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Gujarat High Court · body

2018 DIGILAW 148 (GUJ)

DY. CHIEF ENGINEER (CONSTRUCTION) v. MINAMA BHURABHAI MANABHAI

2018-01-17

A.Y.KOGJE, AKIL KURESHI

body2018
JUDGMENT : AKIL KURESHI, J. 1. These Civil Applications are filed by the appellants-Railway Administration for stay of the execution and implementation of the awards passed by the Reference Court in land acquisition proceedings. The record would suggest that the land of the claimants situated in Dahod City were acquired for railway lines, for which notification under Section 4(1) of the Land Acquisition Act, 1896, was published on 18.05.2009. The Land Acquisition Officer had awarded compensation to the land owners at the rate of Rs.21.61/-per sq. mtr. The claimants not satisfied with the awards passed by the land acquisition officer sought references. The Reference Court awarded additional compensation at the rate of Rs.479/-per sq. mtr. This awards, the Railway Administration has challenged in the first appeals. As per the order dated 08.11.2017, we are informed that such amount of compensation awarded by the Reference Court along with proportionate costs and statutory benefits has been deposited by the applicant before this Court. Such amount shall be transmitted to the Reference Court for investment and disbursement. 2. Unless special facts present, this Court over a period of time has followed a thumb rule of releasing 50% of the compensation awarded by the Reference Court pending appeals by the acquiring bodies and investing the remaining 50% in cumulative fixed deposits. Learned counsel for the railways however, vehemently contended that in the present case not more than 25% of the amount be released in favour of the claimants. If any further amount is to be released, the same may be under security. Her main contention was that in the present case, the Reference Court has granted a sizable rise in the compensation as compared to the amount awarded by the Land Acquisition Officer. She pointed out that for giving such increase the Reference Court has relied on an award of acquisition of nearly ten years back and then granted increase at the rate of 100%. 3. We are not inclined to deviate from the normal trend of releasing 50% of the compensation unconditionally. This is for the following reasons: (I) When 50% of the amount is ordered to be invested in cumulative fixed deposits the same would more than sufficiently protect the interest of the government revenue. (II) The award of the Reference Court being in the nature of money decree, the Court would be slow in granting unconditional stay. This is for the following reasons: (I) When 50% of the amount is ordered to be invested in cumulative fixed deposits the same would more than sufficiently protect the interest of the government revenue. (II) The award of the Reference Court being in the nature of money decree, the Court would be slow in granting unconditional stay. (III) The lands are situated in Dahod City and would therefore not be of insignificant value. (IV) The claimants have lost their lands several years back. Valuation of the lands for the purpose of compensation is pegged back as on 18.05.2009. If a land loser is not paid compensation for years together, any reimbursement later would be inadequate to allow him to purchase lands of similar area in the same vicinity with similar benefits. (V) This Court has time and again held that it is permissible to form the basis for computation of compensation judgments of earlier land acquisition. 10% annual increase over passage of time looking to the rising prices of real estate is also a normal thumb rule. 4. We find nothing extraordinary or unusual in the present set of cases to grant the request of the counsel for the railways. Under the circumstances, it is provided that out of the amount deposited by the applicant, the Reference Court shall release 50% in favour of the claimants through account payee cheques, after due verification. Remaining amount may be invested in any nationalised banks in cumulative fixed deposits, initially for a period of five years to be renewed from time to time till final disposal of first appeals. The original of such fixed deposits be retained by the Reference Court. The claimants shall not be entitled to raise any loan or create a charge on such investments. 5. Counsel for the claimants further submitted that interest is calculated only upto 30.11.2017 and not upto the date of deposit. If there is any shortfall, the applicant shall deposit remaining amount before the Reference Court latest by 15.03.2018. Such amount shall also follow the directions for release and investment of 50% each. 6. With these directions interim relief granted earlier is confirmed. Rule is made absolute. Civil Applications stand disposed of accordingly.