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2025 Supreme(Kar) 1531

IN THE HIGH COURT OF KARNATAKA AT BENGALURU
Anu Sivaraman, Rajesh Rai K, JJ.
Rangamma @ Kamalamma - Appellant
Versus
Special Land Acquisiton Officer And Ors. - Respondents
Miscellaneous First Appeal No. 1189 OF 2021 (LAC)
Decided On : 12-08-2025

Advocates Appeared:
For the Appellant :Sri. Raju Bhat, Advocate
For the Respondent:Sri. Harish A.S, Aga, Sri. B.R.Prashanth, Advocate

The court reinforced that compensation for land acquisition must reflect fair market value, considering unique circumstances and principles of equity, even when faced with significant delays in legal proceedings.

Headnote:(A) Land Acquisition Act, 1894 - Section 54(1) and Section 18 - Appeal challenging compensation award - Compensation for land acquired for public purpose - Enhancement of compensation from Rs.1,00,000/- to Rs.2,00,000/- by Reference Court found inadequate - Legal principles regarding reasonable market value and delay in filing appeal established. (Paras 2, 16)

(B) Delay in filing appeal - Appellant’s reasons for delay based on financial hardship and lack of legal knowledge - Court condoned delay after applying criteria established in judicial precedents indicating exceptional circumstances may justify such condonement. (Paras 12 - 14)

Facts of the case:
The appellant's land was acquired for the alignment of Upper Tunga canal; the initial compensation was claimed to be inadequate compared to similar cases. The Reference Court enhanced the compensation but was appealed against for a higher value based on grounds of proximity to public utility spaces and previous judgments.

Findings of Court:
The court agreed with the appellant’s claims for compensation based on similar land valuations and recognized her financial status as a valid reason for the delayed appeal.

Issues: Whether the delay in filing the appeal was justifiable and whether the Reference Court was correct in the compensation value awarded.

Ratio Decidendi: The court ruled that the appellant’s age, financial status, and tangential loss of agricultural utility warranted a reconsideration of the compensation similar to previous decisions for similar lands.

Result: Appeal allowed; compensation set at Rs.105/- per square feet.

Table of Content
1. land acquisition for the upper tunga canal (Para 2 , 3 , 4)
2. arguments for enhancing compensation based on location (Para 6 , 7)
3. arguments against appeal due to delay (Para 8 , 10)
4. judicial discretion in condoning delay (Para 11 , 12 , 13)
5. delay condoned for fair compensation to appellant (Para 14)
6. entitlement of appellant to equal compensation as others (Para 15 , 16)

JUDGMENT :

RAJESH RAI K, J.

Though this appeal is listed for admission and to hear on I.A.No.1/2021 for condonation of delay and I.A. No.2/2021 for stay, however, with the consent of the learned counsel for respective parties and by considering the aspect that this appeal is of the year 2021, the same is taken up for disposal.

2. This appeal under Section 54(1) of the LAND ACQUISITION ACT , 1894 (hereinafter referred to as "the Act", for short) is directed against the judgment dated 20.10.2008 passed in LAC No.48/2001 by the I Additional Civil Judge (Senior Division) and CJM, Shivamogga (hereinafter referred as "Reference Court", for short), whereby the Reference Court has partly allowed the claim petition filed by the appellant by enhancing the compensation awarded by the Land Acquisition Officer ("LAO", for short) on 23.07.2001 to Rs.2,00,000/- from Rs.1,00,000/- in respect of tank fed land of the appellant bearing Sy.No.72/2 measuring 15 guntas situated at Basavana Ganguru Village, Holalluru Hobli of Shivamogga Taluk and District ("land in question", for short), which was acquired along with other lands for alignment of Upper Tunga canal.

3. The abridged facts of the case are as under:

The appellant was the owner of land in question. The said land was acquired for aligment of Upper Tunga canal by the respondents. Thereupon, the proceedings under the Act were initiated and notification under Section 4(1) of the Act was issued on 11.09.1997 and the possession of land was taken on 19.12.2000. Thereafter, the LAO has passed the award on 23.07.2001 awarding a sum of Rs.1,00,000/- per acre for tank fed land. Being aggrieved by the said award, the appellant filed an application to refer her matter for reference under Section 18 of the Act for fixation of reasonable market value for the acquired land. The Reference Court numbered the said case as LAC.No.48/2001.

4. The Reference Court, on assessment of oral and documentary evidence, fixed the market value at the rate of Rs.2,00,000/- per acre as against Rs.1,00,000/- determined by the LAO for the tank fed land vide judgment dated 20.10.2008. The said judgment is challenged in this appeal by the appellant for enhancement of compensation.

5. We have heard the learned counsel Sri.Raju Bhat for the appellant, the learned Additional Government Advocate for respondent No.1 and the learned counsel Sri. B.R. Prashanth for respondent No.2.

6. The primary contention of the learned counsel for the appellant is that the Reference Court has grossly erred while passing the impugned award since it has not appreciated the evidence on record in right perspective, which has caused injustice to the appellant. He further contended that the acquired land situated close to Shivamogga - Davanagere main road and public utility spaces such as Engineering College, Tobacco Factory, Ashraya Yojana Layout and Agricultural College. As such, the acquired land lost its agricultural features. Hence, the Reference Court ought to have awarded the compensation by considering all the above aspects.

7. He further contended that the claimant in LAC.No.57/2001 in respect of same acquisition had approached this Court by filing MFA.No.5782/2015, wherein this Court has enhanced the compensation at the rate of Rs.105/- per sq. ft. As such, since the appellant also stands on the same footing, she is also entitled for the same compensation. Accordingly, he prays to allow the appeal.

8. Per contra, learned counsel for the respondents submits that the appeal filed by the appellant is hopelessly barred by limitation as there is a delay of 4084 days

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