STATE OF BIHARversusRATAN LAL SAHU AND ORS. ETC.

A                               STATE OF BIHAR
                                           v.                                          '
                     RATAN LAL SAHU AND ORS. ETC.

                                  AUGUST 8, 1996

B              [K RAMASWAMY AND G.B. PATTANAIK, JJ.]

          Land Acquisition Act, 1894:

            Ss. 4( 1), 18, 23( 1), 23(1-A)-Acquisition of land with well and tank
c   therein-Compensation-20.40 acres of land acquisition in 1972 for cons1111c-
    lion of Geta/sud Dam in Bihm-Land Acq1tisition Officer by hi' award dated
    16.11.1977 granted total compensation of Rs. 1,59,505.00 at the rate of Rs.
    2,266 per acre for Class I lands and decreased the value as regards other
    lands-Reference Cowt awarded compensation at the rate of Rs. IO, 000 per
    acre, for entire land aiid Rs. 1,69,890 for the tank and the well as also
D   additional amou/ll 11/s. 23( 1-A)-High Cowt confim1ing the award of refer-
    ence Cou11-Hc/d, reference cou11 e1Ted in detennining co1n11ensation relying
    1tpon an award in respect of lands acquired in neighbowi11g village-Rs. 6, 000
    }Jer acre, lvould be the apprO]Jliate value for the entire /an~Wl1en water is
    being used from the ta11k a11d the well for cu/tivatio11 of the land no separate
E    va/1te co1tld be granted for the ta11k and the we/I-Reference cowt erred in
    allowing con1pensation on these ite111s separatel)-It also e1Ted in granting
    additio11a/ amo1tnt as the award of Collector is af 16.11.1977.

        0. Janardhan Reddy & 01'" v. Sp/. Dy. Co/lecto1; L.A. Unit-IV, LMD
    Kmimnagar, A.P. & Oi>., (1994) 6 SCC 456, relied on.
F
          CIVIL APPELLATE JURISDICTION : Civil Appeal Nos. 10669-70
    of 1996.

         From the Judgment and Order dated 10.1.94 of the Patna High Court
    in Appeal from the Original Decree No. 108 and 109 of 1987.
                                                                                       I
G
           H.L. Agarwal, R.P. Singh and B.B. Singh for the Appellant.

           D.P. Mukherjee and Sanjay Ghosh for the Respondents.

H          The following Order of the Court was delivered :
                                          400
                                     STATEv. R.L.SAHU                              401

                Leave granted.                                                            A

                We have heard learned counsel on both sides.

                Notification under Section 4(1) of the Land Acquisition Act. 1894 (1
     •.   of 1894) (for short, the 'Act') was published on June 14, 1972 acquiring
          20.40 acres of land for construction of Getalsud Dam in Ranchi District of      B
          Bihar State. The Land Acquisition Officer in his award under Section 11
          dated November 16, 1977 granted total compensation of Rs. 1,59,505.33.
          On reference, the Subordinate Judge, Ranchi awarded compensation @
          Rs. 10,000 per acre; for the tank and well, he granted a sum of Rs. 1,69,890.
          He also awarded additional amount under Section 23(1-A) of the Act.             C
          Dissatisfied therewith, the appellant carried the matter in appeals. The
          High Court in the impugned judgment and decree in Original Decree Nos.
          108 and 109 of 1987 dated January 10, 1994 confirmed the award and
          decree of the reference Court. Thus, these appeals by special leave.
-<
 '              We have gone through the judgment of the High Court and the               D
     '
          reference Court. The learned Judge has not referred to the correct prin-
          ciples of law in determining the compensation. It is an admitted position
          that the reference Court has relied upon an earlier award in respect of a
          neighbouring vilJage determining the compensation of land in Rs. 10,000
          per acre. We do not have any material on record, nor has it discussed in
                                                                                          E
          either judgments the basis for reliance as regards the relevant value of the
          land etc. Under those circumstances, relying on that judgment per se may
          not be wholly correct. It is not in dispute that these are Class I wet crop
          lands. The Land Acquisition Officer awarded the compensation for Class


.
          I lands @ Rs. 2,266 and proportionately decreased the value as regards the
          quality of the other lands. We take alJ the 20 acres of land as Class I land    F
          since there is no acceptable material as regards the quality of the land.
-t,
 \
                Under these circumstances, taking the totality of the facts and cir-
          cumstances, we think that the appropriate market would be Rs. 6,000. per
          acre. It is now settled law that when the water is being used from the tank     G
          and the well for cultivation of the land, no separate value could be granted
          towards the tank and the welJ. This Court elaborately considered this
          aspect of the matter in the case of 0. Janardhan Reddy & Ors. v. Sp/. Dy.
          Collector. LA. Unit-IV, LMD. Ka1inmagar, A.P. & Ors., [1994] 6 SCC 456.
          Accordingly, we hold that the respondents are not entitled to the separate
          value of Rs. 1,69,890 towards the value of the tank and the welJ. Since the     H
    402                  SUPREME COURT REPORTS [1996] SUPP. 4S.C.R.

A   award of the Collector is of November 16, 1977, the grant of the additional
    amount under Section 23(1-A) is clearly illegal. Accordingly, the additional
    amount under Section 23(1-A) for a sum of Rs. 1,16,000 also stands set
    aside.

       ' The claimants are entitled to the interest from 1.1.1966, the date on
B   which the possession was taken for a period of one year @ 9% and
    thereafter @ 15% till date of deposit on the enhanced compensation. The
    claimants are also entitled to the solatium at 30% on the enhanced com-
    pensation. The claimants are also not entitled to the additional amount @
    Rs. 12% on the market value from the date of publication notification
C   under Section 4(1) to the date of award of the Collector or from the date
    of taking possession of the land, whichever is earlier.

         The appeals are accordingly allowed, but in the circumstances
    without costs.

    R.P.                                                      Appeals allowed.