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2012 Supreme(Pat) 1413

IN THE HIGH COURT OF PATNA
Kishore Kumar Mandal, J.
Murari Thakur S/O Madan Mohan Thakur Resident of Village Araria Sangram, P.S. Jhanjharpur, District Madhubani (Bihar).
Bala Kant Jha S/O Late Daya Nand Jha Resident Of Village - Araria, Sangram, P.S. - Jhanjharpur, District - Madhubani (Bihar) (in 12247) - Petitioner/s
Versus
The State Of Bihar through the Collector of the District (DM), Madhubani. & Ors. - Respondent/s
Civil Writ Jurisdiction Case No.12188 of 2012
Decided on : 01-11-2012

Advocates Appeared:
(In CWJC No.12188 of 2012)
For the Petitioner/s: Mr. Shashi Nath Jha
For the State : Mr. Ram Balak Mahto AG with Mr. Krishna Chandra, A.C. to A.G. (In CWJC No.12247 of 2012)
For the Petitioner/s: Mr. Shashi Nath Jha
For the State : Mr. Ram Balak Mahto AG with Mr. Krishna Chandra, A.C. to A.G.
For the NHAI : Mr.Sunil Kumar with Mr.Ranjan Kumar Singh

The main legal point established in the judgment is the requirement for the arbitrator to consider and address the petitioner's claim based on the relevant policy, leading to the quashing of the previous order and the direction for a fresh arbitration proceeding.

Headnote:

NHAI - Land Acquisition - National Highways Act,1956 (Section 3(G) (5)) - Summary: The court considered the petitioner's claim for enhancement of compensation amount based on the 2007 Bihar Settlement and Rehabilitation Policy. The court found that the arbitrator had overlooked the petitioner's claim and ordered a fresh arbitration proceeding to consider the claim in accordance with the law.

Fact of the Case:

The petitioner sought to quash an order passed by the Respondent-Arbitrator in a land acquisition case related to the construction/widening of NH 57. The petitioner claimed entitlement to compensation amount as per the 2007 Bihar Settlement and Rehabilitation Policy.

Finding of the Court:

The court found that the arbitrator had overlooked the petitioner's claim based on the 2007 policy and ordered a fresh arbitration proceeding to consider the claim in accordance with the law.

Issues: The issues included the petitioner's claim for enhancement of compensation amount based on the 2007 Bihar Settlement and Rehabilitation Policy and the arbitrator's oversight of the petitioner's claim.

Ratio Decidendi: The court's decision was based on the arbitrator's failure to consider the petitioner's claim based on the 2007 policy, leading to the quashing of the previous order and the direction for a fresh arbitration proceeding.

Final Decision: The court quashed the previous order and directed the petitioners to appear before the Respondent Arbitrator for a fresh arbitration proceeding to consider the claim in accordance with the law.

ORDER

Heard Mr. Jha for the petitioner(s), Mr. Singh for NHAI and its official as well as A.C. to A.G. for the State.

2. Both the matters raise common issue inasmuch as some of the lands common in both the applications were acquired by the National Highways Authority of India (for short ‘the NHAI’). Therefore, both the matters have been listed and heard together with the consent of the party. The order present shall govern them.

3. Relevant facts shall be drawn from CWJC No. 12188 of 2012 in which counter affidavit on behalf of Respondent NHAI as well as the State has been filed.

4. Petitioner(s) pray for quashing of the order dated 5.11.2011 (Annexure-3) passed by the Respondent-Arbitrator in Case Nos. 44/10-11 and 43/10-11 respectively in terms of the provisions contained in section 3(G) (5) of the National Highways Act,1956 ( for short ‘the Act’). Land(s) of the petitioner(s) appertaining to survey plot nos.2327, 2328 and 2329 situate in Mauza Araria Sangram, P.S. Jhanjharpur in the district of Madhubani were acquired for construction/widening of NH 57. In the year 2006 the same was notified for acquisition. On conclusion of the procedures prescribed therefor, award(s) were prepared in the name of the petitioner(s) (Annexure-1series) wherein land(s) were treated as residential. There is no dispute that petitioner(s) were paid compensation thereof. The same was accepted by the petitioner(s) with objection and a dispute in terms of the provisions of the Act was raised for enhancement of compensation amount. The application(s) filed by the petitioner(s) is/are enclosed as Anneure-2 series. The matter was referred to the Respondent-Arbitrator and treated as Appeal Case No.44 of 2010-11. By the impugned order dated 5.11.2011, the Respondent-Arbitrator denied the petitioner(s) any relief. Aggrieved thereby, the present writ application has been filed.

5. Learned counsel for the petitioner(s) referring to the application (Annexure-2) submits that amongst others the claim(s) for enhancement of the award amount was made on the ground that petitioner(s) was/were entitled to receive compensation amount as per the new policy decision of the Government called Bihar Bhuarjan Niti/Bihar Settlement and Rehabilitation Policy, 2007 ( for short ‘the Niti/Policy’). He submits that Respondent Arbitrator while dealing with the case of other claimants in Appeal Case No.17/10-11 (Annexure-9) dealt with the claim of the applicant and granted relief. He submits that from perusal of the order/award impugned in the present writ petitions, it would appear that there is absolutely no consideration with regard to the claim(s) of the petitioner(s) based on 2007 policy of the Government which is admittedly applicable in relation to the acquisition made under the Act. He submits that various documents were filed by the petitioner(s) including the certificate(s) issued by the Registration Department in order to show that part/portion of the land(s) have already been treated as commercial by the Respondents. He submits that the impugned order simply overlooked the documents placed by the petitioner(s) for enhancement of the compensation amount. In the submission of the counsel for the petitioner(s), the impugned award, therefore, is fit to be interfered with and set aside directing the Respondent Arbitrator to consider the grievance of the petitioner(s) in the light of the document placed on record and pass a fresh award in accordance with law.

6. A counter affidavit has been filed on behalf of the NHAI.

7. Learned counsel for the respondents takes a stand that the award made by the Arbitrator can be challenged before the court of competent civil jurisdiction in accordance with sections 34 and 36 of the Arbitration and Conciliation Act, 1996.

8. I have considered the rival submissions made at Bar and perused the materials on record. Annexure-2 is the objection/application filed by the petitioner(s) seeking enhancement of the award amount which gave rise to Ap









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