India, March 26 -- The Supreme Court on Tuesday directed the Defence Colony residents' welfare association (RWA) to pay Rs.40 lakh as compensation for illegally occupying a Lodhi-era structure for over six decades.

The development came weeks after the court on January 21 had ordered the RWA to vacate the structure - known as Gumti of Shaikh Ali - which was being used as officer space, and had appointed senior advocate Gopal Sankaranarayanan as court commissioner to ensure the smooth handover of possession to the land and development office (L&DO).

Refusing to let off the RWA of its culpability, a bench headed by justice Sudhanshu Dhulia on Tuesday asked the RWA to spell out a figure that could meet with the damage caused to the structur...