NAGPUR IMPROVEMENT TRUST AND ANOTHER vs VITHAL RAO AND OTHERS

The Supreme Court dismissed the appeal, affirming that under the Improvement Act, compensation for acquired land is determined based on its current use rather than potential value, as per Section 17A of the Land Acquisition Act. The Court held that the lack of a 15% solatium for land acquired under the Improvement Act constitutes a discriminatory practice, violating Article 14 of the Constitution. The judgment emphasized that the State cannot establish different compensation principles for lands acquired for public purposes, as it undermines the equal treatment of landowners.