JUDGMENT This appeal has been filed against the judgment and award dated 5.6.1986 passed in Land Acquisition Case No. 11 of 1984 by the Land Acquisition Judge, Bhagalpur after reference under Section 18 of the Land Acquisition Act. 2. The respondent-State of Bihar acquired 19.26 acres of land for the purpose of construction of conduit pipe under Bateshwer Asthan Ganga Canal Scheme in Village-Colgong, District-Bhagalpur. The appellants 3.14 acres of land of khata no. 92, plot no. 166 was also included in the total area of the acquired land. The compensation amount was assessed by the land acquisition authorities against which the appellants filed objection under Section 9 of the Land Acquisition Act claiming higher amount of compensation. The compensation amount was finally determined at Rs. 59,294.45 out of which Rs. 51,583/- had been assessed to be the value of the land acquired and Rs. 7,734.45 paise had been awarded by way of additional compensation. The appellants filed objection praying for reference under Section 18 of the Land Acquisition Act for determination of the proper and adequate valuation of the acquired land. After the said reference, the land acquisition case no. 11 of 1984 was initiated before the Court of Land Acquisition Judge, Bhagalpur. 3. In their objection, the appellants have stated that their acquired land had high potential as it was situated near railway station and was very close to Colgong town. It has further been asserted that in fact, the acquired land was an orchard consisting of several fruit bearing trees and also trees with high timber value. The appellants have claimed that the market value of the land in the area and in the vicinity of the acquired land was about 4,000/- to 10,000/- per katha at the time of notification but the land acquisition authorities have wrongly assessed a very low valuation of the land which comes to about Rs. 500/- per katha. The appellants have claimed the value of the acquired land to be Rs. 8,000/- katha and in this way, have further claimed total Rs. 8,06,000/- by way of compensation for the land. It has also been the case of the appellants that they had• regular yearly income of about Rs. 25,000/- from the fruits of the trees and timber which they had been deprived after the acquisition. 8,000/- katha and in this way, have further claimed total Rs. 8,06,000/- by way of compensation for the land. It has also been the case of the appellants that they had• regular yearly income of about Rs. 25,000/- from the fruits of the trees and timber which they had been deprived after the acquisition. Further, in view of the prospect of further development in the area, the appellants have also claimed that the higher valuation should have been fixed. 4. On behalf of the respondent-State of Bihar, it has been contended in the court below that the assessment of the compensation amount to the appellants has been correctly made by the Collector under the Act and the award amount is adequate, proper and reasonable. 5. In view of the rival cases of the parties, the learned court below framed issues out of which material issue was as to whether the amount of compensation paid to the petitioners was just, proper, reasonable and adequate. 6. After hearing the parties and scrutinizing the evidence on record, the learned court below has come to the conclusion that the valuation, as assessed by the Collector under the Act for the acquired land of the petitioners, was not proper and adequate. The learned court below has also come to the conclusion that the valuation of the trees standing upon the acquired land of the appellants had also been wrongly fixed. The learned court below, thereafter, by the impugned judgment and award has determined the valuation of the acquired land to be at the rate of Rs. 22,000/- per bigha and the total amount of valuation for the trees to be Rs. 10,000/-. 7. The learned counsel appearing on behalf of the appellants has firstly submitted that the rate of land as determined by the learned court below is not sustainable in view of the pleading and evidence on record. It has been urged that there are material evidence on record to show that the acquired land of the appellants is very near to the municipal area and also near to the railway station and the market, and in that view of the matter its potential value should not have been ignored. It has been urged that there are material evidence on record to show that the acquired land of the appellants is very near to the municipal area and also near to the railway station and the market, and in that view of the matter its potential value should not have been ignored. It has further been contended by the learned counsel that in view of the rate of the land as apparent from Ext.-5 also, it is established that the acquired land had higher valuation than that assessed by the learned court below. It has further been submitted by the learned counsel that the report of the Pleader Commissioner also shows that there were altogether 219 trees standing over the acquired land out of which majority of trees were fruits bearing trees and the remaining trees had high timber value. The learned counsel has also placed much reliance upon the sale deeds (Ext.-1 series) to buttress his submission regarding prevailing higher market value of the land in the area of the acquired land at the time of the notification. It has also been contended that the appellants are entitled to solarium, interest and other statutory benefits which have been not granted by the learned court below. 8. Per contra, the learned counsel appearing on behalf of the respondent State of Bihar has submitted that the determination of the compensation amount by the Collector under the Act was reasonable and adequate but in view of some discrepancies the learned court below has properly modified the same and has correctly fixed the value of the acquired land at the rate of Rs. 22,000/- per bigha and the consolidated sum of Rs. 10,000/- has been properly awarded for the trees. It has further been contended by the learned counsel that there is no reliable evidence adduced on behalf of the appellants to establish their case of regular income from the fruits and timbers from the trees standing over the acquired land and in that view of the matter, no relief can be granted in that regard. The learned counsel has in substance submitted that the judgment and award passed by the learned court below do not suffer from any illegality and do not require interference. 9. The learned counsel has in substance submitted that the judgment and award passed by the learned court below do not suffer from any illegality and do not require interference. 9. In view of the rival submissions of the parties, the only point which emerges for determination is as to whether the valuation of the acquired land of the appellants has been correctly assessed by the impugned judgment and decree. 10. The appellants 3.14 acres of land had been acquired for construction of conduit pipe under the Bateshwar Asthan Ganga Canal Scheme by the State of Bihar. The notification under Section 4 of the Land Acquisition Act had been made on 13.3.1981 and declaration under Section 6 of the Act had been published on 16.8.1981. It is not in dispute that altogether 19.26 acres of land had been acquired for the aforesaid purpose in Village Colgong, District Bhagalpur. The appellants filed their objection under Section 9 of the Act to the compensation amount as assessed in Land Acquisition Case No. 38 of 1981 and finally the Collector under the Act fixed the amount of the compensation under Section 11 to be Rs. 51,543/- and also allowed Rs. 7,731.45 as additional compensation amount and thus, the total amount of compensation awarded to the appellants came to be Rs. 59,274.45 paise. The appellants have filed their objection under Section 18 of the Land Acquisition Act and prayed for a reference. Thereafter, the matter had been referred and heard by the Land Acquisition Judge, Bhagalpur. 11. The appellants have claimed that their acquired land had high potential at the time of acquisition as it was situated near the Colgong Municipality and Railway Station and was also being used as orchard giving regular income to the appellants from about 219 trees which were fruit bearing and had also timber value. The appellants have thus claimed Rs. 8,000/- per katha as the rate of the acquired land at the time of notification and have further claimed compensation of Rs. 25,000/- for the income derived from the fruits of the trees and also Rs. 1,00,000/- for timber and fuel value of the non-fruit bearing trees. 12. The appellants have filed four sale deeds (Ext.-1 series) to establish the market rate of the acquired land at the date of notification. 25,000/- for the income derived from the fruits of the trees and also Rs. 1,00,000/- for timber and fuel value of the non-fruit bearing trees. 12. The appellants have filed four sale deeds (Ext.-1 series) to establish the market rate of the acquired land at the date of notification. They have also filed another document (Ext.-5) which is the order of reference made by the Collector under the Act in L.A. Case Nos. 1076/ 1075 on the prayer of Satnarayan Khemka whose land had also been acquired for the construction of Ganga Pump Canal Scheme. This order of reference appears to have been passed on 25.5.1981. From perusal of this order, it appears that an area of 4.43 acres of Khata No. 227, Plot No. 357 belonging to Satnarayan Khemka had been acquired in the year 1979 by making a declaration on 24.11.1979, and the amount of Rs. 12,40,400/- had been awarded to Satnarayan Khemka by the Collector under the Act for the land, besides, the amounts of compensation for trees, houses and crops interest as additional compensation making the total compensation amount to be Rs. 15,10,007.18. 13. It has been pointed out by the learned counsel for the parties and also is apparent from Ext.-A that the relevant measurement scale in the locality where the acquired land is situated, is 5½ Hath = 1 Lagga i.e. 1 decimal is equal to about 6 dhurs. According to this measurement scale, it has further been agreed by the learned counsel for the parties that 1 acre would be equivalent to about 1 bigha 12 kathas and 1 bigha will be equal to 20 kathas. Thus, the learned counsel for the parties have further agreed that the total 4.43 acres of acquired land of Satnarayan Khemka after conversion will come to about 140 kathas. 14. From the award to Satnarayan Khemka, as revealed from Ext.-5, the rate of land appears to have been determined to be more than Rs. 10,000/- per katha. P.W. 7 Uma Shankar Ajad is the Chairman of Colgong Municipality. He has stated in the deposition that the acquired land of Satnarayan Khemka is at a distance of 1.25 kilometers from municipal area. He has further stated that the acquired land of the appellants has better amenities than the land of Satnarayan Khemka. 10,000/- per katha. P.W. 7 Uma Shankar Ajad is the Chairman of Colgong Municipality. He has stated in the deposition that the acquired land of Satnarayan Khemka is at a distance of 1.25 kilometers from municipal area. He has further stated that the acquired land of the appellants has better amenities than the land of Satnarayan Khemka. He has also deposed that the acquired lands of the appellants are within a distance of half kilometer from station, goshala, college, school, municipality office and main market of Colgong. The other witnesses examined on behalf of the appellants have also stated that the acquired land of the appellants is very near to the municipality and market and also contains trees and, thus, has high potential value. From the deposition of all these witnesses, it becomes evident that the acquired land of the appellants is better placed than the land of Satnarayan Khemka. 15. No explanation has been furnished on behalf of the respondent State of Bihar regarding apparently large difference in the rate of land of the appellants and the land of Satnarayan Khemka as revealed from Ext.-5. The respondent has also not denied the validity of Ext.-5 and the rate of land fixed therein by the land acquisition authorities. From the evidence on record, it is clear that the land of Satnarayan Khemka as well as the land of the appellants, both have been acquired under Ganga Pump Canal Scheme and the acquired land of the appellants is better placed than the land of Satnarayan Khemka. It is well settled by now that the previous award of similar land in the same locality is most relevant evidence for purpose of assessing the market value. In the present case definitely by Ext.-5, it is established that the valuation of the land in the area had been assessed to be near about Rs. 9,000/ per katha even prior to the notification for acquisition of the land of the appellants. In absence of any explanation assigned by the respondent-State of Bihar to disbelieve its own assessment of the market value of the acquired land in the case of Satnarayan Khemka, there is no difficulty in accepting the contention on behalf of the appellants that the market value of his land should have been assessed accordingly. 16. In absence of any explanation assigned by the respondent-State of Bihar to disbelieve its own assessment of the market value of the acquired land in the case of Satnarayan Khemka, there is no difficulty in accepting the contention on behalf of the appellants that the market value of his land should have been assessed accordingly. 16. The appellants have also adduced sale deeds to substantiate their claim of prevailing market rate of the land near to date of notification. Ext.-1 is a sale deed executed on 28.6.1978 for 3 kat has of land for Rs. 30,000/-. Ext.-1/A is a sale deed executed on 6.6.1980 for 3% decimal for Rs. 18,000/-. Similarly, Ext.-1/B is a sale deed executed on 7.1.1981 for 5 decimals of land for Rs. 23,000/- and Ext.-1/C is a sale deed dated 8.1.1981 by which 1 katha of land had been sold for Rs. 8,000/-. All these sale deeds have been executed within the proximity of the date of notification and declaration for acquisition of the land of the appellants. Although, the appellants have not adduced any direct evidence to establish that the lands sold by the sale deeds were in the vicinity of their acquired land but in any view of the matter as all the four sale deeds relate to the land in the area, they are at least pointers to the fact that the valuation of the acquired land of the appellants had been assessed ridiculously low. 17. From the documentary evidence adduced on behalf of the respondent which are the Khatiyan (Ext.-A.), rate report (Ext.-B) and sale statement (Ext.-C), it becomes apparent that no definite and uniform standard had been adopted for fixing the rate of the acquired land. The learned counsel on behalf of the respondent has also failed to co-relate the rate assessed over the acquired land of the appellants with the entries in Ext.-C. 18. The learned court below has meticulously scrutinized the evidence of the parties and has rightly come to the conclusion that the valuation of the acquired land of the appellants have been arbitrarily fixed without any reasonable standard. However, the learned court below has determined the valuation of the acquired land at Rs. 22,000/- per bigha. 19. The learned court below has meticulously scrutinized the evidence of the parties and has rightly come to the conclusion that the valuation of the acquired land of the appellants have been arbitrarily fixed without any reasonable standard. However, the learned court below has determined the valuation of the acquired land at Rs. 22,000/- per bigha. 19. From the rate of land as disclosed by Ext.-5 as well as Ext.-1 series, it is clear that in the locality where the acquired land is situated the rate of land was much higher than the rate fixed by the respondent. Although, Ext.-1 series (sale deeds) relate to smaller areas of land but certainly Ext.-5 (award in the case of Satnarayan Khemka) relates to the acquisition of land for the same scheme for which the land of the appellants have been acquired. From these evidence, it is clear that the rate of acquired land at the time of notification was Rs. 8,000/- to 10,000/- per katha. 20. The appellants, in their petition for reference, have described the nature of the land as orchard and have claimed the value of the land @ Rs. 8,000/- per katha. They have further stated that a number of trees had been standing there at the time of notification. They have also made the claim that they had been earning over Rs. 25,000/- per year from the fruits, bearing Rs. 1,00,000/- as timber and fuel value of the fruit and non-fruit bearing trees. 21. From Ext.-4, which is the report of the Pleader Commissioner, appointed by the reference court for local inspection, it appears that the acquired land had total 219 trees out of which some were fruit bearing and others were valuable for timber and fuel purpose. This report has not been denied by the respondent-State of Bihar. The learned counsel has laid emphasis that the compensation should also be granted separately for the trees and the income out of the same. The principle for assessing valuation of land having trees have been enunciated by the Hon'ble Supreme Court in the case of Airports Authority of India vs. Satyagopal Roy, (2002)3 SCC 527 as follows:- "It is settled law that in evaluating the market value of the acquired property, land and building or the land with fruit-bearing trees standing thereon, value of both is to be determined not as separate units but as one unit. Therefore, it would be open to the Land Acquisition Officer or the court, either to assess the land with all its advantages and fix the market value thereof on the basis of comparable sale instances. In case where comparable sale instances are not available and where there is reliable and acceptable evidence on record of the annual income, market value could be assessed and determined on the basis of net annual income multiplied by appropriate multiplier for its capitalization." 22. As abovementioned, the appellants have described their land as orchard and have claimed the valuation at Rs. 8,000/- per katha. From the sale instances, produced by the appellants, it is clear that although they all relate to the land sold for building purposes but has been relied upon as exemplars by the appellants. The reference court has also proceeded to determine the valuation of the acquired land keeping in view its potential value as orchard land as well. Therefore, there is no substance in the submission on behalf of the appellants for separate compensation for the land, and also for standing trees thereon and the income derived from the trees. Moreover, there is also absence of substantial evidence to support the appellants claim of yearly income from the fruits of the trees, and the solitary documentary evidence which is a receipt (Ext.-2) relating to sell of mango fruits is not sufficient to sustain the said claim. Thus on the basis of the evidence on record, the value of the acquired land of the appellants is assessed to be Rs. 8,000/- per katha. After the valuation of the land, the trees standing thereupon are to be valued as fire-wood only and the assessment of Rs. 10,000/-, as done by the reference court, for trees is accepted to be reasonable. 23. In the result, this appeal is allowed and the impugned judgment and award are modified to the extent that the appellants are held entitled to compensation of his acquired land @ Rs. 8,000/- per katha and are also held entitled to solarium, interest and other statutory benefits under the Act. There shall be no order as to costs.