THE HON'BLE SRI JUSTICE A.GOPAL REDDY AND THE HON'BLE SRI JUSTICE G.V.SEETHAPATHY C.C.C.A.No.157 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 Special Deputy Collector- cum-Land Acquisition Officer against the order dated 28.04.2000, passed by the learned First Senior Civil Judge, City Civil Court, Hyderabad, in O.P.No.9 of 1990, whereby the reference made under Section 18 of the Act was answered in favour of the respondents/claimants enhancing the compensation for the acquired land to Rs.150/- per sq. yard as against Rs.90/- per sq. yard awarded by the Land Acquisition Officer. Land to an extent of 191.30 sq. yards in survey No.1 situated at Musheerabad Village was acquired by the Government for construction of storm water drain from Amber Tank to Nagamaiah Kunta, by issuing a draft notification under Section 4(1) of the Act and draft declaration under Section 6 of the Act, published in the Official Gazette dated 06.02.1982. The Land Acquisition Officer, after due enquiry, passed an award on 22.09.1986 fixing the market value for the acquired land at Rs.90/- per sq. yard. Aggrieved by the same, reference under Section 18 of the Act was sought claiming compensation at Rs.500/- per sq. yard. On reference being made, the reference Court, taking into consideration the evidence adduced by the claimants, especially Ex.A-1 – order passed in O.P.No.233 of 1985 dated 05.08.1994, enhanced the compensation to Rs.150/- per sq. yard. It is not in dispute that in regard to another land acquired for the same purpose, in respect of which reference was made in O.P.No.233 of 1985, the reference Court fixed the compensation at Rs.165/- per sq. yard and since no appeal was preferred against the same, the said fixation of compensation became final. However, P.W.1 himself admitted that the acquired land is surrounded by slum area and there are no big building structures around it. In the circumstances, the compensation awarded by the reference Court for the acquired land at Rs.150/- per sq. yard, in our considered opinion, is just and reasonable. However, the learned Government Pleader for Appeals submitted that the respondents/claimants are not entitled to interest from the date of possession though possession is taken prior to issuance of notification. It is a settled principle of law, the claimants are entitled to interest from the date of possession, if it is taken after issuance of 4(1) notification. In the present case, the possession was taken on 21.01.1979 and the notification was issued on 06.02.1982. Therefore, the claimants are entitled to 12% additional market value from the date of notification i.e., 06.02.1982 till the date of award i.e., 22.09.1986. The claimants are also entitled to 30% solatium on the enhanced compensation and interest at 9% p.a., from the date of issuance of notification i.e., 06.02.1982 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 12% additional market value and solatium. Accordingly, to the extent indicated above, the impugned order dated 28.04.2000, passed by the learned First Senior Civil Judge, City Civil Court, Hyderabad, in O.P.No.9 of 1990, is modified. With the above modification, the Appeal is partly allowed. There shall be no order as to costs. __________________ A.GOPAL REDDY, J __________________ G.V.SEETHAPATHY, J 13th April, 2010 GHN