In Brief
The Supreme Court partly allowed appeals by landowners seeking enhanced compensation for agricultural land acquired under the Maharashtra Industrial Development Act, 1961 for industrial estate expansion in village Bhoyar. The Court held that a contemporaneous sale deed from the same village is the best exemplar for valuation. It modified the High Court's calculation by applying 12% instead of 10% cumulative annual increase over three years, and uplifted the resulting base value by 50% for non-agricultural potentiality, raising compensation to Rs.2,25,000 per hectare (from Rs.2,00,000) for better-located plots, with corresponding increases for others. The Court affirmed that acquisition purpose is not a compensation factor and that different plots in the same village may command different rates based on location. Interest on enhanced compensation was denied for the period of appeal delay.
The lawyer headnote and full judgment text are available to registered users.