The Madras High Court on August 2, 2023 ordered ₹40,000 in compensation per acre to 88 farmers whose paddy crop, raised unauthorisedly on land acquired many years ago for Neyveli Lignite Corporation India Limited (NLCIL) expansion, were damaged recently for the diversion of the Upper Paravanar Canal at Valayamadevi in Cuddalore district to prevent flooding of the lignite mines during the monsoon.
Justice S.M. Subramaniam also directed the Cuddalore Collector to ensure that the compensation amount is handed over to the farmers concerned by Sunday. Earlier, Additional Solicitor-General AR.L. Sundaresan, representing NLCIL, told the court that the corporation had already deposited the compensation amount due to 54 farmers, at the rate of ₹30,000 per acre, with the district administration.