Karnataka High Court
Devappa S/O Rudrappa vs The Special Land Acquisition Officer ... on 29 August, 2025
Author: M.G.S.Kamal
Bench: M.G.S.Kamal
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MSA No. 200142 of 2018
HC-KAR
IN THE HIGH COURT OF KARNATAKA,
KALABURAGI BENCH
DATED THIS THE 29TH DAY OF AUGUST, 2025
BEFORE
THE HON'BLE MR. JUSTICE M.G.S.KAMAL
MISCL SECOND APPEAL NO. 200142 OF 2018 (LA)
BETWEEN:
DEVAPPA S/O RUDRAPPA
AGE: 80 YEARS, OCC: AGRICULTURE,
R/O. KANNADAGI NOW AT SAWATAKHED,
TQ. CHITTAPUR, DIST. KALABURAGI.
...APPELLANT
(BY SRI. HARSHAVARDHAN R MALIPATIL, ADVOCATE)
AND:
1. THE SPECIAL LAND ACQUISITION OFFICER
M AND MIP,
KALABURAGI -585 102.
Digitally signed 2. THE DEPUTY COMMISSIONER
by SUMA B N KALABURAGI - 585 102.
Location: HIGH
COURT OF
KARNATAKA 3. THE EXECUTIVE ENGINEER
KNNL, BNT PROJECT KANNADAGI
TQ, CHITTAPUR, DISTRICT KALABURAGI.
...RESPONDENTS
(BY SRI. K. MALLAHA RAO, AAG FOR R1 AND R2;
SRI. SANJEEV KUMAR PATIL AND SRI.M. SUDARSHAN,
ADVOCATES FOR R3)
THIS MSA IS FILED UNDER SECTION 54(2) OF LAND
ACQUISITION ACT, AGAINST THE JUDGMENT AND AWARD
DATED 30.10.2014 PASSED IN LAC.APPEAL NO.849/2013 ON
THE FILE OF THE III ADDL. DISTRICT JUDGE AT GULBARGA
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WHEREIN ALLOWING THE APPEAL AND SET ASIDE THE
JUDGMENT AND AWARD DATED 21.04.1995 ON THE FILE OF
THE ADDL.CIVIL JUDGE AT GULBARGA IN LAC NO.178/1992.
THIS APPEAL, COMING ON FOR FURTHER HEARING, THIS
DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER:
CORAM: HON'BLE MR. JUSTICE M.G.S.KAMAL
ORAL JUDGMENT
(PER: HON'BLE MR. JUSTICE M.G.S.KAMAL)
This appeal is filed by the appellant/claimant claiming to
be the owner of land bearing Sy.Nos.25/3, 25/4, 26/3
measuring 06-02 guntas wet land, 06-06 guntas wet land and
02-38 guntas dry land totally 15 acres 06 guntas situated in
Kannadagi Village, Tq. Chittapur, Gulbarga District which was
acquired for the purpose of construction of Bennethora Project
in terms of Preliminary Notification dated 16.10.1989 issued
under Section 4 (1) of the Land Acquisition Act, 1894.
2. The Special Land Acquisition Officer had determined
the compensation at Rs.5,500/- per acre for dry land which was
enhanced by the Reference Court vide order dated 21.04.1995
in LAC No.178/1992 to Rs.25,000/- per acre for dry land and
Rs.37,000/- per acre for wet land. In the appeal filed in LACA
No.849/2013 before the III Additional District Judge, Gulbarga,
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the said compensation was further enhanced to Rs.85,200/- per
acre for wet land and Rs.56,800/- per acre for dry land vide
judgment and award dated 30.10.2014. Aggrieved by the
same, the appellant/claimant have preferred the present appeal
seeking further enhancement.
3. The Coordinate Bench of this Court by order dated
19.02.2018 had allowed the aforesaid appeal granting
enhanced compensation of Rs.1,40,917/- per acre of dry land
with all statutory benefits. However, it was clarified that the
appellant/claimant are not entitled for interest for the delayed
period.
4. Aggrieved by the same, respondent-KNNL had
carried the matter in appeal to the Apex Court. By orders dated
10.05.2022 and 12.03.2024 passed in the said civil appeal
along with connected matters, the Apex Court set aside the
earlier order passed by this Court and remanded the matter for
fresh consideration. Accordingly, matter was taken up for
hearing.
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5. After hearing the matter on merits and upon the
submissions made by the learned Advocate General and the
learned counsel appearing for the appellant as well as the
respondents, the matter was placed before the
Hon'ble Mr. Justice A.V. Chandrashekar, Former Judge, High
Court of Karnataka for mediation. Accordingly, mediation
process was undertaken and the parties have arrived at
amicable resolution of their dispute by entering into a Mediation
Agreement. The process of settlement has been accepted and
approved by the respondent- State Government as seen in the
Communication bearing No.d¸ÀAE 124 JAJAf 2024, dated
23.04.2025 produced by learned Additional Advocate General.
6. The terms of the Mediation Agreement are as under:
MEDIATION AGREEMENT
"Thorough discussions were held in the presence of the
Learned Mediator, Justice A.V.Chandrashekhar (Retired),
the Managing Director of Karnataka Neeravari Nigam
(Hereinafter "KNNL"), the Learned Advocate General,
the Additional Advocate General, Kalaburagi, the
Learned Advocates appearing for the parties, and the
authorized representatives of KNNL.
The present appeal is one of several land acquisition
matters pertaining to various irrigation projects which
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are being undertaken and managed by KNNL, which
were remanded to the Hon'ble High Court of Karnataka,
Kalaburagi Bench at the instance of the KNNL which
preferred Special Leave Petitions before the Hon'ble
Supreme Court of India by the orders dated 10.05.2022
and 12.03.2024. By order dated 27.09.2024, the
Hon'ble High Court referred the matters for mediation.
The present compromise has been duly approved by the
State Government of Karnataka on 23.04.2025.
After considering the various factors like the decisions of
the Hon'ble Supreme Court and deliberations between
the parties, the parties have voluntarily agreed as
follows:
(a) The market value of the land acquired is
calculated and arrived at Rs.1,36,800/- per acre
(Words: one lakh thirty six thousand eight hundred
rupees only) for dry land and Rs.2,10,217/- per acre
(Words: two lakhs ten thousand two hundred and
seventeen rupees only) for wet land;
(b) The Appellant/s(Claimant/s) is/are entitled for all
statutory benefits under Land Acquisition Act, except
for the period of delay in filing the Appeal before the
First Appellate Court and for the period of delay in
filing the Appeal before the Hon'ble High Court;
(c) No interest is payable to the
Appellant/s(Claimant/s) for the period of delay in
filing the Appeal before the First Appellate Court and
for the period of delay in filing the Appeal before the
Hon'ble High Court;
(d) The Appellant/s (Claimant/s) agree that they will
give up statutory interest for a period of two years;
(e) It is agreed to between the parties that the
calculation of interest is made up to the date of
approval by the State Government of Karnataka i.e.
23.04.2025.
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(f) Subject to the vacation of stay in W.P. (C) No.
100913 of 2025, it is agreed to between the parties
that, in case the agreed amount is not paid within
four months from the signing of this agreement,
KNNL will not be entitled for exemption of payment
of interest for a period of two years as outlined in
clause (d);
(g) The Appellant/s(Claimant/s) has/ have
understood and agreed that the payment of amounts
quantified in the present agreement would be made
from the through the P.D. account of KNNL of the
Chief Accounts Officer, KNNL, Dharwad. (Head of
Account "8443-00-106") as outlined in G.O. No. AE
13 TAR 2023 dated 27.09.2024;
(h) The Appellant/s(Claimant/s) agree that the
present agreement would be a full and final
settlement of their claims and they would not be
entitled to any differential interest except in
accordance with the terms of this agreement;
(i) Appellant/s(Claimant/s) has/have agreed to give
an undertaking in writing about the genuineness of
their claim and undertake to furnish copy of the
Passbook and Aadhar Card immediately upon signing
of the agreement;
(j) The Appellant/s(Claimant/s) agree that the
present agreement would be a full and final
settlement of their claims and they and/or their legal
heirs undertake to not agitate any further claims in
this regard, in the future;
(k)The Appellant/s(Claimant/s) agree to withdraw all
pending Execution Petition(s) in terms of this
agreement;
(l) KNNL would not be bound to pay any further
compensation or claim to a third party, should any
dispute arise between the Appellant/s(Claimant/s)
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and such person, in respect of ownership and claim
of the acquired land;
(m) KNNL has agreed to pay the costs to the
Appellant/s(Claimant/s) which is equivalent to the
Court fee paid by the Appellants. Consequently,
KNNL is entitled for return of Court fee from this
Hon'ble Court, as per law;
(n) KNNL has undertaken that the payment of
agreed amount will be deposited directly to the
account of the Appellant/s(Claimant/s) through the
P.D. account of KNNL of the Chief Accounts Officer,
KNNL, Dharwad. (Head of Account "8443-00-106")
as outlined in G.O. No. AE 13 TAR 2023 dated
27.09.2024;
(o) The present settlement shall not be considered
either as a precedent or a policy decision or a
proposal binding on KNNL for cases, other than the
present matter referred to Mediation.
The parties to this agreement have entered into this
compromise voluntarily, on their own volition, without
any coercion or misrepresentation and the contents of
this agreement have been explained to and understood
by the Appellant/s(Claimant/s) in vernacular as well."
7. The terms of the Mediation Agreement have been
accepted by the parties. The Mediation Agreement not being
opposed to any provisions of law, same is taken on record.
Accordingly, the present appeal is disposed of in terms of the
aforesaid Mediation Agreement.
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8. Sri. Mallaha Rao K, learned Additional Advocate
General for the respondent-State and learned counsel for
respondent-KNNL submit that since the "Personal Deposit
Account" which is opened in the name of the Chief Accounts
Officer-KNNL, Dharwad, for the purpose of disbursing the
compensation amount is subject matter of writ petition in
W.P.(C) No.100913/2025, necessary steps will be taken to
either vacate or modify the aforesaid interim order to the
extent of subject matter of this appeal and that if in the event
of any further impediment in implementing the terms of the
Mediation Agreement, appropriate alternate arrangements will
be made to comply with the terms of the Mediation Agreement.
Submission is taken record as an undertaking to this Court.
9. It is made clear that in the event of any failure on
the part of respondent-KNNL, the appellant/claimant would be
at liberty to seek enforcement and execution of this order in
accordance with law. In such an event, appellant/claimant
would also be entitled for all the statutory benefits including
interest till realization.
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10 This Court places on record its appreciation of the
earnest efforts made by Hon'ble Justice A.V.Chandrashekar,
former Judge, High Court of Karnataka, Sri. K. Shashi Kiran
Shetty, learned Advocate General, Sri. K.Mallaha Rao, learned
Additional Advocate General for the respondent-State,
Smt.T.Maya, learned Additional Government Advocate for
respondent No.1, Ms.L.Mohini Bhat and Ms.Hetu Arora Sethi,
Sri. Sanjeev Kumar Patil, Sri. M.Sudarshan, Sri.Abhimanyu,
learned counsel for respondent-KNNL, Sri.Harshavardhan R.
Malipatil, Sri. Nagaraj Patil, Sri. Shivashankar H. Manur,
learned counsel for the appellant, as well as Sri. Rajesh,
Managing Director of KNNL, Sri. Girish, Secretary of KNNL in
amicably resolving the dispute.
Sd/-
(M.G.S.KAMAL)
JUDGE
SBN
