1) When Land is acquired by Govt. it is done under The Land Acquisition Act 1894 ( Acquisition till 2012). When Land is acquired ,Collector gives Award , and latter possession is taken. After possession is taken , it is Govt land (or any local govt etc, which it is transfer ) , you don't have any right to deal with that Land. You need to check the award and measurement extract to check which and how much land is taken. Person who is owner of Land is awarded compensation at time of award generally and he only can claim the amount unless there is dispute which is refer to court (which is called court reference).
2) Declaring award is one thing , taking possession is another thing. After taking possession Land Acquisition officer gives Possession certificate writing that possession is with Land acquisition officer.
3) There is also provision of Temporary Acquisition in the act for three years and specific award is given
This are the basic of it
In your case , you need to do following things as follow
1) Get the certified copy of award from Land acquisition officer . Get the possession certificate from him. Get the measurement extract from it
2) Once you get all those things you will have picture who is owner of the land at present , who has the possession of plot on paper.
3) You will also know whether ,it was temporary acquisition or permanent.
4) This all papers will make picture clear of the land.
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Last thing there may be some individual state law which may also affect your specific case but overall things are same .
if you get papers you may revert back to me , here or personally at kmadhu786@gmail.com
