In Brief
The Union of India acquired 0.244 hectares of land from Sagar Maize Products Ltd. for a railway line. The Reference Court awarded Rs.40 per square foot for the entire 2.038-hectare property, finding the unacquired portion unusable. The High Court reduced compensation to Rs.19 per square foot. The Supreme Court held that compensation applies only to acquired land and the 30-meter buffer zone, not the entire property. For unacquired eastern land beyond the buffer (severed from access), Rs.9.5 per square foot applies without statutory benefits. The western unacquired land, remaining usable, gets no compensation. The Court rejected using developed plot prices as the basis for valuing raw agricultural land and emphasized that severance compensation differs from market-value compensation.
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