Karnataka HC Removes 25% Deposit And Similar-Land Payment Checks From Remanded Land-Acquisition Compensation Case

The appellant, Krishna Bhagya Jala Nigam Limited, was the beneficiary of land acquisitions but had not been joined in proceedings before the Reference Court, which passed an award concerning the private respondents’ lands.

The appellant challenged that award by writ petition. The Single Judge set aside the award and remitted the matter to the Reference Court, but imposed conditions numbered (iv) to (ix) concerning evidence, consideration of compensation paid for similarly situated lands, timelines, and deposit of compensation.

The appellant appealed only against those conditions, relying on a coordinate Bench’s decision setting aside similar conditions.

The appeal was brought under Section 4 of the Karnataka High Court Act, 1961.

The Court applied the principle stated by a coordinate Bench in Writ Appeal No. 100475 of 2026 that, where the writ petition succeeds on the ground that the beneficiary was absent from the Reference Court proceedings, the Reference Court should be left free to determine the remanded reference in accordance with law; directions that constrain its discretion as to how the reference is to be decided are not appropriate.

The Court also followed the related order in Writ Appeal No. 100590 of 2026 c/w Writ Appeal No. 100503 of 2026.

The Court noted that the appellant sought relief from the same types of remand conditions that a coordinate Bench had set aside in a similar appeal.

It agreed that the Reference Court should determine the reference afresh in accordance with law, without being bound by the Single Judge’s directions concerning evidence, payment for comparable lands, deadlines, or a deposit of compensation.

The Court therefore disposed of the appeal on the same basis as the earlier decision, while directing the Reference Court to notify parties who had not been served in the appeal.

The conditions numbered (iv) to (ix) were set aside, while the Reference Court’s award remained quashed and the matter remitted for fresh consideration in accordance with law.

The parties were directed to appear before the Reference Court on 26 November 2026; the Reference Court was directed to issue notice to parties not served in the appeal and thereafter proceed according to law.

Pending applications were also disposed of.