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RAM PIARI AND ANR. ETC. versus LAND ACQUISITION COLLECTOR, SOLAN AND ORS. ETC.

Citation: [1996] 3 S.C.R. 307 · Decided: 12-03-1996 · Supreme Court of India · Bench: K. RAMASWAMY, K. VENKATASWAMI · Disposal: Disposed off

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Judgment (excerpt)

' .1-ยท 
RAM PIARI AND ANR. ETC. 
A 
v. 
-~-, 
LAND ACQUISITION COLLECTOR, SOLAN AND ORS. ETC. 
MARCH 12, 1996 
[K. RAMASWAMY AND K. VENKATASWAMI, JJ.] 
B 
Land Acquisition Act, 1894: Sections 4(1), 11, 18, 25, 26 and 54. 
>J< 
Land acquisition-Compensation--Power of Court to reduce-Co/lee-
tor classify the acquired lands into seven categories and awarding compensa- c 
tion @Rs. 14195 per bigha for Kuhal land and Rs. 9425 per bigha for Katuhal 
land-High Court reducing the compensation to the unifonn rate of Rs. 7100 
per bigha-Appeal-Held on reference or appeal the Court cannot reduce the 
compensation to less than the offer made by the Collecto,-f/eld High Court 
committed an e1ror of law in reducing the compensation i11 respect of Kuhal 
D 
and Katuha/ lands-Award of Collector restored i11 respect of these lands. 
_, 
Land acquisition-All lands acquired for common purpose namely 
โ€ข 
commercial purpos,.....ffigh Court recording a finding that as 011 the date of 
,. 
acquisition lands were agricultural land, they require development-In such 
circumstances High Court committed ell"Or in detennining development char-
ges @ 50o/u-Direction that 33V3% of the market value be deducted towards E 
development charges-Reliance not placed by High Court on the sale deeds 
but on the maximum amount awarded by the collector as basis for detennina-
tion of compensation held right. 
~ 
K VasundaraDevi v.Revenue Divisional Officer (LAO), [1995) 5 SCC F 
426, rererrred to. 
Land Acquisitioll-i3eneficiary-Authority accepting the awar<f-There-
after issuing notice to the purchasers to pay revised price on the basis cf 
enhanced market valuc::-Direction to development authority to recover the G 
amount and pay the amount recovered at the rate detem1ined by Court to 
respective landowners-Claimallls held not entitled to additional amount 
""G-
under section 23( 1-Aj but held entitled to solatium and interest. 
CIVIL APPELLATE JURISDICTION: Civil Appeal Nos. 5237-39 
of 19% Etc. Etc. 
H 
307 
308 
SUPREME COURT REPORTS 
[1996] 3 S.C.R. 
A 
From the Judgment and Order dated 4.5.95 of the Himachal Pradesh 
High Court in R.F.A. No. 95 of 1990. 
R.K. Jain, Ashok K. Chhabra, Ms. Madhu Moolchandani, Rakesh K. 
Khanna and Surya Kant for the Appellants. 
B 
T. Sridharan, Rajiv Nanda, T.A. Khan, (N.K. Shrama) (NP) and Y.P. 
Rao for the Respondents. 
The following Order of the Court was delivered : 
C 
Leave granted in SLP (C) Nos. 18543-45, 19947-49, 18644 and 18646 
of 1995. 
Notification under Section 4(1) of the Land Acquisition Act, 1894 
(for short, the 'Act') was published on 3.9.1973 acquiring 863 bighas of land 
situated in villages Gumma, Kamli, Dangyar and Ambota in Parwanoo 
D township. The award under Section 11 was made by the Collector on 
14.7.1977. He determined the compensation at varying rates between Rs. 
14,195 per bigha and Rs. 500 per bigha for lands classified into seven 
categories. On reference under Section 18, the District Judge, Solan by 
award and decree dated 15.5.1991 uniformly awarded compensation at the 
E 
uniform rate of Rs. 14,195 per bigha. In Civil Appeal Nos. 8274-83 of 1985, 
acquisition was made in 1976 but the lands were left cut from 1973 
notification. On November 9, 1978, the Land Acquisition Collector 
awarded compensation similar to compensation awarded for 1973 acquisi-
tions. Taking into consideration the trend in appreciation of land prices, 
the District Judge vide award dated May 23, 1991 warded common price 
F for all categories of land, i.e., Rs. 24,000 per bigha. On appeal by the State 
and cross appeals by the claimants, the High Court by judgment and order 
dated 4.5.1995 reduced the compensation to the uniform rate of Rs. 7,100 
per bigha. Dissatisfied with the reduction, the claimants have filed these 
appeals by special leave. 
G 
This Court issued notice dated 28.8.1995 confined to the correctness 
of the order of the High Court with respect to first two categories of lands, 
namely, Kubal land for which the Land Acquisition Officer awarded a sum 
of Rs. 14, 195 per bigha and Katuhal land for which a sum of Rs. 9,425 has 
been awarded. In earlier cases, notice was not confined to the above 
H aspects but leave was granted. Thus all these appeals have been posted 
. 
' 
r 
RAM PIAR!v. LAND ACQN. COLLECTOR 
309 
together for disposal. 
A 
Shri Ashok Chhabra and Shri R.K. Jain, learned counsel appearing 
for the appellants raised three-fold contention. Firstly, that the High Court 
has comm

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