Citation : 2021 Latest Caselaw 3842 Raj/2
Judgement Date : 18 August, 2021
HIGH COURT OF JUDICATURE FOR RAJASTHAN
BENCH AT JAIPUR
S.B. Civil Writ Petition No. 15829/2019
1. Nirmala Rathore W/o Shri Gopal Singh Rethore D/o Late
Shri Bhanwar Singh, Aged 61 Years, R/o Peelwa, Nagaur,
Peelwa-341503 (Raj.)
2. Sarla Chauhan W/o Late Shri Bane Singh D/o Late Shri
Bhanwar Singh, Aged 62 Years, R/o House No. 1186,
Sector - 9A, Gurgaon-122001 (Haryana)
3. Urmila Rathore W/o Shri Roop Singh Rethore D/o Late
Shri Bhanwar Singh, Aged 55 Years, R/o 5/233, Kala
Kuan, H. Board, Alwar-301001 (Raj.) ----Petitioners
Versus
1. Union of India, through the Secretary, Ministry Of Road,
Transport and Highway, Government of India, New Delhi.
2. The Chief Engineer, (National Highway), Public Works
Department, Government of Rajasthan, Jaipur (Raj.)
3. The Prescribed Authority, (Land Acquisition) And
Additional District Collector, (First), Alwar, Rajasthan.
4. The Project Director and Executive Engineer, Public Works
Department, National Highway, Dundahera, Delhi-
Gurgram Border, NH-8 KM, 24th Mile Stone, Gurugram,
Haryana-122016 ----Respondents
5. Bajrang Singh S/o Tejpal Singh, Aged 48 Years, R/o
Jaipur Road, Baniya Ka Bag, Alwar (Rural), Alwar-301001
(Raj.)
6. Krishna Kumar S/o Tejpal Singh, Aged 42 Years, R/o
Tatarpur House, Baniya Ka Bagh, Jaipur Road, Opposite
Road Way Booking, Alwar-301001 (Raj.)
7. Suman D/o Tejpal Singh, Aged 41 Years, R/o Behind
Upnayan School, FCI Godam Road, Indra Colony, Bikaner-
334001 (Raj.) ----Proforma Respondents
For Petitioner(s) : Mr.Rajendra Prasad, Senior Advocate
assisted by Mr.Manish K. Sharma,
Adv. & Mr.Saurabh Pratap Singh, Adv.
For Respondent(s) : Mr.Sudhir Gupta, Senior Advocate
assisted by Mr.Vikas Soni, Adv.,
Ms.Shweta Chauhan, Adv. & Mr.Vijay
Mittal, Advocate.
(Downloaded on 18/08/2021 at 10:10:21 PM)
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Mr.Pankaj Choudhary, Advocate for
Mr.Rohit Choudhary, Dy.Govt.Counsel.
Mr.Sushil Pujari, Adv. & Mr.Yogesh
Purjari, Adv. for Nos.5 to 7.
Mr.Akshay Sharma, Addl.Govt.
Counsel (Through VC)
HON'BLE MR. JUSTICE ASHOK KUMAR GAUR
ORDER
Order Reserved on : 2nd August, 2021
REPORTABLE
Date of Order : 18th August, 2021
By the Court:
The instant writ petition has been filed by the petitioners
challenging the validity of notification dated 21.08.2018 and
declaration dated 21.12.2018 issued under Section 3A(1) and 3D
respectively of the National Highways Act, 1956 (hereinafter shall
be referred to as 'the Act of 1956') and the award dated
08.03.2019 passed under Section 3G of the Act of 1956.
2. The facts, as pleaded in the writ petition, in nutshell, are that
father of the petitioners had purchased land in February, 2002
admeasuring 0.64 hectare in Khasra No.4177 of village Pinan,
Tehsil Rajgarh, District Alwar. The land use of the aforesaid land
was converted for petrol pump measuring 1973.94 Sq.Mtrs. and
further the land was converted for commercial use vide order
dated 27.01.2004, as per the order passed by the Sub Divisional
Officer, Rajgarh, District Alwar and the remaining land 2092.20
Sq.Mtrs. remained unconverted as 'Barani'.
3. The petitioners have pleaded that their father after setting
up a petrol pump, as allotted to him by the Indian Oil Corporation
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Limited, executed a gift deed of an area measuring 2092.20
Sq.Mtrs. in favour of the petitioners-four daughters and mutation
was also sanctioned accordingly by the revenue authorities. The
father of the petitioners transferred the dealership in favour of his
four daughters in the name of M/s.Jai Ambey Indian Oil Company
on 25.11.2010.
4. The petitioners have further pleaded that after demise of
their father, the land admeasuring 1973.94 Sq.Mtrs. was mutated
in the name of the petitioners viz., Vimla, Sarla, Nirmala and
Urmila and due to demise of Smt.Vimla in the year 2018, her
share was transferred to her legal representatives i.e. proforma
respondents No.5 to 7 viz., Bajrang Singh, Krishna Kumar and
Suman. The petitioners have pleaded that they and the
proforma respondents are in the possession of the land in question
being recorded khatedars and owners.
5. The petitioners have pleaded that the respondent-Ministry of
Road, Transport and Highway, Government of India, New Delhi in
order to acquire the land belonging to the petitioners and others
for the purpose of building (widening/two/four laning with paved
shoulder etc.) maintenance, management and operation of
National Highway No.148N in the stretch of the land from KM
79.395 to KM 149 in the District Alwar, Rajasthan, issued
notification dated 21.08.2018 under Section 3A(1) of the Act of
1956. The said notification was also published in the daily
newspapers-Times of India and Dainik Bhaskar, as per Section
3A(3) of the Act of 1956 and further objections were invited from
the aggrieved persons.
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6. The petitioners have pleaded that the Additional Collector,
Alwar was appointed as Competent Authority and Land Acquisition
Officer (hereinafter shall be referred to as 'the CALA') to hear the
objections in response to the notification issued under Section
3A(1) of the Act of 1956.
7. The petitioners have further pleaded that they filed their
objections within the prescribed period indicating that nature of
the land was wrongly shown as Barani because the said land had
already been converted for commercial purpose i.e. for running
petrol pump and the remaining land was residential.
8. The petitioners objected that their father being a freedom
fighter was allotted a petrol pump and as such after his death, the
petrol pump was the only source of livelihood and they had made
a huge investment for commissioning and running of the said
petrol pump. The petitioners also raised an objection that no
appropriate survey of the land was done before acquisition and
request was made for dropping the acquisition. The petitioners
have pleaded that objections filed by them were duly
acknowledged and 08.10.2018 was the date fixed for hearing the
objections.
9. The petitioners have further pleaded that the date fixed for
hearing the objections was preponed for 04.10.2018 and the
persons whose land was acquired were asked to remain present
either through lawyer or in person to raise their objections before
the CALA.
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10. The petitioners have pleaded that vide common order dated
11.10.2018, the CALA (respondent No.3) decided and disallowed
the objections of the petitioners and other persons.
11. The petitioners have pleaded that the respondents thereafter
issued a declaration under Section 3D of the Act of 1956, vide
notification dated 21.12.2018 and the same was also published in
the Rajasthan Patrika newspaper on 05.01.2019. The petitioners
thereafter made a representation to the respondent No.3 in
respect of the declaration of acquisition notification dated
21.12.2018 and raised an issue with regard to the nature of land
being shown incorrectly as 'Barani'. The petitioners also raised an
objection about their only source of income and livelihood being
taken away and if the petrol pump was to be removed, then some
other land was required to be allotted to the petitioners on
minimum price on the State Highway and further make payment
in their favour toward loss of earning by way of proper
compensation.
12. The petitioners have pleaded that the respondent No.3
decided the claim of the petitioner as Claim No.172 and held that
compensation was to be determined, as per the revenue record
including compensation for the structures & as per the Right to
Fair Compensation and Transparency in Land Acquisition,
Rehabilitation and Resettlement Act, 2013 and the National
Highways Authority of India was to give adequate compensation
for loss of livelihood and also letter was to be written to the
General Manager of Indian Oil Corporation Limited to allot a petrol
pump to the petitioners at an alternative site.
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13. The petitioners have pleaded that thereafter the respondent
No.3 passed final award dated 08.03.2019 under Section 3G of
the Act of 1956 and awarded a sum of Rs.64,93,482/- in lieu of
the petitioners' land.
14. The petitioners, in their writ petition, have specifically raised
following grounds:-
(a) The award dated 08.03.2019 is arbitrary, bad in law
and violative of the constitutional provisions.
(b) The objections submitted by the petitioners have been
rejected in a mechanical manner and no reasoning has been
assigned for disallowing the objections and as such there is a
violation of the provisions of Section 3C(1) of the Act of
1956.
(c) The respondents have not conducted proper survey and
did not prepare the survey map and the preparation of
survey map, only on the basis of Google Maps, is without
application of mind.
(d) The petitioners are operating a petrol pump of Indian
Oil Corporation Limited since last 16 years and this being the
only source of their livelihood, the petitioners are left with no
other business and as such the acquisition is violative of
Articles 19 and 21 of the Constitution of India.
(e) The respondents have failed to determine the
compensation in a proper manner and only a sum of
Rs.64.93 lakhs has been awarded by ignoring the petrol
pump business and the structure raised thereon. The
acquired land measuring 0.64 hectares (6400 Sq.Mtrs.)
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comprises of the land for petrol pump, duly converted land
for commercial use and further the remaining land falls in
abadi and, as such, the actual nature of the land has not
been considered.
(f) The respondents have not complied with the provisions
of Section 3G(3) of the Act of 1956 and no public notice
under the said provision was served upon the petitioners.
(g) The respondents failed to comply with the provisions of
the Right to Fair Compensation and Transparency in Land
Acquisition, Rehabilitation and Resettlement Act, 2013.
15. The respondents No.1 and 4 have filed reply to the writ
petition and asserted that the land in question is part of the land
that is utilized for the purpose of Greenfield Delhi-Vadodara-
Mumbai Expressway being developed under the Bharatmala
Pariyojna and National Highway No.148N is to be constructed for
the benefit of public at large and work of the National Highway
No.148N, in the stretch of land from KM 79.395 to KM 149.000,
falls in the project implementation Unit-Sohna (Haryana) falling
within the District Alwar in the State of Rajasthan. The appointed
date, as per the contract agreement entered into between the
National Highway Authority of India and the Contractor, was
having a time limit of 730 days, as declared on 10.12.2019 and
the construction is to be completed upto 08.12.2021.
16. The respondents have asserted that the National Highway
Authority of India has been empowered to maintain the highways
by virtue of Section 11 of the National Highways Authority of India
Act, 1988 and the procedure as given out in Section 3, 3A to 3J of
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the Act of 1956 has been followed while undertaking acquisition of
land.
17. The respondents have further asserted that after issuing
notification under Section 3A of the Act of 1956, the objections
were invited, from the aggrieved persons, to the use of such land
and objections, so filed by the petitioners, were heard by the CALA
and after hearing the objections and making further enquiry, the
CALA disallowed such objections vide order dated 11.10.2018 and
subsequently, the Central Government, upon receipt of the report
under the Act of 1956 from the CALA, vide public notification
dated 21.12.2018, published in the official gazette, declared that
the land in the Schedule, as mentioned in sub-section (1) of
Section 3D of the Act of 1956, stands vested absolutely in the
Central Government, free from all encumbrances under sub-
section (2) of Section 3D of the Act of 1956.
18. The respondents have further asserted that the CALA
determined the amount of compensation, in respect of the land in
question, vide award dated 08.03.2019 by awarding
Rs.64,93,482/- in favour of the petitioners towards the acquired
land and further vide award No.42(C) dated 26.04.2019 awarded
Rs.1,44,03,236/- towards structure and other material belonging
to the petitioners. The respondents have pleaded that after
approval for acceptance of award, they have deposited the
awarded amount for further disbursement to the respective land
owners.
19. The respondents have further asserted that CALA handed
over possession of the acquired land on 11.11.2019, as per the
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provisions of Section 3E of the Act of 1956. The respondents have
pleaded that as per the Section 3G(5) of the Act of 1956, if the
amount of compensation, determined by the CALA, is not
acceptable then it can be determined by the Arbitrator, appointed
by the Central Government on the application filed by either of the
parties.
20. The respondents have asserted in the reply that the
petitioners did not approach the Arbitrator under Section 3G(5) of
the Act of 1956 and the District Collector, Alwar was already
appointed as Arbitrator and as such, the petitioners have wrongly
approached this Court without first approaching the Arbitrator for
enhancement of compensation. The respondents further pleaded
that the arbitral award, so passed by the Arbitrator, is also covered
by the provisions of the Arbitration and Conciliation Act, 1996.
21. Senior Counsel for the petitioners Mr.Rajendra Prasad, has
made following arguments, during the course of hearing, before
this Court:-
21A. The respondents have not complied with Section 3C(2)
of the Act of 1956 as no order was passed by the CALA and
no such order was communicated to the petitioners.
21B. The report under Section 3D(1) of the Act of 1956 sent
to the Central Government cannot be considered as an order
and as such, the declaration of acquisition is vitiated.
21C. There has been no objective application of mind while
deciding the objections filed by the petitioners and reasoned
order has not been passed by the CALA and as such the
declaration of acquisition is vitiated.
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21D. The provisions contained in Section 3E of the Act of
1956 conferring power to take possession has not been
followed and notice of sixty days was a pre-condition and as
such, the land could not have been vested in the
respondents. Taking possession of the land, without following
mandatory provisions is violative of Section 3E of the Act of
1956 and has resulted into the land being acquired without
following due process of law.
21E. There has been total non-application of mind while
issuing the notification under Section 3A of the Act of 1956,
as the description of the land of the petitioners was
incorrectly given and nature of the land was wrongly shown
as 'Barani' while the land of the petitioners was having petrol
pump, commercial use and other residential use, etc.
21F. The provisions contained in the Act of 1956 are pari-
materia with the provisions contained in the Railway Act,
1989 and if the authorities have not passed the order
disallowing the objections, as required under the Act of
1956, such proceedings are void ab initio. In support of his
submissions, Mr.Rajendra Prasad, Senior Counsel placed
reliance on the judgment rendered by the Apex Court in the
case of Nareshbhai Bhagubhai & Ors. Vs. UOI & Ors.
reported in (2019) 15 SCC 1.
22. In support of his case, Mr.Rajendra Prasad placed reliance
on the following judgments rendered by the Apex Court:-
(i) State of Uttar Pradesh Vs. Singhara Singh & Ors. reported in AIR 1964 SC 858.
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(ii) Dr.G.H.Grant Vs. The State of Bihar reported in AIR 1966 SC 237.
(iii) Hindustan Petroleum Corporation Ltd. Vs. Darius Shapur Chenai & Ors. reported in AIR 2005 SC 3520.
(iv) Kranti Associates Pvt. Ltd. & Anr. Vs. Masood Ahmed Khan & Ors. reported in (2010) 9 SCC 496.
(v) Raghbir Singh Sehrawat Vs. State of Haryana & Ors. reported in AIR 2012 SC 468.
(vi) State of UP & Ors. Vs. Hari Ram & Ors. reported in (2013) 4 SCC 280.
(vii) UOI & Ors. Vs. Shiv Raj & Ors. reported in AIR 2014 SC 2242.
(viii) Laxmi Devi Vs. State of Bihar & Ors. reported in (2015) 10 SCC 241.
(ix) Uttar Pradesh Power Transmission Corporation Ltd. & Anr. Vs. CG Power & Industrial Solutions Ltd. & Anr. reported in AIR 2021 SC 2411.
(x) SJS Business Enterprises (P) Ltd. Vs. State of Bihar & Ors. reported in (2004) 7 SCC 166.
23. Mr.Sudhir Gupta, Senior Counsel appearing for the
respondents has raised following preliminary objections about
maintainability of the writ petition before this Court:-
23a. The petitioners have alternative statutory remedy
inasmuch as the petitioners if have any grievance in respect
of quantum of award then the recourse in such situation is
not writ petition but by way of preferring arbitration
proceedings, as contemplated under Section 3G(5) of the Act
of 1956.
23b. The petitioners have not challenged to the
supplementary award dated 26.04.2019 and the petition was
filed on 04.09.2019 challenging the notification, declaration
and award contending that only compensation of Rs.64.93
Lakhs was awarded in their favour.
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23c. The petitioners have neither raised any grievance or
objection against subsequent award dated 26.04.2019 nor
they challenged the same and as such, the petitioners
having agreed and accepted the said award, the present writ
petition cannot be maintained before this Court.
23d. The petitioners are guilty of suppression and
concealment of facts as they have not disclosed the
subsequent award dated 26.04.2019 and the petitioners
have also not disclosed before this Court that they have
applied for conversion of land owned by them in the vicinity
of the subject land for commercial use as petrol pump for the
purpose of re-location and the petitioners, have such an
alternative site, having not disclosed this fact to the Court,
are guilty of suppression and concealment of important and
material facts.
24. Mr.Sudhir Gupta, Senior Counsel, while supporting the
notifications, declaration and award issued by the respondents,
has made following submissions before this Court:-
24A. The oral submission made by the Senior Counsel for
the petitioners, during the course of arguments, that no
"order" under Section 3C(2) of the Act of 1956 was passed
by the CALA, needs to be rejected by this Court as there is
no pleading in the entire writ petition filed by the petitioners
that no such order was passed.
24B. The petitioners themselves, in their writ petition, have
specifically pleaded that common order dated 11.10.2018
was passed deciding and disallowing the objections filed by
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the petitioners and others. He submitted that once the
pleading of the petitioner is very specific with regard to
passing of an order under Section 3C(2) of the Act of 1956,
the petitioners cannot be permitted to argue that no such
order was passed and only "report" was prepared by the
CALA by writing a letter dated 11.10.2018, containing report
under Section 3C of the Act of 1956, addressed to the
Central Government.
24C. The issue with regard to determination of compensation
can be agitated before the authority, as per the remedy
provided under the Act of 1956 and this Court cannot be a
proper forum to decide the quantum of compensation.
24D. The national project of such a nature is required to be
implemented in a speedy manner as it has to facilitate the
proper traffic movement for the general public.
24E. The petitioners have encroached over the subject land
as the land has already vested with the Central Government
and the petitioners were also issued notices under the
provisions contained in the Control on National Highway
(Land and Traffic) Act, 2002.
24F. The petitioners have themselves got the land converted
for setting up a petrol pump, as an alternative site, in the
same vicinity and if the only source of livelihood, as alleged
by the petitioners, is alleged to be taken away, proper
remedial measures have been taken by the respondents,
while passing the additional & subsequent award and further
the amount of compensation, if not accepted by any person,
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adequate remedy is provided for redressal of the grievance
by way of approaching the Arbitrator.
25. Mr.Sudhir Gupta, counsel for the respondents, placed
reliance on the following judgments:-
(i) UOI & Anr. Vs. Tarsem Singh & Ors. reported in (2019) 9 SCC 304.
(ii) National Highways Authority of India Vs. Sayedabad Tea Co. Ltd. & Ors. reported in (2020) 15 SCC 161.
(iii) UOI & Anr. Vs. Balvant Singh & Ors. reported in (2019) 9 SCC 687.
(iv) Titaghur Paper Mills Co. Ltd. & Anr. Vs. State of Orissa & Ors. reported in (1983) 2 SCC 433.
(v) Seth Chand Ratan Vs. Pandit Durga Prasad & Ors. reported in (2003) 5 SCC 399.
(vi) District Cricket Association & Anr. Vs. Deputy Registrar, Cooperative Societies-cum-Registrar Institution & Ors. reported in 2019 SCC OnLine Raj. 3121.
(vii) Prabha Bai & Ors. Vs. Project Officer, National Highway & Ors. reported in 2013 SCC OnLine MP 2755.
(viii) K.K.Jindal Vs. Land Acquisition Collector (N-W) reported in 2007 (98) DRJ 703.
(ix) Trishakti Electron & Industries Ltd. & Anr. Vs. TIL Ltd. & Ors. reported in (2018) 18 SCC 792.
(x) Order dt.03.03.2021 passed by this Court in Brahamdatt Meena Vs. State of Rajasthan & Ors. [S.B.Civil Writ Petition No.8427/2020] & connected cases.
26. I have heard learned counsel for the parties and with their
assistance perused the material available on record.
27. Before proceeding further, this Court considers it appropriate
to quote the relevant provisions of the Act of 1956 as under:-
"3A. Power to acquire land, etc.--(1) Where the Central Government is satisfied that for a public purpose any land is required for the building, maintenance, management or operation of a national highway or part thereof, it may, by
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notification in the Official Gazette, declare its intention to acquire such land.
(2) Every notification under sub-section (1) shall give a brief description of the land.
(3) The competent authority shall cause the substance of the notification to be published in two local newspapers, one of which will be in a vernacular language.
3B. Power to enter for survey, etc.--On the issue of a notification under sub-section (1) of section 3A, it shall be lawful for any person, authorised by the Central Government in this behalf, to--
(a) make any inspection, survey, measurement, valuation or enquiry;
(b) take levels;
(c) dig or bore into sub-soil;
(d) set out boundaries and intended lines of work;
(e) mark such levels, boundaries and lines placing marks and cutting trenches; or
(f) do such other acts or things as may be laid down by rules made in this behalf by that Government.
3C. Hearing of objections.--(1) Any person interested in the land may, within twenty-one days from the date of publication of the notification under sub-section (1) of section 3A, object to the use of the land for the purpose or purposes mentioned in that sub-section.
(2) Every objection under sub-section (1) shall be made to the competent authority in writing and shall set out the grounds thereof and the competent authority shall give the objector an opportunity of being heard, either in person or by a legal practitioner, and may, after hearing all such objections and after making such further enquiry, if any, as the competent authority thinks necessary, by order, either allow or disallow the objections.
Explanation.--For the purposes of this sub-section, "legal practitioner" has the same meaning as in clause (i) of sub- section (1) of section 2 of the Advocates Act, 1961 (25 of 1961).
(3) Any order made by the competent authority under sub- section (2) shall be final.
3D. Declaration of acquisition.--(1) Where no objection under sub-section (1) of section 3C has been made to the competent authority within the period specified therein or where the competent authority has disallowed the objection under sub-5section (2) of that section, the competent authority shall, as soon as may be, submit a report accordingly to the Central Government and on receipt of such report, the Central Government shall declare, by
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notification in the Official Gazette, that the land should be acquired for the purpose or purposes mentioned in sub- section (1) of section 3A.
(2) On the publication of the declaration under sub-section (1), the land shall vest absolutely in the Central Government free from all encumbrances.
(3) Where in respect of any land, a notification has been published under sub-section (1) of section 3A for its acquisition but no declaration under sub-section (1) has been published within a period of one year from the date of publication of that notification, the said notification shall cease to have any effect:
Provided that in computing the said period of one year, the period or periods during which any action or proceedings to be taken in pursuance of the notification issued under sub- section (1) of section 3A is stayed by an order of a court shall be excluded.
(4) A declaration made by the Central Government under sub-section (1) shall not be called in question in any court or by any other authority.
3E. Power to take possession.--(1) Where any land has vested in the Central Government under sub-section (2) of section 3D, and the amount determined by the competent authority under section 3G with respect to such land has been deposited under sub-section (1) of section 3H, with the competent authority by the Central Government, the competent authority may by notice in writing direct the owner as well as any other person who may be in possession of such land to surrender or deliver possession thereof to the competent authority or any person duly authorised by it in this behalf within sixty days of the service of the notice. (2) If any person refuses or fails to comply with any direction made under sub-section (1), the competent authority shall apply--
(a) in the case of any land situated in any area falling within the metropolitan area, to the Commissioner of Police;
(b) in case of any land situated in any area other than the area referred to in clause (a), to the Collector of a District, and such Commissioner or Collector, as the case may be, shall enforce the surrender of the land, to the competent authority or to the person duly authorised by it.
3F. XX XX XX
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.
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(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 language 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 taking 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."
28. The objection of the petitioners relating to the notification,
issued under sub-section (1) of the Section 3A of the Act of 1956,
of giving incorrect description of nature of the land as 'Barani', this
Court, on bare reading of sub-section (2) of Section 3A of the Act
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of 1956, finds that the notification which is issued under Section
3A(1) of the Act of 1956, declaring the intention of the Central
Government to acquire the land, needs to give a brief description
of the land.
29. The requirement of giving brief description of the land
necessarily requires that the area, nature of land and owner of the
land should be mentioned. The nature of land, if has been shown
as 'Barani', in the present case, the same would not mean that
brief description of the land is not given.
30. The purpose of giving brief description of the land in the
notification under sub-section (1) of Section 3A of the Act of 1956
is to give notice to any person who is interested in the land to file
an objection to the use of the land for the purpose or purposes
mentioned in the notification for acquiring the land for building,
maintenance, management or operation of a national highway.
The brief description of the land, given in a notification, can be
identified by the person, who is interested in the land and
thereafter, if he files an objection before the competent authority,
it cannot be presumed that only because nature of the land has
not been mentioned, as is claimed by the owner of the land, the
same would not result into violation of any of his statutory right.
The necessity of giving brief description of the land is to give an
opportunity to any interested person in the land or owner of the
land, so as to question acquisition proceedings started by the
Central Government.
31. This Court, in the present facts of the case, finds that the
petitioners after learning about issuance of the notification have
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filed their objections before the CALA and as such, it cannot be
inferred that due to mentioning of the nature of their land as
'Barani' and the land being used for petrol pump and commercial
purpose, cannot result into declaring the notification as invalid or
bad in the eyes of law.
32. The submission of learned Senior Counsel for the petitioners
that while hearing the objections filed by the petitioners under
sub-section (1) of Section 3C of the Act of 1956, the CALA has not
decided the same in an objective manner and non-speaking order
has been passed, this Court finds that the CALA, after giving the
objectors an opportunity of being heard, in person or by a legal
practitioner and after making further enquiry, if required, takes
the necessary decision by allowing or disallowing the objection.
33. This Court finds that the objections of the petitioners were
decided and disallowed by the CALA and such authority does not
exercise judicial powers and order cannot be crafted like a judicial
order which is passed by a legally trained mind.
34. This Court finds that the CALA, in the present case, has
taken into account 106 objections, filed by the objectors and came
to the conclusion that the project, for which the land was required,
is needed for development of the country and for the use of
general public and as such, the purpose, for which the land was
acquired, is in the national interest and as such, while issuing the
notification, the authorities have kept in mind the purpose for
which the Act of 1956 was enacted.
35. This Court finds that the Apex Court in the case of UOI &
Ors. Vs. Kushala Shetty & Ors. reported in AIR 2011 SC 3210
(20 of 30) [CW-15829/2019]
has considered the scope of Sections 3A, 3A(1), 3B, 3C, 3C(1),
3C(2), 3D, 3D(1) & 3D(3) of the Act of 1956. The Apex Court
while considering the scope of interference by the Courts, in
acquisition matters of national highways, has held that the scope
of judicial review is very limited and the courts can nullify the
acquisition of land and in rarest of rare case, the particular
project, if it is found to be ex-facie contrary to the mandate of law
or tainted due to malafides. The Apex Court has also considered
the power given to the competent authority to pass orders after
deciding the objections filed by the objectors in respect of the
notification issued for acquisition of the land. The extract of the
judgment, being relevant for the present purpose, is reproduced
as under:-
"20. The only reason assigned by the Division Bench of the High Court for upsetting the well considered order passed by the learned Single Judge negating the respondents' challenge to the acquisition was that declaration under Section 3D(1) was published even before communication of the decision taken by the Competent Authority in terms of Section 3C(2). The process of reasoning adopted by the Division Bench for recording its conclusion appears to have been influenced by an assumption that the objections filed by the land owners had not been decided till the issue of declaration under Section 3D(1). However, the fact of the matter is that the Competent Authority had, after giving opportunity of personal hearing to the objectors, passed order dated 11.10.2005 and rejected the objections. Though, that order was not crafted like a judicial order which is passed by a legally trained mind, the rejection of the representations made by the respondents cannot be faulted only on that ground. The Competent Authority did advert to the substance of objections, the details of which have been incorporated in Annexure P-3 filed before this Court. The concerned officer rejected the same by observing that the land proposed for acquisition is necessary for widening the existing National Highways into four lanes. If the consideration made by the Competent Authority is judged in the backdrop of the fact that a Special Purpose Vehicle was incorporated with the name New Mangalore Port Road Company Limited for implementation of the project known as New Mangalore Port Road Connectivity Project from
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Surathkal to Nantoor and B.C.Road to Padil along with bypass from Nantoor to Padil, it is not possible to castigate the proved reasons recorded by the Competent Authority for rejecting the objections.
21. XX XX XX XX
22. XX XX XX XX
23. XX XX XX XX
24. Here, it will be apposite to mention that NHAI is a professionally managed statutory body having expertise in the field of development and maintenance of National Highways. The projects involving construction of new highways and widening and development of the existing highways, which are vital for development of infrastructure in the country, are entrusted to experts in the field of highways. It comprises of persons having vast knowledge and expertise in the field of highway development and maintenance. NHAI prepares and implements projects relating to development and maintenance of National Highways after thorough study by experts in different fields. Detailed project reports are prepared keeping in view the relative factors including intensity of heavy vehicular traffic and larger public interest. The Courts are not at all equipped to decide upon the viability and feasibility of the particular project and whether the particular alignment would subserve the larger public interest. In such matters, the scope of judicial review is very limited. The Court can nullify the acquisition of land and, in rarest of rare cases, the particular project, if it is found to be ex-facie contrary to the mandate of law or tainted due to mala fides. In the case in hand, neither any violation of mandate of the 1956 Act has been established nor the charge of malice in fact has been proved. Therefore, the order under challenge cannot be sustained."
36. This Court, had an occasion to deal with the scope of judicial
review in the acquisition matters under the Act of 1956 in the case
of Ratan Lal Aheer Vs. UOI & Ors. reported in 2019 (1) RLW
645 (Raj.) and after considering the law on the issue came to the
conclusion that interference in acquisition matter can only be in
two situations i.e. ex-facie contrary to mandate of law or tainted
due to malafides. The extract of the judgment, relevant for the
present purpose, is reproduced hereunder:-
(22 of 30) [CW-15829/2019]
"30. This court finds that objections which are filed under sub-section (1) of Section 3C of the Act, 1956 are required to be taken into consideration by the competent authority and the objections are either to be allowed or disallowed. The order which is required to be passed while deciding the objections cannot be a judicial order. The said order which is passed by the competent authority cannot be an order like the court passes the order by a legally trained mind. The order of the competent authority has to take into account the objections which are raised by the objector. Allowing or disallowing the objections by competent authority must reflect that the objections are sustainable or not sustainable.
31 to 38 XX XX XX
39. The reliance placed by learned counsel for the petitioner on the judgment of the Apex Court in the case of M/s.Kranti Associates Pvt. (supra) is also to the effect that the administrative decisions must record reasons. The Apex Court in para-51 of the judgment has summarized the requirement of passing a reasoned order as it serves the principles of natural justice. This court finds that the said judgment cited by the learned counsel for the petitioner will be of little help in the present facts of the case.
40. This court finds substance in the submission for the learned counsel for the respondents that scope of judicial review in acquisition matters is very limited and the area of interference can only be in two situations i.e. ex-facie contrary to mandate of law or tainted due to malafides."
37. The submission of learned Senior Counsel for the petitioners
that no order disallowing the objections of the petitioners was
passed under sub-section (2) of Section 3C of the Act of 1956 and
only a 'report' being prepared and sent to the Central
Government, as such, the entire acquisition is vitiated, this Court
has to first consider the pleadings which have been made by the
petitioners in their petition, before embarking upon to decide the
validity of the order passed by the authorities on this Court.
38. This Court finds that the petitioners themselves in
unequivocal terms have mentioned in the facts of the petition that
the CALA by common order dated 11.10.2018 decided and
(23 of 30) [CW-15829/2019]
disallowed the objections of the petitioners and others. The
petitioners themselves have taken a specific plea that such order
was passed by the CALA under sub-section (2) of Section 3C of
the Act of 1956 and as such, now during the course of arguments,
such ground has been raised and the same has been noted to be
rejected by this Court.
39. This Court, after scanning the entire material available on
record and pleadings made in the writ petition, finds that the
petitioners have not raised any ground in their writ petition that
the order dated 11.10.2018 was not an order and it was only a
report prepared under Section 3D of the Act of 1956. The
petitioners, having not taken such ground to challenge the order
dated 11.10.2018, are estopped to question the said order only by
making oral submission before this Court.
40. This Court further finds that since there is no specific
averment made in the pleadings, the respondents have
accordingly not controverted the same by filing specific reply or
counter affidavit. This Court finds that if some facts are not
specifically pleaded in the writ petition and the writ petition is set
up only on certain other facts, the Court cannot permit to raise
such grounds, during the course of hearing/arguments and as
such, the oral plea taken by the petitioners is rejected by this
Court. Pleadings in the writ petition have to be specific and
without any ambiguity. The facts of the case and grounds to
challenge the action/inaction have to be clearly stated. The
material facts are required to be part of pleadings.
(24 of 30) [CW-15829/2019]
41. The submission of learned Senior Counsel for the petitioners
that the impugned order dated 11.10.2018 has to be construed as
a report, as envisaged under sub-section (1) of Section 3D of the
Act of 1956, this Court on careful reading of the order dated
11.10.2018 finds that the CALA has mentioned about the notices
issued, under Section 3C of the Act of 1956, to the different
persons including the petitioners and in total 106 objections were
received by the CALA and he has given brief description and
details of the objections which were filed before him. The CALA
has recorded that the main objection of the objectors was in
respect of demarcation of the land and further some objectors had
raised grievance against acquisition on different grounds. The
CALA, after considering the objections, came to the conclusion
that the land is sought to be acquired for a project of national
importance meant for general public and as such, he disallowed
the objections. A perusal of the order shows that it has all the
ingredients of an order passed by an authority and same cannot
be termed as a report by the CALA.
42. This Court further finds that the CALA has endorsed the said
order to the office of Sub-Divisional Officer and Tehsildar of
different sub-divisions like Ramgarh, Laxmangarh & Raini with
direction that the order be pasted on their notice board. The CALA
also directed to notify and paste the order on notice board for the
purpose of objectors to know about such order being passed.
43. The submission of learned Senior Counsel for the petitioners
that possession of the land has not been taken, as per the
requirement of Section 3E of the Act of 1956, this Court finds that
(25 of 30) [CW-15829/2019]
the requirement of Section 3E of the Act of 1956 is to give notice
to handover possession within sixty days after service of notice to
the owner or any other person, who may be in possession of the
land to surrender or deliver possession to the competent
authority, after the land is vested in Central Government under
sub-section (2) of Section 3D of the Act of 1956 and the amount is
determined by the competent authority under Section 3G of the
Act of 1956.
44. This Court finds that in the present case, after notification
regarding declaration of acquisition was published and issued
under Section 3D(1) of the Act of 1956, on publication of such
declaration, the land vests absolutely in the Central Government
free from all encumbrances under sub-section (2) of Section 3D of
the Act of 1956. This Court further finds that no plea can be
allowed to be raised by the petitioners that they were in rightful
possession of the land and the land in question never vested in
the Central Government.
45. This Court further finds that the Control on National Highway
(Land and Traffic) Act, 2002 specifically deals with the situation
where any person who is in unauthorized occupation of highway
land can be removed or even fine can be imposed upon him.
46. The submission of learned Senior Counsel for the petitioners
that the provisions contained in the Railway Act, 1989 and the Act
of 1956 are pari-materia, before dealing with the contention raised
by the cousnel, this Court deems it proper to quote the relevant
provision of the Railway Act, 1989, as follows:-
(26 of 30) [CW-15829/2019]
"20-D. Hearing of objections, etc.- (1) Any person interested in the land may, within a period of thirty days from the date of publication of the notification under sub-section (1) of Section 20A, object to the acquisition of land for the purpose mentioned in that sub-section.
(2) Every objection under sub-section (1), shall be made to the competent authority in writing, and shall set out the grounds thereof and the competent authority shall give the objector an opportunity of being heard, either in person or by a legal practitioner, and may after hearing all such objections and after making such further enquiry, if any, as the competent authority thinks necessary, by order, either allow or disallow the objections.
Explanation.- For the purposes of this sub-section, "legal practitioner" has the same meaning as in the clause (i) of sub-section (1) of section 2 of the Advocates Act, 1961 (25 of1961).
(3) Any order made by the competent authority under sub- section (2) shall be final."
47. This Court finds that under Section 3C of the Act of 1956
interested person can object to the use of the land for the purpose
or purposes mentioned in sub-section (1) of Section 3A of the Act
of 1956 and the Section 20D of the Railway Act, 1989 also enables
the interested person to object to the acquisition but there is a
distinction between the right to object to the use of the land for
the purpose for which the land is acquired or object to the
acquisition.
48. This Court finds that the Division Bench of the Punjab and
Haryana High Court has also recently considered the similar issue
in the case of Sharman Spinning Mills Pvt. Ltd. & Ors. Vs.
UOI & Ors. [CWP No.10537-2021 (O&M)] decided on
30.06.2021 and it would be pertinent to quote the relevant portion
of the judgment as follows:-
"7.6 Next argument as noticed in para (vi) above is with regard to the correctness of the order passed by the competent authority. He contends that the competent authority has not passed a speaking order while examining
(27 of 30) [CW-15829/2019]
each and every objection independently after analysing its merits. He relies upon the judgment in Nareshbhai Bhagubhai Vs. Union of India (2019) 15 SCC 1. It may be noted here that Section 3C of the 1956 Act enables a person who is interested in the land to file objections with respect to the use of the land for the purpose or purposes mentioned in the sub-section. The competent authority is required to give an opportunity of hearing to the objector, either in person or by a legal practitioner, before taking decision either to allow or disallow the objections. Such obligation to decide cannot be equated with a judicial order, passed by a legally trained mind. The competent authority is not required to be a person with legal knowledge. Hence, it would not be appropriate to expect that the competent authority would pass an order in the manner suggested by the learned counsel representing the petitioners. In these cases, the court would form an opinion on a careful reading of the order as to whether the objections to the acquisition have been considered or not.
Still further, the Writ Court does not sit in appeal over the order passed. The court is expected to examine its validity while exercising the power of judicial review. Once on reading of the order, the court comes to conclusion that the competent authority has considered the objections while applying its mind, it would not be appropriate to interfere. On careful reading of the order, the Competent Authority, after noting the various objections, found that the notification has been issued after prior approval of alignment of the road and the piece of land shall be required to be acquired for building the bypass road which will eventually become principal road (National Highway) after the previous one is abandoned and ceases to be a National Highway. This bench has carefully read the judgment of the Supreme Court in Nareshbhai Bhagubhai(Supra). In that case the acquisition of the land was under The Railways Act, 1989. The court noticed that after granting an opportunity of hearing to the objectors on 30.7.2011, no order has been passed by the competent authority although the Railways had taken a contradictory stand with respect to the order passed on the objections. It was further found that the personal hearing can not be reduced to empty formality or a mere eyewash. Hence, the Court held that the competent authority failed to comply with the statutory requirement. However, instead of quashing the land acquisition, on the statement of the counsel representing the land owners, the Court directed that the compensation for the land acquired shall be paid at the current rate. The Hon'ble Supreme Court in Union of India Vs. Kushala Shetty & Ors. (2011)12 SCC69 have held that the competent authority under the 1956 Act is not expected to be manned by a legally trained mind who can write an order like a judgment dealing with all the objection meticulously.
7.6.1 This argument can be examined from another perspective. The language of Section 5-A of the Land
(28 of 30) [CW-15829/2019]
Acquisition Act 1894, Section 15 of the 2013 Act, Section 15 of the Railways Act 1989 and Section 3C of the 1956 Act are not pari-materia. Under Section 3C, interested person can object to the use of the land for the purpose or purposes mentioned in that sub-section. Section 5-A the 1894 Act enables the interested person to object to the acquisition of land. The right to object to the acquisition has been further elaborated in Section 13 of the 2013 Act. Similarly, Section 20-D of the Act 1989 also enables the interested person to object to the acquisition. However Section 3C only enable the person interested to object to use or the land for the purpose or purposes mentioned in that sub-section. The Hon'ble Supreme Court while noticing distinction in the language of the 1894 Act and the 1956 Act in Competent Authority Vs. Banglore Jute Factory & Ors. (2005) 13 SCC 477 held that under the 1956 Act the interested persons have no right to object to acquisition of land except on the question of its user, in paragraph 8 which is extracted as under:-
"8. The absence of a plan also renders the right to file objections under Section 3-C(1), nugatory. In the absence of a plan, it is impossible to ascertain or know which part of the acquired land was to be used and in what manner. Without this knowledge no objections regarding use of land could be filed. Since the objection regarding use of the land had been given up by the writ petitioners, we need not go any further in this aspect. We would, however, like to add that unlike Section 5-A of the Land Acquisition Act, 1894 which confers a general right to object to acquisition of land under Section 4 of the said Act, Section 3-C(1) of the National Highways Act gives a very limited right to object. The objection can be only to the use of the land under acquisition for purposes other than those under Section 3- A(1). The Act confers no right to object to acquisition as such. This answers the argument advanced by the learned counsel for NHAI that failure to file objections disentitles the writ petitioners to object to the acquisition. The Act confers no general right to object, therefore, failure to object becomes irrelevant. The learned counsel relied on the judgment of this Court in Delhi Admn. v. Gurdip Singh Uban1. In our view, this judgment has no application in the facts of the present case where the right to object is a very limited right. The case cited is a case under the Land Acquisition Act, 1894 which confers a general right to object to acquisition of land under Section 5-A. Failure to exercise that right could be said to be acquiescence. The National Highways Act confers no such right. Under this Act there is no right to object to acquisition of land except on the question of its user. Therefore, the present objection has to be decided independently of the right to file objections. Dehors the right to file
(29 of 30) [CW-15829/2019]
objection, the validity of the notification has to be considered. Failure to file objection to the notification under Section 3-C, therefore, cannot non-suit the writ petitioners in this case."
In view of the above, we express our inability to accept the contention of the petitioners."
49. The submission of learned Senior Counsel for the petitioners
that the Apex Court in the case of Nareshbhai Bhagubhai (supra)
has considered the similar provisions of the Railways Act, 1989
and found the acquisition to be invalid, suffice it to say by this
Court that in the facts of the case before the Apex Court, it was
clearly found that after granting opportunity of hearing to the
objectors on 31.07.2011, no order deciding the objection was
passed by the competent authority and further the Apex Court
held that personal hearing cannot be reduced to an empty
formality or a mere eyewash by the competent authority. This
Court finds that since order was passed by the competent
authority before hearing and as such, the Apex Court in the facts
of that case came to the conclusion that there was a violation of
statutory right and such action of the competent authority was not
approved by the Apex Court.
50. This Court further finds that even in the case of Nareshbhai
Bhagubhai (supra), the Apex Court did not quash the acquisition
proceedings but only granted relief of paying compensation at the
current market rate. The said judgment of the Apex Court is of
little assistance to the petitioners.
51. This Court does not find any ground to interfere in the
acquisition proceedings, initiated by the respondents and
(30 of 30) [CW-15829/2019]
accordingly, the instant writ petition is dismissed being devoid of
merits. No costs.
(ASHOK KUMAR GAUR),J
Solanki DS, PS
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