As per case facts, petitioners' lands were acquired under the National Highways Act, 1956, but they were denied statutory benefits like solatium and interest, unlike those under the Land Acquisition ...
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CWP-19799-2023 & CWP-8072-2024
IN THE HIGH COURT OF PUNJAB AND HARYANA
AT CHANDIGARH
1. CWP-19799-2023
Reserved on: 10.02.2025
Date of decision: 20.03.2025
SOHAN LAL AND OTHERS
...Petitioners
Versus
UNION OF INDIA AND OTHERS
...Respondents
2. CWP-8072-2024
DHURENDER AND OTHERS
...Petitioner
Versus
UNION OF INDIA AND OTHERS
...Respondents
CORAM: HON’BLE MR. JUSTICE SURESHWAR THAKUR
HON’BLE MR. JUSTICE VIKAS SURI
Argued by: Mr. Shailendra Jain, Senior Advocate with
Ms. Richa Sharma, Advocate
for the petitioners (in CWP-19799-2023).
Mr. Abhilaksh Grover, Advocate and
Ms. Nandini Gupta, Advocate
for the petitioner (in CWP-8072-2024).
Mr. Satya Pal Jain, Additional Solicitor General of India
with Mr. Dheeraj Jain, Senior Panel Counsel,
for respondent No.1 (in CWP-19799-2023).
Mr. Maninder Singh, Advocate as Amicus Curiae assisted by
Mr. Maninderjit Singh Bedi, Advocate
Mr. Ankur Mittal, Advocate as Amicus Curiae assisted by
Mr. P.P. Chahar, Advocate,
Mr. Saurabh Mago, Advocate,
Ms. Svaneel Jaswal, Advocate
Ms. Kushaldeep Kaur, Advocate
Mr. Karan Gupta, Advocate
Mr. Prince Goyal, Advocate
Ms. Saanvi Singla, Advocate
Mr. Sakal Sekri, Advocate and
Mr. Siddhanth Arora, Advocate
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CWP-19799-2023 & CWP-8072-2024
Ms. Geeta Singhwal, Senior Panel Counsel with
Mr. M.L. Singhwal, Advocate
for respondent No.1 (in CWP-8072-2024).
Mr. Sanjeev Sharma, Senior Advocate with
Dr. Puneet Kaur Sekhon, Advocate and
Mr. Vivek Dahiya, Advocate
for respondent No.3 (in CWP-19799-2023).
****
SURESHWAR THAKUR, J.
1. Since a common question of law is involved in both the writ
petitions, therebys both the writ petitions are amenable to become
decided through a common verdict.
For the sake of brevity the facts are taken from CWP-19799-2023
2. Through the instant writ petition, the petitioner has prayed
for the issuance of a writ in the nature of mandamus, thus directing the
respondents to award statutory benefit of solatium @ 30% and interest @
9% and 15% akin to Section 23(2) and 28 of the Land Acquisition Act,
1894 (hereinafter referred to as ‘the Act of 1894’), upon the market
values quantified by the respondent No.2 vide its award No.1/H dated
30.04.2012 (Annexure P-1), in lieu of the compulsory acquisition of the
lands of the petitioners by the respondents, whereovers, the respondents
assumed possession on 30.04.2012, in the light of the ratio of the
judgment passed by this Court, on 12.04.2023 in LPA No.4965 of 2018,
titled ‘National Highway Authority of India V. Resham Singh and
others’.
3. A further prayer is made for the issuance of a writ of
Certiorari, therebys declaring Section 3G of the National Highways Act,
1956 (hereinafter referred to as ‘the Act of 1956’) as unconstitutional,
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CWP-19799-2023 & CWP-8072-2024
being in violation of Article 14 of the Constitution of India. It is further
prayed that Section 3J of the Act of 1956 being struck down.
4. Vide Notification No.S.O. 3035(E) dated 27.11.2009 issued
under Section 3-A(1) of the Act of 1956, the respondent No.1 notified for
compulsory acquisition the petitioners' land, being part of 955 kanals 16
Marlas, situated within the revenue estate of Tehsil Hansi, District Hisar.
The said notification was for achieving a public purpose, namely, for
building (widening/ four-laning etc.) maintenance, management and
operation of National Highway No.10, on the stretch of land from
119.850 km to 170.00 km (Rohtak-Hisar section) in District Hisar. The
same was followed by the making of a declaration, vide notification
No.S.O 1470(E) dated 19.08.2010 under Section 3(D)(1) of the said Act
of 1956.
5. Respondent No.2 announced award No.1/H dated
30.04.2012 (Annexure P-1) under Section 3G of the said Act of 1956, for
quantification of market value of the above said lands of the petitioners,
at abysmally low rates of Rs.25 lacs per acre for all kinds of lands, by
failing to award any of the statutory benefits on the lines, akin to Section
23(2) and 28 of the Act of 1894, on the dictum of the judgment rendered
in ‘M/s Golden Iron and Steel Forgings V. Union Of India and Others’
reported in 2011 (4) R.C.R. (Civil) 375, wherebys the therein assailed
award was declared to be suffering from a patent illegality, relevant
paragraph whereof becomes extracted hereinafter.
“The statutory benefits available under the Land Acquisition
Act, 1894, by virtue of the above said provisions, are also to
be granted to the land losers/landowners, whose land has
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CWP-19799-2023 & CWP-8072-2024
been acquired under the National Highways Act, 1956 and a
refusal of the same or not making available the said benefits
to them, suffer from the vice of discrimination and violation
of the provisions of the Article 14 of the Constitution of
India.”
6. The petitioners being dissatisfied from the award passed by
respondent No.2, also filed their respective applications under Section 3-
G(5) of the Act of 1956, wherebys they claimed enhancement of
compensation awarded by the respondent No.2 along with consequential
thereto benefits and interest, thus on grounds analogous to the ones
engrafted in Section 23(2) and 28 of the Act of 1894. However, vide main
award dated 04.05.2016 (Annexure P-2) passed, in Petition No.149 of
2012 titled as ‘Ishwar Singh (now deceased) V/s National Highway
Authority of India etc.’, thus by the Ld. Additional Deputy
Commissioner-cum-Arbitrator, who became so appointed by respondent
No.1 under Section 3-G(5) of the Act of 1956, rather an order of
dismissal was passed on the said applications.
7. Petitioner No.1 also served a notice for demand of justice
upon the respondents, wherebys they espoused for the grant of statutory
benefits akin to solatium, additional amount and interest, as available
under Section 23(2), 23(1A) and 28 of the Act of 1894, for the acquired
lands, on the dictum of M/s Golden Iron & Steel Forgings case (supra),
but since no affirmative action was drawn on the said issued notice,
thereupons the petitioners filed CWP No.30123 of 2018, which however
became dismissed in limini in terms of the detailed order of even date
(Annexure P-3) passed in CWP No.12445 of 2018 titled as ‘Umed Singh
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CWP-19799-2023 & CWP-8072-2024
& Others V/s National Highways Authority of India & Others’, the
relevant paragraph whereof becomes extracted hereinafter.
“Petitioners seek the statutory benefits as per the
judgment of the Division Bench in M/s Golden Iron & Steel
Forgings Vs. Union of India & others 2011 (4) RCR (Civil)
375. It is the case of the petitioners themselves, as per para
No.4 of the affidavit now placed on record that they have
already filed objections under Section 34 of the Arbitration
& Conciliation Act, 1996, before the District Judge, whereby
the award (Annexure P-3) itself is subject matter of
challenge. The relevant para reads as under:
“4. That against the said award dated 04.05.2016
(Annexure P-3) passed by respondent No.3, the
landowner/claimants filed their respective
objections/applications under section 34 of the Arbitration
and Conciliation Act, 1996 (as amended upto date)
seeking setting aside of the said award, dismissing their
claim petitions for enhancement of compensation. In those
objections/applications, the objectors/petitioners also
raised the plea qua non award of the statutory benefits by
the respondents No.3 and 4 in their respective awards,
towards 1) Solatium under section 34 (2) of the said Act,
which is 30% of the market value; 2) Interest under
section 28 of the said Act, which is 9% or 15% as
applicable; 3) Additional Market Value as provided under
section 23 (1A) of the said Act (12%). The said
objections/applications of the respective petitioners are
pending before the Ld. Principal Civil Court of ordinary
jurisdiction.”
In such circumstances, filing of the present writ
petitions before this Court is misconceived as a party cannot
be permitted to avail two remedies against the same order at
the same time. In similar circumstances, this Court in CWP-
29431-2017 titled Phool Singh Vs. National Highway
Authority of India & others, decided on 12.03.2018, has
declined to entertain the writ petitions on the ground of
alternative remedy being available, in view of the law laid
down in
United Bank of India Vs. Satyawati Tondon and
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CWP-19799-2023 & CWP-8072-2024
others, 2010 (8) SCC 110 on the principles of alternative remedy,
which view has further been fortified in Authorized Officer, State
Bank of Travancore & another Vs. Mathew K.C. 2018 (3) SCC
85. It is also to be noticed that in Phool Singh's case (supra), the
award had been set aside twice by the District Judge and in such
circumstances, the parties were relegated to their alternative
remedy, which had already been preferred earlier.
In the present case, the matter is still pending before
the District Judge and the petitioners have chosen to avail
the remedy before this Court, which, on the face of it, would
not be maintainable. Accordingly, in view of the above
discussion, the present writ petitions are dismissed in
limine.”
8. A reading of the above extracted verdict reveals, that the said
writ was not decided on merits, but the said writ petition was dismissed
as being not maintainable, especially in view of a subjudice petition
before the learned District Judge concerned. Therefore, the (supra)
verdict naturally does not encapsulate therein any binding ratio decidendi
which may support the arguments addressed before this Court by the
learned counsel for the respondents.
9. Petitioner No.1 also filed thereagainst LPA No.140 of 2019,
which was dismissed as withdrawn vide order dated 24.01.2019
(Annexure P-4), wherebys Annexure P-3 acquired conclusivity.
10. In the meanwhile, the petitioners had filed an Arbitration
Petition, under Section 34 of the Arbitration and Conciliation Act, 1996
(hereinafter referred to as ‘the Conciliation Act’) along with an
application under Section 5 of the Limitation Act, wherebys they sought
condonation of delay in filing the Arbitration Petition. However the
arbitration petition as well as the application for condonation of delay,
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CWP-19799-2023 & CWP-8072-2024
came to be dismissed vide separate orders respectively dated 11.04.2023
(Annexure P-5) in the case of petitioner No.1 and dated 21.02.2023
(Annexure P-6) in the case of petitioners No.2 and 3.
11. The petitioners aver that though, the respondents were under
a Constitutional obligation to grant them, the statutory benefits akin to
the ones envisaged in Section 23(2) and 28, as embodied in the Act of
1894, especially when they were fully aware of the law laid down by this
Court in M/s Golden Iron & Steel Forgings case (supra), but despite the
(supra) ratio becoming encapsulated in the judgment (supra), yet till date
no mitigatory action has been taken by the respondents.
12. Insofar as, 28 (twenty eight) of such landowners/ claimants
are concerned, and whose lands were taken over under the same
acquisition proceedings, they become aggrieved from the (supra),
wherebys they thus instituted CWP No.17177 of 2017 before this Court,
whereins they are seeking the grant of those benefits as become
envisaged in the verdict rendered by this Court in M/s Golden Iron &
Steel Forgings case (supra).
13. This Court vide judgment dated 06.09.2017 (Annexure P-8)
passed in a bunch of similar writ petitions (including CWP No.17177 of
2017), main case being ‘Vinod Kumar versus State of Haryana &
Others’ (CWP No. 17010 of 2017) disposed them, with a direction to
resort to the necessary measures in terms of clause (i) to (iv) set out in the
order dated 14.12.2016 passed in CWP No.25846 of 2016 by the
Division Bench of this Court in ‘Joginder Singh & Another versus
Union of India (UOI) & Others’. Relevant paragraphs whereof becomes
extracted hereinafter.
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CWP-19799-2023 & CWP-8072-2024
“The principles laid down by this Court in Golden Iron
and Steel Forgings's case (supra), are undisputable. The fact that
the benefit of solatium and interest has been extended to other
similarly situated landowners vide order dated 27.09.2012 in
Bhag Singh's case (supra), can be hardly denied. In these
circumstances, it appears imperative upon respondent Nos.3 & 4
to consider the petitioners' claim for the grant of solatium and
interest in accordance with the decision of this Court in Golden
Iron and Steel Forgings's case (supra).
While considering the claim of the petitioners in the light
of the above-cited decision, the respondents shall be required to
follow the recent directions dated 11.08.2016 issued by the
Hon'ble Supreme Court in Civil Appeal No.10533 of 2011 (Sunita
Mehra and another versus Union of India and others), to the
following effect:-
“.....that the award of solatium and interest on solatium
should be made effective only to proceedings pending on
the date of the High Court order in Golden Iron & Steel
Forgings vs. Union of India and others, i.e. 28.03.2008.
Concluded cases should not be opened. As for future
proceedings, the position would be covered by the
provisions of the Right to Fair Compensation and
Transparency in Land Acquisition, Rehabilitation and
Resettlement Act, 2013 (came into force on 01.01.2014),
which Act has been made applicable to acquisitions under
the National Highways Act, 1956 by virtue of notification/
order issued under the provisions of the Act of 2013. With
the aforesaid modification and clarification in the order of
the High Court, these civil appeals are disposed of.....”
The writ petition is accordingly disposed of in the
following terms:-
(i) The petitioners may apply to the Competent Authority-
cum-Land Acquisition Collector within a period of one month for
the grant of aforesaid benefits;
(ii) The said Competent Authority will issue notice and
call for the records/reply from the National Highway Authority of
India;
(iii) The Competent Authority shall thereafter determine
the petitioners' claim for the aforesaid benefits, especially in view
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CWP-19799-2023 & CWP-8072-2024
of the decisions of this Court and the Hon'ble Supreme Court,
cited above;
(iv) If the petitioners are found entitled to, a self speaking
supplementary Award to this effect shall be passed within a
period of four months from the date of filing of the application;
(v) The National Highways Authority of India is directed
to deposit the amount payable in terms of the supplementary
award, in interest-bearing fixed deposit account(s) in any
nationalized bank which shall be disbursed subject to attaining
finality of the litigation in the Golden Iron and Steel Forgings's
case (supra).
The writ petition stands disposed of accordingly.”
14. Though therebys the benefit of the exposition of law made in
M/s Golden Iron & Steel Forgings case (supra),
became extended to the
petitioners in CWP No.17177 of 2017. However, the said benefit remains
unextended to the other petitioners, despite theirs prima facie standing at
par with the petitioners in the (supra) writ petition, whereons the
judgment (supra) became rendered. It appears that the denial of the
espoused benefit to the present petitioners, thus at par with the petitioners
in CWP-17177 of 2017, rather occurred on account of dismissal of
arbitration proceedings, on the ground of delay. However, initially it
appears that the exposition of law made in M/s Golden Iron & Steel
Forgings case (supra), is an exposition of law in rem, wherebys even to
those who were not petitioners, thus yet the benefit of the exposition of
law made thereins, to the extent, that even in respect of launchings of
acquisition proceedings under the Act of 1956, thereupons the benefit
envisaged in Section 23(2) and 28, as carried in the Act of 1894, but is to
be extended to the landowners whose lands became subjected to
acquisition under the Act of 1956. Moreover, since a challenge is laid to
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CWP-19799-2023 & CWP-8072-2024
the vires of Section 3G and 3J of the Act of 1956, therebys too, to
conclusively rest the validity of the said laid challenge, it becomes
incumbent upon this Court, to determine the validity of the said made
challenge.
15. On the basis of the said decision dated 06.09.2017, as passed
in CWP-17177 of 2017, respondent No.2 passed a supplementary award
dated 03.07.2018 (Annexure P-9), thus granting statutory benefits
towards 30% solatium and @ 12% on account of additional amount from
16.01.2010 (date of notification of 3A) to 30.04.2012 (date of award) to
the petitioners in CWP No.17177 of 2017. The operative part of the
supplementary award reads as under:-
“In view of above noted facts I, Rajender Kumar,
Competent Authority Land Acquisition, Hisar allow
Rs.1,06,50,002/- (One Crore Six Lac Fifty Thousand Two only)
on account of 30% Solatium and Rs.97,45,480/- (Ninety Seven
Lac Forty Five Thousand Four Hundred Eighty Only) on account
of compulsory acquisition charges @ 12% from 16-01-2010 (date
of notification of 3-A) to 30-04-2012 (date of Award) i.e. Total
Amount Rs.2,03,95,282/- (Two Crore Three Lac Ninety Five
Thousand Four Hundred Two Rupees only). I don't find the
petitioners to entitled to any relief under the LARR Act, 2013 and
their claim to that extent is rejected. The order/Supplementary
Award is announced in open Court today i.e. 02-07-2018. Let the
payment be disbursed according to record and the entries to this
effect may be made in the Award Statement.”
Submissions of the learned counsel for the petitioners
16. The learned counsel for the petitioners submits, that the
National Highways Laws (Amendment) Act, 1997, creates an arbitrary
and unequal system for determining compensation, for land acquired
under the Act of 1956, as compared to the general, more comprehensive
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CWP-19799-2023 & CWP-8072-2024
and potentially more favorable procedures available under the Act of
1894 or under the Right to Fair Compensation and Transparency in Land
Acquisition, Rehabilitation And Resettlement Act, 2013 (hereinafter
referred to as the “Act of 2013”).
17. He further submits that both the Sections i.e. 3G and 3J of
the Act of 1956 violate Article 14 of the Constitution of India, by
providing for mandatory arbitration proceedings, with a pre-determined
mindset of the arbitrators concerned. The land-losers cannot seek an able
recoursing to Section 11 of the Conciliation Act, wherebys they can thus
seek appointment of an unbiased arbitrator, thus for settling the disputes
arising under the Act of 1956. The specific provisions of the Act of 1956
govern such disputes, and the Courts are bound to observe its resolution
framework, despite the provisions of Section 34 and 37 of the
Conciliation Act, standing on the relevant statute. Moreover, when the
able recoursing of an arbitration remedy has been prescribed in the said
statute, to become ensured to be ably rested, upon, the prima donna
plank, inasmuch as, for an arbitral mechanism becoming ably opted, thus
as a dispute resolution mechanism, but requiring, that the imperative sine
qua non as becomes embodied in the factum, that a valid contract
becoming executed between the concerned, and, thereins becoming
enclosed an ad idem arbitration clause, thus becoming cogently
established. The said consensuality is grossly amiss in the instantly
created statutory arbitration remedy.
18. Since admittedly the said arbitration clause is not existing in
any contract executed between the concerned, resultantly therebys the
effect of the instantly absent, but the (supra) imperative sine qua non,
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CWP-19799-2023 & CWP-8072-2024
wherebys alone there would be an effective and an able functionality of
the contemplated mechanism, of arbitration under Section 3G of the Act
of 1956, thus for ably settling the disputes, is that, naturally therebys the
(supra) being an idly created mechanism, wherebys it has no legal
foundation. Resultantly, the said provisions are required to be struck
down.
Submissions of the learned counsel for NHAI-respondent No.3
19. Learned counsel for the NHAI submits, that the land was
acquired in the year 2010 and an award in respect of the said acquired
lands, was made on 30.04.2012. At the very outset the present petition is
completely unfounded inasmuch as, the provisions of the Conciliation
Act, have specifically been made applicable for the purpose of
determination of the amount payable, as compensation, under the
provisions of Section 3G of the Act of 1956, therebys since the challenge
to the award dated 30.04.2012 in terms of Section 34(3) of the
Conciliation Act, was not made within the prescribed period of limitation
of 3 months plus 30 days, thus the application seeking condonation of
delay has been correctly decided vide order dated 11.04.2023 and dated
21.02.2023, passed by the learned Addl. District Judge concerned.
20. He further submits that before seeking a writ in the nature of
a mandamus, a clear and distinct notice is required to be served which, as
stated in paragraph 4 of the written statement has not been done in the
present case.
21. He further submits that there is a limited scope of judicial
interference with an award made under Section 34 of the Conciliation
Act, as the same does not permit modification of the award, therebys
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CWP-19799-2023 & CWP-8072-2024
even under the Conciliation Act, the petitioner would not be entitled to
any benefit.
22. He further submits that even if it is to be assumed that the
awarding of compensation was erroneous, thereupons the only available
remedy thereagainst was to seek the setting aside of the award but
through recoursing the remedy of arbitration.
Submissions of Mr. Ankur Mittal, Advocate (Amicus Curiae)
23. He submits that in the matter regarding compulsory
acquisition, one cannot ignore the constitutional protection granted under
Article 300-A and Article 31-A of the Constitution of India, especially
when Article 300-A of the Constitution of India provides, that “No person
shall be deprived of his property save by authority of law”, wherebys the
landholder becomes Constitutionally ensured, that the law enacted for
acquisition of lands, thus shall provide for the payment of compensation
at those rates which shall not be less than the market value.
24. Consequently, he submits that since the Act of 1894 and also
the Act of 2013, though make the hereinafter envisagings, in respect of
determination of compensation, to the land loser concerned, therebys a
similar thereto provision was required to be engrafted in the Act of 1956,
which however has not been done. As such, the computation of
compensation as envisaged in Section 3G of the Act of 1956 rather
naturally is completely flawed. Consequently, therebys it makes an ill
open disparity with the statutorily envisaged methodology(ies) in the
(supra) enactments, besides moreovers, he further submits, that since the
entire set of land losers is to be construed to be a homogeneous class,
whereupons, vis-a-vis the said homogeneous class of land losers, thus
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similar, just and fair compensation is required to be determined, whereas,
vis-a-vis the same class of homogeneous, an artificial distinction has
been created inasmuch as, vis-a-vis the land losers, whose lands became
subjected to acquisition through employment of the Act of 1956, theirs
becoming awarded compensation lesser than the ones as envisaged in the
Act of 1894, and in the Act of 2013.
Methods adopted in different Acts for determination of compensation
Act of 1956 Act of 1894 Act of 2013
3G. Determination
of amount payable
as compensation.—
(1) Where any land is
acquired under this
Act, there shall be
paid an amount
which shall be
determined by an
order of the
competent authority.
(2) Where the right
of user or any right in
the nature of an
easement on, any
land is acquired
under this Act, there
shall be paid an
amount to the owner
and any other person
whose right of
enjoyment in that
land has been
affected in any
manner whatsoever
by reason of such
acquisition an
amount calculated at
ten per cent, of the
amount determined
under sub-section
(1), for that land.
(3) Before
proceeding to
determine the
amount under sub-
section (1) or sub-
section (2), the
competent authority
shall give a public
notice published in
two local
newspapers, one of
which will be in a
vernacular language23. Matters to be
considered on
determining
compensation. -
(1) In determining
the amount of
compensation to be
awarded for land
acquired under this
Act, the Court shall
take into
consideration- first,
the market-value of
the land at the date
of the publication
of the [notification
under section 4,
sub-section (1)];
secondly, the
damage sustained
by the person
interested, by
reason of the taking
of any standing
crops trees which
may be on the land
at the time of the
Collector's taking
possession thereof;
thirdly, the damage
(if any) sustained
by the person
interested, at the
time of the
Collector's taking
possession of the
land, by reason of
serving such land
from his other land;
fourthly, the
damage (if any)
sustained by the
person interested, at26. Determination of market value of land
by Collector.–(1) The Collector shall adopt
the following criteria in assessing and
determining the market value of the land,
namely:—
(a) the market value, if any, specified in the
Indian Stamp Act, 1899 (2 of 1899) for the
registration of sale deeds or agreements to sell,
as the case may be, in the area, where the land
is situated; or
(b) the average sale price for similar type of
land situated in the nearest village or nearest
vicinity area; or
(c) consented amount of compensation as
agreed upon under sub-section (2) of section 2
in case of acquisition of lands for private
companies or for public private partnership
projects,
whichever is higher:
Provided that the date for determination of
market value shall be the date on which the
notification has been issued under section 11.
(2) The market value calculated as per sub-
section (1) shall be multiplied by a factor to be
specified in the First Schedule.
(3) Where the market value under sub-section
(1) or sub-section (2) cannot be determined for
the reason that—
(a) the land is situated in such area where the
transactions in land are restricted by or under
any other law for the time being in force in
that area; or
(b) the registered sale deeds or agreements to
sell as mentioned in clause (a) of sub-section
(1) for similar land are not available for the
immediately preceding three years; or
(c) the market value has not been specified
under the Indian Stamp Act, 1899 (2 of 1899)
by the appropriate authority,
the State Government concerned shall specify
the floor price or minimum price per unit area
of the said land based on the price calculated
in the manner specified in sub-section (1) in
respect of similar types of land situated in the
immediate adjoining areas:
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inviting claims from
all persons interested
in the land to be
acquired.
(4) Such notice shall
state the particulars
of the land and shall
require all persons
interested in such
land to appear in
person or by an agent
or by a legal
practitioner referred
to in sub-section (2)
of section 3C, before
the competent
authority, at a time
and place and to state
the nature of their
respective interest in
such land.
(5) If the amount
determined by the
competent authority
under sub-section (1)
or sub-section (2) is
not acceptable to
either of the parties,
the amount shall, on
an application by
either of the parties,
be determined by the
arbitrator to be
appointed by the
Central
Government--
(6) Subject to the
provisions of this
Act, the provisions of
the Arbitration and
Conciliation Act,
1996 (26 of 1996)
shall apply to every
arbitration under this
Act.
(7) The competent
authority or the
arbitrator while
determining the
amount under sub-
section (1) or sub-
section (5), as the
case may be, shall
take into
consideration—
(a) the market value
of the land on the
date of publication of
the notification under
section 3A;
(b) the damage, if
any, sustained by the
person interested at
the time of takingthe time of the
Collector's taking
possession of the
land, by reason of
the acquisition
injuriously
affecting his other
property, movable
or immovable, in
any other manner,
or his earnings;
fifthly, in
consequence of the
acquisition of the
land by the
Collector, the
person interested is
compelled to
change his
residence or place
of business, the
reasonable
expenses (if any)
incidental to such
change, and sixthly,
the damage (if any)
bona fide resulting
from diminution of
the profits of the
land between the
time of the
publication of the
declaration under
section 6 and the
time of the
Collector's taking
possession of the
land. [(1A) In
addition to the
market value of the
land, as above
provided, the Court
shall in every case
award an amount
calculated at the
rate of twelve per
centum per annum
on such market
value for the period
commencing on
and from the date
of the publication
of the notification
under section 4,
sub-section (1), in
respect of such land
to the date of the
award of the
Collector or the
date of taking
possession of the27. Determination of amount of
compensation.–The Collector having
determined the market value of the land to be
acquired shall calculate the total amount of
compensation to be paid to the land owner
(whose land has been acquired) by including
all assets attached to the land.
28. Parameters to be considered by
Collector in determination of award.–In
determining the amount of compensation to be
awarded for land acquired under this Act, the
Collector shall take into consideration—
firstly, the market value as determined under
section 26 and the award amount in
accordance with the First and Second
Schedules;
secondly, the damage sustained by the person
interested, by reason of the taking of any
standing crops and trees which may be on the
land at the time of the Collector's taking
possession thereof;
thirdly, the damage (if any) sustained by the
person interested, at the time of the Collector's
taking possession of the land, by reason of
severing such land from his other land;
fourthly, the damage (if any) sustained by the
person interested, at the time of the Collector's
taking possession of the land, by reason of the
acquisition injuriously affecting his other
property, movable or immovable, in any other
manner, or his earnings;
fifthly, in consequence of the acquisition of the
land by the Collector, the person interested is
compelled to change his residence or place of
business, the reasonable expenses (if any)
incidental to such change;
sixthly, the damage (if any) bona fide resulting
from diminution of the profits of the land
between the time of the publication of the
declaration under section 19 and the time of
the Collector's taking possession of the land;
and
seventhly, any other ground which may be in
the interest of equity, justice and beneficial to
the affected families.
29. Determination of value of things
attached to land or building.–(1) The
Collector in determining the market value of
the building and other immovable property or
assets attached to the land or building which
are to be acquired, use the services of a
competent engineer or any other specialist in
the relevant field, as may be considered
necessary by him.
(2) The Collector for the purpose of
determining the value of trees and plants
attached to the land acquired, use the services
of experienced persons in the field of
agriculture, forestry, horticulture, sericulture,
or any other field, as may be considered
necessary by him.
(3) The Collector for the purpose of assessing
the value of the standing crops damaged
during the process of land acquisition, may
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possession of the
land, by reason of the
severing of such land
from other land;
(c) the damage, if
any, sustained by the
person interested at
the time of taking
possession of the
land, by reason of the
acquisition
injuriously affecting
his other immovable
property in any
manner, or his
earnings;
(d) if, in
consequences of the
acquisition of the
land, the person
interested is
compelled to change
his residence or place
of business, the
reasonable expenses,
if any, incidental to
such change. land, whichever is
earlier. Explanation.
- In computing the
period referred to in
this sub-section,
any period or
periods during
which the
proceedings for the
acquisition of the
land were held up
on account of any
stay or injunction
by the order of any
Court shall be
excluded.] (2) In
addition to the
market value of the
land as above
provided, the Court
shall in every case
award a sum of
[thirty per centum]
on such market
value, in
consideration of the
compulsory nature
of the acquisition. use the services of experienced persons in the
field of agriculture as may be considered
necessary by him.
30. Award of solatium.–(1) The Collector
having determined the total compensation to
be paid, shall, to arrive at the final award,
impose a “Solatium” amount equivalent to one
hundred per cent. of the compensation
amount.
Explanation.—For the removal of doubts it is
hereby declared that solatium amount shall be
in addition to the compensation payable to any
person whose land has been acquired.
(2) The Collector shall issue individual awards
detailing the particulars of compensation
payable and the details of payment of the
compensation as specified in the First
Schedule.
(3) In addition to the market value of the land
provided under section 26, the Collector shall,
in every case, award an amount calculated at
the rate of twelve per cent. per annum on such
market value for the period commencing on
and from the date of the publication of the
notification of the Social Impact Assessment
study under sub-section (2)of section 4, in
respect of such land, till the date of the award
of the Collector or the date of taking
possession of the land, whichever is earlier.
Inferences of this Court
25. Now since in the legislative wisdom of the parliament, the
prescribed methodology for determination of compensation, earlier in the
Act of 1894, thus became re-engineered through the enactment of the Act
of 2013, inasmuch as, therebys there was a vast improvisation vis-a-vis
the envisagings made in the Act of 1894, specifically to the extent that
the Act of 2013, providing a methodology for computation of
compensation, at an escalated level or at the more enhanced level, vis-a-
vis the one prescribed in the Act of 1894, besides when in the (supra),
thus prescriptions also occur for re-settlement being done of the displaced
land losers. Resultantly, since therebys when even in the Act of 1956,
there was to be an alike infused legislative wisdom, wherebys the earlier
thereto methodology for assessment of compensation was to be re-
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engineered, besides was to be improvised, so as to ensure, that the Act of
1956 becomes well attuned to the needs of the land losers. However the
said has not been done, wherebys ex facie there is inter se dichotomy
inter se the methodologies for determination of compensation, wherebys
but naturally different rates of compensation become assessed vis-a-vis
the lands which becomes subjected to acquisition under the Act of 1956,
whereupons thus obviously they are neither just nor fair determinations
of compensation amounts.
26. The said view finds succor from the verdict drawn by the
Apex Court in case titled as ‘Union of India and another V. Tarsem
Singh and others’, reported in 2019 (4) RCR (Civil) 431, whereins, in
the relevant paragraphs thereof, as becomes extracted hereinafter, thus a
trite exposition of law has been made, to the extent, that the provisions of
the Act of 1894 relating to the assessment of solatium and interest, as,
contained in Section 23(1A) and (2) of the Act of 1894, and the interest
payable in terms of the proviso to Section 28 of the Act of 1894, will ipso
facto apply to acquisitions made under the Act of 1956. Moreover, when
also the issue relating to the Constitutional validity of Section 3J of the
Act of 1956, when has also been thereins rather declared to be
Constitutionally void. In sequel, the Constitutional validity of the said
Section has to suffer alike therewith consequence.
41. There is no doubt that the learned Solicitor General, in the
aforesaid two orders, has conceded the issue raised in these
cases. This assumes importance in view of the plea of Shri Divan
that the impugned judgments should be set aside on the ground
that when the arbitral awards did not provide for solatium or
interest, no Section 34 petition having been filed by the
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landowners on this score, the Division Bench judgments that are
impugned before us ought not to have allowed solatium and/or
interest. Ordinarily, we would have acceded to this plea, but
given the fact that the Government itself is of the view that
solatium and interest should be granted even in cases that arise
between 1997 and 2015, in the interest of justice we decline to
interfere with such orders, given our discretionary jurisdiction
under Article 136 of the Constitution of India. We therefore
declare that the provisions of the Land Acquisition Act relating to
solatium and interest contained in Section 23(1A) and (2) and
interest payable in terms of section 28 proviso will apply to
acquisitions made under the National Highways Act.
Consequently, the provision of Section 3J is, to this extent,
violative of Article 14 of the Constitution of India and, therefore,
declared to be unconstitutional. Accordingly, Appeal @ SLP (C)
No. 9599/2019 is dismissed.
27. The (supra) expositions of law have been reaffirmed in a
verdict made over miscellaneous application No.1773 of 2021, filed in
the judgment (supra), therebys the said made reaffirmed expositions of
law acquire re-enforced vigor. However, the verdict (supra), declare
Section 3J of the Act of 1956 to be Constitutionally void besides make
the provisions of Sections 23(1A) and (2) and the interest payable in
terms of Section 28 of the Act of 1894, to be applicable to the launching
of acquisition proceedings under the Act of 1956. Moreover, in the
verdict (supra), Sections 23(1A) and (2) and interest payable in terms of
Section 28 of the Act of 1894, are all made effective both prospectively
as well as retrospectively. Relevant portion whereof becomes extracted
hereinafter.
“C. ISSUES
15. As previously elaborated, the singular issue
prompting filing of the instant Application is to determine
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CWP-19799-2023 & CWP-8072-2024
definitively whether the judgment in Tarsem Singh (supra)
is applicable prospectively or extends retrospectively.
D. ANALYSIS
16. At the outset, it is essential to briefly refer to the
ratio espoused in Tarsem Singh (supra), which, after
considering the relevant facts, applicable laws, and
precedents, held that Section 3J of the NHAI Act, by
excluding the applicability of the 1894 Act and thereby
denying ‘solatium’ and ‘interest’ for lands acquired under
the NHAI Act, is violative of Article 14 of the Constitution.
To this end, the decision in Tarsem Singh (supra) took
notice of the eleven grounds raised on behalf of the NHAI
and the Union of India, and dealt with those grounds by
segregating the appeals therein into eleven groups and
outlining them in seriatim.
17. Regardless, the prayer in the instant Application
expressly seeks clarification that the decision in Tarsem
Singh (supra) should be deemed to operate prospectively
only. However, in our considered view, granting such a
clarification would effectively nullify the very relief that
Tarsem Singh (supra) intended to provide, as the
prospective operation of it would restore the state of affairs
to the same position as it was before the decision was
rendered.
18. We say so for the reason that the broader purpose
behind Tarsem Singh (supra) was to resolve and put quietus
upon the quagmire created by Section 3J of the NHAI Act,
which led to the unequal treatment of similarly situated
individuals. The impact of Section 3J was short-lived, owing
to the applicability of the 2013 Act upon the NHAI Act from
the date of 01.01.2015. As a result, two classes of
landowners emerged, devoid of any intelligible differentia:
those whose lands were acquired by the NHAI between 1997
and 2015, and those whose lands were acquired otherwise.
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CWP-19799-2023 & CWP-8072-2024
19. This must be viewed in the light of the principle
that when a provision is declared unconstitutional, any
continued disparity strikes at the core of Article 14 and must
be rectified, particularly when such disparity affects only a
select group. To illustrate, rendering the decision in Tarsem
Singh (supra) as prospective would create a situation where
a landowner whose land was acquired on 31.12.2014 would
be denied the benefit of ‘solatium’ and ‘interest’, whereas a
landowner whose land was acquired the very next day,
01.01.2015—the date on which the Ordinance was
promulgated, to read the 2013 Act into the NHAI Act, would
be entitled to these statutory benefits.
20. Be that as it may, even if we were to assume that
the decision in Tarsem Singh (supra) suffers from the vice of
vagueness, the absence of a judicial directive or an explicit
legislative mandate should not result in the creation of an
artificial classification among a homogeneous group by the
same State exercising powers under the same Statute. In this
specific instance, the landowners have no discretion or
choice regarding the date of land acquisition or the
surrender of possession. Thus, both equity and equality
demand that no such discrimination be permitted, as
allowing it would be unjust.
21. That being so, the decision in Tarsem Singh
(supra) also cannot be assailed on the grounds that it opens
a Pandora’s Box or contravenes the doctrine of immutability,
as it merely allows for the grant of ‘solatium’ or ‘interest’,
which are inherently embedded as compensatory benefits
under an expropriating legislation. This exercise cannot be
equated to reopening of cases or revisiting the decisions that
have already attained finality. Similarly, the restoration of
these twin benefits does not invite reconsideration of the
merits of a decided case, re-evaluation of the compensation
amount, or potentially declaring the acquisition process
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CWP-19799-2023 & CWP-8072-2024
itself to be unlawful. Instead, the ultimate outcome of
Tarsem Singh (supra) is limited to granting ‘solatium’ and
‘interest’ to aggrieved landowners whose lands were
acquired by NHAI between 1997 and 2015. It does not, in
any manner, direct the reopening of cases that have already
attained finality.
22. On the contrary, modifying or clarifying the
judgment in Tarsem Singh (supra) would lend itself to
violating the doctrine of immutability, undermining the
finality of the decision. In fact, what the Applicant seeks to
achieve, indirectly, is to evade responsibility and further
delay the resolution of a settled issue where the directions
given are unequivocal—Quando aliquid prohibetur ex
directo, prohibetur et per obliquum i.e. ‘what cannot be done
directly should also not be done indirectly’. This Court has,
on several occasions, disapproved of the practice of filing
Miscellaneous Applications as a strategic litigation tactic
aimed at neutralising judicial decisions and seeking a
second opportunity for relief.
23. In all fairness, the only defense that may perhaps
seem appealing is the claim of a financial burden amounting
to Rupees 100 crores. However, this argument does not
persuade us for several reasons: First, if this burden has
been borne by the NHAI in the case of thousands of other
landowners, it stands to reason that it should also be shared
by the NHAI in this instance, in order to eliminate
discrimination. Second, the financial burden of acquiring
land cannot be justified in the light of the Constitutional
mandate of Article 300A. Third, since most National
Highways are being developed under the Public Private
Partnership model, the financial burden will ultimately be
passed on to the relevant Project Proponent. Fourth, even
the Project Proponent would not have to bear the
compensation costs out of pocket, as it is the commuters who
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CWP-19799-2023 & CWP-8072-2024
will bear the actual brunt of this cost. Ultimately, the burden
is likely to be saddled onto the middle or upper-middle-class
segment of society, particularly those who can afford private
vehicles or operate commercial ventures. We are thus not
inclined to entertain the plea for prospectivity on this limited
tenet.
24. Lastly, as regards the decision in Sunita Mehra
(supra), which is claimed to have prohibited the grant of
‘solatium’ or ‘interest’ in concluded cases, we find that this
position has already been addressed and clarified in Tarsem
Singh (supra). Given that the Government, through the then
Solicitor General, had conceded this issue at that time, it
cannot now retract its stance and seek to reargue the same
bone of contention. Hence, this assertion too, stands
rejected.
E. CONCLUSION
25. In view of the foregoing analysis, we find no merit
in the contentions raised by the Applicant, NHAI. We
reaffirm the principles established in Tarsem Singh (supra)
regarding the beneficial nature of granting ‘solatium’ and
‘interest’ while emphasising the need to avoid creating
unjust classifications lacking intelligible differentia.
Consequently, we deem it appropriate to dismiss the present
Miscellaneous Application.
26. Leave is granted in the other connected matters,
and all the appeals are disposed of with a direction to the
Competent Authority to calculate the amount of ‘solatium’
and ‘interest’ in accordance with the directions issued in
Tarsem Singh (supra). In this context, the appeal arising out
of SLP (C) Diary No. 52538/2023 is dismissed, as the
challenge therein pertains to the High Court’s refusal to
award Additional Market Value as another component of the
compensation, while ‘solatium’ and ‘interest’ have already
been granted.
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27. Pending applications, if any, stand disposed of in
the above terms.
Ordered accordingly.”
28. On the other hand, the learned counsel for the respondent-
NHAI submits, that since the petitioners failed to avail the statutory
remedy under Section 34 of the Conciliation Act/within the prescribed
time, therebys the learned Additional District Judge, Hisar, declined to
entertain the challenge and dismissed the application for condonation of
delay vide his orders respectively carried in Annexures P-5 and in P-6.
The said orders are strictly in consonance of law and no ground is made
out to question the correctness of the said orders.
29. Be that as it may, the Court yet becomes enjoined, with the
Constitutional duty to yet embark upon the fact whether the presently
envisaged remedy of arbitration vis-a-vis the land losers concerned, who
become aggrieved from an award passed under the Act of 1956, thus is a
perfunctorily created remedy or is an idly created dysfunctionally
remedy.
30. In the said regard, it is of utmost importance, that the
indispensable norm or the firm bedrock of arbitration becoming well
opted, thus as an alternative dispute resolution mechanism, but is the
existence of a consensual or an ad idem arbitration clause, carried in the
contract drawn between the concerned. The effect of the necessity of
existence of an ad idem arbitration clause, in the contract drawn amongst
the contracting parties concerned, but is that, qua therebys but
fortification becoming infused in the argument of the learned counsel for
the petitioners, that the instantly incorporated statutory remedy of
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arbitration, thus is ridden with a vice of unilaterally-ness, whereupons, no
effective legal tenacity can be assigned theretos. As such, since the firm
bedrock of a functional arbitration remedy when requires, qua thus the
same becoming planked upon a valid arbitration clause, as exists in a
valid contract, whereas, the same is completely amiss in the presently
created statutory remedy, whereupons it is ex facie, thus a force majeure
statutory arbitration, therebys when it looses its functionality, as such, it
is required to be declared to be Constitutionally void.
31. If the envisagings of an arbitration remedy, to the aggrieved
from the award passed by the Collector concerned, thus is the sequel of
an ill statutory diktat becoming foisted, upon the land losers concerned,
but bereft of the imperative consensuality, thereby also the said force
majeure statutory arbitration remedy rather is Constitutionally void.
Moreover, essentially when therebys, there is a want of any bilateral ad
idem, thus required to become infused hence an arbitration clause, in a
consensual contract executed amongst the concerned, therebys too, the
said defect also makes the statutory remedy of arbitration to be an idly
created and also a dysfunctional remedy whereto no reverence can be
assigned. Resultantly the remedy of arbitration to the aggrieved land
losers from an award passed under the Act of 1956 by the Collector, but
cannot stand the touchstone of a well prescribed remedy, inasmuch as, the
same becoming embodied in a consensual contract becoming entered into
between the acquiring authority and the land losers concerned. Therefore,
therebys it suffers from a gross defect, nor therebys the land losers
become well enabled to ensure that valid and just compensation becomes
assessed vis-a-vis him/them. As such, it is expropriatory also.
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32. In the said regard, it is also relevant to refer to the assigning
of a leverage to the aggrieved land losers from the award passed by the
Collector under the Act of 1894, inasmuch as, to the thereins land losers,
thus becomes bestowed the remedy of raising of an enhancement petition
under Section 18 of the Act of 1894, before the Land Reference Court,
thus manned by District Judge or by the Addl. District Judge. The
endowment of the said remedy to the land losers, is manifestative of the
fact, that judicial decisions based on precedents rendered by
Constitutional Courts, do become rendered, on the reference petition(s)
concerned. As such, there is an assurance to the land losers concerned,
qua through well made judicial decision, thus just and fair compensation
becoming determined, vis-a-vis the lands acquired, rather than their lands
become expropriated, through the remedy of arbitration becoming
created qua them vis-a-vis an award passed under the Act of 1956, that
too, without the Collector concerned, applying the mandates enclosed in
Section 23(2) and 28 of the Act of 1894.
33. The said remedy rather than being snatched from the
aggrieved land losers, as has been done through the instant legislation,
especially when it has passed subsequent to the Act of 1894, thus in the
year 1956, rather required that pari materia thereto judicial remedy
becoming bestowed vis-a-vis the land losers. Reiteratedly, in the Act of
1956 become manifested contra thereto envisagings, inasmuch as, an
unjust remedy of arbitration rather thereunders becomes created vis-a-vis
the aggrieved, wherebys the Union Parliament, has remained oblivious to
the necessity of judicial appraisal being made by Courts of law, but
manned by trained judicial officers, who naturally can thus test the
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validity of the awards passed by the Collectors, who exercise jurisdiction
under the Act of 1956. Since the said has not been done, therebys the
presently envisaged remedy of the arbitration is required to be quashed.
34. Now, since this Court has extracted the various manners of
assessments of compensation as envisaged respectively in the Act of
1956, in the Act of 1894 and in the Act of 2013. Moreover, since the
comparative table (supra) pertaining to the methodology of assessment of
compensation under the said Act(s), reveals that adequate deference
becomes meted to the market value of the lands, besides to the other
thereins envisaged statutory benefits. In addition, when under the Act of
2013, thus exists a methodology for assessing compensation to the
aggrieved land losers, at a more escalated scale, than the one envisaged in
the Act of 1894. Consequently, the Act of 1956 was required to be re-
calibrated, so that therebys it becomes attuned vis-a-vis the Act of 2013,
besides to the prevalent credible market values. However, the said has not
been done, therebys the Act of 1956, is thus detached, from ground
reality, wherebys also just and fair compensation would remain un-
assessed vis-a-vis the land losers concerned.
35. It appears that for ensuring just and fair compensation
becomes assessed to the land losers concerned, so that therebys, the
doctrine of eminent domain, thus becomes well employed, but
necessarily on the touchstone of Articles 300-A and Article 31-A of the
Constitution of India, with envisagings, that unless lawful, just and fair
compensation is assessed vis-a-vis the land losers, therebys the
Legislation to acquire the lands of land losers, but would be
expropriatory. Moreover, since this Court in verdict rendered in M/s
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Golden Iron & Steel Forgings case (supra) has made a trite exposition
of law that when compensation becomes assessed vis-a-vis the
acquisitions launched under the Act of 1956, therebys the same is
required to be assessed in terms of the mandates respectively enclosed in
Section 23(2) and 28 of the Act of 1894.
36. Therefore since said was an exposition of law in rem
thereupon it was required to be rigorously applied by the Authority, who
became seized with the motions as laid before them.
37. Now the order of dismissal passed by the learned Collector
concerned, upon the application filed by the land losers concerned,
seeking awarding of compensation, thus on principles analogous to the
ones, as engrafted in Section 23(2) and 28 of the Act of 1894, is also
required to be quashed and set aside. The simple reason for stating so
becomes premised, on the ground, that since the statutory remedy of
arbitration as embodied in the Act of 1956, has been declared to be
Constitutionally void. Moreover, when therebys the said alternative
remedy is a disfunctional remedy, as such, in the absence of any
alternative efficacious remedy to the petitioners, or till the apposite
amendment is carried by a Central Legislation passed by the Union
Parliament, therebys this Court in the exercise of its extraordinary writ
jurisdiction, thus yet can proceed to endow to the present land losers in
CWP-19799-2023, the benefit of the judgment passed in CWP-17177-
2017, as the notification in respect whereof, the said judgment became
passed, but is common to the instant writ petition.
38. However, insofar as, the dismissal order passed by the
learned Addl. Deputy Commissioner, upon Arbitration Petition No.764 of
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2018, is concerned, since the said verdict was passed on 11.04.2023,
therebys when the said verdict is passed in terms of a Constitutionally
void Section 3G of the Act of 1956. Resultantly in terms of the verdict
passed in Tarsem Singh’s case (supra) , especially when no efficacious
alternative remedy is available to the petitioner in the instant writ
petition, thus through exercising the extraordinary writ jurisdiction, this
Court grants similar relief to the present petitioners. As such, after the
quashing of the award passed by the Collector concerned, in respect of
the petitioners, thus a fresh award is ordered to be passed by the Collector
concerned, in respect of the subject lands covered in CWP-17177-2017
(qua the petitioners), but bearing in mind the principles of law
expostulated in Tarsem Singh’s case (supra) , and M/s Golden Iron &
Steel Forgings case (supra) .
39. Since the effect of the said declaration of voidness as made
vis-a-vis Section 3G of the Act of 1956, is that, the amendments are
required to be made by the Union Parliament, wherebys in alteration to
the remedy of arbitration, thus a remedy becomes bestowed to the land
losers, wherebys they can seek in alignment with the mandate existing in
Section 18 of the repealed Act of 1894, thus enhancement of
compensation over the sums assessed by the Collector appointed under
the Act of 2013. Significantly, therebys the aggrieved land losers, can
seek enhancement of compensation from the one assessed by the
Collector concerned, through petitions becoming filed by the learned
District Judge/Additional District Judge concerned. However, till the said
amendment is made, thereupto the exposition of law made in Tarsem
Singh’s case (supra), thus would hold overwhelming clout, besides
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thereupto in the exercise of extraordinary writ jurisdiction, the Writ Court
may on a case to case basis, after quashing the awards, passed by the
Collector concerned, thus proceed to make such directions wherebys the
principles expostulated in Tarsem Singh’s case (supra), become adhered
to.
40. It appears that for bringing harmonization inter se the
different methodology(ies) envisaged in the Act of 1956, thus through the
expositions made in the judgment delivered in Tarsem Singh’s case
(supra), it has declared that even when compensation, become assessed
by a Collector, who proceeds to exercise jurisdiction under the Act of
1956, therebys he is bound to yet revere the said decision, wherebys the
said principles are required to be constantly meted deference, and, if not
revered they are required to be hereafter revered by the Collectors
appointed under the Act of 1956.
41. Significantly also the principle of eminent domain, thus is to
be rigorously and uniformly employed, to the same or similar
homogeneous class of land losers, rather than disparity becoming created
amongst them, through different and contra methodology(ies), becoming
created respectively in the Act of 1956, in the Act of 1894 and in the Act
of 2013. In case separate and distinction methodologies for determining
compensation become foisted upon the Collector concerned, besides with
the thereafter, contra distinct remedies for seeking enhancement become
created qua aggrieved, thus respectively in the Act of 1894, and in the
Act of 2013, besides in the Act of 1956, therebys the said inter se
distinctivity(ies) are not based, upon, any intelligible differentia nor have
any rationale nexus with the objective to be achieved which is yet to
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assess compensation at uniform rates, thus to all land losers concerned.
However, enigmatically the foundational effect of parity becoming
ensured amongst the similar class of land losers, has been lost sight of, by
the Union Parliament, in making different and distinct methodology(ies),
for assessment of compensation, to but a similar set of land losers.
Moreover, the prescribed methodology for enhancement in the Act of
1956, but is prima facie a dysfunctional and arbitrary remedy, vis-a-vis
the ones respectively created in the Act of 1894 and in the Act of 2013
qua the aggrieved from the appositely passed awards. As such, the
doctrine of eminent domain which was to be uniformly applied rather has
been inconsistently employed, through the creation of an utmost
invidious discrimination amongst a common set of land losers, therebys
the said contra methodology(ies) are required to be discountenanced.
Final Order
42. In sequel, both the instant writ petitions are allowed.
Moreover Sections 3G and 3J of the Act of 1956 are hereby declared
to be Constitutionally void. Further, the respondents are directed to
award statutory benefit of solatium @ 30% and interest @ 9% and
15% akin to Section 23(2) and 28 of the Land Acquisition Act, 1894.
43. Though this Court has declared Sections 3G and 3J of the
Act of 1956 to be Constitutionally void, therebys when the said
provisions is void or non est, therebys when it is completely
dysfunctional, as such, all pending arbitration petitions also become
completely ineffective, wherebys in terms of the expositions of law made
in Tarsem Singh’s case (supra) , thus this Court can proceed to in the
exercise of extraordinary writ jurisdiction, thus in case, the parameters
-31-
CWP-19799-2023 & CWP-8072-2024
enshrined in Tarsem Singh’s case (supra) , re-affirmed in miscellaneous
application bearing No.1773/2021 in Civil Appeal No.7064 of 2019,
becoming not applied by the Collectors in passing the awards, rather pass
such/said appropriate directions, as deemed fit but on a cases to case
basis. Even the execution petition(s) filed to execute awards passed by
the arbitrators would become ineffective.
44. This Court appreciates the profound wisdom and enriched
legal assistance provided by Mr. Ankur Mittal, Advocate (Amicus
Curiae) assisted by Mr. P.P. Chahar, Advocate, Mr. Saurabh Mago,
Advocate and Ms. Svaneel Jaswal Advocate; Mr. Maninder Singh,
Advocate (Amicus Curiae) assisted by Mr. Maninderjit Singh Bedi,
Advocate and Mr. Sangam Garg (Law Researcher) attached with this
Court.
45. The Registry of this Court is directed to circulate a copy of
this judgment to all the Collectors concerned, in the State of Punjab as
well as in the State of Haryana.
(SURESHWAR THAKUR)
JUDGE
20.03.2025 (VIKAS SURI)
Ithlesh JUDGE
Whether speaking/reasoned:- Yes/No
Whether reportable: Yes/No
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