Home Case Index All Cases Indian Laws Indian Laws + SC Indian Laws - 2009 (10) TMI SC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2009 (10) TMI 940 - SUPREME COURTDetermination of Compensation for acquisition of land - HELD THAT:- Having regard to the large variance between the market value disclosed by the twelve sale deeds exhibited and relied upon by the claimants (average of which is ₹ 78/85) and the market value disclosed by Ex R2 (Rs.6/19 per sq.yd) relied upon by LAC and having regard to the fact that the value disclosed by Ex. R2 was even less than what was offered by the LAC, it has to be inferred that Ex R2 was either grossly undervalued or was a distress sale and has to be excluded from consideration, as being unreliable. To determine the value of large tract of acquired land, it is necessary to make an appropriate deduction therefrom towards development cost. Having regard to the fact that all the acquired lands adjoin a State Highway (Gurgaon Alwar Road) and the proximate availability of facilities which can be easily accessed for development, it would be appropriate to limit the deduction to 40% towards development cost, instead of the usual higher percentage of deduction ranging from 50% to 67%. Thus, the market value would work out to be ₹ 59/34 per sq.yd (Rs.98/90 minus 40%) or ₹ 2,87,200/- per acre. The percentage of deduction (development cost factor) will be applied fully where the acquired land has no development. But where the acquired land can be considered to be partly developed (say for example, having good road access or having the amenity of electricity, water etc.), then the development cost (that is percentage of deduction) will be modulated with reference to the extent of development of the acquired land as on the date of acquisition. But under no circumstances, the future use or purpose of acquisition will play a role in determining the percentage of deduction towards development cost. Therefore, we allow these appeals in part and increase the compensation for the acquired lands to ₹ 2,87,200/- per acre. The appellants will also be entitled to all statutory benefits, that is solatium at 30% u/s 23(2), additional amount at 12% from the date of preliminary notification to date of award u/s 23(1A), and interest on the total compensation less the amount awarded by the LAC, at 9% per annum for one year from the date of taking possession and 15% PA thereafter. Parties to bear respective costs.
|