- (1.) Notification under Section 4 (1 was published in the State Gazette on 9/4/1976 acquiring an extent of 116 acres of the agricultural lands for the purpose of establishing Water Treatment Plant and other allied public purposes. The Land Acquisition Collector in his award dated 20/3/1979 awarded compensation up to a depth of 100 yards at the rate of Rs. 50,000. 00 per acre and for the rest of the land he awarded compensation at the rate of Rs. 15,000. 00 per acre. On reference under Section 18 of the Act, the Additional District Judge by his award and decree dated 9/8/1982, enhanced the market value to a depth of 50 yards at the rate of Rs. 1,50,000. 00 per acre and 50 to 100 yards at the rate of Rs. 60,000. 00 per acre and for the rest at the rate of Rs. 50,000. 00 per acre. On further appeal, the learned Single Judge while upholding the principle of belting made by the Land Acquisition Collector disagreed with the principle of belting, distinction between 50 yards and 100 yards, and granted market value at the rate of Rs. 1,50,000. 00 up to a depth of 100 yards and Rs. 65,000. 00 per acre for the rest of the land. On letters patent appeal, the; division bench by its judgment and decree dated 11/4/1991, granted uniform flat rate of Rs. 1,50,000. 00 per acre to the entire area. Thus, these appeals by special leave by the Appellant Municipal Committee.
(2.) Admittedly, as on the date of notification published in State Gazette, the lands are agricultural lands. No sanction of the plan to sell for building purposes was obtained by the owners. The question is whether the lands are capable of potential value. The reference court on consideration of the evidence found thus: "The land has obtained potentialities for being put to residential, commercial or industrial uses and is within the urban area of the town (Bhatinda). In such circumstances agricultural qualities of the land not to 435 be made basis for determination of compensation inclusion of the land within the municipal limits earlier to the notification. "the learned Single Judge while accepting that the lands are possessed of potential value, placed reliance on Exhibit A-92 plan prepared by AW-4 and stated that the acquired land abut Sirhind Canal towards the west and beyond Sirhind Canal is the Thermal Colony. Towards the south, the acquired land abuts on Bhatinda-Bamala Road. central Aviation Microwave Centre is also towards the south of the acquired land. The Aviation Centre also abuts on the aforesaid road. Bhatinda-Mansa-Talwandi Sabo Road joins Bhatinda-Bamala Road just in the middle of the acquired land towards the west. There is a bridge over Sirhind Canal for Bhatinda-Bamala Road. There are two cinema houses besides numerous residential houses on both sides of that road besides several homes on Bhatinda-Bamala Road. There is a residential colony in Khasra No. 1978. It could thus be seen that though the lands were agricultural lands on the date of notification, since they are situated within the municipal limits and nearer to the built-up area the lands have potential value for residential or commercial purposes. The division bench also reaffirmed the finding that the lands are possessed of potential value. We, therefore, hold that the lands are possessed of potential value.
(3.) The next question is what is the market value to be determined in the case. The learned Single Judge having referred to the sale deeds 'exhibits A-84 to A-89, found that right from December 1970, the lands abutting the road are fetching higher price of Rs. 1,20,000. 00 per acre than the land situated behind the belt of 100 yards and that, therefore, it was concluded thus: "Whereas out of the same khasra number in December 1970, vide Exhibits A-86 to A-89, that much area or area up 4:0 the extent of 3000 sq. yards was being sold at an average price of Rs. 1,25,000. 00 per acre. The aforesaid instances as also the other instances brought on the record do show that the land abutting on the two roads is of higher value as compared to the land lying behind the belt abutting on the road. Therefore, the belting has to be resorted to. While the Land Acquisition Collector made the belting abutting on the road up to a depth of 100 yards for which higher market value was allowed as compared to the rest of the land, the court below divided the 100 yards belt into two belts, one up to a "depth of 50 yards for which Rs. 1,30,000. 00 per acre were allowed and the other beyond the first belt up to 100 yards for which Rs. 60,000. 00 per acre were allowed and for the last Rs. 50,000. 00 per acre were allowed. Once the belt abutting on the road is considered to be of higher value, there was no justification in making the second and third belts because to my mind that would be of the same value. Accordingly, the belting made by the court below is set aside and that of the Land Acquisition Collector is restored. For the belt up to a depth of 100 yards' on Bhatinda-Bamala Road, I am of the view that the market value deserves to be fixed at Rs. 1,50,000. 00 per acre. ";