GAJARAJ SAHU Vs. STATE OF ORISSA

JUDGEMENT

(1.) THIS appeal is confined to Khunti No. 6 in Village Patrapalli in Sambalpur district, in which the disputed lands of about 10.39 acres are situated. They were acquired on 15/11/1951. They have been recorded as Gounti Raiyati lands. The arbitrator granted compensation at 500 times the deduced rent under Section 7 (1) (e) second proviso, of the Orissa Development of Industries, Irrigation, Agriculture, Capital Construction, and Resettlement of Displaced Persons (Land Acquisition) Act, 1948 (Orissa Act 18 of 1948) - (hereinafter to be referred to as the Act). The correctness of some of the decisions of this Court was challenged while the case was heard by one of us. Some of those decisions are conflicting. To resolve this conflict, the matter has been referred to the Full Bench.

(2.) MR. Patnaik for the appellant contends that raiyati lands in Sambalpur district cannot be said to be saleable under the Central Provinces Tenancy Act, 1898 (herein after to be referred to as the Tenancy Act) and as such the second proviso to Section 7 (1) (e) of the Act does not apply and the appellant is entitled to compensation on the market value of the land under the first proviso - which would be 16 times the net yield.

(3.) IN the result the impugned award of the Arbitrator is set aside and the case is sent back to him to determine the compensation as indicated above. The appeal is allowed, but in the circumstances without costs. Appeal allowed.