KRISHNARAO DAMODAR JOSHI Vs. STATE OF MAHARASHTRA

JUDGEMENT

(1.) Heard learned counsel for the parties.

(2.) By this petition under Article 226 of the Constitution of India it is prayed that the respondent Nos.2 and 3 be directed to pay interest on Rs. 1,42,052.40 since passing of the Award on 26th June, 1987 till 25th March, 1993 (the correct date is 25th March, 1992) when the said amount was made over to the petitioners. The petitioners are claiming interest on the said amount at the rate of 15% per annum for the said period amounting to Rs.l,01,212.33 paise. In other words, the claim of the petitioners is founded on Section 34 of the Land Acquisition Act. Section 34 of the Land Acquisition Act obligates the acquiring authority to pay or deposit the amount of compensation on or before taking possession of the land failing which it would be liable to pay the amount awarded with interest thereon at the specified rates.

(3.) In the present case the facts relevant to address the claim under Section 34 of the Act are that, Section 4 Notification in respect of the disputed land was issued on 15th April, 1983. Section 6 notice was published with corrigendum to section 4 Notification on 27th June, 1985. The award was eventually passed on 26th June, 1987 in relation to Gut No.3 and Gut No.6. Compensation awarded in respect of Gut No.3 was Rs. 1,38,960/- out of which only amount of Rs.52, 110/- was received by the petitioners on 12th March, 1986. Balance outstanding amount of Rs.86,850/- was paid to the petitioners only on 25th March, 1992. In so far as Gut No.6 is concerned, the total compensation awarded was Rs.88,250.40 paise out of which, the petitioners had received only sum of Rs.33,048/- on 12th March, 1986 as advance payment. The balance amount of Rs.55,202.40 paise remained outstanding which was paid on 25th March, 1992. The aggregate of the outstanding amounts concerning Gut Nos.3 and 6 worked out to Rs.1,42,052.40 paise which was paid only on 25th March, 1992.