THE ASSISTANT COMMISSIONER,GADAG SUB-DIVISION, GADAG versus MATHAPATHI BASAVANNEWWA AND ORS.

Citation: [1995] SUPP. 2 S.C.R. 807 · Decided: 17-08-1995 · Supreme Court of India · Bench: K. RAMASWAMY, B.L. HANSARIA · Disposal: Dismissed

Judgment (excerpt)

,. 
.,. 
THE ASSISTANT COMMISSIONER, 
A 
· GADAG SUB-DIVISION, GADAG 
v. 
MATHAPATHI BASAVANNEWWA AND ORS. 
AUGUST 17, 1995 
B 
[K. RAMASWAMY AND B.L. HANSARIA, JJ.] 
Land Acquisition Act, 1894 : 
Section 23( 1-A}-Lands-Acquisition of-Possession taken over prior c 
to publication of notification under s.4( 1 }-Period to be reckoned for payment 
of additional amount-Held, where possession was taken long before publi-
cation of notification under s.4( 1) and award made subsequently, landowner 
would be entitled to payment of additional amount at 12 per cent per annum 
of market value from date of taking possession. 
D 
. Certain lands of the respondents were acquired under the Land 
Acquisition Act, 1894. The possession was taken on 23.1.1971 whereas the 
notification under s.4(1) of the Act was published on 2.8.1994 and the 
award was made by the Land Acquisition Officer .on 15.1.1986. 
In the appeal before this Court filed by the State, it was contended E 
by the appellant that in view of provisions of s.23(1- A) of the Act, the 
land-owners would not be entitled to additional amount at 12 per cent 
annum of the compensation commencing from the date of taking posses• 
sion till the date of publication of the notification under s.4(1). 
Dismissing the appeal, this Court 
F 
HELD : 1.1. Possession of the land having been taken before publi-
cation of Notification under s.4(1) of the Land Acquisition Act, 1894, which 
has never been questioned by the land owners, they, by necessary implica-
tion, are entitled, under s.23(1-A) of the Act, to payment of additional G 
amount at 12 per cent annum of market value from the date of taking 
possession. (810-D] 
.... 
1.2. The object of introducing s.23(1-A) is to mitigate the hardship 
caused to the owner of the land, who has been deprived of the enjoyment of 
the land by taking possession from him and using it for the public purpose, H 
807 
808 
SUPREME COURT REPORTS [1995] SUPP. 2 S.C.R. 
A 
because of considerable delay in making the award and offering payment 
thereof. The additional amount at 12 per cent per annum was intendea to be · 
paid as compensation from the date of taking possession. [809-D-E; F] 
B 
c 
13. Strict construction of the provisions of s.23 (1 ·A) of the Act leads 
to unjust result, hardship to the owner and defeats legislative object. 
Where possession was taken long before publicatio';l of the notification 
under s.4(1) but the award is subsequently made and meanwhile the owner 
has been deprived of enjoyment of his property, the owner would be 
entitled to the compensation from the date of taking possession till date 
of the award. The expression ''whichever is earlier" has to be construed in 
that backdrop and the claimant would be entitled to additional amount 
from the date of taking possession. [809-G· H, 810-A] 
CIVIL APPELLATE JURISDICTION: Special Leave Petition (C) 
No. 17885 of 1995. 
D 
From the Judgment and Order dated 17.1.95 of the Karnataka High 
E 
F 
G 
H 
Court in C.P. No. 59 of 1995. 
K.R Nagaraja for the Petitioner. 
The following Order of the Court was delivered : 
An interesting question has been raised by Shri Nagaraja, learned 
counsel for the Petitioner, in this case. 
· , 
The admitted facts are that the petitioner had taken possession of 
the lands on 23.1.1971, but the notification under s.4(1) of the Land 
Acquisition Act (for short, 'the Act) was published in the Gazette on 
2.8.1984. The award came to be made by the Land Acquisition Officer on 
15.1.1986. The question is from what date the respondents-owners are 
entitled to the benefit of s.23(1-A) of the act as amended by Act 68of1984. 
Section 23 (1-A) reads thus: 
"23(1-A): In addition to the market value of the land, as above 
provided, the Court shall in every case award an amount calculated 
at the rate of twelve per centum per annum on such market value 
for the period commencing on and from the date of the publication 
of the notification under Section 4, sub-section (1), in respect of 
ASSTI. COMMR. GADAG v. M. BASAV ANNEWWA 
809 
such land to the date of the award of the Collector or the date of A 
taking possession of the land whichever is earlier." (emphasis 
supplied) 
Learned counsel contended that conjoint reading of the dates of 
notification and making of award would connote that taking possession B 
referable under the expressions "commencing on and from the date of 
publication of the notification" and "whichever is earlier" would be relatable 
to th

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