Land Acquisition Compensation Dispute

In a recent landmark legal case, the Supreme Court has intervened in a dispute over land acquisition compensation. The court’s detailed legal analysis has resulted in a significant change to the compensation awarded to the original claimants. This case sheds light on the intricate legal considerations involved in determining fair compensation for acquired lands.

Facts

  • Original claimants feeling aggrieved with the High Court’s judgment partially allowing their appeal
  • High Court determined market value of lands acquired at Rs.7,100/- per acre only
  • Original land owners filing present appeal against the High Court’s decision
  • The original claimants have appealed against the High Court’s judgement that awarded compensation at the rate of Rs.7,100/- per acre.
  • The Land Acquisition Officer initially determined compensation at Rs.5,218.39/- per acre.
  • The claimants appealed to the High Court seeking higher compensation.
  • The appellants claimed compensation of Rs.12,000/- per acre at the District Court under Section 18 of the Act.
  • They referred to a previous judgement in another case from the same village to support their claim for Rs.15,402/- per acre.
  • The High Court, considering a sale deed exemplar dated 23.12.1980, decided to award compensation at the rate of Rs.7,100/- per acre.
  • The original claimants argue that the High Court’s decision was erroneous and that the compensation should be higher.

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Arguments

  • The Reference Court relied on the sale deed exemplar of the year 1978 to determine the market value of compensation at Rs. 15,402 per acre.
  • The Government accepted the judgment and award of the Reference Court for land in the same village but with a notification issued in 1981.
  • The appellants are also claiming the same compensation of Rs. 15,402 per acre.
  • The High Court, however, decided on compensation at Rs. 7,100 per acre based on a sale deed from 1980 which is closer to the acquisition date.
  • The State’s counsel argues that there is no need for the Supreme Court to interfere with this determination under Article 136 of the Constitution.

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Analysis

  • Notification under Section 4 of the Act issued in present case on 16.05.1981 determining compensation at Rs.7,100/- per acre.
  • Time gap between notifications in present case is only seven months.
  • In a different case for the same village, compensation was determined at Rs.15,402/- per acre by the Reference Court, relying heavily on a sale deed exemplar from 1978.
  • No material changes pointed out for the period between 16.05.1981 and 16.12.1981, when the notifications were issued.
  • Reference Court in the different case for the same village determined compensation at Rs.15,402/- per acre after the notification on 19.12.1981.
  • Previous instances of acquisition in proximity and cumulative increase are considered relevant while determining compensation.
  • Sale deed exemplar relied upon in the different case was not within the time frame of the present case’s acquisition.
  • The Reference Court relied on the sale deed exemplar of 1978.
  • The judgment and award passed by the Reference Court in the case determined the market value/compensation at Rs.15,402/- per acre.
  • The judgment and award reached finality, and the State accepted it by withdrawing the appeal against the said judgment and award.

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Decision

  • The impugned judgment and order passed by the High Court is modified.
  • The appellants are entitled to compensation for the land acquired at Rs.15,402 per acre.
  • The appellants will receive all other statutory benefits available under the Act.
  • The appellants must pay deficient Court fees, if any.
  • The present appeal is allowed and the appellants succeed in their appeal.

Case Title: ANIL KUMAR SOTI Vs. THE STATE OF UTTAR PRADESH (2021 INSC 779)

Case Number: C.A. No.-006919-006919 / 2021

Click here to read/download original judgement

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