JUDGEMENT
K.KANNAN J -
(1.) SUBJECT matter of appeals: Judgments of Courts below rendered after remand
This batch of cases relates to determination of compensation
by way of enhancement over compensation assessed by the reference
court for acquisition of property under the Land Acquisition Act, some at
the instance of the landowners, some by the State and some by HUDA.
There is also Cross Objection No.23-CI of 2008 in RFA No.3280 of 2005 at
the instance of the private owner. These cases have been brought for
hearing after judgments recorded by the Reference Court through five
different judgments. The judgments were rendered after the cases were
remanded by this Court in the judgment in RFA No.5135 of 2002 titled
State of Haryana Vs. Baldev Singh and others dated 08.11.2006. The
remand became essential in view of the fact that earlier the awards had
been passed by reference to a judgment in the award where the lead
case was Gurdev Singh and others Vs. State of Haryana. The
judgment in Gurdev Singh itself was a subject of remand by the Court
through a judgment rendered in RFA No.1281 of 1999 by a judgment
dated 27.10.2006. The parties had been granted liberty to adduce fresh
evidence with reference to the potentiality of the lands and the
valuation of properties of adjoining lands through various transactions of
private sales.
II. Adjudication; only as regards valuation of land, trees and
structures not reassessed
(2.) THE cases have been decided with reference to acquisition of lands in Fatehpur, Maheshpur, Kundi and Railley. There are at least 10
villages which are stated as covered through the notifications as
evidenced through the notifications issued namely, of (i) Maheshpur (ii)
Kundi (iii) Railley (iv) Fatehpur (v) Railla (vi) Judian (vii) Devi Nagar (viii)
Kharag Mangoli (ix) Budanpur and (x) Dhillon Dhamsu. We are principally
concerned about the substantial extents of properties with reference to
the first four villages mentioned above. The notifications issued under
Section 4 for acquisition have been rendered on the following dates. The
awards dated 30.04.2005 is with reference to acquisition of properties in
Fatehpur and Maheshpur, the judgment dated 10.12.2008 is with
reference to the acquisition of property in Kundi, the judgment dated
10.02.2009 is with reference to properties in Fatehpur and Railley, judgment dated 16.02.2009 is with reference to acquisition of property
in Railley and the judgment dated 16.04.2002 is with reference to cases
of acquisition for properties in Maheshpur. There is a common thread of
reasoning in all but two cases where the compensation assessed had
been @ Rs. 359/- per sq. yd. In the judgment rendered on 16.04.2002 with
reference to cases in RFA No.3551 and 3582 the compensation assessed
is @ Rs. 256/- per sq. yd. There are also in some cases determination of
compensation also with reference to structures and trees. No argument
however was made with reference to them and therefore, this will
judgment will not make any modification with reference to their
valuation.
III. Basis of valuation-Reliance on awards, auction notices and
private sales
The arguments were advanced by the parties by references to private deeds of sale, auction notices of sales brought by HUDA
subsequent to development of property and awards by various Courts
from the year 1983 till very recently by the Reference Courts, High
Courts and Supreme Court. Only in respect of villages namely Kharag
Mangoli and Judian, the intial assessment made by the Reference Court
for acquisition notices in the year 1983 and 1985 @ Rs. 250/- per sq. Yd
has become final. In all other cases, the awards have been subject of
appeals to the respective higher judicial tiers.
(3.) THE decisions brought through various awards of the High Court and the Supreme Court obtain relevance to us only in a limited way of
the reasoning contained in the judgments to the extent to which they
have binding precedent value and general directions given for adopting
appropriate norms for determination of compensation. The finality that
has obtained for acquisition notices issued in the year 1983 and 1985
have themselves lost much of their significance by the only fact that we
are concerned with notifications of the years 1990 and 1995 and it will
not be safe to rely on transactions which are nearly a decade old. Even
with reference to the auction sales which were conducted by HUDA
though they could obtain secondary relevance for noticing the price
trends and to know how HUDA has valued their own properties but be it
noticed that the properties had been sold in different categories after
full development and the counsel appearing for the land owners
themselves are circumspect about reliance on these documents, except
for the limited purpose of knowing the market trends. The auction
notices obtain relevance to see the maximum prices that have been
fetched, for competitive bidding is a true mirror to the prevailing
market conditions. There is a certain danger to applying the valuation as
found in the fully developed plots by HUDA for the properties are sold in
different categories such as shops, houses, commercial complexes etc. A
commercial property is invariably seen as more valuable than residential
property and properties housing shopping malls secure still higher prices
than the other two categories. The determination of valuation will be
made not to be dependent on the ultimate user of the property by the
beneficiary or how the properties had been subsequently dealt with
through auctions. The reference to a future user shall be brought for
reckoning only to a limited purpose of examining how much of the
acquired property was actually used for residential, commercial houses
and how much of property had been set apart for common use for
general purpose and for roads. They will also be relevant to examine the
cost of development that had taken place and how they have affected
the gradual increase in prices. A fairly elaborate preface is done to set a
proper backdrop for consideration of valuation through the succeeding
paragraphs.
IV. Properties of different villages are treated equally for
valuation the raison d'etre;
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