With the legal dispute between the district administration and property owners ending amicably, work on the master plan project for Vijayapura is expected to pick up pace.
As many as 37 property owners had gone to the court seeking higher compensation and accusing the district administration of unfair treatment while releasing compensation.
According to sources, new rates have been fixed for releasing compensation after the intervention of the Kalaburagi Bench of the High Court of Karnataka and the district administration has given an undertaking.
As per the new rates, the district administration has agreed to pay Rs. 4,950 per sq. ft for properties between Basaveshwara Circle and Tripur Sundari Talkies.
It was also agreed that 30 per cent of the total amount would be paid immediately after the land is handed over to the Vijayapura City Corporation. The balance amount should be given within three months.
The petitioners decided to withdraw the case after both the parties agreed to the proposed terms, the sources said.
The petitioners had alleged that while the property owners between Tripur Sundari Talkies and Mahalakshmi Temple were paid Rs. 6,620 per sq. ft, those on the road opposite to it were paid Rs. 1,710 per sq. ft for commercial properties and Rs. 940 per sq. ft for residential properties.
This decision was challenged by the property owners saying that they had been discriminated against while releasing compensation. The property owners tendered an apology to the people of the city as they faced inconvenience owing to the legal dispute that lasted for nearly two years.
The district administration has decided to revise the compensation for property owners
