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Bombay High Court

THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDALversusTHE STATE OF MAHARASHTRA AND ANOTHER

Disposal
DISPOSED OFF

Holding

The court disposed of the appeals, modifying the operative part of the judgments to award interest at 9% per annum for the first year and 15% per annum thereafter.

Summary

The Executive Director of Krishna Khore Mahamandal appealed against awards of compensation granted by the Reference Court, contending that the court erred in the quantum of interest awarded. The State of Maharashtra, relying on a Government Resolution of 3 November 2016 and its corrigendum of 23 February 2017, had a policy not to file or contest appeals where the compensation awarded was within four times the amount awarded by the State Land Acquisition Officer. Both sides argued that, in view of this policy, the appeals should be disposed of, and the appellant further sought correction of the interest rate to 9% per annum for the first year and 15% thereafter. The bench considered the policy, the submissions of counsel, and the need to correct the interest component. It disposed of all the first appeals, modifying the operative part of the judgments to award interest at the rates sought by the appellant.

Issues considered

  • Whether the appeals should be dismissed pursuant to the State Government's policy of not contesting appeals where the compensation is within four times the S.L.A.O. award.
  • Whether the interest awarded by the Reference Court should be corrected to 9% per annum for one year and 15% per annum thereafter.

Subjects

  • compensation award
  • interest rate
  • government policy
  • appeal disposal
  • land acquisition
  • judgment modification

Judgment

2026:BHC-AUG:19635




                         IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                    BENCH AT AURANGABAD

                                  906 FIRST APPEAL NO. 764 OF 2014

                  THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                                        VERSUS
                        THE STATE OF MAHARASHTRA AND ANOTHER
                                           …

                                               WITH
                                    FIRST APPEAL NO. 772 OF 2014

                  THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                                        VERSUS
                         THE STATE OF MAHARASHTRA AND OTHERS
                                           …

                                               WITH
                                    FIRST APPEAL NO. 773 OF 2014

                  THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                                        VERSUS
                        THE STATE OF MAHARASHTRA AND ANOTHER
                                           …

                                               WITH
                                    FIRST APPEAL NO. 759 OF 2014

                  THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                                        VERSUS
                         THE STATE OF MAHARASHTRA AND OTHERS
                                           …

                                               WITH
                                    FIRST APPEAL NO. 761 OF 2014

                  THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                                        VERSUS
                        THE STATE OF MAHARASHTRA AND ANOTHER


           906 FA 866.2014 (4 times)final.odt                        1 of 6
                                      …

                                    WITH
                         FIRST APPEAL NO. 762 OF 2014

       THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                             VERSUS
              THE STATE OF MAHARASHTRA AND OTHERS
                                …

                                    WITH
                         FIRST APPEAL NO. 768 OF 2014

       THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                             VERSUS
             THE STATE OF MAHARASHTRA AND ANOTHER
                                …

                                    WITH
                         FIRST APPEAL NO. 769 OF 2014

       THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                             VERSUS
             THE STATE OF MAHARASHTRA AND ANOTHER

                                    WITH
                        FIRST APPEAL NO. 1331 OF 2016

       THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                             VERSUS
              THE STATE OF MAHARASHTRA AND OTHERS
                                …

                                    WITH
                         FIRST APPEAL NO. 765 OF 2014

       THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                             VERSUS
              THE STATE OF MAHARASHTRA AND OTHERS
                                …


906 FA 866.2014 (4 times)final.odt                        2 of 6
                                    WITH
                         FIRST APPEAL NO. 767 OF 2014

       THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                             VERSUS
             THE STATE OF MAHARASHTRA AND ANOTHER
                                …

                                    WITH
                         FIRST APPEAL NO. 770 OF 2014

       THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                             VERSUS
             THE STATE OF MAHARASHTRA AND ANOTHER
                                …

                                    WITH
                         FIRST APPEAL NO. 771 OF 2014

       THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                             VERSUS
             THE STATE OF MAHARASHTRA AND ANOTHER
                                …

                                    WITH
                        FIRST APPEAL NO. 2922 OF 2015

       THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                             VERSUS
             THE STATE OF MAHARASHTRA AND ANOTHER
                                …

                                    WITH
                        FIRST APPEAL NO. 2925 OF 2015

       THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                             VERSUS
             THE STATE OF MAHARASHTRA AND ANOTHER
                                …


906 FA 866.2014 (4 times)final.odt                        3 of 6
                                    WITH
                         FIRST APPEAL NO. 763 OF 2014

       THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                             VERSUS
              THE STATE OF MAHARASHTRA AND OTHERS
                                …

                                    WITH
                        FIRST APPEAL NO. 2926 OF 2015

       THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                              VERSUS
              THE STATE OF MAHARASHTRA AND OTHERS
                                 --
                               WITH
                    FIRST APPEAL NO. 766 OF 2014

       THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                             VERSUS
              THE STATE OF MAHARASHTRA AND OTHERS
                                --

                                    WITH
                         FIRST APPEAL NO. 760 OF 2014

       THE EXECUTIVE DIRECTOR, KRISHNA KHORE MAHAMANDAL
                             VERSUS
              THE STATE OF MAHARASHTRA AND OTHERS

Mr. G. B. Rajale, Advocate for the appellant
Mr. S. G. Joshi, AGP for the respondent/State
Mr. R. K. Temkar, Advocate for respondent No.2 in respective appeals
Mr. P. V. Barde, Advocate for respondent in respective appeals

                                     CORAM : SANJAY A. DESHMUKH, J.
                                     DATED   : 30th APRIL, 2026




906 FA 866.2014 (4 times)final.odt                                     4 of 6
P. C. :-

1.           First Appeal Nos. 760 of 2014, 766 of 2014 and 2926 of 2015 are

not on board. Upon being mentioned, taken on board.


2.           The learned Advocate for the appellants and the learned AGP for

the State submit that in view of the policy decision of the State Government as

per the Government Resolution dated 03.11.2016 and the corrigendum dated

23.02.2017 issued thereto, the State Government has resolved not to file or

contest any appeal where the amount of compensation awarded by the

Reference Court is within four times of the amount awarded by the S.L.A.O.

They submit that the present first appeals deserve to be disposed of in view of

the aforesaid policy decision of the State Government, as the amount of

compensation awarded by the Reference Court is within four times of the

amount awarded by the S.L.A.O.


3.         The learned Advocate for the appellant/acquiring body pointed out

the operative part of the impugned judgments and submits that the learned

Reference Court erred in awarding interest. He prays that the operative part of

the impugned judgments be corrected as the claimants are entitled to interest

@ 9% per annum for one year from the date of the award and thereafter @

15% per annum till realization of the amount.




906 FA 866.2014 (4 times)final.odt                                       5 of 6
4.           Considering the submissions of both sides as well as the policy

decision of the State Government, the first appeals deserve to be disposed of.

The First Appeals are disposed of accordingly. Pending civil applications, if

any, are also disposed of. The argument of learned Advocate for the

appellant/acquiring body is acceptable with regard to the operative part of the

impugned judgments, to the extent that the claimants are entitled to interest

@ 9% per annum for one year from the date of the award and thereafter @

15% per annum till realization of the amount. Hence, the operative part of the

impugned judgments and awards is modified to that extent only, as under:

          The claimants are entitled to interest @ 9% p.a. for one year from

the date of the award, and thereafter @15% p.a. till realisation of the amount.




                                          (SANJAY A. DESHMUKH, J.)

ssp




906 FA 866.2014 (4 times)final.odt                                       6 of 6


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