Former MUDA chairman H.V. Rajeev says allotment of sites under 50:50 ratio scheme to land losers in Mysuru was aimed at preventing loss to the authority

The MUDA board’s decision was taken in the light of multiple court cases over developing residential layouts without completing the land acquisition formalities.

Former chairman of Mysuru Urban Development Authority (MUDA) H.V. Rajeev said the ‘50:50 ratio scheme’ for allotment of developed sites to land losers was introduced during his tenure to prevent huge loss to the authority from payment of compensation for developing residential layouts without completing the acquisition formalities.

Mr. Rajeev quit the BJP and joined the Congress ahead of the 2024 Lok Sabha elections.

Addressing a press conference in Mysuru on July 9, Mr. Rajeev said the ‘50:50 ratio scheme’, approved at a meeting of the MUDA’s board on September 15, 2020, was within the framework of law.

The MUDA board’s decision was taken in the light of multiple court cases over developing residential layouts without completing the land acquisition formalities.

After the High Court directed the MUDA to return more than two acres in Srirampura in Mysuru on which a residential layout had been developed without acquisition, and the ruling of a five-judge bench of the Supreme Court in 2020 to determine compensation under provisions of Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act of 2013, or by mutual consent of the land owner, Mr. Rajeev said MUDA faced the prospect of paying a huge sum as compensation to land losers.

Under provisions of Land Acquisition Act of 2013, Mr. Rajeev said the MUDA would have to pay not only the market value of the entire acquired property in terms of square feet or acres, but also 100% compensation with 12% interest since the day of its acquisition. MUDA would have had to pay the owner three times the market value, or the guidance value fixed by the Sub-Registrar, for developing a layout without completing the acquisition formalities.

As there was provision for allotting 50% of the developed sites under the Land Acquisition Act of 2013, the MUDA board approved the 50:50 ratio scheme in September 2020 to prevent loss to MUDA, Mr. Rajeev explained.