Chapter V COMPENSATION

Compensation for any land, acquired by the State Government for the purposes of this Act, shall be paid to extent, and in the manner, hereinafter provided.

1[In each of the districts and talukas specified in column 1 of the First Schedule, for each class of land described in columns 2, 3, 4, 5 and 6 of that Schedule, the amount of compensation for surplus land acquired by the State Government under section 21 shall consist of,-

1. (a) in case of dry crop land falling under column 5 or 6 the price calculated at the price per hectare specified in column 7 of that Schedule, or
2. (b) in the case of land falling under 2[columns 2, 3 and 4 of that Schedule, the price calculated at the price 3[per hectare] of dry crop land increased by one hundred, by fifty and by twenty-five per cent; respectively. 4[Explanation.- In the case of land referred to in clause (a), the price shall not in any case exceed one thousand rupees per hectare, and in the case of land referred to in clause (b), the price shall not in any case exceed five thousand rupees per hectare] : Provided that in the case of land which is not cultivated for a continuous period of three years immediately before the 5[commencement date], the price shall be twenty-five per cent. of the price calculated under clause (a) or (b), as the case may be : Provided further but subject to the previous proviso,-
   • (i) in the case of land held 6[by a Bhumidhari who is an occupant Class II falling under clause (b) of sub-section (3) of section 29 of the Code,] the price calculated under clause (a) or (b), as the case may be, shall be reduced by an amount equal to three times the revenue for the time being assessed thereon;
   • (ii) in the case of land which is impartible and non-transferable, the price shall be two-thirds of the price calculated under clause (a) or (b), as the case may be;
   • (iii) in the case of land held on lease from Government, the price shall be ten per cent. of the price calculated under clause (a) or (b), as the case may be; 7[and;
3. (c) the value of any trees, works, structures or fixtures; and 8* * * * * *
4. (e) seven times the difference between the full land revenue leviable on alienated or inam land, and the land revenue payable thereon; and 9[(f) the cost of cultivation of the standing crop on such land, or if an agreement is reached, or arrangement is arrived at with the holder of the land for the disposal or harvesting of crop whether before or after the vesting of the land under section 21, any sum so agreed upon, or arrangement so arrived at.] Explanation I.- Where the settlement of the land has not been done in any part of the State, then the assessment shall be 10[such as is fixed under section 68 of the Code or under section 7 of the Bombay Merged Territories and Areas (Jagirs Abolition) Act, 1953 (Bom. XXXIX of 1954).] Explanation II.- For the purposes of clause (c), the value of a well shall be the difference between the value of the land which is irrigated by such well as irrigated land, and the value thereof as unirrigated land.

1. (1) After possession of surplus land is taken over under sub-section (4) of section 21, the Collector shall cause public notice to be given in the village where the surplus land specified in the declaration is situate, requiring all claims to compensation from all persons interested in such land to be made to him.
2. (2) Such notice shall require the holder of the land and other persons interested therein (including persons who have any encumbrance lawfully subsisting on the land), to appear personally or by agent, before the Collector on the date and at the time and place therein mentioned (such date not being earlier than fifteen days after the date of publication of the notice), and to state the nature and the extent of their interest in the land the value of any trees, works, structures or fixtures and the amount and particulars of their claim to compensation therefor. Every such statement shall be made in writing, and shall be signed by the person interested, or his agent.

1. (1) On the day fixed under section 24, or any other day to which the enquiry is adjourned, the Collector shall enquire into all claims made for compensation and shall make an award determining,-
   • (a) the amount of compensation payable in accordance with the provisions of section 23,
   • (b) subject to the provisions of sub-sections (2) and (3), the apportionment of the compensation among the persons known or believed to be interested in the land in respect of whom or of whose claims, he has information, whether or not they have appeared before him.
2. (2) (a), In the case of land held by a tenant, compensation therefor shall be apportioned between the tenant and landlord as follows :- 1[(i) where the tenancy is not terminable on the expiration of the period for which it was granted or by reason of usage, under the relevant tenancy law, compensation equal to three times the assessment leviable on the land shall be payable to the tenant, and the balance to the landlord ;
   • (ii) in any other case, the compensation payable to the tenant shall- A. where the unexpired period of the lease does not exceed five years, be an amount equal to six times the assessment leviable on the land; B. where the unexpired period of the lease exceeds five years but does not exceed ten years, be an amount equal to nine times the assessment leviable on the land; C. where the unexpired period of the lease exceeds ten years but does not exceed twenty years, be an amount equal to twelve times the assessment leviable on the land; D. where the unexpired period of the lease exceeds twenty years, be an amount equal to fifteen times the assessment leviable on the land; and the balance shall in each case be payable to the landlord.] 2[Explanation.- In considering the apportionment of compensation between landlord and tenant, the compensation referred to in clause (f) of section 23 and the value of structures, wells and embankments constructed and permanent fixture made by the tenant shall be disregarded.
   • (b) Subject to the provisions of sub-section (3) encumbrances for which the landlord is liable, shall be paid out of the amount of compensation payable to the landlord; and those for which the tenant is liable shall be paid out of the amount of compensation payable to the tenant.
3. (3) The apportionment of compensation amongst persons claiming encumbrances shall be determined in the following manner, that is to say-
   • (a) if the total value of encumbrances of the land is less than the amount of compensation payable in respect of that land, the value of the encumbrances shall be paid to the holders thereof in full;
   • (b) if the total value of encumbrances on the land exceeds the amount of compensation payable in respect of the land, the amount of compensation shall be distributed amongst the holders of encumbrances in the order of priority.
4. (4) No award allowing compensation shall be made,-
   • (a) if the compensation exceeds twenty-five thousand rupees but does not exceed fifty thousand rupees, without the previous approval of the Commissioner, and ;
   • (b) if the compensation exceeds, fifty thousand rupees, without the previous approval of the State Government.
5. (5) The award of the Collector, subject to an appeal to the Maharashtra Revenue Tribunal under section 33, and the decision of that Tribunal in appeal, shall be final and conclusive, and shall not be questioned in any suit or proceeding in any court.

1. (1) The amount of compensation may, subject to the provisions of sub-section (3), be payable in transferable bonds carrying interest at three per cent. per annum.
2. (2) The bonds shall be-
   • (a) of the following denominations, namely :- Rs. 50; Rs. 100; Rs. 200; Rs. 500; Rs. 1,000; Rs. 5,000 and Rs. 10,000; and
   • (b) of two-classes-one being repayable during a period of twenty years from the date of issue by equated annual installment of principal and interest, and the other being redeemable at par at the end of a period of twenty years from the date of issue. It shall be at the option of the person receiving compensation to choose payment 1in one or other class of bonds, or partly in one class and partly in another].
3. (3) Where the amount of compensation or any part thereof, cannot be paid in the aforesaid denomination, it may be paid in cash.