IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD (Special Original Jurisdiction) TUESDAY, THE 27TH DAY OF APRIL, TWO THOUSAND AND TEN PRESENT HON'BLE SRI JUSTICE A.GOPAL REDDY AND HON'BLE SRI JUSTICE G.V.SEETHAPATHY APPEAL SUIT No.2204 OF 2000 Between: The Land Acquisition Officer, Sub-collector, Rajahmundry … Appellant And Boyidi Venkataraju and six others … Respondents This Court made the following: HON'BLE SRI JUSTICE A.GOPAL REDDY AND HON'BLE SRI JUSTICE G.V.SEETHAPATHY APPEAL SUIT No.2204 OF 2000 JUDGMENT: - (Per Hon’ble Sri Justice A.Gopal Reddy) This appeal under Section 54 of the Land Acquisition Act, 1894 (for brevity, “the Act”), by the Land Acquisition Officer-cum-Sub- Collector, Rajahmundry is filed questioning the enhancement of the compensation made by the Senior Civil Judge, Rajahmundry in O.P.No.6 of 1986, dated 10.10.1996. An extent of Ac.5-85 cents of land belonged to the respondent/1st claimant in survey No.830/1 of Srirampuram, hamlet of Palacherla village, Rajahmundry taluk was acquired for providing house sites to the weaker sections. Draft notification under Section 4(1) of the Act was issued on 15.12.1981. The Land Acquisition Officer by his award No.21/82, dated 27.03.1982 fixed the market value of the acquired land at Rs.6,000/- per acre with 30% Solatium. Dissatisfied with the fixation of the market value, claimants sought for reference to the civil Court and on reference being made the claimants appeared and filed necessary claim statement seeking enhancement of the compensation. To prove the inadequacy of the compensation, P.Ws.1 to 4 were examined on behalf of the claimants and Ex.A1-sale deed was marked. On behalf of the Land Acquisition Officer, R.W.1 was examined and Ex.B1-copy of Award, Ex.B2-copy of Plan and Ex.B3- copy of adangal, were marked. P.W.2 was examined to prove the document under Ex.A1, where an extent of Ac.3-10 guntas of land was sold on 28.07.1977, nearly 4½ years prior to the issuance of the notification at Rs.10,000/- per acre. The evidence adduced by the claimants discloses that there are about 250 Cashewnut trees, 1500 Custard Apple trees, 100 Orange trees, 150 Lemon trees, 50 Battai trees, which are fruit bearing trees and apart from 200 Palmyrah trees and they used to get net annual income at Rs.12,000/- per year and claiming compensation at Rs.15,000/- per acre on the capitalisation principle. R.W.1, who was examined on behalf of the Land Acquisition Officer, admitted that the income of the acquired land was Rs.3,000/- per acre as on the date of issuance of the notification. Since the sale deed was available, the reference Court has not considered to fix the market value on the capitalisation method. When Ac.3-10 guntas of land was sold 4 ½ years prior to issuance of the notification at Rs.10,000/- per acre, the reference Court after giving due escalation fixed the market value of the acquired land at Rs.15,000/- per acre. Since the award was passed prior to the introduction of the Land Acquisition Act amendment bill i.e., on 27.03.1982, the claimants are not entitled to additional market value under Section 23(1-A) of the Act at 12% per annum. But, however, they are entitled to 30% Solatium on the enhanced compensation, as the reference is pending on 30.04.1982 till the date of introduction of Act 68 of 1984. Keeping in view of the same, the reference Court rightly fixed the market value of the acquired land at Rs.15,000/- per acre, apart from awarding 30% Solatium and also awarded interest at 9% per annum on the enhanced compensation including 30% Solatium for one year and thereafter at 15% per annum till the amount is deposited. We do not see any merit in the appeal and the same is accordingly dismissed. No costs. __________________ A.GOPAL REDDY, J ____________________ G.V.SEETHAPATHY, J 27th April 2010 lmv