The Nagpur bench of the Bombay High Court on Friday directed the family of a deceased farmer to explain why they should not return the ₹50 lakh compensation they had withdrawn for a tree that was later determined not to be the rare red sandalwood species. The development came more than a year after the court permitted the withdrawal, based on official records that had misidentified the tree.
Case Background
A division bench comprising Justices Anil Kilor and Raj Wakode was hearing a petition related to land acquisition for the Wardha-Yavatmal-Nanded railway project. The land belonged to Keshav Tukaram Shinde from Yavatmal district. Shinde sought compensation not only for the acquired land but also for a tree he claimed was a rare red sandalwood specimen, along with other trees.
Interim Compensation Granted
Relying on official records that identified the tree as sandalwood, the court earlier directed the railways to deposit ₹1 crore as interim compensation and allowed the withdrawal of ₹50 lakh. However, the bench made the disbursal subject to a scientific valuation of the tree.
Scientific Assessment Reveals Truth
A subsequent assessment conducted by the forest department concluded that the tree was not red sandalwood but belonged to the Bijasal species, which is significantly lower in value. Following this revelation, the Central Railway sought recovery of the withdrawn amount through its counsel, Neerja Chaubey.
Court's Observations
With Shinde dying in the interim, the court impleaded his legal heirs — his wife, four sons, and four daughters — and directed them to respond by Monday on the issue of repayment. During the hearing, the bench questioned the proportionality of the compensation. "For a tree worth around ₹10,000, how can ₹50 lakh be retained?" it observed, indicating that such retention would be unjustified if the original claim did not hold.
Family's Stand
The family's counsel submitted that the amount could be settled after the conclusion of related land acquisition proceedings pending before a court in Pusad. However, the bench stated that it would not be appropriate to retain such a substantial sum until then. At the same time, the court clarified that if the family establishes that the tree was indeed red sandalwood, they would be entitled to the compensation amount deposited in court along with interest.
The matter is scheduled for further hearing on April 27.
