2.wp.2419andother 1 IN THE HIGH COURT OF JUDICATURE AT BOMBAY CIVIL APPELLATE JURISDICTION [1] WRIT PETITION NO.2419 OF 2009 Ashok Appasaheb Sathe and others. ..Petitioners. Versus The Collector, Pune and others. ..Respondents. WITH [2] WRIT PETITION NO.2429 OF 2009 Hari Vithoba Sathe, Deceased, by L.Rs. - Housabai Hari Sathe and others. ..Petitioners. Versus The Collector, Pune and others. ..Respondents. WITH [3] WRIT PETITION NO.2430 OF 2009 Eknath Shivram Sathe. ..Petitioners. Versus The Collector, Pune and others. ..Respondents. WITH [4] WRIT PETITION NO.2431 OF 2009 Genu Shankar Sathe and Ors. ..Petitioners. Versus The Collector, Pune and others. ..Respondents. WITH 2.wp.2419andother 2 [5] WRIT PETITION NO.2432 OF 2009 Kashinath Waghu Sathe. ..Petitioners. Versus The Collector, Pune and others. ..Respondents. WITH [6] WRIT PETITION NO.2433 OF 2009 Kisan Waghu Sathe. ..Petitioners. Versus The Collector, Pune and others. ..Respondents. WITH [7] WRIT PETITION NO.2434 OF 2009 Ashok Eknath Parkhi and others. ..Petitioners. Versus The Collector, Pune and others. ..Respondents. WITH [8] WRIT PETITION NO.2435 OF 2009 Balu Baban Sathe and others. ..Petitioners. Versus The Collector, Pune and others. ..Respondents. .... Mr.A.A. Kumbhkoni, Sr.Counsel i/b. Mr.T.D. Deshmukh a/w. R.V. Kulkarni, Advocate for the petitioners. Mr.V.S. Gokhale, A.G.P., for respondent Nos.1, 3 to 5. Mr.P.P. Chavan, Advocate i/b. Lex Forum, for respondent No.2. .... 2.wp.2419andother 3 CORAM : D.K. DESHMUKH, AND K.K. TATED, JJ. DATED : 18TH NOVEMBER, 2009 P.C.:- 1. Rule in each Petition. Rule is made returnable forthwith. Heard finally by consent of parties. 2. The facts which are necessary for deciding these Petitions are as under : 3. That the lands of the petitioners were acquired under M.I.D.C. Act for the purpose of establishment of an industrial estate. So far as the compensation is concerned, an agreement was entered into between the MIDC (the acquiring body) and the petitioners, dated 11th March, 2008. By that agreement, the rate at which the compensation was to be paid was determined. It was also stated that the amount includes the amount of 30% solatium and other payments to be statutorily made including interest on the amount of compensation from the date on which possession was given by the petitioners till the date of the agreement. 4. After this agreement was entered into, according to the petitioners they received notice for receiving the amount to which they were entitled to as per the agreement on 10.6.2009 2.wp.2419andother 4 from the Land Acquisition Officer, and thereafter they received the amounts. The only grievance made by the petitioners in these Petitions is that so far as the period from 12.3.2008 (i.e. the day after the agreement about the compensation was entered into) till 10.6.2009 (i.e. till they were called upon to receive the amount of compensation) they are entitled to receive interest on the amount of compensation because they were deprived of enjoyment of that amount. 5. The learned Counsel appearing for the MIDC on the other hand submits that under the provisions of the Act, any agreement about compensation entered into with them is required to be approved by the Government. Accordingly as soon as the agreement was entered into, approval of the Government was sought. That approval was given by the Government on 22.4.2009 and immediately on 24.4.2009 the amount of compensation was deposited with the Land Acquisition Officer. He, therefore, submits that there is no justification for making the MIDC liable to pay interest on the amount of compensation. 6. The learned Counsel appearing for the petitioners also relied upon a circular dated 2nd August, 1997 issued by the State Government, wherein it is stated that if there is delay in paying 2.wp.2419andother 5 compensation amount then for the first year interest @ 9% should be awarded and for the subsequent years interest @ 15% should be awarded. 7. From the facts narrated above, it is clear that the Corporation itself accepts the requirement of payment of interest on the amount of compensation after the petitioners lost the possession of the land. Inasmuch as condition No.3 of the agreement says that the amount of interest payable on the amount of compensation from the date on which possession was given by the petitioners till the date of the agreement is included in the amount of compensation. The agreement does not provide for interest from the date of agreement till the date of actual payment of the amount of compensation. However, in our opinion, for the same reason for which the petitioners are entitled to interest on the amount of compensation from the date on which they lost possession till they entered into the agreement, the petitioners would be entitled to interest on the amount from the date of agreement till they were paid the amount. However, we also find force in the submission of the learned Counsel appearing for the M.I.D.C. that as they deposited the amount with the Land Acquisition Officer on 2.wp.2419andother 6 24.4.2009 in no case they can be made liable to pay interest on the amount after 24.4.2009. So far as the rate of interest is concerned, it is clear that the circular dated 2nd August, 1997 will not be applicable, firstly, because it contemplates payment of interest from the date on which possession is lost. But, we are not considering a case where interest is payable from the date on which possession is lost, but, we are considering a case where there is an agreement for payment of compensation and time is taken for making the actual payment of compensation. Secondly, in the agreement it is stated that the amount of compensation which is mentioned in the agreement includes the amount of solatium, other statutory payments as also interest on the amount of compensation from the date of possession till the date of the agreement. Therefore, it is not possible to segregate the amount of compensation, solatium and interest. 8. Therefore, taking overall view of the matter, in our opinion, as the petitioners who are agriculturists and who are deprived of the amount of compensation, would be entitled to interest on the amount of compensation actually paid to them for the period from 12.3.2008 (i.e. day after the agreement was entered into) till 23.4.2009 (i.e. day before the amount of compensation was 2.wp.2419andother 7 deposited by M.I.D.C. with the Land Acquisition Officer) @ 10% per annum. 9. The MIDC is directed to deposit the amount of interest within a period of six weeks from today with the Land Acquisition Officer. 10.With the above observations, all the eight Writ Petitions are disposed of accordingly. No order as to costs. (D.K.DESHMUKH,J) (K.K. TATED,J)