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Supreme Court of India

K.S. SANJEEV (DEAD) BY LRS. ETC. ETC.versusSTATE OF KERALA AND ANR.

Citation
2016 INSC 22
Decided
7 January 2016
Disposal
Appeal(s) allowed

Holding

The appellants are entitled to enhanced compensation of Rs 17,250 per cent and the statutory benefits under the Land Acquisition Act, 1894.

Summary

The appellants, owners of land acquired under the Land Acquisition Act, 1894, were awarded Rs 11,000 per cent as compensation by the Land Acquisition Officer. They contended that a comparable parcel of land (document A‑4) had been sold for Rs 17,250 per cent on 27‑Oct‑1986, and that this sale should be considered for enhanced compensation after the Section 4(1) notification dated 3‑Feb‑1987. The High Court rejected the A‑4 evidence, relying on the alleged untruthfulness of the deceased owner regarding road frontage and a claim for a retention wall. The Supreme Court held that the High Court had no justification for ignoring the A‑4 document, noting that the land was in a Panchayat area but abutted a municipal road and was comparable to the acquired land. Consequently, the Court ordered that the appellants be entitled to the higher land value of Rs 17,250 per cent and the statutory benefits under the Act. The appeals were allowed and the substitution application was condoned.

Issues considered

  • Whether the appellants are entitled to enhanced compensation based on the sale price of a comparable parcel of land (A‑4).
  • Whether the High Court erred in disregarding the A‑4 document on the ground of the deceased owner's alleged lack of credibility.
  • Whether the Section 4(1) notification issued on 3‑Feb‑1987 permits consideration of the 1986 sale for fixing compensation.
  • Whether the character of the acquired land (wetland vs. reclaimed land) affects the compensation.

Legislation cited

Subjects

Land acquisitionCompensation enhancementComparable sale priceSection 4 notificationWetland vs reclaimed landEvidence credibility

Judgment

                       [2016] 4 S.C.R. 635



          K.S. SANJEEV (DEAD) BY LRS. ETC. ETC.                       A

                                v.

                  STATE OF KERALA AND ANR.

               (Civil Appeal Nos. 3610-3612 of2007)                   B
                       JANUARY 07, 2016

[KURIAN JOSEPH AND ROHINTON FALi NARIMAN, JJ.]

      Land Acquisition Act, 1894: Compensation - Enhancement of       c
- Land Acquisition Officer awarded compensation Rs.11000 per
cent - Reference Court ignored the document (A-4) relied upon by
the appellant-land owner and refused enhancement of compensation
- Property covered by A-4 document was sold for R. 17250 per cent
on 27.10.1986 - The instant s.4(1) Notification was issued on
3.2.1987 - Held: There was no justification for not taking into       D
consideration the said document for fixing the land value - A-4
land was in Panchayat area whereas the acquired land was in
Municipal area and was also abutting the MC. road - Appellant
entitled to land value for the acquired land fixed @ Rs. 17250 per
cent and also entitled for other statutory benefits in terms of the   E
Act.
     CIVIL APPELLATE JURISDICTION: Civil Appeal Nos. 3610-
3612 of2007.

    From the Judgment and Order dated 07.04.2003 of the High Court
                                                                      F
ofKerala at Ernakulam in LA.A. No. 916, 942 of 1997 and 347of1998

                               WITH
     Civil Appeal No. 3613 of2007.

     Romy Chacko, Adv. for the Appellants.                            G

     M. T. George, Ms. Prema Chaturvedi, G. Prakash, Jogy Scaria,
Vishnu Shankar, M. S., Sriram Prabhat, M. P. Vinod, Advs. for the
Respondents.

                                                                      H
                             635
636               SUPREME COURT REPORTS                          [2016) 4 S.C.R.


A          The Judgment of the Court was delivered by
           KURIAN, J.
           Abatement is set aside.
                 Delay in filing substitution application is condoned.
B                Application for substitution not opposed and is, accordingly,
      allowed.
            1. The short question to be decided is whether the appellants are
     entitled for enhanced compensation in respect of their acquired land and
     covered by LAR 31 /1990 on the file of Principal Sub Judge, Kottayam.
C ' The Land Acquisition Officer awarded compensation ofRs.11,000/-per
     cent. The Reference Court declined to grant any enhancement though,
     the appellants relied on A4 and Al4 documents. A4 land abutting M.C.
     Road is in Panchayat area whereas the acquired land is in the Municipal
     area, Kottayam town. Both are in close proximity, it is not disputed. A 14
D is a letter issued to the Department of Telecommunications, inter alia,
    ·stating that the Department is not interested in the property as the value
     fixed by the District Collector is Rs.27500/-. It seems from the record
     that the Department declined to respond to the aforesaid letter on the
     ground that the value of the land was very high.
             2. Be that as it may, before us, the learned counsel forthe appellants
E
      has placed reliance only onA4 land. It is not in dispute that the property
      covered by A4 document was sold for Rs.189750/-(Rs. l 7250/- per cent)
      on 27. I 0.1986. The date of Section 4( I) Notification in the case before
      us is 03.02.1987. We see no justification as to why the said document
      should not be taken into consideration for fixing the land value. A4 land
 F    is in Panchayat area whereas the acquired land is in Municipal area and
      it is also abutting the M.C. Road. Southern boundary of the property is
      river. The claim was in fact for Rs. 75,000/- per cent.
            3. Mr. M.T. Goerge, learned counsel for the State submits that
      the acquired land is wet land. Records show that the acquired land is not
G     wet land but reclaimed dried land, though lying below the road level, as
      can be seen from the finding of the High Court.
           4. The High Court declined to consider A4 on two grounds ( 1)
      The original owner of the land (since deceased) when examined before
      the Reference Court was not truthful in the sense that according to him
H
    K.S. SANJEEV (DEAD) BY LRS. ETC. ETC. v. STATE OF                          637
              KERALA AND ANR. [KURIAN, J.]

A4 land did not have road frontage, which no doubt is factually false. (2) A
He claimed costs for the retention wall on the riverside boundary, despite
the fact that the same had been put up at Government expense. This
conduct of the witness would only show that he was a greedy person at
the worst. Obviously he made an attempt to claim more value than A4
deposing that A4 did not have road frontage and yet Rs.17,250/- was
                                                                           B
the centage value. But that is not a ground for discardingA4. If the land
is otherwise comparable, merely because the witness was not factually
correct on description, the evidence cannot be discarded. In fixing the
land value, body language of the witness or his conduct in Court are all .
not really relevant. The fixation is mainly based on the factual position
as revealed from the documents.                                            c
      5. Therefore, we are of the view that the appellants shall be entitled
to land value for the acquired land fixed at Rs.17250/- per cent and they
are also entitled for other statutory benefits in terms of the Land
Acquisition Act 1894.
      6. Appeals are allowed accordingly. No costs.                             D
Devika Gujral                                               Appeals allmYed.


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