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2025 Supreme(Online)(Mad) 76168

IN THE HIGH COURT OF JUDICATURE AT MADRAS
Krishnan Ramasamy, J
K.R.Jagannathan – Appellant
Versus
State Of Tamilnadu – Respondent
W.P.No. 42835 of 2025



Advocates:
For the Appellants/Petitioners: V.Raghavachari
For the Respondents: G.Velu

When lands are identical, similar, and situated in close proximity with identical purpose for acquisition, authorities cannot apply discriminatory valuation methods; they must ensure parity in compensation to avoid violating the principle of equal treatment for similarly situated landowners.

Headnote:(A) Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 - Sections 26 and 64 - Land Acquisition - Determination of compensation - Disparity in land value fixation for adjacent lands owned by same owner - Held, when acquired lands are identical, similar, and situated nearby, and acquisition is for same purpose, it is improper to discriminate between landowners unless strong reasons exist. (Paras 8, 10, 11, 15)

Facts of the case:
Petitioner challenged the determination of compensation by the Tahsildar, alleging a huge disparity in land valuation (Rs.343/- per sq.ft vs Rs.1682/- per sq.ft) for adjacent lands owned by him, acquired for the purpose of widening the Adyar River. Petitioner contended the state's valuation lacked a rational basis and failed to comply with statutory mandates despite both lands being categorized similarly.

Findings of Court:
The court found that the respondents applied discriminatory yardsticks to the same landowner for adjacent plots. The court noted that administrative convenience or technical categorization does not justify arbitrary valuation disparity.

Issues: Whether the state can fix widely different compensation rates for adjacent lands of the same owner, and whether a writ petition is maintainable when the award document was not served timely.

Ratio Decidendi: In acquisition proceedings, if lands are identical, similar, and situated in the same vicinity, they must be treated as a single unit. Discriminatory compensation without cogent justification violates the principle of equal treatment of similarly situated landowners.

Result: Writ Petition allowed; impugned order set aside and matter remanded for fresh calculation.

Table of Content
1. disparity in land acquisition valuation for similar lands owned by the same person. (Para 1 , 2 , 3)
2. discriminatory valuation of adjacent lands lacks evidentiary basis. (Para 4 , 5 , 6 , 7 , 8 , 9)
3. accordance with supreme court precedents on land parity and equal treatment. (Para 10 , 11 , 12 , 13 , 14 , 15 , 16)
4. remanding the matter for re-determination of compensation. (Para 17 , 18 , 19 , 20)

Order

The challenge in this Writ Petition is to the order passed by the third respondent, Tahsildar, Kundrathur, Chennai dated 04.07.2025 and to quash the same, and consequently, to direct the second respondent-District Collector to pass a fresh Award in accordance with the Right to fair compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (for short, RFCTLARR Act,2013).

2. It is the contention of the learned Senior Counsel for the petitioner that the third respondent, while determining the compensation, ought to have taken into consideration the market value of the petitioner's land, which is at Rs.2000/- per sq.ft., whereas, the third respondent has fixed the land value at Rs.343/- per sq.ft, and determined the compensation, which is meager. It is further averred by the learned Senior Counsel for the petitioner that in respect of the same acquisition proceedings initiated by the respondents against the same land owner, (petitioner herein) with respect to the lands situated adjacent to the petitioner's subject lands, in the same area (viz., Kundrathur), the second respondent determined the compensation by fixing the land value at Rs.1682/- per sq.ft. but so far as the subject land is concerned, it is not known on what basis, the third respondent fixed the value of the land at Rs.343/- per sq.ft.

2.1 Therefore, the learned Senior Counsel contended that there is a huge disparity in fixation of compensation by the third respondent; that even assuming that the petitioner's land is a wet land, that cannot be a ground for the third respondent to determine the compensation with such huge disparity, inasmuch as, the said wet lands are situated very adjacent to the petitioner's other lands, and the disparity could be only around Rs.100 or Rs.200 per sq.ft., as there is no significant difference between those two lands, and therefore, contended that fixation of the land value at Rs.1682/- per sq.ft., for particular survey numbers of the petitioner's lands and fixation of land value at Rs.343/-per sq.ft for other survey numbers of the land, when admittedly, both lands are situated next to each other, in the same area, owned by the same land owner (petitioner) would per se shows that the third respondent has failed to comply with Section 26 of the Act and also reflects his arbitrary and inconsistent method of valuation.

2.2 It is furthermore averred by the learned Senior Counsel for the petitioner that due to such acquisition proceedings, the utility and layout of the remaining lands were completely destroyed, therefore, the third respondent while determining the compensation, ought to have taken into consideration of this devastating impact and fixed the compensation, instead, the third respondent has determined the compensation by taking the land value at Rs.343/- which resulted in awarding low compensation to the petitioner.

2.3 The learned Senior Counsel for the petitioner further submitted that though aggrieved by the award passed by the second respondent dated 30.04.2025, the petitioner can seek for reference by filing an application under Section 64 of the Act before the Reference Court, it is the grievance expressed on behalf of the petitioner during the course of his submission that the petitioner has not been served with the award passed by the second respondent dated 30.04.2025 but has been served only with the order passed by the third respondent dated 04.07.2025, which is in consequent to the said award and hence, the petitioner is not in a position to challenge the award dat

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