In a pivotal ruling, the Supreme Court has affirmed that landowners can seek re-determination of compensation under Section 28-A of the Land Acquisition Act, 1894, based on High Court decisions enhancing compensation, not just those by the Reference Court under Section 18. This decision underscores the Act’s intent to extend equitable benefits to all affected landowners, even those who initially refrained from seeking reference.
The case revolved around land acquired in 2004 for the Kundli-Manesar-Palwal Expressway project, where the initial compensation of ₹12.5 lakh per acre was later enhanced by the Punjab & Haryana High Court in 2016 to ₹19.91 lakh per acre. The appellants, who had not previously pursued a Section 18 reference, sought this enhanced compensation under Section 28-A, a move approved by the Land Acquisition Collector in 2020.
However, their claim faced opposition from the Haryana State Industrial and Infrastructure Development Corporation (HSIIDC), which argued the enhancement could only be sought based on Reference Court decisions, citing a precedent from Ramsingbhai Jerambhai v. State of Gujarat (2018). The High Court upheld this view, denying the appellants their claim.
The Supreme Court overturned this decision, reaffirming an earlier interpretation in Union of India v. Pradeep Kumari (1995). The bench clarified that Section 28-A is a remedial provision meant to address inequalities and benefit landowners who missed earlier opportunities to seek fair compensation. By allowing claims based on High Court judgments, the Court emphasized the need for an expansive interpretation that upholds the legislation’s beneficent purpose.
This judgment not only reinstates the appellants’ right to enhanced compensation but also establishes a broader precedent ensuring fair treatment for landowners navigating the complexities of compensation claims.