Bombay HC Raises Pune Land Compensation To Rs 3.13 Lakh Per Hectare
The Bombay High Court has enhanced the compensation for agricultural land acquired for the Neera Deoghar irrigation project in Village Parhar (Khurd), located in the Bhor Taluka of Pune district. In a judgment delivered on July 10, Justice Amit Borkar raised the market value of the acquired land to Rs 3.13 lakh per hectare, providing a major financial upgrade to the project-affected landowners.
This ruling significantly increases the payouts for the local farmers. The original compensation set by the Land Acquisition Officer was between Rs 40,000 and Rs 46,000 per hectare. While the Reference Court had previously raised this amount to Rs 2.54 lakh per hectare, the High Court's latest order pushes the compensation even higher.
The land acquisition process began over two decades ago when the notification for the Neera Deoghar project was issued on October 9, 1997. In May 1999, the Land Acquisition Officer passed the initial award, categorising the acquired properties as 'jirayat' (dry crop) land and setting the lower compensation rates.
Believing that the initial rates did not reflect the actual market value of their properties, the landowners of Village Parhar (Khurd) took their case to the Reference Court. The Reference Court enhanced the compensation to Rs 2.54 lakh per hectare by relying on a previous High Court judgment concerning land acquired in the neighbouring village of Dapkeghar. However, the Reference Court only applied a 6% annual escalation in land value to cover the four-year gap between the notifications of the two villages.
In their appeal to the High Court, the landowners argued that the Reference Court failed to apply the correct methodology. They contended that their lands were comparable to those in neighbouring villages and demanded a 12% annual escalation rate.
Justice Borkar agreed with the landowners, observing in an 87-page judgment that there was no convincing reason to limit the annual appreciation to 6% when the evidence on record indicated a 12% annual appreciation.
The High Court subsequently dismissed the appeals filed by the Maharashtra Krishna Valley Development Corporation. The court ordered the authorities to deposit the remaining balance of the enhanced compensation, along with statutory benefits such as solatium, additional compensation, and interest, within 12 weeks.
