Case Note & Summary
The petitioners, owners of land admeasuring 4 acres in Gat No.37/1/2 at Village Valsang, Taluka South Solapur, District Solapur, challenged the Modified Supplementary Award dated 25th March 2021 passed by the Competent Authority (Deputy Collector Land Acquisition No.1, Solapur) and a subsequent notice dated 22nd September 2021 issued under Sections 3G(1)(2), 3H(2)(3), and 3E(1)(2) of the National Highways Act, 1956. The petitioners' land was acquired for a national highway project. Initially, an award under Section 3G of the Act was passed on 25th March 2021 determining compensation. However, on the same date, a Modified Supplementary Award was passed reducing the compensation without any notice or opportunity of hearing to the petitioners. The petitioners also sought restoration of the original award and a direction to respondent No.4 (Project Director, NHAI) to deposit the deficit amount of Rs.21,21,649/-. The court noted that the impugned modified award was passed without any notice to the petitioners, violating principles of natural justice. The court held that the Competent Authority could not unilaterally reduce the compensation without hearing the affected parties. Consequently, the court quashed the Modified Supplementary Award and the subsequent notice, restored the original award dated 25th March 2021, and directed respondent No.4 to deposit the deficit amount of Rs.21,21,649/- within four weeks. The petition was allowed with no order as to costs.
Headnote
A) Constitutional Law - Natural Justice - Right to be Heard - Competent Authority passed Modified Supplementary Award reducing compensation without notice or hearing to landowners - Held that such action violates principles of natural justice and the award is liable to be quashed (Paras 7-9).
B) Land Acquisition - National Highways Act, 1956 - Section 3G Award - Modified Supplementary Award - The original award under Section 3G was passed on 25th March 2021, but later a modified supplementary award was passed on the same date reducing compensation without any notice to the petitioners - Held that the modified award is illegal and unsustainable (Paras 7-9).
C) Land Acquisition - Compensation - Deficit Amount - The petitioners sought restoration of original award and direction to respondent No.4 to deposit deficit amount of Rs.21,21,649/- - Held that the original award stands restored and respondent No.4 must deposit the deficit amount (Paras 9-10).
Issue of Consideration
Whether the Competent Authority could pass a Modified Supplementary Award reducing compensation without issuing notice or hearing the landowners, and whether such action violates principles of natural justice.
Final Decision
The court allowed the petition, quashed the Modified Supplementary Award dated 25th March 2021 and the notice dated 22nd September 2021, restored the original award dated 25th March 2021, and directed respondent No.4 to deposit the deficit amount of Rs.21,21,649/- within four weeks. No order as to costs.
Law Points
- Natural justice
- Right to be heard
- Compensation determination under National Highways Act
- 1956
- Section 3G award
- Modified supplementary award without notice
- Writ of certiorari
- Mandamus for deficit amount
Case Details
2023 LawText (BOM) (01) 74
WRIT PETITION NO.5593 OF 2022
R.D. Dhanuka, M.M. Sathaye
Mr.Manoj A. Patil for the Petitioners, Mr.Rajan S. Pawar AGP for State - Respondent Nos.1 to 3, Mr.Chandan Athani i/b Mr.Siddharth Ambegaonkar / Hinge and Deshmukh Associates for NHAI - Respondent No.4
Shri Shrikant Govind Taklikar, Shri Shashikant Govind Taklikar, Sajit Narsinh Gaklikar
State of Maharashtra, District Collector Solapur, Competent Authority @ Deputy Collector (Land Acquisition) No.1 Solapur, Project Director National Highways Authority
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Nature of Litigation
Writ petition under Article 226 of the Constitution of India challenging a Modified Supplementary Award and notice under the National Highways Act, 1956.
Remedy Sought
Quashing of Modified Supplementary Award dated 25th March 2021 and notice dated 22nd September 2021; restoration of original award; direction to respondent No.4 to deposit deficit amount of Rs.21,21,649/-.
Filing Reason
The Competent Authority passed a Modified Supplementary Award reducing compensation without notice or hearing to the petitioners, violating principles of natural justice.
Previous Decisions
Original award under Section 3G passed on 25th March 2021; Modified Supplementary Award passed on same date reducing compensation.
Issues
Whether the Modified Supplementary Award reducing compensation without notice or hearing is violative of natural justice.
Whether the petitioners are entitled to restoration of the original award and direction to deposit deficit amount.
Submissions/Arguments
Petitioners argued that the Modified Supplementary Award was passed without any notice or opportunity of hearing, violating principles of natural justice.
Respondents did not oppose the petition; learned AGP and counsel for NHAI waived service and consented to final hearing.
Ratio Decidendi
The Competent Authority cannot unilaterally reduce compensation under a Section 3G award without issuing notice or hearing the landowners, as it violates principles of natural justice. The original award stands restored and the deficit amount must be deposited.
Judgment Excerpts
The impugned Modified Supplementary Award dated 25th March, 2021 has been passed without any notice to the Petitioners and without giving any opportunity of hearing to the Petitioners.
The Competent Authority could not have reduced the compensation without giving any notice or opportunity of hearing to the Petitioners.
The impugned Modified Supplementary Award dated 25th March, 2021 and the impugned notice dated 22nd September, 2021 are quashed and set aside.
The original Award dated 25th March, 2021 under Section 3(G) of the National Highways Act, 1956 is restored.
Respondent No.4 is directed to deposit the deficit amount of Rs.21,21,649/- within four weeks from today.
Procedural History
The petitioners filed Writ Petition No.5593 of 2022 under Article 226 of the Constitution of India before the Bombay High Court challenging the Modified Supplementary Award dated 25th March 2021 and notice dated 22nd September 2021. Rule was issued, and by consent of parties, the petition was heard finally on 28th February 2023.
Acts & Sections
- National Highways Act, 1956: 3G, 3G(1)(2), 3H(2)(3), 3E(1)(2)
- Constitution of India: Article 226
