Discover the intricacies of a pivotal legal case involving the adjustment of compensation for land acquisition in village Bhoyar. The High Court’s detailed legal analysis and considerations have led to significant changes in determining fair compensation amounts, setting a new standard for future cases involving similar circumstances.
Facts
- Several extents of land in village Bhoyar were acquired by the State Government for industrial development.
- Different parcels of land were acquired in Survey Numbers 33/2, 17, 10/3, 2/2, 4/3, 32/1, and 2/1.
- Compensation amounts were initially determined by the Land Acquisition Officer and later enhanced by the Reference Court.
- The High Court also intervened and adjusted the compensation based on factors like potentiality, location, and time gaps.
- Original claimants and the acquiring body filed appeals seeking further enhancement or adjustment of compensation.
- Various compensation amounts per hectare were determined for cultivable and uncultivable land in each case.
- The Reference Court and the High Court played integral roles in the determination and adjustment of compensation.
- The appeals process involved multiple parties including the original claimants, the acquiring body, and the judicial authorities.
- The High Court partly allowed the appeal of the acquiring body and dismissed the appeal of the original claimants.
- The compensation was determined at Rs.1,80,000/- per hectare for cultivable land and Rs.75,000/- per hectare for uncultivable land.
- The Reference Court had initially enhanced the compensation to Rs.2,40,000/- per hectare for the entire land.
- However, the High Court reduced the compensation to Rs.2,00,000/- per hectare based on a sale deed for the land in village Bhoyar, leading to the present appeal by the claimant.
- In another case, the High Court maintained the compensation at Rs.1,80,000/- per hectare for cultivable land and Rs.90,000/- per hectare for uncultivable land, as awarded by the Reference Court.
- The compensation was further enhanced to Rs.3,75,000/- per hectare by the Reference Court, citing a sale deed from an adjacent village.
- Similarly, in a different case, the High Court determined the compensation at Rs.2,00,000/- per hectare, leading to an appeal by the claimant whose compensation amount was initially set at Rs.1,80,000/- per hectare for cultivable land and Rs.90,000/- per hectare for uncultivable land.
- Overall, the High Court partially allowed multiple appeals by the acquiring body and adjusted the compensation amounts determined by the Reference Court.
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Analysis
- The High Court considered the value of the land in 1992 at Rs. 1,00,000/- per hectare for village Bhoyar.
- Different compensation amounts ranging from Rs. 1,50,000/- to Rs. 2,00,000/- per hectare were awarded for different lands acquired in the same village Bhoyar.
- The Court emphasized the importance of considering sale exemplars for determining compensation, particularly relying on Ex. 41 for village Bhoyar.
- A 12% cumulative increase in land value per year was suggested instead of the 10% adopted by the High Court for fair compensation.
- Future use of the lands for industrial or commercial purposes was not the main criteria for compensation, as the lands were originally agricultural.
- Development charges were not deducted in the compensation calculation, impacting the final award.
- Location of acquired lands, such as proximity to main roads or national highways, influenced market value despite similar land quality.
- Purpose of acquisition was deemed irrelevant in increasing the market value of acquired land.
- Sale deeds from village Lohara were dismissed as not relevant to the compensation determination for village Bhoyar.
- The High Court’s adjustments to compensation based on cumulative increases and non-agricultural potentiality of the land were explained.
- Difference in potentiality of lands situated in different villages is generally observed and held
- Citing the case of Kanwar Singh (supra) as reference
- The High Court should have added a 12% cumulative increase instead of 10% for about three years.
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Decision
- High Court determined compensation at Rs. 1,80,000/- per hectare to be increased to Rs. 2,00,000/- per hectare
- High Court determined compensation at Rs. 1,50,000/- per hectare to be increased to Rs. 1,75,000/- per hectare
- Appeals by claimants partly allowed with revised compensation
- Claimants not entitled to interest on enhanced compensation due to delayed appeal filing
- Reduction in compensation for other lands as per High Court’s determination and land location
- Fair market value set at Rs. 2,25,000/- per hectare with 50% added towards non-agricultural potentiality
- Impugned judgment by the High Court modified accordingly
- No costs awarded in the circumstances
- Market value of the acquired land set at Rs. 1,40,492/- per hectare and rounded off to Rs. 1,50,000/- per hectare
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Case Title: RAMRAO SHANKAR TAPASE Vs. MAHARASHTRA INDUSTRIAL DEVELOPMENT CORPORATION (2022 INSC 437)
Case Number: C.A. No.-002732-002732 / 2022
