The base figure was taken from an order of Reference Court dated 30.08.2000 relating to acquisition of land of the same village Naraingarh of the year 1989, and the period of 11 years being counted from 1989 to 2000, the year of the notification dated 10.11.2000 issued under Section 4 of the 1894 Act. per Marla and further equivalent to Rs.72.31 per square yard being the market value SLP (C) No 30817-30818 of 2016 Page 4 of 16 prevailing on the date of notification under Section 4 of the 1894 Act. d) Report of the Committee constituted at the Divisional Level for evaluation under the chairmanship of Divisional Commissioner had fixed the market rate of Rs.3,50,000/- per acre after considering the market rates provided from the Office of the District Collector, Ambala. After considering the material on record, the Reference Court/ Additional District Judge, Ambala allowed the reference and determined the market value at Rs.6,310/- per Marla equivalent to Rs.208.59/- per square yard by taking into account 12% (simple/flat) increase per annum for 11 years from 1989 to 2000.
The High Court granted an annual increase at the rate of 15% on cumulative basis for a period of 11 years, relying upon the judgment of this Court in the case of General Manager, Oil and Natural Gas Corporation Limited vs Rameshbhai Jivanbhai Patel and Another. The breakup of which is as follows: (i) Rs.49,71,728/- was paid at the time of award; (ii) under interim order of the High Court, further amount of Rs.65,69,816/- along with TDS of Rs.2,14,000/- was paid; and (iii) further Rs.2,54,46,007/- was deposited and paid as directed by this Court. The law on the point of annual increase whether on cumulative basis or non-cumulative basis and the SLP (C) No 30817-30818 of 2016 Page 10 of 16 rate of annual increase to be applied are thus to be considered. State of Haryana, iv) Ramrao Shankar Tapase vs Maharashtra Industrial Development Corporation and Others, v) State of Haryana and Another vs Subhash Chander and Others SLP (C) No 30817-30818 of 2016 Page 11 of 16 17. Normally, recourse is taken to the mode of determining the market value by providing appropriate escalation over the proved market value of nearby lands in previous years (as evidenced by sale transactions or acquisitions), where there is no evidence of any contemporaneous sale transactions or acquisitions of comparable lands in the neighbourhood.
We will also refer to order dated 22.08.2014 in the case of Narbadi Devi & others (supra) which relied SLP (C) No 30817-30818 of 2016 Page 13 of 16 upon the judgment in the case of Ashrafi & others ( supra ) and accepted the annual increase of 12% cumulatively. Recently, in the year 2022, this Court in the case of Ramrao Shankar Tapase (supra) citing the judgment in the case of Rameshbhai Jivanbhai Patel (supra) and other similar matters, awarded annual increase cumulatively at the rate of 12% for a period of three years. Taking an overall view in the matter and the consistent view of this Court, the fair and reasonable compensation in the present case would be best determined if we apply 8% annual increase with cumulative effect. In case, after the final calculation, the Land Acquisition Collector finds that any additional amount has been paid to the respondents, the same be recovered in SLP (C) No 30817-30818 of 2016 Page 16 of 16 accordance with the law, however, if the final calculation requires some additional amount to be paid to the respondents, the same to be paid within two months from the date of receipt of this judgment.
