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2026 Supreme(Online)(Bom) 3666

HIGH COURT OF BOMBAY
HON'BLE SHRI JUSTICE R. I. CHAGLA HON'BLE JUSTICE ADVAIT M. SETHNA
THE STATE OF MAHARASHTRA – Appellant
Versus
NEGUIB YAHYABHIY KACHWALLA – Respondent
FA/1766/2008



PALLAVI MAHENDRA PALLAVI MAHENDRA IN THE HIGH COURT OF JUDICATURE AT BOMBAY WARGAONKAR Date: 2026.04.17

18:52:58 +0530 CIVIL APPELLATE JURISDICTION FIRST APPEAL NO.1766 OF 2008 The State of Maharashtra (At the instance of the Special Land Acquisition Officer No.2, Pune) ...Appellant (Orig. Opponents)

Versus Shri. Neguib Yahyabhiy Kachwalla age 45 Yrs., Occu. Doctor, R/o 101, Silver Beach, P.P. Jahambhekar Marg, Dadar, West, Mumbai 400 028. ...Respondent (Orig. Claimant)

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Mr. A.R. Patil, AGP for Appellant- State.

Mr. Ruchir L. Tolat i/b. Adv. L.C. Tolat for Respondent – Claimant.

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CORAM : R. I. CHAGLA AND ADVAIT M. SETHNA, JJ.

RESERVED ON : 27 FEBRUARY, 2026 PRONOUNCED ON : 17 APRIL 2026 JUDGMENT (Per Advait M. Sethna, J.):-

Prologue:

1. An interesting issue arises for our determination in the peculiar factual complexion of the given case. It relates to the claim of the Appellant (Original Opponent) against enhancement of compensation in regard to the acquisition of the Respondent’s subject land bearing Gat No. 307 admeasuring 8.22 Hectares = 82,200 sq.mt. (“Subject/Acquired Land” for short) situated at Village Kusgaon, Maval Taluka, District Pune. The Appellant in this First Appeal has assailed the Judgment and Order dated 2 June 2007 of the Reference Court i.e. Ad- hoc District Judge- 11, Pune. (“Impugned Judgment” for short). The Reference Court vide such Impugned Judgment ordered and directed the Appellant to pay compensation to the Respondent, at Rs. 500/- per sq.mt. for the subject/acquired land admeasuring 82,200 sq.mt. amounting to Rs.3,99,06,045/- in terms of Sections 23 and 24 of the Land Acquisition Act, 1894 (“Land Acquisition Act” for short).

2. At this juncture, we have noted the submission of Mr. Tolat, learned Counsel for the Respondent that he is ready and willing to accept the enhanced compensation of Rs. 3,99,06,045/- ordered and directed by the Reference Court in the Impugned Judgment, on the basis of the then prevailing market rate of Rs. 500 per sq.mt. in respect of the Subject /Acquired Land.

3. The relevant facts arising for adjudication of the First Appeal are as under:-

Factual Matrix:-

4. It was on 19 December 1996 that a notification was issued under Section 4 of the Land Acquisition Act by the Special Land Acquisition Officer (“SLAO” for short) for acquisition of the Respondent’s land, bearing Gat No.307, admeasuring 8 H 22 R (82,200 sq. meters) situated at village Kusgaon, Taluka Mawal, District Pune. Such acquisition by the Appellant –

State was for a public purpose viz. for soil, murum and stone quarries for construction of the Mumbai-Pune Express Highway.

5. An Award under Section 11 of the Land Acquisition Act was declared/published by the SLAO on 31 October 1997. By such Award, the compensation was granted to the Respondent at the rate of Rs.1,45,250/- per hectare i.e. (Rs.14.5/- per sq. mt. (approx.) aggregating to Rs.11,93,955/-). It was on 9 December 1997 that the possession of the subject acquired land was taken by the SLAO.

6. A Reference Application dated 17 February 1998 under Section 18 of the Land Acquisition Act was filed by the Respondent inter alia, seeking enhancement of compensation at Rs.940/- per sq. mt. The aforementioned Reference Application was rejected by the SLAO on the ground of being barred by limitation on 31 October 1998.

7. Against the aforesaid rejection by the SLAO, the Respondent preferred a Civil Revision Application No.230 of 2000 before this Court. By an order dated 16 August 2001 this Court held that the reference was filed within the limitation period and thereafter, reversed the rejection order of the SLAO dated 31 October 1998. The SLAO was further directed to forward the reference to the Reference Court. The reference was registered as L.R. 148/2002 before the District Court, Pune on 21 January 2002. According to the report of the Valuer AW-2, he determined the value of the subject land, for the purpose of compensation, at Rs.950/- per sq

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