Madras High Court

Madras HC: Ariyalur Landowners Secure Higher Compensation for Cement Factory Land

Updated
Feb 12, 2026 11:30 PM
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Summary: The Madras High Court has increased the payment for land taken in Ariyalur for a cement factory. The court decided that the landowners will now get ₹1,500 per cent instead of ₹1,200.

The Case Overview

This case involves land in Ariyalur, Tamil Nadu, taken for a government cement factory by the Tamil Nadu Cements Corporation Ltd. (TANCEM). The appeals were made by The Special Tahsildar, representing the group that took the land, against the payment decided by the Sub Court, Ariyalur.

Key Dates and Decisions

The appeals were reserved on January 29, 2026, and the decision was announced on February 2, 2026, by Honourable Dr. Justice A.D. Maria Clete. The appeals aimed to change the Sub Court's decision on payment amounts decided in 2017.

Original Compensation and Appeals

At first, the land value was set at ₹250 per cent based on nearby land sales. Landowners were not happy and asked for more money, which the Sub Court increased to ₹1,200 per cent. The Special Tahsildar appealed this decision, saying it was too much.

"The appeals argue that the increase is too much and cannot be supported."

Court's Final Decision

The Madras High Court looked at previous decisions and decided to increase the payment to ₹1,500 per cent, matching past cases and making it fair for all affected landowners.

"The market value of the taken land is set at ₹1,500 per cent, with no cuts for development costs."

Implications for Landowners

The court ordered the group that took the land to pay the remaining money, including all legal benefits, within eight weeks. This decision ensures fair payment and fairness in similar cases.

Verdict Summary

The court's decision to increase the payment from ₹1,200 to ₹1,500 per cent shows its commitment to fair treatment of landowners in Ariyalur.