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Supreme Court of India

BALDEV SINGH AND ORS.versusSTATE OF PUNJAB THROUGH COLLECTOR

Citation
1996 INSC 841
Decided
7 August 1996
Disposal
Dismissed

Holding

The High Court was correct in reducing the compensation to Rs 16,000 per acre; the sale deeds were inadmissible and no error of law was committed.

Summary

The Supreme Court examined an appeal by Baldev Singh and others challenging the Punjab & Haryana High Court’s reduction of compensation for land acquired under the Land Acquisition Act, 1894. The Collector had fixed Rs 16,000 per acre, the Additional District Judge raised it to Rs 30,000 per acre, and the High Court reverted to the Collector’s figure. The appellants relied on sale deeds executed before the acquisition to prove a higher market value, but the Court found that none of the parties to those deeds were examined and the documents were likely fabricated to inflate value, rendering them inadmissible. Consequently, the only admissible evidence was oral testimony and comparable awards in neighboring villages, which supported the lower compensation. The Court held that the High Court was correct in its assessment and dismissed the appeal without costs, also rejecting reliance on a judgment not part of the record.

Issues considered

  • Whether sale deeds executed prior to acquisition can be admitted as evidence to determine market value for compensation.
  • Whether the High Court erred in reducing the compensation awarded by the Additional District Judge from Rs 30,000 to Rs 16,000 per acre.
  • Whether the benefit under the Amendment Act 68 of 1984 is applicable to the compensation award.
  • Whether a judgment not part of the record can be relied upon in determining compensation.

Legislation cited

Subjects

Land acquisitionCompensationMarket valueAdmissibility of documentsAmendment Act 68 of 1984Civil appealSupreme Court

Judgment

                      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.
                                                                                 E
     CIVIL APPELLATE JURISDICTION : Civil Appeal No. 2280 of
1986 Etc.

     From the Judgment and Order dated 25.2.85 of the Punjab &
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 :
                                                                                 G
      Notification under Section 4(1) of the Land Acquisition Act 1of1894
(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 are excluded, the only
other evidence is the oral evidence. It is not in dispute that the land
situated in the neigbouring village and acquired for the same purpose
fetched compensation at the rate of Rs. 15,000 per acre in respect of
the Chahi land and Rs. 9,000 and Rs. 10,000 for Baravi land etc. That B
judgment of the High Court has become final. Under those circumstan-
ces, the High Court was well justified in relying upon that document and
in upholding the award of the Collector but with modification as
indicated:

        "The Land Acquisition Collector has not been able to point out C
        any distinction between the value of land in village Uchi Bassi,
        Lamin and Jamalpur. For village Uchi Bassi, this Court has
        allowed market price for Chahi land at the rate of Rs. 15,000
        per acre, and still lesser for inferior quality of agricultural land.
        Hence it will be safe to rely on the judicial instance coupled D
        with the State instances Exhibit. RW3/3, to RW3n. However,
        the Land Acquisition Collector was not right in giving different
        value for Chahi and Nahri land, which are generally treated of
        the award of the Court below and restore the award of the
        Land Acquisition Collector and also restore the value fixed by E
        the Land Acquisition Collector except for Nahri land and fix
        the market value as follows :

        Chahi/Nahri                      Rs. 16,000 per acre

        Barani                           Rs. 10,000 per acre              F

        Banjar Qadim                     Rs. 8,000 per acre

        Gair Mukin                       Rs. 6,000 per acre."

       In addition, 4% of the aforesaid amount was allowed by the Land G
Acquisition Officer. In addition the Court also granted the benefit under
the Amendment Act 68 of 1984. Under the circumstances, we do not
think there is any error of law in judgment. The Judgment in another
case which is not a part of the record nor was brought on record and
filing of an application under Order 41, Rule 27, C.P.C. cannot be looked H
    362                     SUPREME COURT REPORTS (1996] SUPP. 4 S.C.R.

A into for that ~eason. Under these circumstances, the judgment cannot be
    relied upon.

             The appeal is accordingly dismissed but in the circumstances without
    costs.

B            The Civil Appeal is dismissed as withdrawn.

    R.P.                                                       Appeal dismissed.


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