HONOURABLE SRI JUSTICE V.ESWARAIAH & HONOURABLE SRI JUSTICE NOUSHAD ALI APPEAL SUIT No.152 of 2000 Dated 27-9-2010. Between: The Land Acquisition Officer (Special Acquisition Officer), IPT & RLYs., Khammam. …Appellant. And: Gopisetti Anantharamaiah and another. ...Respondents. HONOURABLE SRI JUSTICE V.ESWARAIAH & HONOURABLE SRI JUSTICE NOUSHAD ALI APPEAL SUIT No.152 of 2000 JUDGMENT: (Per the Honourable Sri Justice V.Eswaraiah) This appeal is filed by the appellant against the order dated 27-8-1991 passed in O.P.No.174 of 1987 on the file of the learned Subordinate Judge at Kothagudem. Appellant herein is the Land Acquisition Officer and the respondents herein are the claimants. The facts of the case in brief are as follows: The lands of the claimants of an extent of Ac.0.12 Guntas in S.Nos.464/4 and 464/6 situated at Gavaravaram village, Penuballi Revenue Mandal were acquired by the Land Acquisition Officer, I.P.T. & Railways, Khammam for formation of road from Kothagudem to Lankapalli village. Pursuant to the draft notification dated 31-3-1977 issued under Section 4 (1) of the Land Acquisition Act, the Land Acquisition Officer passed the award No.29/85-86 on 29-10-1985 fixing the market value of the acquired lands at the rate of Rs.1,500/- per acre. On reference under Section 18 of the Act, the Reference Court enhanced the market value of the said lands to a tune of Rs.3,600/- per acre and also granted 30% solatium on the enhanced market value. Apart from that, the Reference Court granted interest at the rate of 9% p.a., from the date of taking possession i.e., 1.7.1971 to the date of expiry of one year i.e., 30-6-1972 and thereafter, at the rate of 15% p.a. to the date of payment on the amount enhanced. Aggrieved by the same, the present appeal has been preferred by the Land Acquisition Officer. Heard the learned counsel. Learned Government Pleader has fairly submitted that he is not seriously questioning the nominal enhancement. It is further submitted that the claimants are not entitled to the interest prior to the issuance of notification under Section 4 (1) of the Land Acquisition Act and hence, he seeks modification in this regard. Perused the material available on record. Admittedly, the notification under Section 4 (1) of the Act was published on 31-3-1977 and the Reference Court granted interest at 9% p.a., from the date of taking possession i.e., 1.7.1971 to the date of expiry of one year i.e., 30.6.1972 and thereafter to the date of payment at the rate of Rs.15% p.a., on the amount enhanced. Before going into the merits of the case, it is to be noted that there is no dispute as to the quantum of compensation awarded by the reference Court. Now, the point that arises for consideration is as to whether the claimants are entitled to the interest from the date of possession or from the date of notification? It is to be noted that the acquisition of the lands in question took place for the purpose of public at large by way of laying road in question. In this regard, the lands of the claimants were acquired in the year 1971 itself and possession was also taken in view of the necessity for the purpose of public interest and subsequently, section 4 (1) notification of the Land Acquisition Act was issued on 31-3-1977. In this regard, it is not out of place to mention that while enhancing the compensation to Rs.3,600/-, the reference Court has also taken into consideration the estimated loss of income from the date of possession basing on his arithmetical estimations. It is needless to observe that the learned Government Pleader has also not stressed for the enhancement of compensation. In these peculiar circumstances of the case, we feel that it is just proper to grant interest on the compensation from the date of notification under section 4 (1) of the Act i.e., 31.3.1977, but not from the date of taking possession. Accordingly, the award passed by the Reference Court is modified only to the extent of interest holding that the claimants are entitled to the interest from the date of notification alone. Subject to the above modification, the appeal is partly allowed. No costs. It is needless to observe that the other findings of the Reference Court needs no interference. _________________________ JUSTICE V.ESWARAIAH ________________________ JUSTICE NOUSHAD ALI Dated 27-9-2010. Dvs HONOURABLE SRI JUSTICE V.ESWARAIAH & HONOURABLE SRI JUSTICE NOUSHAD ALI APPEAL SUIT No.152 of 2000 (Judgment delivered by the Honourable Sri Justice V.Eswaraiah) Dated 27-9-2010.