Case: Shri Benoy Mazumdar (Dead) By Lrs Vs. The Collector Of Cachar

The admitted position is that on 13-2-1959, 60 bighas of land was requisitioned under the Assam Land (Requisition and Acquisition) Act, 1948 (25 of 1948). Ultimately, by publication of the notification under Section 8(1-A) of the Act the land was acquired for the public purpose for settlement of the refugees from Bangladesh. The Land Acquisition Officer applying the provisions of Section 7(1-A) of the Act determined the compensation @ Rs 297.69 rounded off to Rs 300 per bigha. On appeal, the Division Bench has confirmed the same but awarded interest at 6% from the date of taking possession till date of payment. Thus, this appeal by special leave

Court's reasoning:
5. The said ratio was applied to the facts in this case and it was held that since the lands were fallow uncultivated lands they got attracted and accordingly it was held that Section 7(1-A) was inapplicable. Though Shri Choudhary sought to impress upon us that the land is fallow and therefore, the land falls within Section 7(1-A), that would be seen under the recital and the grant that would establish that the lands were assigned by a grant for special cultivation. Under the Assam Act of 1964, with a view to remove the ambiguity as to the "special cultivation" under sub-section (2) of Section 11, the expression has been defined to mean cultivation which involves, either owing to the nature of the crop or owing to the process of cultivation, a much larger expenditure of capital per acre than is incurred by most of the cultivators in the State and includes cultivation of tea. It would be seen that the special cultivation was meant to include cultivation involving higher capital outlay per acre than the expenditure incurred for cultivation by the cultivators in the State and also a cultivation of the tea which against the special cultivation involves higher investment of higher capital outlay. In view of the concurrent findings recorded by the Reference Court as well as the High Court that the land remained as fallow, uncultivated or barren land, necessarily the conclusion would be that the grant contained that the land was meant for special cultivation. Consequently, Section 7(1) has no application to the determination of the compensation as per the prevailing market value as on the date of the acquisition under the Act. We do not find that the Act is arbitrary. The Full Bench of five Judges in the above judgment, per majority, has elaborately gone into the question and concluded that Section 7(1-A) is not arbitrary. The reason appears to be that the land having been assigned by the Government, when it is needed for a public purpose, what the assignee would get in return is the land revenue; after use and enjoyment thereof, he would be compensated with the payment of the land revenue envisaged under Section 7(1-A) of the Act. It is settled law by a catena of judgments of this Court including one by the Constitution Bench that the prescription of the principle for determination of the compensation is not violative of Article 14 of the Constitution. Even in Bhim Singhji v. Union of India, the Constitution Bench of this Court has held that the payment of compensation for the surplus vacant land acquired under the Ceiling Act under Section 6(11) in the sum of Rs 2, 00, 000 was not illusory. Considered from this perspective, we hold that the determination of the compensation under Section 7(1-A) is not violative of Article 14 of the Constitution. The majority of the Full Bench of five Judges of the Assam High Court has rightly concluded the issue. Accordingly, we hold that there is no illegality in the impugned judgment. Moreover, when the High Court has consistently interpreted a local law in a particular way, this Court would be slow to disturb their interpretation unless compelling circumstances so warrant. The High Court has not applied wrong principle of law in determining the compensation warranting interference