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S. N. VARIAVA, A. S. ANAND, K. T. THOMAS, N. S. HEGDE, R. C. LAHOTI
Sunder – Appellant
Versus
Union Of India – Respondent
| Table of Content |
|---|
| 1. state's liability for interest on solatium (Para 1 , 2) |
| 2. interpretations of 'market value' and 'solatium' (Para 3 , 5 , 10) |
| 3. different judicial interpretations of solatium and interest (Para 4 , 6) |
| 4. arguments for including solatium in compensation (Para 8 , 9) |
| 5. legal obligation of collector regarding compensation and interest (Para 13 , 15 , 18) |
| 6. provisions of sections 34 and 28 regarding interest on compensation (Para 22 , 23) |
| 7. high court decisions support interest on solatium (Para 24 , 25) |
| 8. conclusion on granting interest on solatium as part of compensation (Para 26) |
JUDGMENT
(1) THE question referred to this Bench of five Judges is a simple one. Is the State liable to pay interest on the amount envisaged under Section 23(2) of the LAND ACQUISITION ACT , 1894 (for short the Act) ? The sum contemplated in the aforesaid subsection can conveniently be called "solatium" as that expression has been used plentifully in almost all land acquisition proceedings in India. The reference of the aforesaid question to this larger Bench was necessitated on account of a seeming conflict as between the decision of a three Judge Bench of this Court in Union of India v. Shr
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