HON’BLE SRI JUSTICE A. GOPAL REDDY AND HON’BLE SRI JUSTICE RAJA ELANGO A.S.No.1085 of 2001 Dated: 02-06-2010 Between: The Land Acquisition Officer (Revenue Divisional Officer), Kamareddy. Appellant AND B.Raja Reddy. Respondent. This Court made the following: HON’BLE SRI JUSTICE A. GOPAL REDDY AND HON’BLE SRI JUSTICE RAJA ELANGO A.S.No.1085 of 2001 JUDGMENT: (Per Hon’ble Sri Justice A.Gopal Reddy) This appeal by the Land Acquisition Officer under Section 54 of the Land Acquisition Act, 1894 (for short ‘the Act’) is directed against the orders of the Additional District Judge, Nizamabad, dated 31.12.1998 made in O.P.No.491 of 1992. The Electricity Department took possession of Ac.0.20 guntas of land belonged to the claimant-appellant on 13.8.1987 and sent requisition for acquiring the same, which has been approved by the Government on 5.6.1991 and that the notification under Section 4(1) of the Act was published in A.P. Gazette on 24.6.1991. Before the land Acquisition Officer, the claimant-respondent herein claimed market value of the acquired land at Rs.80/- per square yard. The Land Acquisition Officer after conducting enquiry, passed an award on 25.7.1992 fixing the market value of the acquired land at Rs.7,500/- per acre. The claimant having not satisfied with the fixation of the market value, sought for reference to the Civil Court for due determination of the market value. On reference being made, the claimant appeared and filed claim statement before the reference Court claiming compensation at Rs.100/- to Rs.125/- per square yard. To prove the market value, the claimant himself examined as R.W.1 and got examined one more witness as R.W.2 and marked Exs.B.1 and B.2 sale deeds, both dated 3.8.1987. On behalf of the referring Officer, no oral evidence was adduced but the copy of the award was marked as Ex.A.1. On consideration of the evidence available on record, the reference Court fixed the market value of the acquired land at Rs.10/- per square yard. Aggrieved by the same, the present appeal is filed by the Land Acquisition Officer. According to the claimant-R.W.1, Nagireddypet village is by the side of the Highway leading to Medak-Bodhan and that it is a Mandal headquarter. Post Office, Bank, High School, Rice Mills are located. He deposed that the sale deeds filed by him before the Land Acquisition Officer were not considered solely on the ground that they are of the year 1987 i.e. prior to three years preceding to the notification under Section 4(1) of the Act. Under Ex.B.1 sale deed, dated 3.8.1987 he sold 400 sq.yd. of land to one Pothula Kistaiah for a consideration of Rs.9,600/- which comes to Rs.24/- per sq.yd. Similarly, R.W.2 deposed that he is resident of Nagareddipet village and that in the year 1987 he sold 300 yards of land to one Sattelli Durgaiah for consideration of Rs.18,000/- which works out to Rs.60/- per sq. yd., but his vendee obtained it for lesser consideration in order to save stamp duty and registration charges. Both the sale transactions covered by Ex.B.1 and B.2 pertain four years prior to the issuance of notification but they cannot be excluded from consideration on the ground that they were prior to four years preceding to the issuance of notification. Further the Land Acquisition Officer has neither adduced the evidence to discard the said sale transactions nor proved that the said sale transactions were brought into existence to claim higher compensation. Therefore, even the transaction covered by Ex.B.2, sold by R.W.2, an independent witness reflects that the land was sold at Rs.22/- per sq. yd. The reference Court basing on Exs.B.1 and B.2 and after deducting 1/4th of consideration, fixed the gross market value at Rs.15/- per sq.yd. and after deducting 1/3rd therefrom towards developmental charges, fixed the net market value at Rs.10/- per sq.yd. Though double deduction is not called for since the land acquired is only half an acre i.e. 2400 sq.yds., in the absence of any cross appeal preferred by the claimant- respondent herein, we are of the view that the fixation of the market value by the reference Court at Rs.10/- per sq.yd. is the true market value prevailing as on the date of acquisition. Therefore, we are not inclined to interfere with the market value as fixed by the reference Court. But the learned Government Pleader for Appeals rightly contended that the starting point for awarding additional market value under Section 23(1A) of the Act is from the date of notification under Section 4(1) of the Act, but not from the date of taking possession as awarded by the reference Court. We accordingly, set aside the order of the reference court insofar as awarding of additional market value from the date of taking possession i.e. 13.8.1987 and confine the same from the date of issuance of notification under Section 4(1) of the Act, dated 20.6.1991 to the date of passing of award i.e. 25.7.1992. The claimant is entitled to interest not only on the enhanced compensation, but also on 30% solatium and additional market value at the rate of 9% per annum for one year from the date of notification i.e. 20.6.1991 and thereafter at the rate of 15% per annum till its realization. The terms of the decree at serial Nos.2 and 4 shall stand modified to the extent as indicated above. In the result, the appeal is allowed in part. No order as to costs. ________________ A. GOPAL REDDY, J. __________________ JUNE 02, 2010 RAJA ELANGO, J. Tsr.