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BALDEV SINGH AND ORS. versus STATE OF PUNJAB THROUGH COLLECTOR

Citation: [1996] SUPP. 4 S.C.R. 359 · Decided: 07-08-1996 · Supreme Court of India · Bench: K. RAMASWAMY, G.B. PATTANAIK · Disposal: Dismissed

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Judgment (excerpt)

BALDEV SINGH AND ORS. 
A 
v. 
STATE OF PUNJAB THROUGH COLLECTOR 
AUGUST 7, 1996 
[K. RAMASWAMY AND G.B. PATTANAIK, JJ.) 
B 
Lan.d Acquisition Act, 1894: 
Ss.4(1), 11, 23( 1-A), 23(2) a11d 2&-Acquisitio11 of agricultural 
land-Compensation-Notification u/s 4(1) published i11 1982-Award by C 
Collector dctennining compensation at the rate of R1. 16,000 per acre-Ref-
erence cowt enhancing co111pensatio11 to Rs. 30, 000 per acre by its award and 
decree dated 13.12.1983-High Cowt reducing the co111pe11sation to the 
a11101111t awarded by Collector and granting benefit available under Amend-
ment Act 68 of 1984--Held, none of the pe1wns connected with the sale deeds D 
relied on by the c/abnants exan1ined-Docu111ents see111 to be brought into 
existence to Inflate the n1arket value-All the doczunents are inadn1issible in 
evidence a11d cannot be looked imo-ludgment of High Cowt modijj·i11g 
award of Collector up!zeld-Judgnient in another case, 1vhich is not pa1t of 
the record nor lvas brought on record, cannot be relied upon. 
CIVIL APPELLATE JURISDICTION : Civil Appeal No. 2280 of 
1986 Etc. 
From the Judgment and Order dated 25.2.85 of the Punjab & 
E 
Haryana High Court in Regular Civil Appeal No. 582 of 1984. 
F 
Awadh Behari, R.S. Sodhi, A.K. Sanghi, R.S. Suri and Sudhir Walia 
for the appearing parties. 
The following Orders of the Court was delivered : 
Notification under Section 4(1) of the Land Acquisition Act 1of1894 
G 
(for short, the 'Act') was published on January 29, 1982 acquiring a total 
extent of 193 kanals 3 marlas of land situated in village Lamin in Punjab 
State for construction of Hyde] Channel. The Land Acquisition Collector 
awarded compensation at the rate of Rs. 16,000 per acre and also awarded H 
359 
360 
SUPREME COURT REPORTS (1996] SUPP. 4 S.C.R. 
A 5% additional a~ount thereon with solatium and interest. On reference 
the Additional District Judge in his award and decree dated December 13, 
1983 enhanced the compensation to Rs. 30,000 per acre. On appeal, the 
High Court reduced the compensation to the amount awarded by the Land 
Acquisition Collector by judgment and decree dated February 25, 1985, 
B Thus, this appeal by special leave. 
It is contended by the learned counsel for the appellants that the 
High Court has committed grievous error in reducing the compensation 
from Rs. 30,000 to Rs. 16,000 per acre. It is contended that Exts. A-12 
C and 13, the sale deeds of February 12, 1981 and 30th March, 1981 
respectively executed one year prior to the date of acquisition would 
show that the market value of which land commanded was Rs. 40,000 
per acre; even the sale deeds Ex. A-14 dated March 23, 1981, Ex.-A-15 
dated July l, 1981 which commanded market value was Rs. 60,000, though 
D of smaller extent of 5 bighas each; hence, the market value will not less 
than Rs. 40,000. Therefore, the additional District Judge was right in 
granting compensation at the rate of Rs. 30,000 per acre. In support 
thereof, he placed reliance also on another judgment in respect of land 
in the neighbouring village wherein the same learned Judge had con-
E 
firmed the market value at the rate of Rs. 30,000 per acre in respect of 
the cultivable Chahi land. We find no force in the contention of the 
learned counsel. It is seen that none of the persons connected with 
documents Ex. A-12 to 15 has been examined. It would also be seen that 
one Kanai was sold in the same village under Exts. A-12 and 13 
·respectively which worked out to Rs. 40,000 per acre or Rs. 5,000 per 
F 
kanal. The High Court has rightly pointed out that no prudent cultivator 
would purchase one kanal of land for the purpose of cultivation. In other 
words, the purchase for the purpose of cultivation would be uneconomical 
and not valid one. Looked at from another angle, it is common knowledge 
that it would take long time for publication of the notification under 
G section 4(1). In the meanwhile it would be known to the villagers that 
the land would be under acquisition. Therefore, it would be obvious that 
these documents were brought into existence to inflate the market value. 
Obvious, therefore, none of the persons connected with the documents 
has been .examined. There is no proof of passing of the consideration 
H thereunder or the circumstances in which the documents came to be 
BALDEVSINGHv. STATE 
361 
executed. Under these circumstances, all the documents are inadmissible A 
in evidence and cannot be .looked into. If they

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