PATEL JATHABHAI PUNAJBHAI Vs NORTH GUJARAT UNIVERSITY
Bench: CHIEF JUSTICE,A.K. SIKRI,ARUN MISHRA
Case number: C.A. No.-000474-000474 / 2013
Diary number: 37161 / 2012
Advocates: RAMESHWAR PRASAD GOYAL Vs
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NON-REPORTABLE
IN THE SUPREME COURT OF INDIA
CIVIL APPELLATE JURISDICTION
CIVIL APPEAL NO.474 OF 2013
Patel Jathabhai Punajbhai ... Appellant(s)
Vs.
North Gujarat University & Anr. ... Respondents
WITH
C.A. No. 475/2013; C.A. No. 476/2013; C.A. No. 477/2013; C.A. No. 478/2013; C.A. No. 482/2013; C.A. No. 483/2013; C.A. No. 484/2013; C.A. No. 485/2013; C.A. No. 487/2013; C.A. No. 514/2013; C.A. No. 515/2013; C.A. No. 517/2013; C.A. No. 518/2013; C.A. No. 519/2013; C.A. No. 520/2013; C.A. No. 521/2013; C.A. No. 522/2013; C.A. No. 523/2013; C.A. No. 526/2013; C.A. No. 527/2013; C.A. No. 528/2013; C.A. No. 529/2013; C.A. No. 1339/2013; and S.L.P. [C] Nos.16925-16936/2013.
J U D G M E N T
ARUN MISHRA, J.
1. The appeals arise out of the third group of matters
wherein a common judgment and order dated 7.8.2012
has been passed by the High Court of Gujarat at
Ahmedabad, determining the compensation for
agricultural land at the rate of Rs.60/- per sq.m. and for
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non-agricultural land at the rate of Rs.78/- per sq.m.
situated at village Samalpati and Matarwadi of Taluka
Patan acquired vide notification dated 23.5.1987 issued
under Section 4 of the Land Acquisition Act, 1894
(hereinafter referred to as ‘the Act’) for the purpose of
campus of North Gujarat University. The modified
notification under Section 4 had been issued on
13.8.1987. The award was passed on 21.9.1990
determining the price from Re.1/- to Rs.5/- per sq.m. On a
reference being made under section 18 of the Act, the
Reference Court determined the compensation at
Rs.109.30 per sq.m. for the agricultural land and Rs.184/-
per sq.m. for non-agricultural land. On appeal, the High
Court has reduced the compensation, as aforesaid.
Aggrieved thereby, the claimants have come up in
appeals before us.
2. The main question for our consideration is : what
would be the compensation to be awarded on the date of
notification under section 4 of the Act.
3. It is not in dispute that around the land in
question, development has already been made. Nearby to
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the land in question are colleges like Polytechnic, Arts,
Science and Commerce. On the Eastern side of the land is
the State Highway Deesa-Patan-Chanasma-Viramgam and
on Southern side of the road is the road to enter Patan
city. Railway station is also nearby. On the Western side in
the nearby area are bus stand, T.V. relay centre,
Telephone and telegraph head office.
4. In short, the land is surrounded by housing
societies, industrial zone, offices, college campus, roads,
bus service, other transport facilities and marketing
facilities. G.I.D.C. is hardly 500 meters away from the
acquired land which forms part of Municipal area, hence,
it was contended that the area is virtually a part of Patan
Municipality for all purposes. The agricultural land
possesses high potentiality to be used for residential and
commerce purposes. The High Court has found out that
the area touches the extended limits of Patan city.
Reliance has been placed on Ex. D-87 and D-88, the sale-
deeds of the area at 500 metres of distance where the
land was sold on 10.12.1985 at the rate of Rs.239.20 per
sq.m., after applying 10% increase on the date of
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notification under Section 4, the market value of non-
agricultural land comes to Rs.275.08 per sq.m. and on the
strength of sale-deed Ex. D-88, the price would come to
Rs.184.04 per sq.m. It was also submitted that the
highest consideration fetched in the exemplar sale-deed
ought to have been taken into consideration for
determining the just compensation.
5. Per contra, adequate compensation has been
worked out. The High Court has rightly reduced the
compensation as determined by the Reference Court
considering the fact that the land acquired was a large
chunk of land.
6. In the instant case, the Land Acquisition Officer,
Reference Court as well as the High Court, in the peculiar
facts and circumstances of the case, have determined the
compensation on the basis of price of the land at per
sq.m. The area in question is not within the municipal
limits but adjacent to the extended limits of Patan
municipality. The fact that various educational
institutions, houses, railway station, bus stands and other
offices are in close vicinity and the entire land has the
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potentiality like that of non-agricultural land on the date
of notification under Section 4 of the Act, is not disputed.
7. In the appeals, we are concerned with the third
group of matters. The High Court has found that
comparable sale instances in the third group of matters
are in the shape of sale-deed Ex. 45, 46 and 47. The price
per square meter comes to Rs.118.34, Rs.119.47 and
104.93. The lands which were sold were non-agricultural
land. The High Court while considering the aforesaid sale-
deeds, after deducting 30% value for determining the
price of the agricultural land per sq.m. and thereafter
adding 10% from the date of sale-deed to the date of
notification under Section 4 of the Act, has arrived at a
finding that the price per sq.m. for land would come to
Rs.108/-, Rs.101/- and Rs.89/- respectively, averaging
approximately Rs.100/- per sq.m. Further deduction of
10% from the value so arrived at as land is large chunk,
the price per sq.m. on strength of said sale deeds had
been arrived at Rs.97, Rs. 90 and Rs. 80 respectively.
However, considering the sale-deeds filed for the purpose
of first and fourth group of matters had averaged the
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price and thus it has arrived at value of Rs.60/- for
agricultural land and Rs.78/- for non-agricultural land.
8. In our view, we have to consider the sale
instances available for the third group of matters. In the
peculiar facts and circumstances, it would have been
appropriate to deduct approximately 30% of the amount
for development etc. Further deduction for determining
the valuation of the land was not called for. In our opinion,
it would be appropriate and just to award compensation
at the rate of Rs.100/- per sq.m. for entire land.
9. Reliance placed by the appellants on sale-deeds Ex. 87
and 88 is of no avail as they are with respect to the area
inside the extended limits of the municipality. We have
comparable sale deeds Ex. P45 to 47 of the area in
question itself.
10. Consequently, appeals are partly allowed, the
compensation determined by the High Court with respect
to the third group of matters is modified to the aforesaid
extent.
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11. Coming to S.L.P. [C] Nos.16925-36/2013, in
respect of other group of matters, admittedly no appeal
or cross-objection was preferred as against the order
passed by the Reference Court to the High Court. The
High Court has, thus, rightly declined to enhance the
compensation. We agree with the reasons given by the
High Court and dismiss the SLPs.
No costs.
.................................CJI (H.L. Dattu)
...................................J. (A.K. Sikri)
New Delhi; ....................................J. January 28, 2015. (Arun Mishra)