Sale deed can be considered to assess market value of a land – Land Acquisition Act - SC

Land was acquired under Section 4 of the Land Acquisition Act (hereinafter referred to as 'the Act') by the Collector, Land Acquisition vide his award dated 16.03.1993. At the instance of the land owner a reference was made under Section 18 of the Act to the District Court - Reference Court. Feeling aggrieved and dissatisfied with the judgment and order passed by the Reference Court assessing the compensation of the land acquired at Rs.2,18,333/- per acre – the Land Acquisition Officer preferred the appeal before the High Court and same was partly allowed  and assessed/determined the compensation  at Rs.232.45 per cent. Feeling aggrieved and dissatisfied with the impugned judgment and order passed by the High Court assessing/determining the compensation for the land acquired at Rs.232.45 per cent, the original owner/claimant has preferred the present appeal.Land Acquisition Officer determined and awarded compensation at Rs.160 per cent i.e. 1 acre out of survey no.359 was sold for Rs.16,000. However, the Learned Reference Court enhanced the compensation to Rs.2183.33 per cent relying upon and considering the sale instance Ex.C1 dated 11.01.1990 executed by the land owners himself. In the appeal preferred by the State the High Court has reduced the amount of compensation at a cost of Rs.232.45 per cent. Apex court held that Section 4 Notification was issued and published for the first time on 27.09.1990. In the present case both, the Reference Court as well as the High Court relied upon Ex.C1 sale deed dated 11.01.1990 by which 5 ½ per cent of the land was sold at Rs.2977 per cent. The sale deed cannot be discarded solely on the ground that it was executed by the land owner in favour of his relative. The sale deed dated 11.01.1990 Ex.C1 was for the small parcel of the land i.e. 5 ½ per cent only and after deducting 60 per cent (in the peculiar facts and circumstances of the case) the market value can be determined/assessed at Rs.1191 per cent. It is held that the appellant original claimant - land owner shall be entitled compensation for the land acquired with all other statutory benefits under the Land Acquisition Act. The appeal is partly allowed . 

D.D- September 29, 2021 

MUNUSAMY Versus THE LAND ACQUISITION OFFICER