Madras High Court
The Project Director vs S.Puhazhenthi on 25 August, 2023
W.A.Nos.1672 of 2023 etc.
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 25.08.2023
CORAM :
THE HON'BLE MR.SANJAY V.GANGAPURWALA, CHIEF JUSTICE
AND
THE HON'BLE MR.JUSTICE P.D.AUDIKESAVALU
W.A.Nos.1672, 1676, 1681, 1686 and 1687 of 2023
W.A.No.1672 of 2023:
1.The Project Director,
National Highways Authority of India (NH 227)
Vazhudhareddi (Post), Villupuram,
Villupuram District.
2.The Regional Officer,
National Highways Authority of India (NH 227)
No.34, Sri Towers, 3rd Floor, Guindy,
Chennai-600 032. .. Appellants
Vs
1.S.Puhazhenthi
2.K.Ganesamoorthy
3.C.Chandrasekaran
4.K.Kandasamy
5.R.Muthuvelu
6.The District Collector/Arbitrator,
Cuddalore District,
Cuddalore.
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7.The Special District Revenue Officer/
Competent Authority (Land Acquisition), NH 227,
Cuddalore,
Cuddalore District. .. Respondents
W.A.Nos.1676, 1681, 1686 and 1687 of 2023:
The Project Director,
National Highways Authority of India
Project Implementation Unit – Chennai
“SRI TOWER”, 3rd Floor, DP – 34 (SP)
Industrial Estate, Guindy,
Chennai-600 032. .. Appellant in
W.A.Nos.1676, 1681,
1686 and 1687 of 2023
Vs
G.Devika
K.M.Vidhyasagar
V.C.Kuppan
G.Anitha .. Respondent No.1
in W.A.Nos.1676,
1681, 1686 and 1687
of 2023
The Arbitrator & District Collector,
Thiruvallur District.
The Special District Revenue Officer (LA)
NH 205, No.3&4, Lal Bagadhur Sasthiri Street,
Periyakuppam Railway Road,
Near Thulasi Theatre,
Thiruvallur-602 001. .. Respondent Nos.
1676, 1681, 1686,
1687 of 2023
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W.A.Nos.1672 of 2023 etc.
Prayer: Appeals under Clause 15 of the Letters Patent against the
orders dated 05.09.2022; 30.09.2022; 08.11.2022; 02.12.202 and
24.01.2022 passed by the learned Single Judge in W.P.Nos.23622,
26567, 29625, 32666 and 214 of 2022.
For the Appellants : Mr.S.Srinivasan
For the Respondents : Mr.C.Prakasam
for respondent No.2
in W.A.No.1672 of 2023
: Mr.P.Muthukumar
State Government Pleader
assisted by
Mr.K.Karthik Jegannath
Government Advocate
in W.A.No.1672 of 2023;
in W.A.Nos.1676,1681,1686
and 1687 of 2023
COMMON JUDGMENT
(Delivered by the Hon'ble Chief Justice)
The present private respondents/original writ petitioners have
filed writ petitions before the learned Single Judge seeking directions
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W.A.Nos.1672 of 2023 etc.
against the third respondent therein/present appellant to deposit the
compensation amount as per the award passed by the Collector under
the provisions of the National Highways Act, 1956 and disburse the
same. The learned Single Judge disposed of the writ petitions by
directing the authorities concerned to pay the enhanced
compensation.
2. Learned counsel for the appellant strenuously contented that
none of the conditions raised by the present appellant was considered
by the arbitrator while passing the award. The issue of limitation was
subsequently raised and the same has not been addressed by the
arbitrator. Other factual aspects were also raised, however, without
considering the grounds raised by the present appellant the award
has been passed, thereby awarding the exorbitant compensation
amount.
3. The appellant has filed an application under Section 34 of the
Arbitration and Conciliation Act, 1996 (for brevity, hereinafter
referred to as, 'the Act of 1996') challenging the said award, but, due
to the fact that the officer in-charge to register got changed twice,
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W.A.Nos.1672 of 2023 etc.
the application was not registered.
4. Learned counsel further submits that in fact, the writ
petitions ought not to have been entertained. The writ petitions are
not maintainable. The original petitioners had the liberty to file
execution. Learned counsel further submits that the learned Single
Judge came to the conclusion that the writ petition is not
maintainable, where there is a specific alternate remedy available
under Section 36 of the Act of 1996 for execution, however, still
directed the appellant to deposit the enhanced compensation amount
with interest at the rate of 9% per annum and further observed that
if any interim order against the arbitral award is not obtained within
four weeks, the competent authority was directed to disburse the
compensation amount. Learned Single Judge has not decided on the
merits of the contentions of the present appellant. The condition
imposed to deposit the amount and disburse the same is an onerous
one.
5. It is the case of the private respondents/original writ
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W.A.Nos.1672 of 2023 etc.
petitioners that the writ petitions claiming payment of the enhanced
amount as per the award are maintainable. Reliance is placed on the
judgment of a Division Bench of this Court dated 24.07.2018 in
W.P.No.1230 of 2018. It is stated that in respect of the property
acquired for the same project earlier, award is passed in the year
2017 and the rate of compensation award therein is only awarded to
the original petitioners in these matters.
6. It is further stated that it is the bounden duty of the
authorities to deposit the amount as per the award. The appellant has
paid the enhanced amount of compensation, as per the arbitral
award, in respect of some claimants, but is selectively depriving of
the enhanced amount to the original petitioners.
7. We have considered the submissions made by learned
counsel for the parties.
8. No doubt, the original petitioners have a remedy of execution
under Section 36 of the Act of 1996.
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W.A.Nos.1672 of 2023 etc.
9. Be that as it may, according to the present appellant, the
challenge to the arbitral award is pending consideration before the
concerned District Judge. In view of that, it would not be proper for
us to comment upon the merits of the arbitral award. In light thereof,
we have not considered the contentions of the respective parties
upon the merits of the arbitral award.
10. The deposit of amount would also be to the advantage of
the present appellant, inasmuch as with regard to the amount
deposited, the further interest would be arrested.
11. We may appreciate the anxiety of the original petitioners to
receive the enhanced compensation amount and at the same time,
the grounds raised by the present appellant also will have to be
considered by the Court, dealing with the application under Section
34 of the Act of 1996. The equities will have to be adjusted.
12. Learned Single Judge had also passed further orders, which
in our opinion would be required to be modified. In the light of that,
we pass the following orders:
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W.A.Nos.1672 of 2023 etc.
(i) In the appeals, this Court had directed the
present appellant to deposit 50% of the amount of
enhanced compensation, which according to the
learned counsel for the appellant, has been
complied with and the 50% of the amount is
deposited. The 50% of the amount already
deposited shall be transferred to the Court of the
concerned District Judge, where the application filed
by the appellants under Section 34 of the Act of
1996 is pending;
(ii) The original petitioners are at liberty to apply
for the withdrawal of the amount, which application
shall be considered by the concerned District Judge,
on its own merits and after hearing all parties
concerned, appropriate orders shall be passed;
(iii) The present appellant may also seek further
orders on the stay petition before the learned
District Judge;
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(iv) Depending upon the order, that may be passed
by the learned District Judge on the application of
the original petitioners for withdrawal of the
amount, further steps may be taken with regard to
the amount, if lying in the Court, such as to invest
the same in a Nationalised Bank or otherwise.
(v) Considering the huge amount involved, the
learned District Judge, with whom the application
under Section 34 of the Act of 1996 is pending, may
endeavour to decide the application under Section
34 of the Act of 1996 expeditiously.
13. With these observations and directions, the writ appeals
stand disposed of. There will be no order as to costs. Consequently,
C.M.P.Nos.14907, 14919, 14926, 14930 and 14870 of 2023 are
closed.
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(S.V.G., CJ.) (P.D.A., J.)
25.08.2023
Index : Yes/No
Neutral Citation : Yes/No
bbr
To
1.The District Collector/Arbitrator,
Cuddalore District,
Cuddalore.
2.The Special District Revenue Officer/
Competent Authority (Land Acquisition), NH 227,
Cuddalore,
Cuddalore District.
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W.A.Nos.1672 of 2023 etc.
THE HON'BLE CHIEF JUSTICE
AND
P.D.AUDIKESAVALU,J.
bbr
W.A.Nos.1672, 1676, 1681, 1686 and 1687 of 2023
25.08.2023
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