A Thane court has ordered attachment of CIDCO's property as it failed to pay increased compensation for the land it acquired from a person in 1970 for its projects, including development of Navi Mumbai.
First Class Judicial Magistrate S A R Sayeed has fixed the next hearing in the case on November 7.
The case relates to a villager, late Shankar Raghunath Gawand, whose land in Chinchpada near Airoli in Navi Mumbai was acquired by the City and Industrial Development Corporation (CIDCO) for development of the city in 1970.
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CIDCO acquired two pieces of land owned by Gawand, admeasuring 11,002 sq m and 10,623 sq m, for which the compensation was paid by the city planning organisation.
When the legal heirs of Shankar, his four sons including Vilas Shankar Gawand (all aged above 65 now), filed suit for increased compensation, the court ordered additional compensation vide its order dated August 28, 2012.
The court had ordered two awards to the applicants, as per which the CIDCO was expected to pay at the rate of Rs 9 per sq m for one land and at Rs 18 per sq m for the other.
The land acquisition officer and CIDCO were jointly and severally liable to pay the compensation to Shankar's legal heirs.
However, when CIDCO had to pay Rs 12,09,430 (for one land) and Rs 13,04,413 (for the other), it backed out saying it was not entitled to pay the compensation.
CIDCO argued in the court that it was not a proper and necessary party and sought to be exempted from the liability.
Hence, Shankar's sons filed an application in the court stating that the CIDCO had failed to honour its order and sought recovery of the amount, as directed by the court, or else CIDCO's property be attached.
After hearing the counsel for the applicants, the court on Tuesday ordered attachment of the CIDCO's property.