Bangalore Palace ground acquisition: Supreme Court asks Karnataka govt to deposit TDR within a week

New Delhi: The Supreme Court on Thursday directed the Karnataka government to deposit transferable development rights (TDR) certificates of over Rs 3,400 crore with the court within a week for over 15 acres of land of Bangalore Palace ground acquired for widening of Bellary and Jayamahal Roads.

A bench of Justices M M Sundresh and Aravind Kumar came down heavily upon the Karnataka government, observing that it is not uniform in the stand and has been going back and forth.

The court was hearing a batch of contempt petitions filed by the legal heir of Srikantadatta Narasimharaja Wadiyar and others.

Senior advocates Kapil Sibal, Rajeev Dhavan, Advocate General Shashi Kiran Shetty among others on behalf of the state government and its authorities contended the court must decide the main appeal in the matter as the state has already succeeded before the High Court.

"After the promulgation of Ordinance, the state does not want to acquire 15 acres and 39 guntas of land," Sibal said. He also pointed out the acquisition was done in 1994 but the valuation is being done as per 2024. He also said if the current TDR is allowed, the valuation of entire acquisition of 462 acres would be over Rs 1 lakh crore for the State exchequer.

"There is one judgment (by the High Court) in our favour and an Ordinance. We took possession only in July, 2024," Sibal said, raising the question, if the state succeeded in its main, then what would happen.

Senior advocates A K Ganguli, Rakesh Dwivedi, Madhavi Divan and Gopal Sankaranarayanan opposed the plea, saying as on December 10, 2024, the state authorities were found guilty of contempt. The court considered all their arguments and the possession of the land was taken in 2010.

Sankaranarayanan said the State adopted duplicitous stand in the matter. Divan said, the State has adopted its own ingenious ways to violate the order of this court.

"Let them deposit the TDR within a week. We will consider the matter," the bench said, fixing the matter for consideration on March 20.

On a request by senior advocate Devadatt Kamat, the court dispensed with personal presence of Karnataka Chief Secretary and Special Land Acquisition Officer before it on the next date of hearing. However, the court clarified BBMP and BDA Commissioners should remain personally present.

The state government had earlier contended if the TDR certificate is to be issued as per TDR rules for the said extent of 15 acres 39 guntas, it would result in 13,91,742 sq feet additional built up area constructable in the city of Bengaluru and approximately it would be equivalent to notional value of Rs 1,396 crores after deducting 60% of the guidance value.

On January 29, 2025, the Karnataka government notified the Bangalore Palace (Utilization and Regulation of Land) Ordinance 2025, reserving the right to not acquire portions of the disputed Palace land located in the heart of the Bengaluru city, after the apex court's order of December 10, 2024 on issuance of TDR.

The Karnataka government also filed a separate application urging the Supreme Court to take up 1997 civil appeal challenging constitutional validity of the Bangalore Palace (Acquisition and Transfer) Act, 1996.