The gist of the issue is that a pardon would have opened the legal gates to compensation claims from other victims. Turing was used as a wedge here.
Might be a deterrent to imposing new oppressive laws, although I seriously doubt it.
I would think this is a terrible idea. For example, my government might actually take it into its head to ask (yet again) that we get the Kohinoor diamond back :)
(btw, I'm not an Indian)
More seriously, given that pretty much all of history is rife with examples of transfer of wealth from one place to another. it's better to (try to) not make the same mistake again, rather than fixing the past.