The appellant's land measuring 171 kanals 5 marlas, situate in the area of Chak 47 NB, Tehsil and District Sargodha, was compulsorily acquired by the Provincial Government for a public purpose.
Being dissatisfied with the award given by the Land Acquisition Collector the appellant asked for reference to the Civil Court to determine the correct amount of compensation payable to him: By his judgment of the 29th June, 1974, the learned Senior Civil Judge Sargodha, enhanced the value of the land at the rate of Rs.1,000 per acre. However, he did not award a sum of 15 per cent on such value in consideration of the compulsory nature of the acquisition. He directed payment of compound interest at the rate of 9 per cent per annum from the date of judgment till the date of realisation of the excess amount of compensation. The appellant has approached this Court in appeal and the learned counsel has made two-fold grievances: He has stressed compliance with the provisions of section 23(2) of the Land Acquisition Act, 1894, for award of 15 per cent of the value of the land as compulsory acquisition charges and has requested for the payment of interest from the date of taking of possession of the land by the Government till the date of payment of excess amount of compensation into Court.
2. As enjoined by subsection (2) of section 23 of the Act it was obligatory upon the learned trial Court to have awarded 15 per cent of the market value of the land in consideration of compulsory nature of acquisition. This deficiency has to be supplied. Accordingly, the appeal is partially accepted and the impugned judgment is modified to the extent that the appellant will be paid 15 per cent of the excess amount of compensation adjudged by the learned trial Court. He will get compound interest at the rate of 8 per cent per annum from the date of this judgment till the payment of the amount equivalent to 15 per cent of the excess compensation into Court.
3. The award of interest under section 28 of the Land Acquisition Act being discretionary with the Court it is not advisable to disturb the discretion exercised by the learned trial Court. Therefore, the order directing payment of interest from the date of judgment is kept intact. The appellant will get his costs of this appeal from the respondent.
H.B.T./M-1257/1