Madras High Court

CRP/3778/2026 of M/s. Sagar Builders Vs The Union Of India on 16 October 2026

THE HIGH COURT OF JUDICATURE AT MADRAS

Order reserved on : 23.09.2026

Order pronounced on : 16.10.2026

CORAM

THE HON'BLE MR. JUSTICE P.B.BALAJI

CRP.No.3778 of 2026

& CMP.No.16395 of 2026

M/s.Sagar Builders,

Represented by its Proprietor Vimal Chand Karaikal.

.. Petitioner

Vs.

1.The Union of India,

represented by the Secretary,

Revenue Department,

Government of Puducherry.

2.The Deputy Collector (Revenue) cum

Land Acquisition Officer, Karaikal.

.. Respondents

Prayer

: Civil Revision Petition filed under Section 115 of CPC, to set aside the interim order in E.P.No.32 of 2021 in L.A.O.P.No.01 of 2004 dated 09.09.2025, on the file of the learned District Judge, Karaikal and consequently, to direct the respondents to pay a sum of Rs.13,63,45,119.40/- to the petitioner.

For Petitioner

: Mr.Arun C.Mohan

for Mr.T.Prabhu

For Respondents

: Mr.P.S.Kothandaraman

Government Pleader (Puducherry)

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ORDER

The claimant-decree holder in E.P.No.32 of 2021 in LAOP.No.1 of 2004 is the revision petitioner, aggrieved by the order of the learned District Judge, Karaikal, dated 09.09.2025, directing the respondents- judgment debtors to pay Rs.33,64,42,33.47/-, together with interest at 15% per annum from 01.09.2025.

2. I have heard Mr.Arun C.Mohan, for Mr.T.Prabhu, learned counsel for the revision petitioner and Mr.P.S.Kothandaraman, learned Government Pleader (Puducherry) for the respondents.

3. After hearing the learned counsel for the parties, noticing that the adjudication in the revision petition would require proper calculations to be made, I directed both the learned counsel for the petitioner, as well as the respondents to file their detailed calculation memos.

4. The petitioner-claimant filed a calculation memo dated 15.09.2026. The same is scanned and extracted hereunder:

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5. Similarly, the learned Government Pleader (Puducherry) for the respondents also filed a calculation memo dated 23.09.2026, which is scanned and extracted hereunder:

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6. There is no dispute with regard to the compensation awarded by this Court in A.S.No.812 of 2009 by judgment dated 22.01.2020, awarding Rs.49,500/- per acre. The land which is subject matter of acquisition is 694.50 acres and therefore, the total compensation payable in terms of the award of this Court works out to Rs.3,43,77,750/-. It is not in dispute that the petitioner is entitled to solatium at 30% on the market value of Rs.3,43,77,750/-, which works out to Rs.1,03,13,325/-. The petitioner is also entitled to additional market value at 12% per annum for 263 days that is from 15.03.2002 up to 02.12.2002 on the market value of Rs.3,43,77,750/-. On this head of additional market value, the petitioner is entitled to further Rs.29,72,498/-. The total amount, therefore, due and payable to the petitioner is Rs.4,76,63,573/-.

7. Admittedly, in and by an interim award dated 16.09.2002, the petitioner has paid Rs.2,78,40,149/-. The balance outstanding payable as on 16.09.2002 is therefore Rs.1,98,23,424/-. The petitioner is entitled to statutory interest at the rate of 9% per annum on the outstanding amount from 16.09.2002 to 31.07.2003 (319 days), which works out to Rs.15,59,261/- and adding the said interest component, the outstanding amount payable by the respondent is Rs.2,13,82,685/-. Since a final award was passed on 31.07.2003 and a further amount of Rs.73,73,635/- was paid to the petitioner, the unpaid amount boils down to Rs.1,40,09,050/-. The petitioner is entitled to statutory

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interest at 9% per annum on the said Rs.1,40,09,050/- for 46 days remaining in the first year that is on 01.08.2003 to 15.09.2003, which works out to Rs.1,58,897/-. Adding this to the remaining unpaid balance outstanding, the net amount payable is Rs.1,41,67,947/-. After the period of first year, the petitioner is entitled to statutory interest at 15% per annum on Rs.1,40,09,050/- from 16.09.2003 to 26.10.2022, which works out to Rs.4,01,84,863/- (I am also rejecting the erroneous approach adopted by the petitioner while calculating the interest payable at 15% per annum from the second year onwards on the unpaid compensation amount since the petitioner has already included the interest component at 9% per annum, payable for the first year and has taken it into account to arrive at interest payable at 15% per annum from the second year onwards). The total compensation therefore due to the petitioner is Rs.5,43,52,810/-.

8. Admittedly, a sum of Rs.4,80,35,751/- has been paid/deposited by the Land Acquisition Officer on 26.10.2022 and the net unpaid compensation amount is therefore Rs.63,17,059/-. It is needless to state that on this unpaid compensation, the petitioner is entitled to statutory interest at 15% per annum from 26.10.2022 to 30.06.2026, which works out to Rs.34,86,497/-. After adjustment of partial remittance made by the respondent vide TDR.No.T26/HTDP 0701343 dated to the tune of Rs.36,46,882.00/-, the balance amount payable as on 01.07.2026 is Rs.61,56,674/-. The calculation filed by the respondents is flawed, for more than one reason. Firstly, while arriving at the market

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value, the respondents have merely adopted the difference in rate per acre awarded by the Land Acquisition Officer and this Court, forgetting for a moment that the award was enhanced to Rs.49,500/- and therefore, the rate originally fixed by the Land Acquisition Officer and confirmed by the Reference Court was also due and payable to the revision petitioner. Therefore, the entire calculation proceeding on the difference in rate alone is clearly fallacious and no credence can be given to the said calculation arrived at by the respondents.

9. In the light of the above, the Civil Revision Petition is allowed and the order dated 09.09.2025 in E.P.No.32 of 2021 in L.A.O.P.No.01 of 2004, on the file of the learned District Judge, Karaikal is set aside. The petitioners are entitled to Rs.61,56,674/- and since this amount is payable as of 01.07.2026, the respondents are directed to directly pay the said amount, without any further delay, within a period of four weeks from the date of receipt of a copy of this order and on such payment, it shall be received in full and final settlement and satisfaction of the award amount, without insisting on further and future interest component. However, if the respondents do not pay the amount of Rs.61,56,674/- arrived at herein above, within the period stipulated herein above, then it is needless to state that the petitioners are not obligated to waive their right to claim future interest and it shall be open to the petitioner to proceed to claim the same as well, along with the remaining amounts that are due and remain

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unpaid by proceeding with the execution petition, in accordance with law. In the event of the same becoming necessary, the Executing Court shall dispose of the execution petition, within a period of six weeks, in accordance with law.. No costs. Connected Civil Miscellaneous Petition is closed. 16.10.2026 Neutral Citation Case : Yes / No Speaking / Non-speaking order Index : Yes/No ata To

1. The District Judge, Karaikal.

2. The Union of India, represented by the Secretary, Revenue Department, Government of Puducherry.

3. The Deputy Collector (Revenue) cum Land Acquisition Officer, Karaikal.

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P.B.BALAJI.

J, ata Pre-delivery order made in CRP.No.3778 of 2026 16.10.2026

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