The similar query on adverse possession, trespass, etc has been discussed in old and illustrated thread at:
https://www.lawyersclubindia.com/experts/Property-law-601596.asp
The citations can be downlaoded from the thread.
There should be and there shall be punitive effect on dishonest trespasser, especially after the crucial judgments, laying down principles by the apex court e.g;
Munichikkanna Reddy vs Revamma
State of Haryana Versus Mukesh Kumar & Ors......................AS POSTED ABOVE.
If the apex court and Union of India has not enacted to abolish adverse possession, it is ONLY to avoid hardships to poor people in say rural areas who do not have proper title documents.
Post decisions by apex court the cases of aversion possession shall be visited and revisited by the judiciary and in line and spirit of the judgments laid by apex court.
In the courts it shall be ensured that the possession originating from dishonesty and foul means, bad faith adverse possession, does not receive the same recognition.