25 September 1997
Supreme Court
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STATE OF HARYANA & ORS. Vs SHRI OM PRAKASH BHASIN (D)BY L.RS. & ORS.

Bench: A.S. ANAND,M. SRINIVASAN
Case number: Appeal (civil) 7716 of 1994


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PETITIONER: STATE OF HARYANA & ORS.

       Vs.

RESPONDENT: SHRI OM PRAKASH BHASIN (D)BY L.RS. & ORS.

DATE OF JUDGMENT:       25/09/1997

BENCH: A.S. ANAND, M. SRINIVASAN

ACT:

HEADNOTE:

JUDGMENT:               THE 25TH DAY OF SEPTEMBER, 1997 Present:                Hon’ble Dr. Justice A.S.Anand                Hon’ble Mr. Justice M.Srinivasan Prem Malhotra, Adv. for the appellants Ravindra Bana, Adv. for the Respondents                          O R D E R      The following Order of the Court was delivered:                          O R D E R      Delay condoned.      In this  appeal which  is directed against the judgment and order  of the High Court, dated 25.3.1985, notice issued by this  Court was  limited to  the question of solatium and interest only.      Notification under  Section 4  of the  Land Acquisition Act (hereinafter the Act) was issued on 7.10.1971.  The Land Acquisition Collector  made an  Award giving compensation of the acquired  land @  Rs. 200/-  per marla.   The respondent sought a  reference under  Section 18 of the Act against the award of  the Land  Acquisition Collector  and  the  learned District Judge,  Gurgaon, vide  an Award,  dated  10.10.1978 allowed compensation  @ Rs.  10/-  per  square  yard.    The respondent challenged the award of the District Judge in the High Court.  A learned Single Judge, vide judgment and order dated  28.1.1981   allowed  the   appeal  and  enhanced  the compensation from  Rs. 10/-  per square yard to Rs. 12/- per square yard.   The  respondent took  the matter  further  in appeal to  the Division  Bench.   The Division Bench further raised the  compensation to  Rs. 15/-  per square yard.  The Division Bench also held the respondent entitled to solatium @ 30%  on the  increase of  Rs. 3/- per square yard, besides interest @  9% per  annum for  one year  from  the  date  of possession of  the land  and @  5% per annum thereafter till the date  of payment.   The  Division Bench  pronounced  the judgment on March 25, 1985.  Hence, this Appeal.      Mr. Prem  Malhotra, learned  counsel for the appellants submits  that   the  Award  of  solatium  @  30%  under  the provisions of  Section 23(1-A)  of the Act, as introduced by the Amending  Act,  could  not  have  been  granted  to  the respondent in  view of  the judgment  of this  Court in K.S.

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Paripoornan vs.  State of  Kerala & Ors. (1994 (5) SCC 593). It is  also submitted that since the Award was made prior to 1982 and  even the  District Judge disposed of the reference under Section 18 of the Act prior to 1982, interest @ 9% and 15% was  not admissible to the respondent.  Reliance in that behalf is  placed on  K.S. Paripoornan  (II)  Vs.  State  of Kerala & Ors. (1995 (1) SCC 367).      The submission  made by  Mr. Malhotra  is well founded. Both the  issues are  squarely  covered  by  the  judgments, noticed above, we, therefore, accept this appeal in part and set aside  the judgment  and order  of the High Court, dated 25.3.1985 and  hold that the respondents are not entitled to grant of any solatium and that the rate of interest shall be confined to  6% per  annum only.   With this modification in the judgment  and order  of the  High Court dated 25.3.1985, the appeal  is disposed  of.   There shall,  however, be  no order as to costs.