In Brief
The Supreme Court determined the correct compensation for landowners whose 4 acres 23 guntas in Karnataka were acquired for Highway construction. The Land Acquisition Officer awarded Rs. 96,000/acre; the Civil Court raised it to Rs. 23,78,360/acre; the High Court reduced it to Rs. 9,00,000/acre. The Supreme Court held that the High Court's 60% developmental charge deduction was excessive and unsupported by findings that the land had non-agricultural potential and would increase in value due to Highway acquisition. The Court modified the award to apply 40% developmental charges without de-escalation, entitling appellants to statutory benefits. An interim payment of Rs. 18 lakh/acre was protected—landowners need not refund if final compensation is less.
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