In Brief
The Supreme Court decided the quantum of compensation for land acquired for highway construction near Bijapur, Karnataka. The Land Acquisition Officer had awarded Rs.96,000 per acre; the Civil Court enhanced it to Rs.23.78 lakh; the High Court reduced it to Rs.9 lakh. The Supreme Court found the High Court had recorded valid findings that the land had non-agricultural potential and would appreciate due to highway acquisition, but failed to apply these findings in the final calculation. The Court held that a 40% developmental deduction (not 60%) from the transaction price of Rs.54.80 per sq.ft. was just, and allowed the appeal. No refund would be required for interim payments if the final amount computed was lower.
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