In Brief
The Supreme Court held that in land acquisitions under the 2013 Act, compensation is determined by taking the highest market value computed under three statutory criteria: Stamp Act rates, comparable land sales, or agreed compensation. The Court rejected the appellant's argument that the 'theory of deduction'—used under the older 1894 Act to reduce compensation for development costs—automatically applies. However, under Explanation 4, the Collector may adjust computed values if they do not reflect actual market conditions, and may then apply deduction principles if recorded reasons support it. The Court upheld that scientifically-fixed circle rates under Stamp Act guidelines are binding as prima facie evidence of market value and must be adhered to by acquiring authorities.
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