THE HON’BLE SRI JUSTICE V. ESWARAIAH And THE HON’BLE SRI JUSTICE NOUSHAD ALI A.S.Nos.2811 and 2818 of 1999 COMMON JUDGMENT: (Per Hon’ble Sri Justice V. Eswaraiah) These two appeals, under Section 54 of the Land Acquisition Act, 1894 (for short ‘the Act’) by the Land Acquisition Officer, (Mandal Revenue Officer), Chintakani Mandal, are preferred against the common order dated 22.09.1998 passed in O.P.Nos.129 and 132 of 1988 on the file of the Senior Civil Judge, Khammam. An extent of Ac.2.29 guntas of land situated in S.No.227/3 and Ac.2.03 guntas of land situated in S.No.226/5 of Ramakrishnapuram village, hamlet of Basavapuram village of Chintakani Mandal, Khammam District, belonging to the claimants in O.P.Nos.129 and 132 of 1988 respectively, were acquired by the Government for the purpose of providing house sites to the weaker sections of society, pursuant to the draft notification issued under Section 4(1) of the Act dated 29.08.1981 and possession was taken on 01.05.1984. The Land Acquisition Officer, after conducting award enquiry, passed Award No.1/1986 dated 12.03.1986 fixing the compensation for the land acquired in S.No.227/3 in O.P.No.129 of 1988 @ Rs.4,700/- per acre and for the land acquired in S.Nos.226/5 in O.P.No.132 of 1988 @ Rs.5000/- per acre. Dissatisfied with the compensation so fixed, the claimants sought to refer the matter under Section 18 of the Act to the civil Court. On reference being made, the claimants appeared before the civil Court and filed their claim statements claiming higher compensation as per square yard basis contending that the acquired lands are having water facility; that they are abutting to the village, which is developed with electricity supply, bus passage and schools; that they are very near to Chintakani village which is a Mandal Headquarter; and that they are suitable for residential purposes. To substantiate their claim, on behalf of the claimants, the claimant in O.P.No.132 of 1988 was examined as PW.1 and the vendee of the land under Ex.A.1-sale deed was examined as PW.2 and Ex.A.1-sale deed dated 21.01.1985 was marked. The Land Acquisition Officer was examined as RW.1 and Ex.B.1-Award copy was marked. The reference Court observed that under Ex.A.1 one Usikala Venkaiah sold an extent of 363 sq. yards of land in S.No.232 of Basavapuram village in favour of Setty Srinivas for a consideration of Rs.8/- per sq. yard. As the said land is situated in the neighbouring village even the reference Court has declined to rely on the oral evidence of PW.1. As per the evidence available on record, it is evident that the acquired lands are nearby the village. The distance between the village and the Mandal Headquarters is about 3 kms., and Khammam Town is 6 kms. Further, the lands are acquired as they are useful for providing house sites. Therefore, keeping in view of the potentiality of the land, the reference Court enhanced the market value and fixed the compensation for both the categories of land uniformly @ Rs.7,500/- per acre, from Rs.4,700/- and Rs.5000/- per acre awarded by the Land Acquisition Officer. We are of the opinion that the compensation fixed by the reference Court appears to be the true market value prevailing as on the date of issuance of notification in the locality. Therefore, we are not inclined to interfere with the impugned order. Accordingly, both the appeals are dismissed. There shall be no order as to costs. _________________ V. ESWARAIAH, J. ______________ NOUSHAD ALI, J. 8th September, 2010 Js.