RAYALASEEMA PAPER MILLS LTD Vs. HABEEB KHATOON

JUDGEMENT

(1.) 1 This is an appeal by the Company at whose instance land was acquired against the judgment, dated 19-1-1985 of the Principal Subordinate Judge, Kurnool, in O.P.No. 396/81 which was a Reference under Section 18 of the Land Acquisition Act (herein after referred to as the Act). The claimants are impleaded as respondents 1 to 7 and the Land Acquisition Officer, that is, the Collector, is the respondent No. 8.

(2.) The controversy in the appeal lies in a narrow compass. The notification under Section 4 (1) of the Act was published on 17-1-1975. Possession was taken of the land before the award was passed on 27-11-1976. After the various formalities the award was passed by the Collector on 10-9-1979. At the instance of the claimants a reference was made to the Court and it has confirmed the compensation awarded by the Collator in respect of the land which was acquired, but enhanced the compensation only in respect of tamarind trees standing in Survey number 79 by Rs. 12137-14. In the said judgment the Court has also directed the Land Acquisition Officer to pay interest on the market value of all the properties under acquisition at 12% per annum from 1 7-1-1975, that is the date of notification to 27-11-1976 that is, the date of possession and has also given other incidental directions. The appellant is aggrieved only in respect of the direction of the lower Court regarding payment of interests at 12% per annum from 17-1-1975 to 27-11-1976 on the total compensation.

(3.) While the reference was pending before the Court the Land Acquisition Act was amended by the Central Land Acquisition (Amendment) Act, 1984 (Act No. 68 of 1984) which came into force on 24-9-1984. Far- reaching amendments have been made by the Amendment Act, but we are concerned only with Section 23 sub-section (1-A) which has been newly introduced and the transitional provisions contained in Section 30 sub-section (1) of the Amendment Act. Section 23 provides for the matters to be considered in determining compensation. The newly introduced sub-section (1-A) reads as follows: "(1-A") Tn addition to the market value of the land, as above provided, the Court shall in every case award an amount calculated at the rate of twelve per centum per annum on such market value for the period commencing on and from the date of the publication of the notification under Section 4, sub-section (1), in respect of such land to the date of the award of the Collector or the date of taking possession of the land, whichever is earlier. Explanation :Tn computing the period referred to in this subsection, any period or periods during which proceedings for the acquisition of the land were held up on account of any stay or injunction by the order of any Court shall be excluded."