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2024 Supreme(Raj) 215

IN THE HIGH COURT OF JUDICATURE FOR RAJASTHAN AT JODHPUR
REKHA BORANA, J.
Akha Ram, S/o. Moti Ram & Ors. - Appellants
Versus
National Highway Authority of India, Ministry of Road Transport and Highways, Government of India & Ors. - Respondents
S.B. Civil Misc. Appeal Nos. 1805, 1806, 1807, 1808, 1993, 1994, 1996, 1999 of 2023
Decided On : 22-02-2024

Advocates Appeared:
For the Appellant : Mr. Jitendra Mohan Choudhary, Mr. Samyak Dalal.
For the Respondent: Mr. Ankur Mathur, Mr. Mudit Vaishnav.

IMPORTANT POINT
The main legal point established is that objections challenging an award under the National Highways Act, 1956 are maintainable under Section 34 of the Arbitration and Conciliation Act, 1996, and incorrect labeling of the application does not affect the jurisdiction of the court.

Headnote:

Arbitration - Land Acquisition - National Highways Act, 1956, Arbitration and Conciliation Act, 1996 - Section 3A, 3D, 3G, 3H, 34 - The judgment discusses the application of the National Highways Act, 1956 and the Arbitration and Conciliation Act, 1996 in the context of land acquisition for the construction of a national highway. It highlights the procedure for determination of compensation, appointment of arbitrator, and the jurisdiction of the court in challenging the award.

Fact of the Case:

The case involves the rejection of application/objections under Section 34 of the Arbitration and Conciliation Act, 1996, filed by claimants-objectors against the acquisition of land for the construction of a national highway under the National Highways Act, 1956. The objections were initially rejected by the Collector and subsequently dismissed by the District Judge, Jalore.

Finding of the Court:

The court found that the objections were maintainable under Section 34 of the Act of 1996 as they challenged the award passed by the Collector/Arbitrator in terms of Section 3G(5) of the Act of 1956. The court also held that the application was incorrectly nomenclated but still fell within the jurisdiction of the court. The court set aside the orders and remanded the matter back to the District Judge for fresh decision.

Issues: The issues involved the maintainability of the objections under Section 34 of the Act of 1996, the correct application of the provisions of the National Highways Act, 1956, and the jurisdiction of the court in challenging the award.

Ratio Decidendi: The court held that the objections challenging the award under Section 3G(5) of the Act of 1956 were maintainable under Section 34 of the Act of 1996. The court also emphasized that incorrect labeling of the application does not affect the jurisdiction of the court. Additionally, the court clarified the applicability of the Act of 2013 to the determination of compensation under the Act of 1956.

Final Decision: The court quashed and set aside the orders, remanding the matter back to the District Judge for fresh decision on the application/objections under Section 34 of the Act of 1996.

JUDGMENT :

1. The present appeals have been filed against the orders passed by the District Judge, Jalore whereby the applications/objections under Section 34 of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as ‘the Act of 1996’) as filed by the claimants-objectors have been rejected as being non-maintainable. The details of the appeals filed and the respective details of the impugned orders are as under :

Sr. No.

S.B. Civil Misc. Appeal Nos.

Date of order passed by learned District Judge, Jalore.

Civil Misc. Case No. (CIS No.) before learned District Judge, Jalore.

1.

1805/2023

19.08.2023

01/2023 (01/2023)

2.

1806/2023

07.08.2023

17/2022 (18/2022)

3.

1807/2023

27.07.2023

16/2022 (17/2022)

4.

1808/2023

07.08.2023

15/2022 (16/2022)

5.

1993/2023

01.08.2023

20/2022 (21/2022)

6.

1994/2023

01.08.2023

21/2022 (22/2022)

7.

1996/2023

07.08.2023

14/2022 (15/2022)

8.

1999/2023

19.08.2023

03/2023 (03/2023)

2. For the present purpose of adjudication, the facts and dates of S.B. Civil Misc. Appeal No.1805/2023 preferred against the impugned order dated 19.08.2023 passed in Civil Misc. Case No.01/2023 (CIS No.01/2023) are taken into consideration.

3. The facts of the case are that Notification dated 20.08.2018, in terms of Section 3A of the National Highways Act, 1956 (hereinafter referred to as ‘the Act of 1956’) was issued for acquisition of land for the purposes of construction of National Highway No.754K of Amritsar-Kandla Project under Bharat Mala Project in Jalore District. Vide the said notification, the khatedari land of the claimants was proposed to be acquired. The objections qua the said acquisition were invited vide communication dated 07.09.2018 and the objections were even filed by the claimants on 18.09.2018. However, the said objections were rejected and the final declaration in terms of Section 3D of the Act of 1956 was made on 05.08.2019. The gazette publication of the said declaration was made on 06.08.2019.

4. Meaning thereby, the acquisition proceedings were finalised and the amount to be paid qua the acquisition was determined by the Competent Authority i.e. the Land Acquisition Officer cum Sub Divisional Officer, Jalore on 21.11.2019. The said amount was determined on basis of the DLC rates as prevalent at that point of time.

5. Aggrieved of the determination (Award) dated 21.11.2019 passed by the Competent Authority, an application was preferred by the claimants before the Collector on 24.06.2021. The said application was nomenclated to be under Section 18 of the Land Acquisition Act, 1894 (hereafter referred to as ‘the Act of 1894’). However, an application for an amendment was preferred subsequently with the prayer for the said application to be read to be one under Section 64 of Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (hereinafter referred to as ‘the Act of 2013’). Ultimately, the application as preferred before the Collector was decided vide order dated 25.08.2022.

Vide the said order, the Collector proceeded on to dismiss the application as preferred by the claimants while observing that the arbitration application as preferred by the claimants stands rejected.

6. Aggrieved of the order dated 25.08.2022 as passed by the Collector vide which, the determination/Award dated 21.11.2019 was affirmed, application/objections under Section 34 of the Act of 1996 was/were preferred by the claimants before the District Judge, Jalore. Vide Order dated 19.08.2023, the learned District Judge, Jalore proceeded on to reject the said application/objections on the premise that the same was/were not maintainable before the Court. The learned District Judge observed that the application as rejected by the Collector was an application preferred under Secti

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