Statutory compensation entitlement includes mandatory solatium interest upon award restoration

Restoration of a land acquisition compensation award and statutory arbitral enhancement obligates the acquiring authority to disburse the full amount with applicable interest and solatium. Solatium and interest represent integral statutory components of just land acquisition compensation designed to indemnify land owners for compulsory property deprivation. When invalid administrative orders keeping enhanced compensation in abeyance are set aside, authorities must calculate interest continuously up to actual disbursement. Deduction of amounts previously disbursed is permitted, but remaining statutory liabilities must be settled within a strict judicial timeframe. Acquiring bodies cannot evade interest liabilities accrued during periods where compensation was illegally withheld under unauthorized administrative orders. Full disbursement within a specified timeframe ensures effective vindication of constitutional and statutory property rights belonging to untainted land owners. Therefore, final judicial relief restoring acquisition awards automatically includes mandatory directives for complete payment of solatium and interest accrued to date. (Niraj Jain v. Competent Authority-cum-Additional Collector, Jagdalpur & Ors. | 2026 INSC 86)