The court orders interim compensation with safeguards pending final determination of rightful claimants.
In a significant ruling, the Gauhati High Court has intervened in a dispute concerning compensation for land acquired for the expansion of National Highway 306 in Cachar district. The judgment, delivered by Justice Devashis Baruah, addresses the contention over entitlement to compensation between the petitioner, Faizur Rahman Laskar, and the respondents, which include the State of Assam and other parties.
The case revolves around the acquisition of land for the development of NH-306, specifically concerning plots notified under Section 3D of the National Highways Act, 1956. The petitioner's name was omitted from the compensation award list, which included respondents 6 and 7, who were recognized as the rightful claimants. The petitioner challenged the Additional District Commissioner's order permitting partial compensation release to the respondents.
The court examined the statutory framework of the National Highways Act, highlighting Section 3H(4), which mandates that disputes over compensation entitlement be referred to the principal civil court of original jurisdiction. Citing a Supreme Court precedent, the court underscored the Reference Court's authority to determine questions of title to adjudicate rightful compensation claims.
Justice Baruah ordered the competent authority to release 50% of the compensation to the respondents upon securing an indemnity bond and undertaking, ensuring recovery if the final decision does not favor them. The remaining compensation is to be deposited with the District Judge, Silchar, pending adjudication. The court directed the competent authority to promptly refer the matter to the District Judge for resolution under Section 3H(4).
The ruling brings temporary relief to the respondents, allowing them to receive conditional compensation while safeguarding the petitioner's interests pending judicial determination. The case underscores the critical role of the judiciary in ensuring fair compensation processes in land acquisition for infrastructure projects.
Bottom Line :
National Highways Act, 1956 - Disputes regarding compensation or apportionment of compensation under the Act must be referred to the principal civil court of original jurisdiction under Section 3H(4). Payments to claimants can be made conditionally with indemnity bonds to safeguard interests in case disputes are later resolved against them.
Statutory provision(s): National Highways Act, 1956 Sections 3D, 3G, 3H(4)
Faizur Rahman Laskar v. State of Assam, (Gauhati) : Law Finder Doc id # 2969088