Land Acquisition Vs. Ganaram Dhoba  INSC 779 (4 December 1995)
K.Ramaswamy, K.Paripoornan, K.S.(J)
1996 SCC (1) 631 JT 1995 (9) 613 1995 SCALE (7)365
O R D
appeal by special leave arises from the judgment dated 16th August, 1991 of the Division Bench of the Orissa
High Court made in F.A. No.135/91. The High Court accepted the oral evidence
that the yield from the land was 22 bags per acre. It also accepted the
deduction of 50% of the value of the crop for cultivation expenses. It also
accepted the prevailing price as on the relevant dated as Rs.130/- per bag;
27.20 acres for single crop wet lands and 4 acres for double crop wet lands.
Therefore, it accepted the findings of the reference Court and modified the
same to the extent of single crop wet lands. Thus this appeal by special leave.
under Section 4  of the Land Acquisition Act, 1894 [for short, "the
Act"] was published on 19th August, 1983.
The award under Section 11 was made on April 25, 1987. The reference Court awarded
compensation on 8th
February, 1991. On
appeal, by judgment and decree dated 16th August, 1991, the High Court confirmed the award
with the above modification.
contended for the State that statistics for the year 1957 show that the yield
in that area was about 10 bags and that, therefore, the High Court was not
right in confirming the compensation at 22 bags per acre. It is seen that from
the year 1957 till 1987 considerable improvement must obviously have been made.
Under those circumstances, no attempt has been made by the State to produce the
relevant statistics of the produce as on the date of the notification, viz., 19th August, 1983. Therefore, we cannot accept the
contention of the State that the produce from the lands would be as per the
statistics prevailing in 1957.
accepting the valuation given by the reference Court as well as the High Court,
it is settled law that multiplier of 10 would be the proper multiplier to
determine the compensation when the land is assessed on the basis of the yield
of agricultural lands. The reference Court applied multiplier of 16 and the
High Court upheld it. This obviously is illegal and application of wrong
principle of law.
annual yield at Rs.1430/- should be multiplied by 10 and the market value
should be determined at Rs.14,300/- per acre. The compensation should
accordingly be determined.
claimants would also be entitled to enhanced solatium and interest and also 12%
additional amount per annum on enhanced compensation under the Act as amended
by Act 68 of 1984.
appeal is allowed accordingly. No costs.