[Cites 5, Cited by 0]
Karnataka High Court
Karnataka Neeravari Nigam Ltd vs The Special Land Acquisition Officer on 17 February, 2026
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MFA No.101336 of 2016
IN THE HIGH COURT OF KARNATAKA, AT DHARWAD
DATED THIS THE 17TH DAY OF FEBRUARY, 2026
BEFORE
THE HON'BLE DR. JUSTICE K.MANMADHA RAO
MISCELLANEOUS FIRST APPEAL NO.101336 OF 2016 (LAC)
BETWEEN:
THE EXECUTIVE ENGINEER,
H.P.R AND R. DIV. ATHANI-591304.
...APPELLANT
(BY SRI. K.S. PATIL, ADVOCATE)
AND:
1. THE SPECIAL LAND ACQUISITION OFFICER,
HIPPARAGI PROJECT, ATHANI-591304.
2. SRI. RAMU S/O SANTARAM NAGARALE
AGE: MAJOR, OCC: AGRICULTURE,
R/O: DIGGEWADI, TQ: RAIBAG,
DIST: BELAGAVI-590006.
3. SRI. NAIKAPPA S/O MAHADEV NAGARALE
AGE: MAJOR, OCC: AGRICULTURE,
R/O: DIGGEWADI, TQ: RAIBAG, DIST: BELAGAVI.
4. SRI. SHRIMANT S/O MAHADEV NAGARALE
AGE: MAJOR, OCC: AGRICULTURE,
Digitally signed
R/O: DIGGEWADI, TQ: RAIBAG, DIST: BELAGAVI.
by
MOHANKUMAR
B SHELAR
...RESPONDENTS
Location: High
Court of
(BY SRI. ABHISHEK MALIPATIL, HCGP FOR R1;
Karnataka,
Dharwad Bench NOTICE TO R2 TO R4-SERVED)
THIS MISCELLANEOUS FIRST APPEAL IS FILED UNDER SECTION
54(1) OF THE LAND ACQUISITION ACT, PRAYING TO ALLOW THE
APPEAL AND SET ASIDE THE JUDGMENT AND AWARD PASSED BY THE
LEARNED SR. CIVIL JUDGE AND JMFC COURT RAIBAG, IN LAC
NO.30/2015 DATED 24.04.2015 BY LIMITING THE ENHANCEMENT OF
MARKET VALUE OF THE ACQUIRED LAND TO RS.3,21,500/- PER ACRE
INSTEAD OF RS.6,17,760/- AND ETC.
THIS MFA HAVING BEEN HEARD AND RESERVED FOR
JUDGMENT ON 05.02.2026 AND COMING ON FOR PRONOUNCEMENT
THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER:
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MFA No.101336 of 2016
CORAM: THE HON'BLE DR. JUSTICE K.MANMADHA RAO
CAV JUDGMENT
The appellant has preferred the present appeal
challenging the judgment and award dated 24.04.2015
passed by the learned Senior Civil Judge and JMFC, Raibag,
in LAC No.30/2015.
2. The facts of the case are that;
The agricultural lands belonging to the claimants
situated at Diggewadi village, Raibag Taluk, were acquired
for the Hipparagi Project pursuant to a notification issued
under Section 4(1) of the Land Acquisition Act, 1894, dated
15.01.2009. The Special Land Acquisition Officer passed an
award on 21.06.2012, fixing the market value at
Rs.47,097/- per acre for dry lands and Rs.1,88,283/- per
acre for irrigated lands, treating the acquired lands as
irrigated. Dissatisfied with the compensation awarded, the
claimants sought reference under Section 18(1) of the Act,
contending that the lands were fertile, fully irrigated and
capable of yielding commercial crops. Before the Reference
Court, the claimants asserted that the acquired lands were
irrigated by Krishna river, canal, borewell and open well and
were used for cultivation of sugarcane and other
commercial and horticultural crops. Oral and documentary
evidence was adduced to establish crop yield and income.
Relying upon the capitalization method and placing reliance
on an earlier judgment in LAC No.110/2014 relating to
similarly situated lands acquired for the same project, the
Reference Court enhanced the market value to
Rs.6,17,760/- per acre along with statutory benefits,
leading to the present appeal by the acquiring authority.
3. The learned counsel appearing for the appellant
submits that the Reference Court has committed an error in
enhancing the compensation by placing reliance on the
judgment passed in LAC No.110/2014. It is contended that
the said judgment was carried in appeal before this Court in
MFA No.103598/2015 filed by the beneficiary-KNNL and
this Court, by judgment dated 18.01.2018, was pleased to
modify the award and reduce the market value to
Rs.4,61,250/- per acre. It is submitted that when the very
judgment relied upon by the Reference Court has been
modified by this Court, the impugned award cannot be
sustained and requires interference. It is further submitted
that on the principle of parity, the compensation in the
present case also requires to be fixed at Rs.4,61,250/- per
acre.
4. Learned High Court Government Pleader
appearing for respondent No.1 fairly submits that in view of
the judgment passed by this Court in MFA No.103598/2015,
the compensation awarded by the Reference Court may be
reduced to Rs.4,61,250/- per acre and has no objection for
passing appropriate orders.
5. Respondent Nos.2 to 4, though served, remain
unrepresented.
6. Having considered the submissions made by the
learned counsel for the appellant and the learned HCGP for
respondent No.1, and on perusal of the impugned judgment
and award, it is clear that the Reference Court has
enhanced the compensation solely by relying upon the
judgment passed in LAC No.110/2014. It is not in dispute
that the said judgment has been subsequently modified by
this Court in MFA No.103598/2015 dated 18.01.2018,
wherein the market value has been reduced and fixed at
Rs.4,61,250/- per acre.
7. When the very foundation for enhancement
relied upon by the Reference Court has been altered by this
Court, the compensation awarded in the present case
cannot be allowed to stand at a higher rate. The lands
involved in the present appeal and the lands involved in LAC
No.110/2014 are similarly situated and acquired for the
same project. Therefore, the principle of uniformity and
parity necessarily applies.
8. In view of the above, this Court is of the
considered opinion that the judgment and award passed by
the Reference Court in LAC No.30/2015 requires
modification in terms of the judgment passed by this Court
in MFA No.103598/2015.
9. Accordingly, this court proceeds to pass the
following:
ORDER
i) The appeal is allowed in part.
ii) The judgment and award dated 24.04.2015
passed by the learned Senior Civil Judge and
JMFC, Raibag, in LAC No.30/2015 is modified.
iii) The market value of the acquired land is fixed at
Rs.4,61,250/- (Rupees Four Lakhs Sixty One
Thousand Two Hundred Fifty only) per acre.
iv) The claimants shall be entitled to statutory
benefits under Sections 23(1A), 23(2) and 28 of
the Land Acquisition Act, 1894 on the modified
compensation amount.
v) The amount already paid, if any, shall be given
due set-off.
No order as to costs.
Sd/-
(DR. K.MANMADHA RAO)
JUDGE
MBS,CT:VP
