STATE OF ORISSA Vs. RAJENDRA PANDA

JUDGEMENT

(1.) This appeal arises out of a reference under S, 18 of the Land Acquisition Act.

(2.) An extent of 6.09 acres of land appertaining to plots Nos. 692 and 693 under holding No. 23 in mouza Kalamati was acquired by Government for the State Live Stock Breeding Farm. Notification under Section 4 of the Land Acquisition Act was issued on 23-1-1964 and the declaration under Section 6 of the Act was published on 22-9-1964. The compensation awarded by the Collector was a sum of Rs. 929.72 Paise only. On an application by the respondent the necessary reference under Section 18 of the Act was made to the Civil Court. The respondent claimed compensation at the rate of Rs. 10,000/- per acre which according to him was the prevailing market value of the land in question. The learned Subordinate Judge awarded compensation at the rate of Rs. 2,000/- per acre. additional compensation at the rate of 15 per cent of the total amount of compensation, and interest at the rate of 6 per cent per annum. Aggrieved by this decision, the State Government has preferred this appeal.

(3.) According to Section 23 (1) of the Land Acquisition Act, compensation has to be awarded on the basis of the market value prevalent on the date of the publication of the notification under Section 4 (1) of the Act and the said market rate must be determined by reference to the price which a willing vendor might reasonably expect to obtain from a willing purchaser. In ascertaining the market rate, the Court can rely upon such transactions which would afford a guide to fix the price. Price paid for a land acquired within a reasonable time from the date of acquisition of the land in question would certainly be the best piece of evidence and the price paid for a land possessing advantages similar to those of the land acquired in or about the time of notification will also supply the data for assessment of compensation--vide Padma Uppal v. State of Punjab, AIR 1977 SC 580.