VIDYA SURI Vs. STATE OF PUNJAB

JUDGEMENT

(1.) This order will dispose of two writ petitions 4748 and 4749 of 1983 as the orders impugned therein are the same and common questions of law and fact arise in them.

(2.) An area measuring 499 kanals 17 marlas including the land of the petitioners located in the revenue estate of Jalandhar City along the Jalandhar Cantt. road and within the boundaries of Jalandhar municipality was acquired by the Jalandhar Improvement Trust for the development of a scheme known as '50 acre development scheme' as per notification issued under Section 36 of the Town Improvement Act which corresponds to the provisions of Section 4 of the Land Acquisition Act, 1894 (hereinafter referred to as 'the Act'). While determining the compensation to be awarded to the land owners, the Land Acquisition Collector, Improvement Trust, Jalandhar (for short, 'the Collector') as per his award dated July 21, 1966 divided the acquired land into two Belts, i.e., Belt 'A' and Belt 'B'. The land of the petitioners falls in Belt 'B'. In respect of land included in Belt 'A', the Collector allowed compensation at the rate of Rs. 115/- per marla whereas the land comprised in Belt 'B' was assessed to compensation at the rate of Rs. 50/- per marla. Being not satisfied, the land-owners filed reference under Section 18 of the Act for enhancement of compensation. The tribunal while maintaining the two Belts in which the acquired land was divided by the Collector determined the market price of the land in Belt 'A' at the rate of Rs. 260/- per marla and in regard to the land in Belt 'B' the market price was fixed at the rate of Rs. 170/- per marla. The award of the Collector was modified and the amount of compensation payable to the land owners was accordingly enhanced. In addition to the enhanced compensation, the land owners including the petitioners whose land fell in Belt 'B' were granted solatium at the rate of 15% but only on the enhanced amount of compensation and not on the entire amount of compensation. They were also allowed statutory interest but that too only on the amount of compensation minus solatium. The award of the Tribunal modifying that of the Collector has been impugned in the present writ-petitions filed under Article 226 of the Constitution.

(3.) It was contended on behalf of the petitioners that there was no justification for dividing the acquired land into two Belts and assessing different rates of compensation. It was urged that the entire land falls within the municipal limits of Jalandhar town and was acquired for the same purpose, namely, for the development of 'housing development scheme' by the Trust and had the same potential for development as residential colony. I find merit in this contention. The only reason given by the Collector for dividing the land into two Belts is that part of it was situated on the metalled road leading to Jalandhar Cantt. which was put in Belt 'A' while the other land as its rear was under cultivation except a small portion and since there was no abadi then its value was sought to be assessed for agricultural purposes. The Tribunal gave no reasons for maintaining the two Belts but found that potential of the entire land for being used for residential purpose was uniform. It would be pertinent to notice here the finding which the Tribunal recorded after examining the evidence led by the parties. In para 8 of the judgment it was held as under :-