Supreme Court Judgment on Land Compensation

The Supreme Court of India made a significant judgment concerning the rights of landowners whose properties were acquired for the Bengaluru-Mysore Infrastructure Corridor (BMIC) project. This case underscores the importance of the right to property as both a human and constitutional right.

Key Judgment Details

• The court mandated that compensation for the land acquired should be based on the market value prevailing in April 2019, not the value at the time of initial acquisition in 2003.

Constitutional and Human Rights Consideration

• Right to Property: Recognized as a human right and protected under Article 300-A of the Indian Constitution.
• The state is prohibited from dispossessing citizens of their property without following the legal procedure.

Economic Rationale and State Responsibility

• Economic Value of Money: The court emphasized that the value of money changes over time due to inflation, affecting the purchasing power of the compensation.
• State's Role: The court criticized the Karnataka government for its delay, stressing that it should have acted proactively to ensure timely compensation.

Implications of the Judgment

• This judgment reinforces the principle that compensation for acquired land should reflect current market values, not historical ones.
• It highlights the state's obligation to promptly and adequately compensate landowners, adhering to constitutional and legal mandates.

Supreme Court Ruling on Right to Property

The Supreme Court of India ruled that the right to property is both a human and constitutional right, ensuring that no individual can be deprived of property without adequate compensation. The judgment highlighted the potential adjustment of valuation dates in cases of excessive delay in compensation disbursement.

Constitutional Context

• The right to property was removed from being a Fundamental Right by the Constitution (Forty-Fourth Amendment) Act, 1978.
• It remains a constitutional right under Article 300-A, which mandates no deprivation of property without legal authority.

Case Context

• The ruling was in response to an appeal concerning a Karnataka High Court decision regarding the Bengaluru-Mysuru Infrastructure Corridor Project.
• Landowners had not received compensation, leading to a postponement of the valuation date by the Special Land Acquisition Officer (SLAO) from 2003 to 2011.

Supreme Court's Decision

• The Supreme Court upheld the lower court's stance that only it, or a High Court, can change acquisition dates under Article 32/142 or Article 226.
• The Court ruled it was appropriate to use Article 142 to adjust the valuation date for just compensation.
• The SLAO was directed to base compensation on the market value as of April 22, 2019, granting statutory benefits from the 1894 Land Acquisition Act.

This ruling emphasizes the protection of property rights within the Indian legal framework, highlighting both constitutional mandates and the role of judicial authority in ensuring fair compensation.

Government Allocation for Centrally Sponsored Schemes

The government plans to maintain the allocation for Centrally Sponsored Schemes (CSS) at approximately ₹5.05 lakh crore for the fiscal year 2025-26. This decision comes amid efforts to monitor funds closely and consolidate various schemes.

Key Points

• The allocation for CSS had seen a 9.8% increase in FY24.
• Efficient fund utilization through technology and enhanced efficiency measures has been prioritized.
• The government anticipates saving around ₹30,000 crore in the current fiscal year due to stricter expenditure tracking and slow spending by states.
• As of December 1, 2024, about ₹40,000 crore remained unspent in government balances.

Single Nodal Agency (SNA) System

The transition to a Single Nodal Agency (SNA) system has facilitated better monitoring of fund usage. The central government intends to include all states on the portal by the next fiscal year, with eight states joining in 2024, bringing the total to 18.

Flagship CSS Programmes

• Ayushman Bharat – Pradhan Mantri Jan Arogya Yojana (PMJAY)
• Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA)
• Pradhan Mantri Awas Yojna-Urban and PMAY-Gramin
• Jal Jeevan Mission (JJM)
• Pradhan Mantri Gram Sadak Yojna (PMGSY)

Rationalisation of CSS

The government is working towards further rationalization of CSS. In March 2015, a sub-group of chief ministers was formed by Prime Minister to address this issue, resulting in a reduction of the number of schemes from 130 to 75.