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2025 Supreme(Telangana) 186

IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
T.VINOD KUMAR, P.SREE SUDHA
Narayan Reddy – Appellant
Versus
State of A.P. through Land Acquisition Officer – Respondent


Advocates:
Advocate Appeared:
For the Appellant : M ACHUTA REDDY
For the Respondent: GP FOR APPEALS TG

Judgement Key Points

Key Points: - The compensation must reflect current market value and timely disbursement is crucial to ensure just compensation (!) (!) - Market value is to be determined based on prevailing rates at the time of acquisition/notification, not solely at the date of notification, and delays affect value due to inflation (!) (!) - The court modified compensation from Rs. 2,500 per acre to Rs. 10,000 per acre, considering escalation of market value and delays in payment (!) (!) - The case discusses factors and method for determining market value, including open market sale, proximity to development, and comparison with adjacent lands (!) (!) - There is emphasis on expedient payment and adherence to timelines in compensation awards, citing constitutional/human rights considerations and prior Supreme Court guidance (!) (!) (!) (!) - The award should consider a multiplier of 12% per annum and 30% additional solatium/compensation as per statute, though the specific application is in context of the case (!) (!)

How to determine compensation for land acquired under the Land Acquisition Act reflecting current market conditions?

What is the impact of delay in disbursement of compensation on the valuation of acquired land?

What are the criteria for calculating market value and necessary adjustments to ensure just compensation?


Table of Content
1. claimants appeal regarding land acquisition compensation. (Para 1 , 2 , 4 , 5)
2. claimants argue for enhanced compensation based on market value. (Para 6 , 7 , 8 , 9 , 10)
3. reference court's observations on proof and market value. (Para 12 , 13 , 14 , 15 , 16)
4. court emphasizes importance of market value in compensation. (Para 19 , 20 , 21 , 22 , 23)
5. court's duty to ensure fair compensation for land acquisition. (Para 26 , 27 , 28 , 29)
6. court modifies compensation to reflect market value. (Para 30 , 31 , 32)

JUDGMENT :

(T. Vinod Kumar, J.)

This appeal, under Section 54 of the Land Acquisition Act, 1894 , (for short 'the Act') is filed by the claimants aggrieved by the order dated 04.12.2007 passed in LAOP.No.128 of 1992 on the file of the Senior Civil Judge, Mahbubnagar (hereinafter referred to as "the Reference Court').

2. The Appellants herein are Claimants in the underlying OP, filed under section 18 of the Act for enhancement of the compensation.

3. Heard learned Counsel for the Appellants and learned Government Pleader for Appeals for the Respondents and perused the record.

4. The case of appellants is that the Tahsildar of Mahbubnagar initiated acquisition

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