In a significant legal battle over land acquisition compensation, the Supreme Court ruled in the case of Appellants vs. Karnataka Neravari Nigam Ltd. The dispute, originating from a Section 4(1) notification issued in 2007, led to the enhancement of compensation to Rs. 4,50,000 per acre for the landowners. This judgment marks a pivotal moment in the ongoing legal saga between the parties involved.
Facts
- Land acquisition notification under Section 4(1) issued on April 12, 2007.
- Special Land Acquisition Officer awarded compensation of Rs. 1,31,263/- per acre to land owners.
- Appellants, who were land losers, seek enhancement of compensation through appeals.
- Reference Court increased compensation to Rs. 3,00,000/- per acre.
- The acquisition notification was for construction of canals under the Hippargi Barrage project.
- HC’s order confirming enhancement of compensation was upheld by the Supreme Court.
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Arguments
- Shri Anand Sanjay M. Nuli, learned senior counsel representing the appellants highlighted an order dated 17 April, 2021 by the learned Single Judge of the High Court of Karnataka.
- The order awarded compensation to landowners at the rate of Rs. 5,00,000/- per acre for lands covered under notifications issued between 2004-2008.
- The appellants argued that they are entitled to the same relief based on this previous order.
- Beneficiaries, represented by Karnataka Neravari Nigam Ltd., filed M.F.A. No 100175 of 2014 in response, while the appellants filed cross-objections seeking enhancement of compensation.
- The appellants also referred to a previous case, M.F.A. No 23768 of 2013, where the High Court had awarded compensation at Rs. 3,69,000/- per acre for irrigated lands along with statutory benefits.
- It was highlighted by Mr. Navin R. Nath, learned senior counsel, that the High Court made a significant error in interpreting the affidavit filed by the respondents in MFA No.101083 of 2016.
- The affidavit in question was related to an acquisition from 2009, where the Reference Court had fixed the compensation at Rs.5,00,000 per acre.
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Analysis
- The lands of the appellants were established to be irrigated lands.
- There is no disagreement on this fact.
- This crucial point was clear in the judgment.
- The respondents have agreed to award the market value at the rate of Rs. 3,69,000/- per acre along with statutory benefits for the lands acquired under the notification of the years 2004-2005.
- For the market value fixed in the years 2004-2005 at the rate of Rs.3,69,000/- per acre, an escalation of 5 per cent per year has already been applied.
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Decision
- The market value of the lands acquired from the appellants is fixed at Rs. 4,50,000/- per acre by modifying the order of the High Court.
- The direction of the High Court to deny interest for the period of delay in filing the cross-objections is sustained.
- This order is specific to the present case and should not be considered as a precedent.
- The appellant-claimants are entitled to compensation for the acquired lands at the rate of Rs. 4,50,000/- per acre with all statutory benefits, interest, and costs.
- For lands acquired in 2009, the market value was fixed at Rs. 5,00,000/- per acre and above by the Reference Court, but the lands of the appellants were acquired in 2007.
- The appeals of the appellants are allowed based on the above terms.
Case Title: SHRIPAL Vs. KARNATAKA NERAVARI NIGAM LTD. (2024 INSC 386)
Case Number: C.A. No.-004041-004041 – 2024
