HON'BLE SRI JUSTICE R. SUBHASH REDDY WRIT PETITION No.7270 of 2003 Date : 07.08.2009 Between : The A.P. State Ware Housing Corporation, Ware House Sadan, Hyderabad, rep. by its Managing Director. …..Petitioner And The Principal Secretary to Government, Municipal Administration & Urban Development Department, Hyderabad & another. …..Respondents HON'BLE SRI JUSTICE R. SUBHASH REDDY WRIT PETITION No.7270 of 2003 ORDER : In this writ petition, the petitioner-Ware Housing Corporation, seeks directions by way of Mandamus, to direct the respondents to pay an amount of Rs.1,53,120/- along with interest, which is payable as compensation for the land, to an extent of 1392 square yards, which was handed over by the petitioner to the respondents, for the purpose of road widening at Guntakal town in Anantapur District. 2. It is the case of the petitioner that for implementation of master plan in Guntakal town, the property of the petitioner was acquired for the purpose of road widening i.e. widening of the M.P. road connecting the C.C. main road. When the 2nd respondent-Municipal Commissioner has addressed to the petitioner for handing over the land, the Board of the petitioner-Corporation has agreed to hand over the land, subject to payment of compensation as fixed by the revenue authorities. It is submitted that the Revenue Divisional Officer (RDO), Anantapur, has fixed the compensation at Rs.1,53,120/- for the entire land, besides solatium and interest. 3. It is the grievance of the petitioner that though it had parted with the land as early as on 3rd of August 1989, but however, no compensation is paid so far, as agreed in the mutual consensus. 4. Though the writ petition is filed in 2003, no counter affidavit is filed on behalf of respondents. But on instructions, it is submitted by the learned Standing Counsel Sri S.I. Newton, appearing for the 2nd respondent-Municipality, that though they are making use of the land belonging to the petitioner for widening the road, but in view of the Memorandum, dated 03.09.1986, issued by the Government, no compensation need be paid to the petitioner. 5. In the Memorandum No.2251/1/(1) 86-2, M.A., dated 03.09.1986, the Government has issued directions to the District Collectors that whenever the Government properties/structures are affected in the road widening programs of the Municipal Corporation, undertaken by the Roads and Buildings Department, such Government properties/structures are to be handed over, without asking for compensation from the Municipalities and the Department concerned. A reading of the said Memo shows that the same will apply only to the Government properties, and it will not apply where the properties are acquired from the Companies and Corporations and the directions issued are confined only to the structures/properties belonging to the Government. So far as the petitioner is concerned, it is only a Company, in which, shares are held by the State as well as the Central Government. In that view of the matter, having requested the petitioner-Corporation to hand over its property for road widening program for implementation of the master plan of Guntakal town, and having taken possession on 3rd of August 1989, there is no reason or justification for not compensating the petitioner at the rate of Rs.110/- per square yard, as fixed by the RDO. Though it is submitted by the learned Standing Counsel Sri S.I.Newton, that out of 1392 square yards, only 950 square yards is used for road widening, but there is no material placed before this Court to show that the remaining extent of land is returned to the petitioner-Corporation. As much as it is not in dispute that 1392 square yards of land was handed over to the respondents by the petitioner-Corporation, the respondents are liable to pay compensation to the entire extent of land, with interest. 6. For the aforesaid reasons, the writ petition is allowed, and there shall be a direction to the respondents to pay compensation to the petitioner-Corporation for the land to an extent of 1392 square yards, which was taken possession on 03.08.1989 for road widening, at the rate of Rs.110/- per square yard, along with interest at the rate of 9 % per annum. The compensation shall be paid within a period of three months from today. 7. Subject to above directions, the writ petition is allowed. No order as to costs. ______________________ R. SUBHASH REDDY, J 7th August 2009 ajr