LexaceLexace Ask the AI ›
⚖️ Ask the AI about your situation:🚗 Car Accident💼 Work / Job🏠 Housing / Eviction👪 Family / Divorce📋 Contract Dispute💰 Money Owed

KASHIBEN BHIKABAI AND ORS. versus SPECIAL LAND ACQUISITION OFFICER AND ANR.

Citation: [2002] 1 S.C.R. 852 · Decided: 06-02-2002 · Supreme Court of India · Bench: V.N. KHARE · Disposal: Case Partly allowed

Open in Lexace · Ask the AI about this case

Judgment (excerpt)

A 
KASHIBEN BHIKABAI AND ORS. 
v. 
SPECIAL LAND ACQUISITION OFFICER AND ANR. 
... 
FEBRUARY 6, 2002 
B 
[V.N. KHARE AND ASHOK BHAN, JJ.] 
-
land Acquisition Act, I 894: 
Section 23(JA) -
land acquisition -
Additional amount-Entitlement 
• 
C to-Held: Claimants are not entitled to additional amount if the acquisition 
commenced and the award was made by Collector prior 10 30-6-1982-
Pendency of acquisition proceeding on 30-6-1982 before the Collector is 
essential for getting the benefit under s.23(/A). Section 23(2)-land 
acquisilion---Stalutory Solatium (@) 30% -Entitlement to-Heid, Claimants 
D are entitled to statutory soiatium (@) 30% if the Reference Court made the 
award after introduction of amendments by the amendi.ig Act of 1984. 
The land belonging to the appellants -claimants was acquired under 
Section 4 of the Land Acquisition Act, 1894. The Land Acquisition Officer 
awarded a certain compensation. Being aggrieved by the award the appellants 
E filed a reference before the court. The Reference Court enhanced the 
compensation, awarded solatium (a) 30% and additional amount under 
Sections 23(2) and 23(1A) of the Act respectively. But the High Court accepted 
the sale price of a certain land as the prevailing market price and reduced 
the compensation by the sum paid to the intermediary and disallowed the 
zdditional amount awarded under Section 23(1 A) of the Act Hence this appeal. 
F 
Allowing the appeals in part, the Court 
HELD: I.I. Once a sale price is accepted to be the price prevailing then 
it could not be reduced by the sum paid to the intermediary in whose favour 
the agreement to sell had been executed. The price of the land could not be 
G reduced on the ground that the intermediary after having agreed to purchase 
the land at a certain price had later sold the land to the vendee at a higher 
price on making a profit. 
1.2. Keeping in view of the fact that large areas of land do not fetch the 
H same price as the small piece of land and a large amount is required to be 
852 
... 
,,,. 
~ 
I 
.. 
• 
KASHIBEN BHIKABAI v. SPECIAL LAND ACQUISITION OFFICER [BHAN, J.] 853 
spent for developing the land, the price of land is fixed at Rs. 200 per sq. ft. A 
instead of Rs. 1.88 per sq. ft. thus enhancing the compensation by Rs. 0.12 
paise per sq. ft. The claimants would be entitled to statutory solatium @ 30% 
under Section 23(2) of the Land Acquisition Act, 1894 as the award of the 
reference court was made after coming into force of the amendments 
introduced by th. amending Act of 1984. 
B 
Union of India v. Raghubir Singh, [1989] 2 SCC 754, followed. 
2. Additional compensation under Section 23(1A) of the Act would not 
be available to claimant in a case in which the acquisition proceedings 
commenced and the award was made by the Collector prior to 30-6-1982. If 
the Collector made the award before 30-6-1982 then the additional amount C 
under section 23(1A) cannot be awarded. The pendency of the acquisition 
proceedings on 30-6-1982 before the Collector was essential for attracting 
the benefit under Section 23(1A) of the Act. 
Union of India v. Filip Tiago De Gama of Vedem Vruco De Gama (1990) D 
l sec 277, relied on. 
CIVIL APP ELLA TE JURISDICTION : Civil Appeal Nos. 5354-89 of 
1993. 
From the Judgment and Order dated 1.4.91 of the Gujarat High Court in E 
F.A. Nos. 36 to 66 of 1988. 
S.K. Dholakia, Jitendra Sharma, E.R. Kumar, D.P. Mohanty, Ms. 
Yugandhara Jha, P.H. Parekh, S.C. Patel, Ms. H. Wahi, Kanubhai, V. Patel, P. 
Gaur, Ms. Minakshi Vij and P.N. Jha for the appearing parties. 
The following Order of the Court was delivered by 
BHAN, J. Aggrieved by the judgment of the High Court of Gujarat in 
reducing the compensation payable under the Land Acquisition Act, 1894 
and claiming more, fair and equitable compensation for the acquired land the 
claimants have come up in these appeals. 
On 15th May, 1974 State of Gujarat issued a Notification under Section 
F 
G 
4 of the Land Acquisition Act, 1894 (hereinafter referred to as 'the Act') for 
acquisition of78 hectares, 32 acres and 54 sq. meters ofland in Village Gorva, 
which is situated within the limits of the Municipal Corporation of Baroda, 
Gujarat, for the Gujarat Housing Board. It was published in the official Gazette H 
854 
SUPREME COURT REPORTS 
[2002) I S.C.R. 
A on 8th August, 1974. Notification under section 6 of the Act was issued on 
12th July, 1977 and was published in the Gazette on 21st July, 1977. 
B 
c 
D 
There were

Excerpt shown. Read the full judgment & AI analysis in Lexace.