HON’BLE SRI JUSTICE V.ESWARAIAH AND HON’BLE SRI JUSTICE NOUSHAD ALI L.A.A.S.NO.135 OF 2010 Dt.28.6.2010 Between: The Land Acquisition Officer & Mandal Revenue Officer, Sircilla, Karimnagar District. ..Appellant And Bommena Poshetty and others ..Respondents HON’BLE SRI JUSTICE V.ESWARAIAH AND HON’BLE SRI JUSTICE NOUSHAD ALI L.A.A.S.NO.135 OF 2010 JUDGMENT: (Per Sri Justice V.Eswaraiah) Appellant herein is the Land Acquisition Officer and Mandal Revenue Officer, Sircilla. Respondents herein are the claimants whose lands to an extent of Ac.1.27 guntas in Sy.No.1307 in Sircilla village were acquired for the purpose of house sites pursuant to the notification issued under Section 4(1) of the Land Acquisition Act, dated 21.9.1991 and the Land Acquisition Officer passed award B/385/1992, dated 6.5.1993 fixing the market value at the rate of Rs.4,500/- per acre. On the application made by the claimants, the matter was referred to the Reference Court in L.A.O.P.No.40 of 2006 on the file of the Senior Civil Judge, Sircilla and the Reference Court basing on the oral and documentary evidence adduced on behalf of the claimants and Exs.P-1 to P-5 sale deeds, awarded compensation at the rate of Rs.4,500/- per gunta for 60% of the extent after deducting 40% of the land for providing amenities to the house sites, which comes to Rs.1,80,000/- per acre. Aggrieved by the same, the Land Acquisition Officer filed this appeal. It is contended by the learned counsel for the appellant that the Land Acquisition Officer awarded Rs.4500/- per acre only, whereas the Reference Court enhanced the compensation at the rate of Rs.4500/- per gunta, which comes to Rs.1,80,000/- per acre. It is also contended that the Reference Court erroneously relied on Ex.P-5 sale deed dated 2.1.1990, which relates to the transaction of 336 sq.yards in Sy.No.1521, whereas the acquired land is in Sy.No.1307. It is further stated that the lands covered by Exs.P-1 to P-4 were sold at the rate of Rs.2420/- per gunta, but the Reference Court has awarded the compensation at the rate of Rs.4500/- per gunta. The Reference Court relied on Ex.P-5 alone, which was an extent of 336 sq.yards, which works out to Rs.4862/- per gunta. Heard both the learned counsel. The perusal of the documents goes to show that the sale transactions are of small extents of land ranging from 173 sq.yards to 605 sq.yards. The sale transaction of Ex.P-4 relates to 605 sq.yards in Sy.No.1388. The sale transaction of Ex.P-1 dated 30.11.1988 works out at the rate of Rs.2420/- per gunta. Whereas the sale transaction of Ex.P-4 sale deed dated 7.12.1988 works out at the rate of Rs.2420/- per gunta. Therefore, both of them appear to be relevant. But the Reference Court without accepting the sale transaction covered by Exs.P-1 and P-4 solely relied on Ex.P-5 on the ground that as per the evidence of P.W.2 the lands covered under Ex.P-5 in Sy.No.1521 was at a distance of 200 yards from the lands in question and therefore the said sale transactions cannot be brushed aside. The Reference Court also noted that while awarding compensation at the square yard basis, necessary deductions shall be made for the loss of land towards forming roads, betterment charges and for providing other amenities to the house sites and normally the deduction will be at 40%. Admittedly, the lands were acquired for providing house sites to the weaker sections. We are of the opinion that the Reference Court ought to have deducted 1/3rd alone, as 1/3rd land alone is required for the purpose of laying roads and for providing other amenities. The total extent of land acquired is Ac.1.27 guntas and if 1/3rd is deducted it comes to 42.7 guntas. In the instant case, we do not see any justification in relying on Exs.P-1 and P-2. Admittedly, both the documents are relied on by the claimants alone. Ex.P-2 relates to a small extent of 173 sq.yards, whereas Ex.P-5 relates to an extent of 336 sq.yards, which reflects double of the land covered by Ex.P-5. The sale transactions of Exs.P-1 and P-4 are of the year November and December, 1988 and the lands in question acquired nearly after three years. Therefore, we are of the opinion that the claimants are entitled to 30% escalation of the market value over and above the sale transactions covered by Exs.P-1 and P-4. If 30% is added to Rs.2420/- per gunta, it comes to Rs.3146/- (Rs.2420 + Rs.726) per gunta. After deducting 1/3rd, the claimants are entitled to compensation at the rate of Rs.3146/- for 42.7 guntas which comes to Rs.1,34,334/-. Therefore, we are of the opinion that it is just and proper to fix the compensation at the rate of Rs.3146/- per gunta for 42.7 guntas which comes to Rs.1,34,334/-. The claimants are also entitled for other statutory benefits on the enhanced compensation. The appeal is accordingly allowed in part. No order as to costs. ________________ V.ESWARAIAH, J. ________________ NOUSHAD ALI, J. 28.6.2010 kpr