U.O.I. vs MANGATU RAM

The Supreme Court held that the High Court's approach in granting uniform compensation rates for acquired land was incorrect, emphasizing the necessity of classification based on market value as per Section 4(1) of the Land Acquisition Act, 1894. The Court reiterated that compensation must reflect the actual market conditions and that belting is essential when dealing with lands of varying characteristics. The Court ultimately justified the classification of lands into categories 'A' and 'B' for determining compensation, thereby overturning the High Court's decision.