High Court of KeralaDivision BenchRemand to lower court for fresh consideration i...

Sosa w/o K.V. Mathew & Others v. State of Kerala & Indian Oil Corporation Ltd.

Case / Petition Number:L.A.A. 238/02

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • Kuri an Joseph
  • Harun-Ul-Rashid
Judgment Date
2008-01-03
Court Decision / Holding
The appeal is allowed; the judgment and decree of the III Additional Sub Judge, Ernakulam are set aside. The case is remanded to the trial court for fresh consideration in accordance with law, with reappreciation of Exhibits A5–A12, possible commission inquiry, and correct categorization. The appellants are entitled to refund of court fees. Parties to appear on 31.01.2008, and the lower court shall dispose of the case within six months from appearance. There is no order as to costs.
Final Disposition
Remand to lower court for fresh consideration in accordance with law (revaluation, categorization, and evidence reappraisal)

Parties to the Case

Appellants / Petitioners

  • Sosa w/o K.V. Mathew
  • Varghese K. Mathew
  • Paul K. Mathew
  • Anil K. Mathew
  • Valsa Thomas
  • Santha Kuruvilla
  • Aji Paul
  • Neena Thomas

Respondents

  • State of Kerala
  • Indian Oil Corporation Ltd.

Legal Representation & Advocates

Counsels for Petitioners

  • • Soman P. Paul

Counsels for Respondents

  • • K.V. Manojkumar
  • • A.M. Shaffique
  • • P. Santhal ingam

Case Synopsis & Summary

This High Court of Kerala appeal arises from LA.A. No. 238/02 (L.A.A. No. 238/02) in a Land Acquisition matter relating to LAR No. 151/1997. The Indian Oil Corporation acquired 55.49 acres of dry land and 62.51 acres of wet land for storage tanks along the Ambalamughal–Alwaye road, with Section 4(1) notification published on 19.12.1994. The claimants contended that the entire acquired property was dry land, and argued that Exhibits A5–A12, though rejected by the Sub Judge, should form the basis for valuing the land, especially given mortgage deeds (A2–A3) and government notifications. The trial court valued dry land and wet land at higher percentages over the Land Acquisition Authority’s rates, applying a 25% increase for some dry land and 40% for wet land. The appellants urged reconsideration of valuation and categorization and requested permission to appoint a commission to establish location and significance of the lands. The respondents contended that the lower court’s rejection of A5–A12 was correct and that the entire land’s categorization should be determined from the evidence on record. The High Court allowed the appeal, set aside the decree, and remanded the case to the trial court for fresh consideration in accordance with law, directing refund of court fees with a six-month deadline and no costs. The court also relied on Lucknow Development Authority v. Lahoti to permit comparison of small-plot values with appropriate deductions where warranted.

Provisions of Law Cited

Section 4(1) of the Land Acquisition Act

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellants urge reconsideration of the lower court’s valuation, asserting that Exhibits A5–A12 relate to larger plots and should be admitted to reflect true market value. They contend the entire acquired land is dry land and should be categorized accordingly, relying on mortgage deeds (A2–A3) and the government notification under Section 4(1). They seek to reappraise evidence and allow the appellants to appoint a commission to establish the location and significance of the lands, with a view to arriving at a fair land value.

Contentions of Respondents

The respondents defend the lower court’s findings, arguing that Exhibits A5–A12 were properly rejected as they relate to small patches and cannot be used to determine value for large extents; they contend the categorization and valuation should rest on the evidence before the trial court and that there is no conclusive proof that the entire land was dry as per the notification.

Cited Precedents (1)

Case NameCitationTreatmentExplanation
Lucknow Development Authority v. Krishna Gopal Lahoti2007(4) KLT 1046 (SC)PositiveThe Apex Court held that small-plot rates may be used as a basis for fixation of the price with necessary deductions/adjustments when no other material is available; this supports allowing comparative valuation in appropriate cases.

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Extracted Judgment Text

Exact text extracted from official judgment records.

## **IN THE HIGH COURT OF KERALA AT ERNAKULAM** ## **PRESENT :** **THE HONOURABLE MR. JUSTICE KURIAN JOSEPH** **&** **THE HONOURABLE MR. JUSTICE HARUN-UL-RASHID** **THURSDAY, THE 3RD JANUARY 2008 / 13TH POUSHA 1929** **LA.App. No. 238 of 2002(D)** **--------------------------------LAR.151/1997 of III ADDL.SUB COURT,ERNAKULAM ....................** ## **APPELLANTS/CLAIMANTS IN THE L.A.R:** **-----------------------------------------------** **1. SOSA W/O. K.V. MATHEW, MOHAN VILLA, THEKKUMBHAGOM,TRIPUNITHURA.** **2. VARGHESE K.MATHEW, S/O. DO. DO** **3. PAUL K.MATHEW, S/O. DO. DO.** **4. ANIL K.MATHEW, S/O. DO. DO.** **5. VALSA THOMAS, D/O. DO. DO.** **6. SANTHA KURUVILLA, D/O. DO. DO.** **7. AJI PAUL, D/O. DO. DO.** **8. NEENA THOMAS, D/O. DO. DO. (APPELLANTS 1 AND 3 TO 8 REPRESENTED BY THEIR POWER OF ATTORNEY HOLDER 2ND APPELLANT VARGHESE K.MATHEW, MOHAN VILLA,THEKKUMBHAGAM, TRIPUNITHURA)** **BY ADV. SRI. SOMAN P.PAUL** ## **RESPONDENTS/RESPONDENTS/RESPONDENTS 1 & 2 IN THE LAR:** **-----------------------------------------------------** **1. STATE OF KERALA, NOTICE FOR WHOM MAY BE SERVED ON THE CHIEF SECRETARY TO GOVERNMENT SECRETARIAT,TRIVANDRUM.** **LA.App. No. 238 of 2002(D)** **...2...** **2. INDIAN OIL CORPORATION LTD., REGD.** **OFFICE AT G-9, ALIYAVUR JUNG MARG, BANDRA EAST, MUMBAI-51, ITS COCHIN MARKETING TERMINAL AT IRIMPANAM, REPRESENTED BY ITS PROJECT MANAGER, AND POWER OF ATTORNEY HOLDER, I.O.C., IRIMPANAM.** **BY GOVERNMENT PLEADER SRI. K.V. MANOJKUMAR. SRI.A.M.SHAFFIQUE SRI.P.SANTHALINGAM** **THIS LAND ACQUISITION APPEAL HAVING BEEN FINALLY HEARD ON 03/01/2008, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:** ## **KURIAN JOSEPH & HARUN-UL-RASHID, JJ. ----------------------------------------L.A.A. NO. 238 OF 2002** **----------------------------------------Dated this the 3[rd] day of January, 2008.** ## **J U D G M E N T** ## **- - Harun Ul Rashid, J.** This appeal is filed by the claimants in L.A.R. No. 151/1997 against the judgment and decree dated 31.07.2000 on the file of the III Additional Sub Judge, Ernakulam. An extent of 55.49 Ares of dry land and 62.51 Ares of wet land has been acquired for the purpose of installing storage tanks for Indian Oil Corporation. The Land Acquisition Officer valued dry land at Rs.33,480/- per Are and wet land at Rs.4,780/- per Are. Section 4(1) notification was published on 19.12.1994. 2. According to the claimants, acquired lands are situated in an industrial belt, by the side of Ambalamughal-Alwaye road. In the claim statement filed, they have stated the location of various public and private institutions and public limited companies near to the acquired lands. **L.A.A. 238/02 2** 3. In support of the claim for compensation, claimants examined AW1 to AW6. Exhibits A1 to A12 are also marked to establish their claim. The respondents examined RW1 and marked Exhibits B1 and B2. The court below considered Exhibits A5 to A12 documents. But all the said documents were rejected for the reasons stated in paragraphs 21 and 22 of the judgment under appeal. 4. According to the learned Sub Judge, the documents relating to small patches of land cannot be taken into consideration for valuing large extents of land. We find that the above said documents not only relates to small patches of land but also relates to bigger plots having 86 cents and 19 cents as well. The court below also find fault with the claimants for not taking out a commission to bring out the comparative merits and demerits of the acquired lands and Exhibits A5 to A12 lands. 5. Learned counsel for the appellants brought to our notice the decision of the Apex Court reported in _**Lucknow Development Authority vs. Krishna Gopal Lahoti (2007(4)**_ _**KLT 1046 (SC)**_ ) wherein it is held that it cannot be laid down as an absolute proposition that the rates fixed for the small plots **L.A.A. 238/02 3** cannot be the basis for fixation of the rate. The Apex Court further held that where there is no other material it may in appropriate cases be open to the adjudicating court to make comparison of the prices paid for small plots of land with necessary deductions/adjustments to be made while determining the prices. 6. The next question argued before us is as to whether the entire land involved in the LAR case was dry land on the date of notification. We have noticed the fact that as per the village records, only portions of the acquired land were dry and the balance extent were wet lands. Learned counsel for the claimants submitted before us that Exhibits A2 and A3 registered mortgage deeds, oral evidence adduced by the claimants and the notification published by the Government under Section 4(1) of the Land Acquisition Act will go to show that the entire land is dry land and should have been categorized as Category No. 1. 7. The court below after rejecting Exhibits A5 to A12 documents granted 25% increase on the land value fixed by the Land Acquisition Authority taking into account the fact that document No. 68/98 dated 06.01.1994 was executed 11 months **L.A.A. 238/02 4** prior to the date of Section 4(1) notification and further that there is a tendency to under value the property in the documents of sale to save stamp duty. For the wet lands, the court below held that 40% increase on the land value fixed by the Land Acquisition Authority is a reasonable price. 8. On the basis of the conclusions we have taken note of in the preceding paragraphs and on the basis of the contentions raised by the counsel for the appellants, we are of the view that a reconsideration of the land value is to be made in the interests of justice. The court below shall reappreciate the evidence including Exhibits A5 to A12 in order to arrive at a proper and reasonable land value. The appellants-claimants shall also be given an opportunity to take out a commission for the purpose of establishing the location and importance of the acquired lands. Regarding the categorization also, we find that a reappreciation of the facts shall be resorted to by the court below for the purpose of finding out the correct categorization. In the result, we set aside the judgment and decree under appeal and remand the case for fresh consideration in accordance with law. The appellants are entitled to refund of the court fee **L.A.A. 238/02 5** paid. Parties shall appear before the court below on 31.01.2008. The court below shall dispose of the case within a period of six months from the date of appearance of the parties. There will be no order as to cost. ## **KURIAN JOSEPH JUDGE** **HARUN-UL-RASHID JUDGE** smp **L.A.A. 238/02 6** **KURIAN JOSEPH & HARUN-UL-RASHID, JJ.** **L.A.A. NO. 238 OF 2002** **J U D G M E N T** **03.01.2008**