execution of the said award, the decree-holder claimed interest at the rate of 9% form 1.11.1960 to 31.11.1961 and, thereafter, at the rate of 15% till 30.5.1988. The learned executing Court has allowed such interest, which is being disputed by the petitioners in the present revision petition. 5. The learned Counsel for the petitioners has relied upon the judgment of the Supreme Court reported as R.L Jain (D) by L.Rs. v. DDA and Ors. The learned executing Court has allowed such interest, which is being disputed by the petitioners in the present revision petition. 5. The learned Counsel for the petitioners has relied upon the judgment of the Supreme Court reported as R.L Jain (D) by L.Rs. v. DDA and Ors. (2004-2) 137 P.L.R. 794 (S.C.), to contend that interest for the pre-notification period from the date of possession cannot be claimed under Section 34 of the Act. 6. After hearing the learned Counsel for the parties, I am of the opinion that me order passed by the Seamed executing Court is not sustainable in law. Though, in terms of the aforesaid judgment, the grant of interest by the Land Acquisition Collector prior to the date of Notification under Section 4 of the Land Acquisition Act itself may be under cloud, but the State Government cannot challenge the amount of compensation awarded by the Land Acquisition Collector. The grant of interest for the period prior to the date of publication of Notification under Section 4 of the Land Acquisition Act cannot be permitted to be disputed by the petitioners. Therefore, the award announced by the Land Acquisition Collector including the interest cannot be challenged in these proceedings. 7. However, the grant of interest at the rate of 9% per annum from 1.11.1960 for the first year and for the subsequent year at the rate of 15% per annum is clearly not sustainable in view of the aforesaid judgment. The provisions of the Land Acquisition Act (Amendment), 1984 contemplating such interest cannot be claimed by the decree-holder in respect of the pre-Notification period. 8. Consequently, the present revision petition is allowed. The order passed by the learned executing Court granting interest at the rate of 9% for the first year from 1.11.1960 and at the rate of 15% for the subsequent year is set aside.