New Okhla Industrial Development Authority vs. Harnand Singh (Deceased) Thr. LRs.
Background
In 1991, NOIDA acquired about 492 acres of land in Village Chhalera Bangar for planned industrial development, and the Land Acquisition Officer initially fixed compensation at Rs. 110 per sq. yard. Over more than two decades of litigation, different landowners obtained different enhancements from the Reference Court and the Allahabad High Court (ranging from about Rs. 222 to Rs. 340 per sq. yard), and in a separate case called Bir Singh, the Supreme Court itself had further enhanced compensation to Rs. 449 per sq. yard for similarly situated land. This created inconsistent compensation rates among landowners whose land was acquired under the same notification, leading to a large batch of cross-appeals by NOIDA and various landowners, along with numerous miscellaneous applications, all seeking parity or further enhancement.
Decision Breakdown
The Supreme Court reviewed the tangled history of the litigation and the reasoning behind the varying compensation figures, and while declining to disturb the Bir Singh precedent itself (calling it based on its own peculiar facts), it independently revised the compensation rate for all the landowners before it to a uniform Rs. 403 per sq. yard, enhancing it where lower amounts had been awarded, and correspondingly reducing it where the High Court had granted the higher Rs. 449 rate. It rejected the landowners' claim for automatic parity under Section 28A of the Land Acquisition Act, both because procedural requirements for invoking that provision were not met and because the issue was rendered moot by the Court's own uniform revision. It directed that the enhanced compensation be deposited with the Reference Court within eight weeks for onward disbursement.
Lesson Learnt
When land acquired under a single notification produces widely inconsistent compensation awards over the years due to piecemeal litigation, courts can step in to fix one uniform, fair rate for everyone similarly placed, rather than perpetuating unequal outcomes, but claimants must still follow the specific statutory procedure (like timely written requests) to claim parity as a matter of right.