Bangalore Metro Rail Corporation Limited Vs Sri. Balaji Corporate Services (Karnataka High Court)
Summary: The Karnataka High Court dismissed Writ Appeal Nos. 890/2022, 892/2022 and 1070/2022, thereby declining to interfere with the common order dated 21.04.2022 passed in W.P.No.43206/2018 c/w W.P.No.53718/2017 (LA-KIADB). The writ petitions concerned acquisition of properties for the Bangalore Metro Rail Project–Phase II under the Karnataka Industrial Areas Development Act, 1966 (KIAD Act), and principally involved the quantum and statutory basis of compensation and the deduction of income tax at source from such compensation.
The properties involved in W.A.No.890/2022 were situated at Sadaramangala Village, Whitefield Main Road, Bengaluru. Property No.R1E-235 had been notified through Preliminary Notification dated 22.09.2015 and Final Notification dated 04.04.2016 under Sections 28(1) and 28(4) of the KIAD Act, while property No.R1E-235A had been notified through Preliminary Notification dated 16.12.2017 and Final Notification dated 25.05.2018. General awards in respect of those properties were passed on 25.10.2018. W.A.No.892/2022 concerned properties at Hoodi Village, K.R. Puram, Bangalore East Taluk, which had also been notified for acquisition for the Bangalore Metro Rail Project–Phase II.
The petitioners contended that because the acquisition notifications were issued after 01.01.2014, when the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (Act, 2013) came into force, compensation was required to be determined under that legislation rather than under the Land Acquisition Act, 1894. They also contended that compensation under the Act, 2013 was exempt from income tax and tax deduction at source.
