In Brief
The appellant's agricultural land was partially acquired by the government for a public purpose (providing house sites to landless poor). The Land Acquisition Officer awarded compensation at Rs. 400 per cent, which the appellant disputed as grossly inadequate. The subordinate court increased this to Rs. 2,500 per cent, considering the land's location near a national highway and comparable sales of adjacent land. The High Court reduced it to Rs. 1,670 per cent. The Supreme Court held that proper compensation assessment must consider the land's actual potential, location, and comparable transactions nearby. Since the acquired land was fit for housing and adjacent lands sold for Rs. 4,000–Rs. 6,545 per cent, the subordinate court's award of Rs. 2,500 per cent was just. The Court set aside the High Court's reduction and restored the subordinate court's award.
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