Court Dismisses Claim for Additional Compensation, Urges State to Reevaluate Stalled Project
In a significant ruling, the Karnataka High Court reaffirmed the adherence to the Framework Agreement (FWA) and Project Technical Report (PTR) for the Bangalore-Mysore Infrastructure Corridor Project, dismissing claims for additional compensation by petitioner Smt. Chandrika. The Division Bench, comprising Justices D.K. Singh and Venkatesh Naik T., emphasized that any deviation from the project's specifications requires prior approval from the State, thereby upholding the sanctity of the FWA.
The petitioner, Smt. Chandrika, had sought additional compensation and land allotment, despite having accepted a settlement under Section 29(2) of the Karnataka Industrial Areas Development Act (KIAD Act). The court held that the compensation was settled in full and final terms, with no promise or scope for additional compensation established under the FWA or PTR.
The court lamented the failure of the project to achieve its intended objectives of decongestion and urban planning, noting the lack of expressway construction and incomplete implementation of townships even after 25 years. The judgment called for a reevaluation of the project and fresh planning to address urban challenges in Bengaluru, highlighting the city's current infrastructural and environmental struggles.
The project was originally conceived to construct an integrated infrastructure corridor between Bangalore and Mysore, including self-sustaining townships, expressways, and utilities. However, only minimal progress has been made, with the expressway largely remaining on paper.
The court's decision comes amidst a backdrop of over 2,000 related legal cases, reflecting the project's contentious history. It urged the State Government to take necessary decisions for fresh planning, potentially discarding the FWA to improve living conditions in the city.
The judgment underscored the project proponents' obligation to develop only the five designated townships as per the FWA, dismissing any proposals for group housing schemes outside these areas without State consent. The court also highlighted the ongoing collection of tolls by the project proponents despite the lack of expressway construction, urging the State to reassess the project's viability.
Bottom Line:
Bangalore Mysore Infrastructure Corridor Project - Supreme Court and High Court emphasize adherence to Framework Agreement (FWA) and Project Technical Report (PTR) for developing five designated townships and related infrastructure - Deviation from project specifications not permissible without prior State approval.
Statutory provision(s): Karnataka Industrial Areas Development Act, 1966, Framework Agreement (FWA), Project Technical Report (PTR)
