THE HON’BLE THE CHIEF JUSTICE ALOK ARADHE AND THE HON’BLE SHRI JUSTICE ANIL KUMAR JUKANTI WRIT PETITION No. 25618 of 2013

ORDER

(Per the Hon’ble the Chief Justice Alok Aradhe)

Mr. S. Chandrasekhar, learned counsel for the petitioners.

Mr. N.S. Arjun Kumar, learned Government Pleader for Land Acquisition for respondent No.2.

2. In this writ petition, the petitioners have assailed the validity of the enhancement order dated 17.08.2012 passed under Section 3G(5) of the National Highways Act, 1956 (hereinafter referred to as “the Act”). The petitioners also seek a direction to the Arbitrator to determine the market value of their land @ Rs.525/- per square yard and to declare the action of the Arbitrator as well as the competent authority under the Act in determining lesser market value for their land, as illegal and arbitrary.

3. Facts giving rise to filing of this writ petition briefly stated are that petitioner No.1 is the owner of land measuring Ac.1.24 guntas in Sy.No.60/3, petitioner No.2 is the owner of land measuring Ac.1.00 in Sy.No.60/6/2 and petitioner No.3 is the owner of land measuring Ac.1.00 in Sy.No.60/8 situated at Savargaon (Batti Savargaon) Village, Adilabad District. The land belonging to the petitioners was required for formation of 4/6 lane of NH-7 from Nagpur to Hyderabad. Thereupon, the proceedings under the Act were set into motion.

4. Notifications dated 27.11.2006 and 06.06.2007 under Sections 3-A and 3-D of the Act respectively were issued and published in the Gazette dated 30.11.2006 and 06.06.2007. The substance of the aforesaid notifications was published in Deccan Chronicle English daily, Karimnagar edition and Vaartha Telugu daily, Nizamabad edition dated 16.02.2007 and 10.02.2007 respectively inviting claims and objections. Thereafter, notification under Section 3-G of the Act was published in two daily newspapers, namely, Deccan Chronicle English daily, Karimnagar edition and Vaartha Telugu daily, Nizamabad edition dated 07.08.2007 and 07.08.2007 respectively by which the claimants were asked to appear for an award enquiry, which was scheduled to be held on 18.08.2007.

5. In response to the aforesaid notifications, the petitioners attended the award enquiry and submitted their claims for compensation. The competent authority obtained the record pertaining to the preceding three years from the office of the Sub-Registrar, Adilabad. The land belonging to the petitioners was categorized as dry crop only and it is dry land. Thereafter, an award was passed on 22.04.2008 and the petitioners were paid compensation @ Rs.4,97,000/- per acre along with 30% solatium and additional market value @ 12%.

6. The petitioners received the aforesaid amount of compensation without any protest as required under Section 3-G of the Act. Thereafter, on the basis of the demand made by the owners of the land with regard to payment of compensation at the enhanced rate, the District Collector, Adilabad, negotiated and finalized for enhancement @ Rs.1,65,000/- per acre, including interest. The Arbitrator passed enhancement order under Section

3-G(5) of the Act on 17.08.2012 by which payment of compensation to the owners of the land, including the petitioners was enhanced by Rs.1,65,000/- per acre. The petitioners thereupon have filed this writ petition in which challenge has been made to the enhancement order dated 17.08.2012 and a direction has been sought to make payment of compensation to the petitioners as per the market value.

7. Learned counsel for the petitioners submits that the right to hold the property is a legal right and the respondents are under an obligation to award suitable compensation at the market value of the property. It is submitted that the enhancement order passed by the Arbitrator under the provisions of the Act can be assailed in a writ petition under Article 226 of the Constitution of India. In support of the aforesaid submission, reference has been made to a decision rendered by a learned Single Judge of