UNION OF INDIA & ANR vs SMT.SHANTI DEVI ETC. ETC

The Supreme Court held that in determining compensation for land acquired under the Land Acquisition Act, 1894, the proper multiplier to be adopted is fifteen years' purchase rule, rather than the twenty years' purchase rule applied by the lower courts. The Court clarified that the relevant date for compensation is the date of notification under Section 4(1) and emphasized that the capitalized value of property should reflect the net annual income after deducting outgoings. The appeals were allowed in part, correcting the valuation method used by the lower courts.