In CIVIL APPEAL NO.3332 OF 2001 T.S. Ramachandra Shetty v. Chairman, Karnataka Housing Board& Another[i], the appellant had purchased only an year ago, the that very piece of land for Rs.45,000/- and after an year, the State had given compensation of Rs.1,30,680/-. Speaking for the bench his Lordship Hon. Dalveer Bhandari, J held that the compensation amount cannot be said to be inadequate by any stretch of imagination. After making elaborate discussion of case Law, the court emphasized that a recent sale deed is the best evidence of market value of the acquired land.
In Bangaru Narasingha Rao Naidu & Ors.v. Revenue Divisional Officer, Vizianagaram[ii] the Supreme Court observed that the best evidence of the market value of the acquired land is afforded by transactions of sale in respect of the very acquired land.
In Special
In Periyar and Pareekanni Rubbers Ltd. v. State of Kerala[iv],the Supreme Court observed as under: “..When the Courts are called upon to fix the market value of the land in compulsory acquisition, the best evidence of the value of property is the sale of the acquired land to which the claimant himself is a party, in its absence the sales of the neighbouring lands. In proof of the sale transaction, the relationship of the parties to the transaction, the market conditions, the terms of the sale and the date of the sale are to be looked into. These features would be established by examining either the vendor or vendee and if they are not available, the attesting witnesses who have personal knowledge of the transaction etc. The original sale deed or certified copy thereof should be tendered as evidence. The underlying principle to fix a fair market value with reference to comparable sales is to reduce the element of speculation. In a comparable sale the features are: (1) it must be within a reasonable time of the date of the notification; (2) it should be a bona fide transaction; (3) it should be a sale of the land acquired or land adjacent to the land acquired and (4) it should possess similar advantages. These should be established by adduction of material evidence by examining as stated above the parties to the sale or persons having personal knowledge of the sale transactions. The proof also would focus on the fact whether the transactions are genuine and bona fide transactions.”
In Printers House Pvt. Ltd. v. Cold Storage and Food Products and Ors,[v] the Supreme Court dealt with the similar proposition that the sale price of the acquired land is an important factor for determining the compensation.
In Ranvir Singh and Another v. Union of India[vi] the Supreme Court reiterated the well settled principle that the sale deeds pertaining to the portion of lands which are subject to acquisition would be the most relevant piece of evidence for assessing the market value of the acquired lands.
In the Dollar Company,
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Tags :Civil Law