THE HON'BLE SRI JUSTICE A.GOPAL REDDY AND THE HON'BLE SRI JUSTICE G.V.SEETHAPATHY APPEAL SUIT No.224 of 2000 JUDGMENT: (Per the Hon’ble Sri Justice A. Gopal Reddy) This appeal under Section 54 of the Land Acquisition Act, 1894 (‘the Act’ for short) has been preferred by the Land Acquisition Officer (Revenue Divisional Officer), against the order dated 07.02.1991, passed by the Subordinate Judge, Suryapet, in O.P.No.4 of 1986, whereby the reference made under Section 18 of the Act was answered in favour of the respondents/claimants enhancing the market value of the acquired land to Rs.19,000/- as against Rs.6,000/- awarded by the Land Acquisition Officer. Land to an extent of Acs.3.12 guntas in survey No.27 situated at Nuthankal Mandal was acquired for the purpose of establishment of Electrical Sub-Station at Nuthankal, by issuing a draft notification under Section 4(1) of the Act, published in the Official Gazette on 04.09.1984. The Land Acquisition Officer, after due enquiry, passed an award on 27.11.1985 fixing the market value for the acquired land at Rs.6,000/- per acre. Dissatisfied with the same, the claimants sought for reference under Section 18 of the Act claiming compensation at Rs.5,000/- per gunta. To prove the market value before the reference Court, the claimants examined one among them as P.W.1 and Exs.A-1 and A-2 were marked apart from Exs.C-1 to C-3 – report of the Commissioner, sketch map and village map. On behalf of the Land Acquisition Officer, Ex.B-1 – award dated 27.11.1985 was marked. The reference Court awarded compensation as stated above based on Ex.A-1. Ex.A-1 is the order dated 17.08.1990 in O.P.No.48 of 1986, relating to the land acquired for house sites adjacent to Nuthankal Mandal. The reference Court, relying on the agreement of sale dated 11.11.1983 and registered sale deeds dated 30.04.1981 and 30.01.1984, observed that the claimants therein were entitled for market value at Rs.30,000/- per acre, however, restricted it to Rs.25,000/- per acre. There is one-month time gap between date of notification in the said case and the date of notification in the present case. The Land Acquisition Officer has not let in any evidence to discard the market value arrived at in Ex.A-1. Therefore, the claimants herein are also entitled to compensation at Rs.30,000/- per acre. However, having not filed any appeal in respect of the earlier O.P.No.48 of 1986, market value fixed therein i.e., at Rs.25,000/- per acre became final. In view of the same, we confirm the compensation awarded by the reference Court for the acquired land at Rs.25,000/- per acre. However, the learned Government Pleader for Appeals contended that the claimants are not entitled to interest from the date of possession, but from the date of notification. It is a settled principle of law. Therefore, the claimants are entitled to 12% additional market value from the date of notification i.e., 04.09.1984 till the date of award i.e., 27.11.1985. The claimants are also entitled to 30% solatium on enhanced compensation and interest at 9% p.a., from the date of issuance of notification i.e., 04.09.1984 for a period of one year and thereafter at 15% p.a., till the date of payment not only on enhanced compensation but also on additional market value of solatium. Accordingly, to the extent indicated above, the impugned order dated 07.02.1991 passed by the learned Subordinate Judge, Suryapet, in O.P.No.4 of 1986 is modified. With the above modification, the Appeal Suit is partly allowed. There shall be no order as to costs. __________________ A.GOPAL REDDY, J __________________ G.V. SEETHAPATHY, J 13th April, 2010 GHN