PROJECT MANAGER,ONGC LTD Vs. DEPUTY COLLECTOR

JUDGEMENT

(1.) Both these appeals have been filed by the appellant ONGC, the acquiring body, challenging the judgement and award dated 9.11.2001 passed by the Extra Assistant Judge, Mehsana (hereinafter referred to as "the Reference Court") in Land Reference Case No.1414 of 1997 and No.1415 of 1997, whereby the Reference Court has directed the appellant original opponent to pay additional compensation to the respondents claimants at the rate of Rs.9.80 per sq. mtrs., over and above the amount of compensation awarded by the Special Land Acquisition Officer, and pay interest at the rate of 12% per annum on the additional amount of compensation under Section 23(1A) and solatium at the rate of 30% on the additional amount of compensation under Section 23(2) of the Land Acquisition Act, 1894 (hereinafter referred to as "the said Act") . The Reference Court has also directed the appellant opponent to pay interest at the rate of 9% per annum on the additional amount of compensation from the date of taking the possession or from the date of issuance of Notification under Section 4 of the said Act, whichever is earlier for the first year and thereafter at the rate of 15% per annum till realization on the aggregate amount payable as per Section 28 of the said Act.

(2.) The lands in question belonging to the respondents claimants situated at Village Indrap, Taluka Bechraji, District Mehsana were sought to be acquired for the purpose of drilling project BCDK/R-B.C.28 of the appellant ONGC, vide the Notification under Section 4 of the said Act published on 18.1995 and the Notification under Section 6 of the said Act published on 5.10.1995. The Special Land Acquisition Officer after following the procedure had passed the common award on 20.1997 awarding compensation at the rate of Rs.20 per sq. mtrs. The respondents claimants being aggrieved by the said award had sought References to the District Court under Section 18 of the said Act, claiming compensation at the rate of Rs.190/- per sq. mtrs. The Reference Court after considering the evidence on record adduced by the parties passed the impugned award.

(3.) Though the learned Advocate Mr.Ajay Mehta appearing for the appellant had faintly assailed the award on the ground that the additional amount of compensation awarded by the Reference Court was without any basis and on guess work, he mainly assailed the operative part of the award, whereby the appellant has been directed to pay interest on the additional amount of compensation at the rate of 9% per annum from the date of taking over the possession or from the date of issuance of Notification under Section 4 of the said Act, whichever is earlier for the first year and at the rate of 15% per annum thereafter as contemplated in Section 28 of the said Act. According to Mr.Mehta, the said part of the award is dehors the Act and beyond the jurisdiction of the Reference Court. He submitted that the amount would become payable only after the possession is taken over as contemplated under Section 16 or Section 17, as the case may be, however, the Reference Court has directed the appellant to pay interest from the day prior to the Notification under Section 4 of the said Act. He has relied upon the decision of the Supreme Court in case of R.L. Jain (D) by LRs Vs. DDA and Ors., (2004) 4 SCC 79, and other decisions of the Supreme Court in support of his submissions.