Supreme Court Case(1) Why landowners given only 6% interest on unpaid compensation when market is charging 40% on loans?


For many reasons, lawyers have stopped questioning reasonings underlying in Supreme Court decisions.

I had seen a 1935 Bombay Law Report. There…. letters of lawyers questioning reasoning of particular judgements were published.

Today, no Law Report publishes such letters.

Let me see if I can make a humble begining.

PRINCIPLE TO REMEMBER : Supreme Court is not Right because it is right. It is considered RIght, because it is final and no appeal can be filed against its judgement. The judgements can still be wrong. It is healthy to discuss these Final and Last Judgements.


Lands of Land Owners in villages are taken away forcibly/ Compulsorily under various laws.

If Compensation is not given proper, they can go to Court. At the end of battle, after 30 or soyears, the Courts awards them due payment with 6% interest.


Why at 6% only when in market banks are charging 40 to 45% interest on loans and dues?

What is the crime of these illiterate villagers? Why law makers and Courts treat them in this way?

Nobody would like to pay an illiterate village land owner, right amount at time of taking possession, if they have to pay only at 6% interest after 30 years when last court orders?

The question based on Supreme Court case of Godavari Sugar Mills Ltd V/s. The State of Maharashtra , decided on 20 Nov.2011 reported in 2011 (1) SCALE 588

Haresh Raichura
15th June,2012

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