Background: Court slams delays in compensation payment

The GR, dated September 22, 2026, comes after the Bombay High Court expressed strong displeasure over repeated delays in paying enhanced compensation even after court orders. In a writ petition (First Appeal No. 2109/2025, Government of Maharashtra vs. Jubeda Fakir Mohammed), the High Court noted that when compensation determined under the Land Acquisition Act is not paid within the stipulated time, statutory interest becomes payable, imposing an additional financial burden on the public exchequer.

The Court directed that merely framing rules and procedures is not enough; there must be a clear mechanism to fix direct responsibility for delays and take strict action against officers who cause unnecessary hold-ups without valid reasons.

Key directions in the GR

The Revenue Department’s GR lays down a tight timeline and accountability framework for all Divisional Commissioners, Collectors, Land Acquisition Officers (LAOs), and land acquisition bodies:

1. Decision on filing appeals within one month

• In cases where courts have ordered enhanced compensation, the government must decide within one month from the date of the court order whether to file an appeal before a higher court (including the Supreme Court).
• This decision must be taken after considering existing government standing orders and obtaining opinions from relevant government advocates.

2. One-month deadline to deposit enhanced compensation

• If the decision is to comply with the court order (or if no appeal is filed), the enhanced compensation amount must be deposited within one month.
• The amount must be deposited either in the concerned court or in the Land Acquisition Officer’s own treasury account, case by case, as per the court’s directions.
• If an appeal is filed, the officer must still ensure that the compensation amount is deposited as directed by the court or in the LAO’s account, pending final outcome.

3. Personal accountability and disciplinary action

• If the enhanced compensation is not deposited within the prescribed time without any justifiable reason, the concerned Land Acquisition Officer or the official of the land acquisition body will be held directly responsible (accountable).
• In such cases, immediate disciplinary proceedings must be initiated against the officer under the Maharashtra Civil Services (Discipline and Appeal) Rules, 1979.

4. Recovery of loss to government exchequer

• The GR notes that in several cases, interest payable due to delayed payment has even exceeded the principal compensation amount, causing significant loss to the government.
• Officers responsible for such delays—including interest and additional amounts payable—will be liable for disciplinary action and recovery proceedings for the loss caused to the government.

5. Separate register for court-ordered cases

• Collectors, LAOs, and land acquisition bodies must maintain a separate register for all cases where courts have passed specific orders.
• This register must track:
  • Conditions and timelines in the court order
  • Amount to be deposited
  • Interest implications
  • Status of compliance
• Officers must ensure that lack of fund availability does not become a reason for delaying compensation payments.

6. Monthly review and escalation

• Divisional Commissioners, Collectors, LAOs, and acquisition bodies must conduct a monthly review of all such court-directed land acquisition cases.
• If any non-compliance or delay is found in implementing court orders, following timelines, or adhering to government instructions, proposals for disciplinary action must be immediately sent to the competent authority against the concerned officers.

Who is covered

The GR is addressed to a wide range of authorities involved in land acquisition across the state, including:

• All Divisional Commissioners and Collectors
• All Deputy Collectors (Land Acquisition) across divisions (Konkan, Pune, Nashik, Chhatrapati Sambhajinagar, Nagpur, Amravati)
• National Highways Authority of India (regional offices)
• Railway development authorities and zonal railways
• Urban development bodies (MMRDA, PMRDA, NMRDA, etc.)
• State development corporations (MSRDC, MIDC, MADC, MHADA, etc.)
• Irrigation and water resources departments
• Power transmission and generation companies
• Airport development corporation, state road transport, and other infrastructure agencies

This ensures that the accountability mechanism applies not only to revenue department officers but also to officials of all acquiring bodies that undertake land acquisition for public projects.

Why this matters

Land acquisition delays have long been a major source of litigation and cost escalation in infrastructure and housing projects in Maharashtra. By:

• Fixing a strict one-month timeline for decisions and deposits,
• Mandating personal accountability for officers, and
• Linking delays to disciplinary action and financial recovery,

the state is signaling zero tolerance for administrative inertia in implementing court orders on compensation.

The move is expected to:

• Reduce pendency of land acquisition cases in courts,
• Lower interest burdens on the state exchequer, and
• Improve trust among landowners that court-awarded compensation will be paid on time.

Also Read: Acquisition of 12.75-acre land parcel in Thane

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