DEPUTY COMMISSIONER, KARACHI EAST Versus MAHRAB

1. This Reference under section 18 of the Land Acquisition Act is made by the Deputy Commissioner, Karachi (East), on the applications of the respondents/ claimants.

2. The facts leading to this Reference in brief are, that private land measuring 10622 acres in Deh Jereji, District Karachi (East), was acquired by the Government at the request of the Railway Authorities for mechanised marshalling yard. Notification under section 4 of the Act bearing No. lA/803/74, dated 29‑10‑1974, was issued by the Collector, Karachi (East). Notification No. LA/72/75, dated 9‑1‑1975, was issued under section 6 of the Land Acquisition Act by the Commissioner, Karachi, after which prosession of the land was taken over and notices were sent to the owners of the land viz. the present respondents /claimants under section 9 of the Act. The respondents filed objection to the acquisition of the land and claimed compensation at the rate of Rs.20 per sq. yard. The Land Acquisition Officer, however, passed the Award' on 24‑7‑1975, awarding them Rs.6,000 per acre as compensation. Being aggrieved by the Award, the respondents moved the Deputy Commissioner for referring the matter to this Court under section 18 of the Act, and hence this Reference.

3. Before the Land Acquisition Officer, both the parties produced no evidence to show the market value of the land in question. The Railway Authorities, for whose benefit the land was acquired, made certain statement before the Land Acquisition Officer, which he has mentioned in para. 6 of the Award, which is reproduced as under:‑‑

4. "On the other hand the Railway Authorities on whose behalf the land has been acquired have stated that since the land being acquired for Marshalling Yard fell close to the area already acquired for Pakistan Steel Mills Corporation in Deh Jereji, their administration agrees to the payment of compensation at the same rate as awarded in the case of Steel Mills plus the Statutory allowance at the rate of 15%."

5. While making the Award, the Land Acquisition Officer was apparently influenced by the Award passed in the case of land acquired for Steel Mills Colony from Deh Jereji, which was also fixed at the rate of Rs.6,000 per acre. He, therefore, awarded compensation at the rate of Rs.6,000 per acre for the land acquired for the marshalling yard of the railways.

6. In this Court only one of the respondents, Atta Muhammad examined himself. He has produced the judgment of this Court in Civil Reference No. 3 of 1978, in respect of land acquired for Pakistan Steel Mills as Exh. 3/1. He states, that in this judgment the compensation of the land has been fixed at the rate of Rs.7.00 per Sq. yard, and he will be entitled if compensation is granted at the same rate. After examination of Atta Muhammad the other claimants/ respondents closed their side. Neither the Railway Authorities nor the Deputy Commissioner examined any witness in rebuttal.

7. By the judgment, Exh.3/1, the learned Single Judge of this Court has disposed of six Civil References made to this Court by the Deputy Commissioner (East) in respect of the land acquired for the Steel Mills. One of the Awards, which was subject‑matter of this Civil Reference, related to the land acquired for the Steel Mills from Deh Jereji. The learned Judge after discussing the evidence, produced before this Court, as well as the Land Acquisition Officer, fixed the Compensation of the land, acquired from Deh Jereji at the rate of Rs.7 per Sq. yard. While determining the rate of this compensation the learned Judge had also taken into consideration the location of the land in Deh Jereji. It will be worthwhile to reproduce the description of the land in question given by the learned Land Acquisition Officer in para. 8 of his Award, which reads as under:‑‑

8. "I now give brief description about the location of Deh Jereji. It is situated on National Highways. There are two railway stations namely, Pipri and Chaghar in it. Besides, Sui Gas Pipe Line, and KDA's water pipe lines are passing through it. Apart from this, the Telephone and Telegraph department and Radio Pakistan have constructed their wireless transmitting stations there. There are food grain godowns constructed by the Food Department. The electric and telephone lines are also passing through its Deh."

9. The position that emerges is that the parties have not produced any evidence either before the Land Acquisition Officer or before this Court to assess the market value of the land except the award passed by this Court in Civil Reference mentioned above. The Railway Authorities had agreed before the Land Acquisition Officer to pay the same compensation as awarded for the land acquired for Pakistan Steel Mill. The Land Acquisition Officer had based his award on the award made in the case of the land acquired for the Pakistan Steel Mill. One of the claimants who examined himself in this Court has agreed to accept the compensation as awarded by this Court in 'Civil Reference' for the lands acquired for Pakistan Steel Mill.

10. Admittedly this Court has awarded compensation at the rate of Rs.7 per sq. yard for the land acquired for Pakistan Steel Mills vide judgment Exh.3/1. The learned counsel appearing for the Government stated that an appeal has been filed against this judgment, but was unable to give the number of appeal or to state whether any stay order has been issued by the learned Appellate Court. Mr. G.A. Brohi learned counsel for the claimants has filed a statement that Steel Mill has filed appeal against the said judgment of this Court, but no stay order has been issued by the Appellate Court. However, no appeal has been filed by Government, who acquired the land.

11. Keeping all the above facts in view, I award compensation at the rate of Rs.7 per square yards for the land acquired for the Railway Marshalling Yard. Mr. G.A. Brohi informs that the claimants had accepted the amount awarded by the Land Acquisition Officer under protest. As such they are entitled to get the difference between the compensation awarded by the Land Acquisition Officer and that awarded by this Court. They are further awarded interest at the rate of 6 per cent per annum on this amount. They are also awarded 15$ of this amount as compensation for the compulsory acquisition of land.

12. It may be pointed out that the Land Acquisition Act was amended by the Sind Government by the Land Acquisition (Sind Amendment) Ordinance, 1984, being Sind Ordinance No. XXIII of 1984. Under section 9 of this amending Ordinance, section 28‑A was inserted in the Act which reads as under:‑‑

13. "28‑A. Additional Compensation.‑‑In addition to the compensation fixed on the basis of market value as prevailing on the date of notification under section 4, an additional amount of fifteen per cent per annum of the compensation so fixed shall be paid from the date of the notification under section 4 to the date of payment of the compensation."

14. In view of this amendment, the claimants are further awarded additional compensation at the rate of fifteen per cent per annum of the amount of difference in the two awards from the date of notification under section 4 of the date of payment of compensation.

15. The Civil Reference stands disposed of in the above terms.

16. H.B.T./D‑20/K Order accordingly.