11 January 1995
Supreme Court
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SPECIAL TAHSILDAR(LA), P.W.D. SCHEMES Vs M.A. JABBAR


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A THE SPECIAL TEHSILDAR (LA) P.W.D. SCHEMES,  VIJAYAWADA  

v.  MA. JABBAR  

B  JANUARY 11, 1995  

(K. RAMASWAMY AND SUJATA V. MANOHAR, JJ.)  

Land Acquisition Ac4 ]~Amendment Act 68/84 :  

C S.23( 1-A}-Additional amount-Claimant entitled from date of publi- cation of notification under s. 4( 1) till date of award since possession taken  before the Amending Act.  

A notiftcatlon under s.4(1) or the Land Acquisition Aci was publish- ed on March 6, 1980, though possession or the land was taken on February  

D 15, 1965. The award was made by the Collector on September 30, 1983. On  appeal, the High Court determined the compensation at Rs. UO per sq.  yard and awarded solatlum @ 30'J'o on enhanced compensation.  

In this appeal, the State contended that since possession had already  been taken prior to the Amending Aci 68 or 1984 came into force, the  

E claimant was not entitled to additional amount.  

In the cross-appeal, the respondent-claimant contended that since  possession was already taken and the owner was deprived of the enjoy- ment of the land, additional amount should be paid from the date of taking  

F possession since s. 23(1A) stipulated that the amount shall be payable  from the date of the award or taking possession whichever is earlier.  

Dismissing the appeals, this Court  

HELD : 1. The claimants would be entitled to additional amount of  G the enhanced market value at 12% per annum from the date of the  

publication of the notification under s.4(1) of the Land Acquisition Act till  the date of the award, since possession had already been taken before the  Amending Act bas come into force. [183-D)  

2. In interpreting (sub-s.lA) of S.23, the High Court is right in  H c<1Dcluding that the claimants are entitled to the additional amount at the  

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TEHSILDAR (LA) P.W.D. SCHEMES v. MA JABBAR 181  

rate of 12% per annum from March 6, 1980, the date of publication of the A  notification till the date of award, namely, September 30,1983. The owner  of tbe land who has deprived of the enjoyment of the land by having been  parted with possession, the Act intended that the owner be compensated  by awarding an additional amount calculated at the rate of 12% per annum  on the enhanced market value for the period between the date of notifica· B  tion and the date of award or date of taking possession of the land  whichever is earlier. Admittedly, possession having already been taken on  February 15, 1965, before publication of the notification under s.4(1) on  March 6, 1980 the award of additional amount for the period from March  6, 1980 to September 30, 1983, I.e., the date of making the award under s-.u  Is perfectly correct. In addition to other statutory benefits the owner also C  is entitled to the additional amount but to give it from February 15, 1965,  I.e. from the date of taking possession, though apparently earlier in point  of time mentioned in s. 23 (1 ·A), in effect amounts to giving retrospective  effect to Sub·s. (1 ·A) to s. 23 under the Amendment Act 68/84, though the  Amendment Act was prospective and the transitory provision had only D  retro limited activity. [182-F-H, 183-A·CJ  

CIVIL APPELLATE JURISDICTION : Civil Appeal Nos. 1891-92  of 1989.  

From the Judgment and Order dated 8.9.88 of the Andhra Pradesh E  High Court in A. No. 95 of 1987.  

G. Prabhakar for the Appellant.  

K.R. Nagaraja for the Respondent.  

The following Order of the Court was delivered :  

The short point that arises for consideration in these appeals is  whether the claimant-respondent in C.A. No. 1891/89 would be entitled to  

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the additional amount in terms of s. 23(1) of the Land Acquisition Act of  1894 (for short 'the Act') from the date of taking possession, namely, G  February 15, 1%5. Indisputably, facts are that the notification under s. 4{1)  of the Act was published on March 6, 1980, though possession of the land  was taken on February 15, 1%5. The award under s.11 was made by the  Collector on September 30, 1983. The High Court of A.P. in A.S. No. 95  of 1987 while determining the compensation at Rs. 120 per sq. yard H

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182 SUPREME COURT REPORTS [1995] 1 S.C.R.  

A awarded solatium @ 30% on enhanced compensation. The additional  amount @ 12% per annum on the market value from the date of the  notification from March 6, 1983 till the date of award, namely, September  30, 1983 and interest @ 9% aiter taking possession from 15.2.1965 till  14.2.1966 and thereafter @ 15% till the date of payment.  

B This court while granting leave confined the question of entitlement  of the benefits under Amending Act 68/1984. In view of the fact that the  award itself was made after the Amending Act came into force, the  claimant entitled to the benefits nnder sub- s.(2) of S.23, solatium on the  enhanced marked value at 30% and also interest under s.28. The only area  

C of dispute is whether the claimant is entitled to additional ·amount under  s.23(1A), and if so from what date. It is contended for the State that since  possession had alr~ady been taken prior to the Amending Act 68 of 1984  has come into force, the claimant is not entitled to the additional amount.  On the other hand it is contended for the claimant that since possession  was already taken and the owner was deprived of the enjoyment· of the  land, additional amount should be paid from the date of taking possession  

· since it was stated under s.23( lA) that the amount shall be payable from  the date of the award or taking possession which ever is earlier. Since  possession was taken earlier, the claimants are entitled to the additional  amount @ 12% per annum from the date of taking possession, namely,  

E February 15, 1965.  

On a true interpretation of sub-s. (1-A) of s.23, we are of the  considered view that the High Court is right in concluding that the  claimants are entitled to the additional amount at the rate of 12% per  

F annum from March 6, 1980, the date of publication of the notification till  the date of award, namely, September 30, 1983. Sub-s. (1-A) of s.23  adumbrates that "in addition to the market value of the land, the Court  shall in every case award an amount calculated at the rate of twelve per  centum per annum on such market-value for the period commencing on  and from the date of the publication of the notification under s.4(1), in  

G respect of such land to the date of the award of the Collector or the date  of taking possession of the land, whichever is earlier". In other words, the  owner of the land who has been deprived of the enjoyment of the land by  having been parted with possession, the Act intended that the owner be  compensated by awarding an additional amount calculated at the rate of  

H 12 per centum per annum on the enhanced market value for the period

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TEHSILDAR (LA) P.W.D. SCHEMES v. M.A. JABBAR 183  

between the date of notification and the date of award or date of taking A  possession of the land whichever is earlier. Admittedly, possession having  already been taken on February 15, 1965, before publication of the notifica- tion under s.4(1) on March 6, 1980, the award of additional amount for the  period from March 6, 1980 to September 30, 1983, i.e. the date of making  the award under s.11 is perfectly correct. In addition to other statutory B  benefits, the owner also is entitled to the additional amount but to given  award additional amount from February 15, 1965, i.e. from the date of  taking possession, though apparently earlier in point of time mentioned in  s.23 (1-A), in effect it amount to giving retrospective effect to Sub-s. (1-A)  to s.23 under the Amendment Act 68/84. Even though the Amendment Act  was prospective and the transitory provision had only retro limited activity. C  

Therefore, we hold that the claimants would be entitled to additional  amount of the enhanced market value at 12% per annum from the date of  the publication of the notification under s.4(1) till the date of the award,  since possession had already been taken before the Amendment Act has  come into force. Both the appeal by the State and cross appeal by the D  claimant are accordingly dismissed. No costs.  

G.N. Appeals dismissed.