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Dharmendra Jagjivanbhai Chandra vs Union Of India
2025 Latest Caselaw 2157 Guj

Citation : 2025 Latest Caselaw 2157 Guj
Judgement Date : 28 January, 2025

Gujarat High Court

Dharmendra Jagjivanbhai Chandra vs Union Of India on 28 January, 2025

Author: Sunita Agarwal
Bench: Sunita Agarwal
                                                                                                                   NEUTRAL CITATION




                            C/SCA/1006/2025                                       ORDER DATED: 28/01/2025

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                                 IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

                                     R/SPECIAL CIVIL APPLICATION NO. 1006 of 2025

                      ==================================================
                                    DHARMENDRA JAGJIVANBHAI CHANDRA & ANR.
                                                       Versus
                                              UNION OF INDIA & ORS.
                      ==================================================
                      Appearance:
                      MR ANAND M RANPARA(10976) for the Petitioner(s) No. 1,2
                      MS. HETAL PATEL, AGP for the Respondent(s) No. 2,3,4
                      MR. MAULIK G. NANAVATI, ADVOCATE FOR NANAVATI & CO.(7105) for the
                      Respondent(s) No. 1
                      ==================================================

                         CORAM:HONOURABLE THE CHIEF JUSTICE MRS. JUSTICE
                               SUNITA AGARWAL
                               and
                               HONOURABLE MR. JUSTICE PRANAV TRIVEDI

                                                           Date : 28/01/2025
                                                            ORAL ORDER

(PER : HONOURABLE THE CHIEF JUSTICE MRS. JUSTICE SUNITA AGARWAL)

[1] Heard learned counsels for the parties and perused the record.

[2] By means of the present petition, the petitioners seek the

following reliefs:-

"9. (B) This Honourable Court will be pleased to issue the writ of Mandamus or any other appropriate writ, order or direction in the nature of mandamus, directing the respondents authorities to pay the amount of interest at the rate of 12% per annum compound interest on the amount of compensation awarded to the present petitioners from the date of deposit i.e. 31.05.2020 till the date of payment i.e. 27.05.2024.;






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                            C/SCA/1006/2025                                 ORDER DATED: 28/01/2025

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(C) Pending admission hearing and till the final disposal of the present petition, this Honourable Court will be pleased to direct the respondent authorities to calculate the amount of interest payable to the petitioners herein and deposit the said amount before this Honourable Court;"

[3] The only prayer made in the writ petition is to pay interest at

the rate of 12% per annum (compound interest) on the compensation

awarded to the petitioners under the award dated 30.01.2020, from

the date of deposit of the compensation by NHAI, i.e., 31.05.2020 till

the date of payment, i.e., 27.05.2024.

[4] The contention of the learned counsel for the petitioners is that

after the award was declared on 30.01.2020, the notice under

Section 3E(1) of the National Highways Act, 1956 (hereinafter

referred to as "the Act, 1956) was issued by the competent authority

on 28.01.2022 asking the land holders / petitioners to remain present

before the competent authority to submit the papers pertaining to

their entitlement for compensation. The possession of the land in

question had been taken over on 31.05.2022. The petitioners were

making representations before the competent authority for payment

of compensation even after possession was taken on 31.05.2022 and

when nothing was done, a writ petition, namely Special Civil

Application No.6060 of 2024 was filed with the reliefs as under:-

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C/SCA/1006/2025 ORDER DATED: 28/01/2025

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"9 (B) This Honourable Court will be pleased to issue the writ of Mandamus or any other appropriate writ, order or direction directing the respondents authorities to pay the amount of compensation to the present petitioners as determined by the award dated 30.01.2020 passed by the respondent no. 2 authority in acquisition of land for widening and expansion of National Highway no. 151(a);

(C) This Honourable Court will pleased to issue appropriate writ, order or direction to the respondent authorities directing them to pay the interest over the amount of compensation at the rate of 12% from the date of award till the date of realisation to the present petitioners;

(D) Pending admission hearing and till the final disposal of the present petition, this Honourable Court will be pleased to direct the respondent authorities to deposit the amount payable to the present petitioners before this Honourable Court;"

[5] The contention of the learned counsel for the petitioners is that

the prayer for award of interest over the amount of compensation at

the rate of 12% from the date of award till the date of realization was

already made before this Court in the previous round of litigation and

on the presentation of the writ petition, the same was disposed of

vide judgment and order dated 18.04.2024 granting liberty to the

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C/SCA/1006/2025 ORDER DATED: 28/01/2025

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petitioners to raise the issues by making a representation, without

entering into the claim of the petitioners. The submission, thus, is

that pursuant to the directions contained in the judgment and order

dated 18.04.2024, when the petitioners realized that interest at the

rate of 12% has not been paid to them from the date of determination

under the award dated 30.01.2020 till the date of payment, i.e.,

27.05.2024, they have filed the present petition seeking for interest

on the delayed payment of compensation on the part of the

competent authority.

[6] The submission, thus, is that the present petition has been filed

with the specific prayer to award interest on the delayed payment

from the date of deposit till the date of payment, i.e., 27.04.2024 to

which the petitioners herein are entitled to.

[7] Considering the said submissions made by the learned counsel

for the petitioners, we may record that on determination of the

amount of compensation under the award passed under Section

3G(1) of the Act, 1956, the NHAI is required to make the deposit

under Section 3H(1) of the Act, 1956, which was made admittedly in

this case on 31.05.2020, i.e., within a period of four months from the

date of making of the award. The NHAI being the acquiring body,

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C/SCA/1006/2025 ORDER DATED: 28/01/2025

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could have taken possession of the land in question after deposit of

the compensation amount under Section 3H(1) of the Act, 1956.

Admittedly, in the instant case, the possession of the land in question

was taken on 31.05.2022 by the NHAI after completion of the

necessary formalities. There is, thus, no question for payment of

interest for the period from the date of deposit, i.e., 31.05.2020 till

the date of taking over possession, i.e., 31.05.2022.

[8] With regard to any delay on the part of the competent

authority in disbursement of compensation as alleged in the writ

petition, we may record that the notice under Section 3E(1) of the

Act, 1956, after the deposits were made by the NHAI under Section

3H(1) of the Act, 1956 was issued by the competent authority and

only after the receipt of the papers of the land holders with regard to

their entitlement of compensation, possession was delivered to the

NHAI.

[9] As regards the delay in making payment to the petitioners after

31.05.2022 till 27.05.2024, for a period of approximately two years,

suffice it to note that in the previous writ petition, though the

petitioners made a prayer for payment of interest over and above the

amount of compensation at the rate of 12%, but there is no such

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C/SCA/1006/2025 ORDER DATED: 28/01/2025

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provision in the Act for payment of interest over and above the

amount deposited by the NHAI which is 31.05.2020. The

compensation amount is required to be disbursed on completion of

the procedure prescribed in Section 3H of the Act, 1956, which has

been done in the instant case.

[10] As noted hereinbefore, in the previous round of litigation, no

specific direction has been given by this Court for grant of interest to

the petitioners. It seems that the occasion for filing the present

petition arose on account of the fact that this Court had not entered

into the merits of the claim of the petitioners and relegated the

petitioners to approach the competent authority by making a proper

representation.

[11] Be that as it may, it is a matter of compulsory acquisition of the

land in question which is guided by the provisions of the Act, 1956

and in absence of any provision for award of interest over and above

the amount deposited by the NHAI under the award dated

30.01.2020, which was computed by the competent authority by

including statutory interest, we cannot grant the prayer made in the

writ petition. As regard the NHAI, as noted hereinabove, there is no

delay on the part of the NHAI in making the deposits. It is,

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C/SCA/1006/2025 ORDER DATED: 28/01/2025

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therefore, not possible for us to issue any direction for payment of

interest over and above the amount of compensation computed under

the award dated 30.01.2020, which includes statutory interest

payable under the Act, 1956. The disbursement of compensation was

at the end of the competent authority. The writ petition, therefore,

deserves to be dismissed being devoid of merits. The writ petition

stands dismissed.

(SUNITA AGARWAL, C.J.)

(PRANAV TRIVEDI, J.) DHARMENDRA KUMAR

 
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