Fix market rate for land, Hyderabad HC tells Andhra Pradesh government, Railways

After hearing the case and perusing the material on record, the bench found that the dispute arose as the Railways was not satisfied with the market rate fixed by the Prakasam district collector.

HYDERABAD:In order to resolve a 25-year old land dispute between the railways and some local associations in Prakasam district of AP, a division bench of the Hyderabad High Court has recently directed both the Indian Railways and Andhra Pradesh government to finalise the market rate to alienate the subject land of about 40 acres to the State government which would, in turn, should consider alienation of the same to the petitioner associations on receipt of market value of such lands from the members of associations concerned.

The bench made it clear that in case the parties were not mutually able to resolve the issue, then the Railways be entitled to retain the subject land and, instead, refund the consideration amount of about Rs 1.05 crore received by them with interest at 12 per cent per annum to the state government which would, in turn, pay the said amount to the members of the petitioner-associations from whom it was received.
The bench of Acting Chief Justice Ramesh Ranganathan and Justice J Uma Devi was disposing of batch petitions filed by Annavarappadu Hut Peoples’ Association of Ongole and Rajiv Gandhi Railway Co-operative House Building Society claiming that they were entitled for allotment of the subject lands situated at Mamidipalem revenue village and Annavarappadu revenue village of Prakasam district.

As for the case, the erstwhile united AP government had allotted 42 acres of land to the South Central Railways and the latter found that the subject land was a quarry area and that they require only 1.5 acres of land, and then informed the State that it was prepared to surrender 40.51 acres since the land was not being properly secured. Meanwhile, large number of encroachments had come up in the area in the name of Annavarappadu Hut People’s Association of Ongole.

After hearing the case and perusing the material on record, the bench found that the dispute arose as the Railways was not satisfied with the market rate fixed by the Prakasam district collector.
As the petitioner associations have paid a mere sum of Rs 1.05 crore for the subject land it would not be proper to direct the Railways to deliver possession of such land, the bench observed.
The entire exercise should be completed with utmost expedition and in any event not more than six months.

In case the Railways do not alienate the subject land to the State government, it was open to them to take further action pursuant to the order of a lower court and to initiate proceedings afresh for eviction of the encroachers, it noted while disposing of the petitions.

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