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2023 Supreme(Kar) 107

KRISHNA S.DIXIT
Clarence Pais, S/o. Late L. C. Pais – Appellant
Versus
State of Karnataka, Represented by its Chief Secretary – Respondent


Advocates Appeared:
For the Petitioner: Sri. Udaya Holla, Senior Counsel a/w Miss. Desiree.
For the Respondents: Sri. B.V. Acharya, Sri. B.L. Acharya, Senior Counsels & Special Counsels a/w Sri. R. Srinivasa Gowda, AGA, Sri. A.G. Holla, Senior Counsel a/w Sri. K. Chandrnath Ariga and Sri. Nandeesh.

Judgement Key Points

Based on the provided legal document, the question of land acquisition without compensation is addressed within the framework of constitutional and statutory provisions. The document indicates that, generally, the law recognizes that the acquisition of private property for public purpose necessitates the payment of compensation, and this obligation is embedded in the constitutional guarantee of the right to property, particularly under Article 300A. It emphasizes that, in principle, no land can be taken without providing just and adequate compensation, and the absence of compensation or a determination of illusory compensation could render such acquisition unconstitutional.

However, the document also clarifies that the constitutional guarantee of compensation is not absolute and that, in certain exceptional circumstances, the State may acquire property without compensation. These extreme cases are usually justified only when the legislation is enacted for a public purpose, and the measure is not confiscatory in nature. The determination of what constitutes a public purpose is primarily a legislative function, and courts generally exercise limited review, primarily scrutinizing whether the purpose is primarily public and whether the legislation is enacted in good faith.

Furthermore, the document discusses that the normative determination of compensation, as prescribed by the legislation, may be considered sufficient and not necessarily require market-value assessment. It also notes that the State’s power to acquire property for public purposes is broad, and the requirement of compensation can be waived only in extraordinary situations where the measure is not intended to benefit private interests but to serve a public purpose.

In summary, land acquisition without compensation is typically impermissible unless it falls within narrowly defined exceptional circumstances where the law is enacted for a clear public purpose, and the measure is not confiscatory. In such cases, the constitutional protections may be relaxed, but only under strict scrutiny and with a strong presumption of legislative validity.


ORDER :

The following observations of Justice Krishna Iyer, in STATE OF KARNATAKA vs. RANGANATHA REDDY, (1977) 4 SCC 471, at paragraph 53, should prelude the framing of this judgment :

    “…a glance at the raw realities, to abolish which Article 31(2), Article 31C and Articles 38 and 39 have been enacted, is necessary. Poverty has, for ages, been the omnipresent reality of Indian life. Stark inequalities have been chronic and the 'hidden hunger' (to use Myrdal's phrase) of the people have pushed the Freedom Movement forward in the socialistic direction toward a better life. The fasciculus of clauses in the Constitution we have referred to is calculated to prevent the revolution of rising expectations from becoming a revolution of rising frustrations. These compulsions must inform legal interpretation…”

Petitioners claiming to be owners of tenanted non-agricultural lands, are invoking writ jurisdiction of this court for laying a challenge to the constitutionality of the Karnataka Conferment of Ownership on Mulageni or Volamulageni Tenants Act, 2011 (hereafter ‘impugned Act’), whereby

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