Satish And Ors vs State Of U.P. & Anr

2. National Thermal Power Corporation Ltd. is a Public Sector Undertaking and is engaged, inter alia, in generation of electricity. With an intention to set up a thermal power plant at Sarna, Murad Nagar, District 2 Ghaziabad in the State of Uttar Pradesh and nearby villages, a requisition was sent to the Collector of the District for the purpose of acquisition of some lands belonging to the appellant herein. Pursuant to or in furtherance of the said requisition and having regard to the fact that setting up of a thermal power plant was to be treated to be a public purpose within the meaning of provisions of the Land Acquisition Act, 1894 (hereinafter called and referred to for the sake of brevity as `the Act'), the State of Uttar Pradesh (the State) on or about 6.9.1984 issued a notification in terms of Section 4 thereof.

5. The Collector took into consideration 29 deeds of sale in respect of the areas which were within the Murad Nagar Municipality on the premise 4 that they were more useful and the rate being on the higher side, the same should also be kept out of consideration.

He took into consideration only five deeds of sale being No.34, 254, 480, 629 and 635. Out of the said five sale deeds, three deeds of sale being No.480, 629 and 635 were again kept outside the purview of consideration having regard to the distance factor as also the fact that the lands under the said deeds were situated on the other side of the village. So far as sale deed No.34 is concerned, the Collector was of the opinion that the amount of consideration stated therein was deliberately kept low to avoid stamp duty.

7. Yet again, on the premise that the lands were very close to the area of municipality and it was sold at a very low rate, the same also had not been taken into consideration. The only deed of sale which was, thus, considered for the purpose of determination of the amount of compensation was sale deed No.423. It was executed on 2.6.1983. The land transferred by reason thereof admeasured 1 Biswas, 9 Biswansi and 15 Kachhwansi pertaining to Khasra No.1054 and 1064. The amount of consideration for the said lands 5 was shown as Rs.13,500/-, wrongly stated in the award as Rs.1,35,000/-. Inter alia, on the premise that the deed of sale was executed in respect of a piece of land which was situated outside the municipal area, the market value therefor was calculated at Rs.1,81,512.60 per bigha, the circle rate wherefor was to be Rs.9.62 p. Although it was held that the lands under the said deed were similar to the acquired lands but according to the Collector, the circle rate should be determined for `Dakar Doyat Khaki lands at Rs.3.19p. and for `Dakar Doyat Aabi' lands at Rs.4.37 p., the amount of compensation on the said basis was determined as Rs.60,189.72 p. per bigha for the former category and Rs.82,454.20 p. per bigha for the latter.

11. In the second reference, however, the learned Judge placed reliance on a sale deed dated 3.9.1984 involving 50 square yards of land which was sold for a consideration of Rs.10,327/-. The said deed of sale was executed on the basis of an agreement of sale entered into by and between the parties in the year 1981. 10% increase was added thereto so as to hold that the market value of the land was Rs.228/- per square yard. However, therefrom 30% was deducted keeping in view that the area was small as a result whereof the calculation of the market value was determined at Rs.160/- per square yard and on that basis, according to the learned Judge, compensation at the rate of Rs.155/- per square yard would be sufficient.

12. Aggrieved by and dissatisfied with the said judgment, only NTPC preferred appeals before the High Court. The landholders did not. The High Court, however, opined that the Collector rightly placed reliance on the deed of sale dated 2.6.1983 as the other sale deeds were executed in respect of the lands which were measured in terms of square yards only. It was held that if 9 an increase of 10% per year is added to the rate at which the land was sold, the net rate shall be Rs.63.92 per square yard, i.e., Rs.64 per square yard (in the round figure).

26. However, in the second bunch of cases while taking into consideration 25 deeds of sale, the learned Land Acquisition Judge took into consideration the deed of sale dated 3.9.1984 involving 50 yards of land wherefor the amount of compensation fixed was Rs.10,327/-, i.e., Rs.206.50 p. per square yard. The Court, however, notice that in respect of the said sale deed an agreement was entered into by and between the parties in the year 1981 and not in 1983 as noticed by the High Court at 10% increase per year for a period of three years, the learned Reference Judge held that the flat rate would come to Rs.128 per square yard. From the said amount, however, 30% was deducted as the lands in question were agricultural lands and on 21 that bases the market value at the rate of Rs.55/- per square yard was found to be sufficient. The High Court relied upon a deed of sale dated 27.7.1983 involving Khasra No.1354 and 1355 rejected the deed of sale deed 27.7.1982. Relying on a deed of sale dated 2.6.1983 in terms whereof 1 Biswas 9 Biswasin and 15 Kachhwansi land pertaining to Khasra No.1054 and 1064 was sold for a sum of Rs.1,35,000/-, the Land Acquisition Collector opined that the market value of the land would come to Rs.1,81,512.60 p. per bigha, i.e., at the rate of 9.62 p. circle rate. It was held:

21. This legal position, thus, being neither in doubt nor dispute, all the deeds of sale which have been brought on record subject to the applicability thereof, therefore, in our opinion should have been taken into consideration.

34. Civil Appeal Nos.6230-6251, 6300, 6301-6321 of 2002 are, thus, allowed with costs and Civil Appeal Nos. 6253-6299 of 2002 are dismissed 26 as not pressed for. Counsel's fee assessed at Rs.50,000/- in each case payable by National Thermal Power Corporation.

July 16, 2009