KRISHI UTPADAN MANDI SAMITI Vs. MALIK SARTAJ WALI KHAN
LAWS(SC)-2000-9-171
SUPREME COURT OF INDIA
Decided on September 20,2000

KRISHI UTPADAN MANDI SAMITI Appellant
VERSUS
Malik Sartaj Wali Khan Respondents

JUDGEMENT

- (1.) The present appeal is by Krishi Utpadan Mandi Samiti challenging the fixation of quantum of compensation for the acquisition of 77.80 acres of land which includes 20 acres of grove land.
(2.) The referring court fixed the compensation based on the exemplar of the rate of Rs 7 per square yard deducting Rs 2 fixing the rate at Rs 5 per square yard for the agricultural land. The submission is, for agricultural land, computation should be based on capitalisation of annual income of crops, as per guideline contained in Chapter 482 (3) of Revenue Manual, compensation should be eight times of the value of annual crop (bagh bahar) and not per square yard. The aforesaid fixation at the said rate by the reference court was confirmed by the High Court. To appreciate the controversy, we are herewith giving a short matrix of facts: the claimant in the present case is one Shri Malik Sartaj Wali Khan, who has alleged, his landed property measuring 77.80 acres situated in Village bihar Man Nagla, Pargana Tehsil and district of Bareilly has been acquired and the compensation amounting to Rs 6,07,786.10p. has been awarded by the Land Acquisition Officer, Bareilly through an award dated 22-10-1973. Being aggrieved by that, the appellant filed an appeal against the fixation of the value of the land, tubewell, kothi etc. The case set up before the referring court was that the prevailing market price, on the relevant date with regard to the land in question was ranging between Rs 6.50 to Rs 10 per square yard in the locality and in its neighbourhood, though he actually claimed at the rate of Rs 6.50 per square yard. In support of the potentiality of the said land, the claimant's case is, this land is situated on Bareilly-Pilibhit State Highway which has great potential value and is situate just opposite to Indian veterinary Research Institute, Bareilly. The land is almost adjoining the municipal limits of the Nagarpalika. In fact, the appellant Committee itself negotiated privately to settle this land and vide resolution dated 26-3-1971 offered Rs 14 lakhs towards its sale consideration, both for the land and building. On the other hand the appellant's case is, since it required to set up market committee, hence, acquisition was moved for acquiring this land. Submission is, the respondent claimant had difficulties to dispose of his land as before this, he had to obtain permission of the District Judge. They were finding difficulties in its maintenance as it Was economically not viable. The appellant had denied the rate of land in that area to be between Rs 6.50 to rs 10 per square yard. The main plank of submission for the appellant is with reference to the fixation of rate as per Paper No. 104/c, the sale deed dated 20-10-1970 executed by Respondent 1 Mr Sartaj Wali Khan, in favour of sardar Kalyan Singh showing the rate for the land in Village Bihar Man nagla to be Rs 4.50 per square yard. It was denied that the rate of land ranged between Rs 6.50 to Rs 10 per square yard. On the other hand, learned counsel for the respondent claimant has referred to some of the exemplars to show that the market value of the portion of Plot No. 1173 which is adjacent to the land ranged between Rs 6 to Rs 8 per square yard.
(3.) The pith and substance of the submission on behalf of the appellant is that it being an agricultural land, the valuation should not be fixed per square yard but should be per acre. To rebut this, learned counsel for the respondents submits, if the fixation at Rs 5 per square yard is computed in acreage, it will come to about Rs 23,000 per acre. So mere reference per square yard or per acre would make no difference, if the valuation is fixed as per the record based on acceptable exemplars. The appellant referred to the case of Special land Acquisition Officer v. Tajar Hanifabi. Though it was a case of agricultural land, no such principle was laid down that agricultural land must be computed per acre. Reliance was also placed on the decision in State of m. P. v. Harishankar Goel. It was a case where fixation of valuation of land was based on per square feet and was held to be per se illegal. However, this decision does not go further to state that agricultural land can only be computed in terms of acre. In fact this very decision further records: "Having found that the lands were possessed of potential value the compensation could be determined on the basis of the market value on square-yard basis. ";


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