Karnataka Neeravari Nigama Limited Vs Shakuntalabai (Karnataka High Court)
The Karnataka High Court dealt with a writ petition filed by Karnataka Neeravari Nigam Limited (KNNL), the beneficiary of a land acquisition, challenging a judgment and award passed in land acquisition proceedings. While considering the matter, the Court noted that the acquisition proceedings had remained pending for an inordinately long period and that the land losers had not received compensation within a reasonable timeframe. The Court also observed that execution proceedings had been initiated by the land losers to enforce decrees, highlighting the prolonged nature of the dispute and the lack of finality.
The Court observed that continued litigation would prejudice all stakeholders. Land losers would be deprived of timely compensation, while the beneficiary and the State would face increasing financial liabilities due to accrual of statutory interest and related obligations. Considering the multiplicity of proceedings and the possibility of avoiding further litigation, the Court suggested resolution through mediation under the principles underlying Section 89 of the Code of Civil Procedure, 1908. Both the State Government and the land losers agreed to participate in mediation. Accordingly, the disputes were referred to mediation under the guidance of former High Court Judge Hon’ble Sri Justice A.V. Chandrashekhar.
