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PETITIONER: COLLECTOR, LAND ACQUISITION

       Vs.

RESPONDENT: GANARAM DHOBA

DATE OF JUDGMENT04/12/1995

BENCH: RAMASWAMY, K. BENCH: RAMASWAMY, K. PARIPOORNAN, K.S.(J)

CITATION:  1996 SCC  (1) 631        JT 1995 (9)   613  1995 SCALE  (7)365

ACT:

HEADNOTE:

JUDGMENT:                          O R D E R      Leave granted.      This appeal  by special  leave arises from the judgment dated 16th  August, 1991 of the Division Bench of the Orissa High Court  made in  F.A. No.135/91. The High Court accepted the oral  evidence that  the yield from the land was 22 bags per acre. It also accepted the deduction of 50% of the value of the  crop for  cultivation expenses. It also accepted the prevailing price  as on  the relevant  dated as Rs.130/- per bag; 27.20  acres for  single crop wet lands and 4 acres for double crop  wet lands.  Therefore, it accepted the findings of the  reference Court  and modified the same to the extent of single crop wet lands. Thus this appeal by special leave.      Notification  under   Section  4   [1]  of   the   Land Acquisition Act,  1894 [for  short, "the Act"] was published on 19th August, 1983. The award under Section 11 was made on April 25,  1987. The reference Court awarded compensation on 8th February,  1991. On appeal, by judgment and decree dated 16th August,  1991, the  High Court confirmed the award with the above modification.      It is  contended for  the State that statistics for the year 1957 show that the yield in that area was about 10 bags and that,  therefore,  the  High  Court  was  not  right  in confirming the  compensation at 22 bags per acre. It is seen that from  the year  1957 till 1987 considerable improvement must obviously have been made. Under those circumstances, no attempt has  been made  by the State to produce the relevant statistics  of   the  produce   as  on   the  date   of  the notification, viz.,  19th August, 1983. Therefore, we cannot accept the contention of the State that the produce from the lands would  be as  per the  statistics prevailing  in 1957. Even accepting the valuation given by the reference Court as well as the High Court, it is settled law that multiplier of 10  would   be  the   proper  multiplier  to  determine  the compensation when  the land  is assessed on the basis of the

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yield of  agricultural lands.  The reference  Court  applied multiplier  of  16  and  the  High  Court  upheld  it.  This obviously is  illegal and  application of wrong principle of law.      The annual  yield at  Rs.1430/- should be multiplied by 10 and  the market value should be determined at Rs.14,300/- per acre. The compensation should accordingly be determined. The claimants  would also  be entitled  to enhanced solatium and interest  and also  12% additional  amount per  annum on enhanced compensation  under the Act as amended by Act 68 of 1984.      The appeal is allowed accordingly. No costs.