Citation : 2025 Latest Caselaw 6861 Kant
Judgement Date : 30 June, 2025
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MSA No. 200147 of 2017
HC-KAR
IN THE HIGH COURT OF KARNATAKA,
KALABURAGI BENCH
DATED THIS THE 30TH DAY OF JUNE 2025
BEFORE
THE HON'BLE MR. JUSTICE M.G.S.KAMAL
MISCL SECOND APPEAL NO.200147 OF 2017
BETWEEN:
MOTIBEE W/O. MASHAK PATEL,
AGE:69 YEARS, OCCU:AGRICULTURE,
R/O: KADBOOR,
TQ & DIST: KALABURAGI.
...APPELLANT
(BY SRI. HARSHAVARDHAN R. MALIPATIL, ADVOCATE)
AND:
1. THE SPL.LAND ACQUISITION OFFICER,
M & MIP,
KALABURAGI - 585 101.
2. THE DEPUTY COMMISSIONER,
KALABURAGI - 585 101.
...RESPONDENTS
Digitally signed by (BY SRI. K. SHASHI KIRAN SHETTY, AG A/W
SAROJA
HANGARAKI SRI. K. MALLAHA RAO, AAG AND
Location: High
Court of
Karnataka,
SMT. T. MAYA RAJANN, HCGP FOR
Dharwad Bench,
Dharwad RESPONDENT/STATE)
THIS MSA IS FILED UNDER SECTION 54 OF THE LAND
ACQUISITION ACT PRAYING TO ALLOW THIS APPEAL WITH COSTS
AND MODIFY THE JUDGMENT AND AWARD PASSED BY PRL. CIVIL
JUDGE KALABURAGI DATED 02.07.1996 IN LAC NO.322/1995 AND
ALSO JUDGMENT AND AWARD OF I ADDITIONAL DISTRICT COURT
AT KALABURAGI DATED 29.09.2015 IN LACA NO.539 OF 2013, AND
FIX MARKET VALUE AT THE RATE OF RS.1,67,000/- PER ACRE AND
AWARD ALL STATUTORY BENEFITS AND ETC.,
THIS APPEAL, COMING ON FOR REPORTING SETTLEMENT,
THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER:
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MSA No. 200147 of 2017
HC-KAR
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 lands bearing Sy.No.9/1, measuring 07 acres
16 guntas situated at Kadboor village, Taluk and District
Gulbarga, which was acquired for the purpose of construction of
Bennetora Project in terms of Preliminary Notification dated
23.08.1990 issued under Section 4(1) of the Land Acquisition
Act, 1894.
2. The Special Land Acquisition Officer had determined
the compensation at Rs.6,000/- per acre which was enhanced
by the Reference Court vide order dated 02.07.1996 in LAC
No.322/1995 to Rs.8,000/- per acre. In the appeal filed in
LACA No.539/2013 before the I Additional District Judge,
Kalaburgi, the said compensation was further enhanced to
Rs.90,200/- per acre with all statutory benefits vide judgment
and award dated 29.09.2015. Aggrieved by the same, the
appellant/claimant has preferred the present appeal seeking
further enhancement.
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3. The Coordinate Bench of this Court taking note of
the earlier order passed by this Court in MFA No.200055/2016
had allowed the aforesaid appeal by order dated 09.01.2018
granting enhanced compensation of Rs.2,28,088/- per acre
with all statutory benefits. However, it was clarified that the
appellant/claimant is 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.
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
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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 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:
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(a) The market value of the land acquired is calculated and arrived at Rs.2,28,088/- per acre for wet land (in words: Two Lakhs Twenty Eight Thousand Eighty eight only);
(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.
(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
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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) 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
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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.
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
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HC-KAR
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.
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,
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Managing Director of KNNL, Sri. Girish, Secretary of KNNL in
amicably resolving the dispute.
Sd/-
(M.G.S.KAMAL) JUDGE
SMM/CT-ASC
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