The Supreme Court directed that the owners of the land that was acquired for the construction of canals under the Hippargi Barrage Project are entitled to compensation of ₹4.5L per acre with all statutory benefits, interests and costs.

The bench comprising Justice B.R. Gavai and Justice Sandeep Mehta directed, “ the appellant-claimants shall be entitled to compensation towards the acquired lands at the rate of Rs. 4,50,000/- per acre with all statutory benefits, interest and costs.”

Senior Advocate Anand Sanjay M. Nuli appeared for the Appellant and Senior Advocate Navin R. Nath appeared for the Respondent.

Brief Facts-

The Appellant Shripal and others lost their lands for the construction of canals under the Hippargi Barrage project. The lands in question were irrigated lands. The land acquisition notification under Section 4(1) of the Land Acquisition Act, 1894 was issued in 2007. Compensation of around ₹ 1.3L per acre was awarded. The Reference Court increased the compensation to ₹ 3L per acre. The beneficiaries, Karnataka Neravari Nigam Ltd., approached the High Court challenging the increase in compensation. The plaintiff mentioned an earlier decision where the High Court had awarded compensation of ₹ 3.69L per acre along with statutory benefits for irrigated land where the notification was from the years 2004-2005.

The Court noted that the respondents themselves have agreed to award the market value at the rate of ₹ 3.69L per acre along with statutory benefits for the lands acquired under the notification of the years 2004-2005.

The Court further stated that for the market value fixed in the years 2004-2005 at the rate of ₹ 3.69L per acre, an escalation of 5 per cent per year has already been applied and for the lands acquired in the year 2009, the market value had been fixed by the Reference Court at ₹ 5L per acre and above.

According to the Court, as the lands of the appellants were acquired in the year 2007 the ends of justice would be met if the market value of the lands acquired from the appellants is fixed at ₹ 4.5L per acre.

However, the Court sustained the direction of the High Court to deny interest for the period of delay in filing the cross-objections.

Accordingly, the Court allowed the appeals.

Cause Title: Shripal v. Karnataka Neravari Nigam Ltd. (Neutral Citation: 2024 INSC 386)
Appearance:
Appellant: Sr. Adv. Anand Sanjay M. Nuli
Respondent: Sr. Adv. Navin R. Nath