THE HON’BLE SRI JUSTICE V.ESWARAIAH AND THE HON’BLE SRI JUSTICE NOUSHAD ALI Appeal Suit No.2912 of 1999 Date : 22-06-2010 Between : Kothinoodi Sreemannarayana and two others .. Appellants And The Special Deputy Collector (LA), VUDA, Visakhapatnam .. Respondents THE HON’BLE SRI JUSTICE V.ESWARAIAH AND THE HON’BLE SRI JUSTICE NOUSHAD ALI Appeal Suit No.2912 of 1999 JUDGMENT: (Per the Hon’ble Sri Justice V.Eswaraiah) - - The appellants are the claimants. All the three appellants are the brothers. They have purchased the land, which was acquired vide Ex.A1 Award No.4/86, dated 10-03-1986, covered by the sale deeds Exs.B1 to B3, dated 21-05-1977 admeasuring 412 square yards. The land was acquired pursuant to 4 (1) Notification, dated 23-02-1984. The Land Acquisition Officer awarded compensation at the rate of Rs.20,000/- per acre, which works out to Rs.5/- per square yard. The claimants, receiving the compensation under protest, sought for reference under Section 18 of the Land Acquisition Act contending that the land acquired in Sy.No.361/5P and 6P of Vizianagaram is in Maharanipeta, Block No.13 of Vizianagaram Town and the said land was acquired for the purpose of formation of 100 feet ring road and the market value of the land is Rs.500/- per square yard. On reference, the Civil Court in L.O.P.No.120 of 1987 enhanced the compensation from Rs.20,000/- per acre to Rs.20/- per square yard. Aggrieved by the order in L.O.P.No.120 of 1987, dated 26-07-1999 on the file of the Senior Civil Judge, Vizianagaram, the claimants filed this appeal contending that as against the claim of Rs.500/- per square yard, the award of compensation at the rate of Rs.20/- per square yard by the Court below is erroneous and contrary to evidence, as the site acquired is situated few yards away from the highway leading to Nellimarla and is in the immediate vicinity of the Medical Institution. Admittedly, the said land is purchased in 1977, the value of which has been increased by 20 fold and the value of which is Rs.500/- per square yard as on the date of 4 (1) notification. The said land was purchased for the purpose of construction of the house alone in 1977 and the sale transactions relied on by the Land Acquisition Officer reflects that the market value of the land is much more than what has been awarded by the Court below. Heard both the counsel. The lands were acquired by the VUDA and the Deputy Tahsildar of VUDA was examined as P.W.1 and stated that the lands to an extent of 412 square yards were acquired for formation of 100 feet ring road from the claimants and the acquired lands are agricultural lands and therefore the Government awarded compensation at the rate of Rs.20,000/- per acre, which works out to Rs.5/- per square yard. The claimants have not produced any documentary evidence as against very claim of Rs.500/- per square yard as on the date of 4 (1) notification, dated 23-02-1984. It is admitted by the Special Collector that the lands were acquired in square yard wise. It is stated that if the land is acquired for construction of the house, the value will be given as square yard wise, but as the land was acquired for the purpose of ring road, the compensation was given as acre wise. It was the case of the claimants in the cross-examination that the acquired lands are at the distance of 10 yards from the Gosha Hospital and highway road and admittedly there is a VUDA lay out at a distance of half kilometer to the acquired land and the national highway is nearer to the acquired land and the lands were sold in the VUDA lay out in 1987 at the rate of Rs.200/- per square yard. The third claimant is examined as R.W.1 and stated that the land acquired by the VUDA is surrounded by the residential houses and there are no agricultural lands adjacent to the acquired land and it is situated near the three lanterns at Vizianagaram and it is developed area and located in the heart of the Vizianagaram City. Gosha Hospital is situated at a distance of 90 square yards to the acquired land and it is situated by the side of the highway road. There is water and electricity supply to the place where acquired land is situated and the prevailing value of the land is Rs.500/- in the year 1986. The VUDA residential colony is at a distance of 1 kilometer to the acquired land. Therefore, they are entitled for enhancing of compensation. R.W.2, who is the second claimant, stated that all the claimants are the own brothers and they have purchased the acquired land of 412 square yards in Exs.B1 to B3 in 1977 at the rate of Rs.15/- per square yard, but the copies of the sale deeds reflects that the value of the each square yard was valued at Rs.5/- only. In the cross-examination also it is stated by him that they have purchased the lands at the rate of Rs.15/- per square yard in 1977 and the same is in a developed location. Admittedly, the lands acquired are in Vizianagaram town and residential colonies are surrounded by the acquired land. Small extent of lands purchased by the claimants only for the purpose of constructing the houses. The three brothers have purchased small extents, total of which 1200 under Exs.B1 to B3 on 21-05-1977. No doubt, the market value that was reflected only Rs.5/- per square yard in 1977, but under Ex.B4 the valuation certificate issued by the Sub-Registrar shows that the value of each square yard is Rs.330/- as on 04-06-1996 in respect of the lands situated in 21st Ward. As Exs.B1 to B3 sale deeds are between the private individuals and it is common knowledge that the registration extract may not reflect the sale consideration and admittedly the registration value is Rs.5/- per square yard and therefore they have got them registered at the rate of Rs.5/- per square yard. However, even if the market value of the acquired land is taken at Rs.5/- per square yard in 1977 and keeping in view Ex.B4 market value in 1996, we are of the opinion that there is a steep increase of the market value of the house sites in the town of Vizianagaram at least at the rate of more than 50%. Therefore, having regard to the facts and circumstances we are of the opinion that the market value as on the date of 4 (1) notification is Rs.30/- per square yard as there was no sale transactions in the vicinity even according to the Land Acquisition Officer. Accordingly, we enhance the compensation from Rs.20/- to Rs.30/- per square yard. The Appeal is accordingly allowed in part enhancing the compensation from Rs.20/- to Rs.30/- and the claimants are entitled all other benefits on the enhanced market value as ordered in the O.P. No costs. _________________ V.ESWARAIAH, J. _________________ NOUSHAD ALI, J. 22nd June, 2010. skmr