THE HON’BLE SRI JUSTICE N.V. RAMANA AND THE HON’BLE SRI JUSTICE K.S. APPA RAO A.S. No. 2064 of 2002 Oral Judgment: This appeal is filed by the State against the judgment and decree dated 24.07.2001, passed by the Senior Civil Judge, Hindupur, Anantapur, in O.P. No. 11 of 1998, enhancing the compensation from Rs. 21,000/- per acre to Rs. 47,000/- per acre, contending that the same is on the higher side and needs reduction. The land of the respondents-claimants in an extent of Acs. 5.00 situated in Morubagal village, Gudibanda Mandal, was acquired by the Government by issuing notification under Section 4(1) of the Land Acquisition Act, 1894, for the purpose of providing house sites to the weaker sections of the society. The Land Acquisition Officer, after conducting award enquiry, passed award dated 28.01.1998, fixing the market value of the acquired land at Rs.21,000/- per acre. On reference, the Senior Civil Judge, Hindupur, by reason of the order under appeal, enhanced the compensation from Rs.21,000/- per acre to Rs.47,000 per acre. Questioning the said order, as noted above, the State filed the present appeal. The learned Government Pleader for Appeals appearing on behalf of the appellant-State submitted that the Court below committed a grave error in enhancing the compensation for the acquired land from Rs.21,000/- per acre to Rs.47,000/- per acre, relying on Exs. R1 and R2-extracts of registered sale deeds, which relate to small extents of land, and prayed that the compensation fixed by the Court below be reduced. On the other hand, the learned counsel for the respondents- claimants supported the judgment and decree under appeal and submitted that the compensation enhanced by the Court below is just and reasonable and needs no reduction, and prayed that the appeal be dismissed. Heard the learned Government Pleader for Appeals for the appellant-State and the learned counsel for the respondents-claimants and perused the judgment and decree under appeal. There is no doubt that Exs. R1 and R2-sale deeds dated 10.10.1997 and 28.05.1994, relate to small extent of lands. The fact remains, the acquired land and the land covered by Exs. R1 and R2 are situated in the same village, but in different survey numbers. The potentiality of the acquired lands is same as that of the land covered by Exs. R1 and R2. Under Ex. R1, an extent of Ac.0.50 cents was sold at Rs. 35,000/- in the year 1997, while under Ex. R2, an extent of Ac. 0.17 cents was sold at Rs.30,000/-. In fact, the Land Acquisition Officer, in his evidence admitted about the fertility and potentiality of the land. He admitted that the acquired land is situated in a developing area and is suitable for house sites. That it is situated beside the road leading to Morubagal and there is a ZP High School near the acquired land. He further admitted that the value of the land in and around the acquired land is ranging between Rs.40,000/- to Rs.45,000/-. Though Exs. R1 and R2, relate to small extents of land, the fact remains, the acquired land also has the very same potentiality as that of the land covered by Exs. R1 and R2. That being so, the Court below felt it appropriate to rely on Ex. R1 whereunder an extent of Ac.0.50 cents was sold at Rs.35,000/- i.e. Rs. 70,000/- per acre, and as the land is located in a developed area and is potential for house sites, deducted one-third towards development charges and arrived the compensation at Rs.47,000/- per acre, and accordingly enhanced the compensation from Rs.21,000/- to Rs.47,000/- per acre. Considering the potentiality of the acquired land, we are of the considered opinion that the Court below has rightly basing on Ex. R1 fixed the market value of the land at Rs. 47,000/- per acre, which by no stretch of imagination can be said to be on the higher side warranting its reduction by this Court in appeal. For the foregoing reasons, we find no merit in the appeal, and the same is accordingly dismissed. No costs. ________________ N.V. RAMANA, J. _________________ K. S.APPA RAO, J. Dated: 21st June, 2011 KSR