RAJINDER KRISHAN KHANNA Vs. UNION OF INDIA

JUDGEMENT

(1.) THE appellants and others filed a writ petition in the High Court of Punjab and Haryana against the respondents. THE case in the writ petition, briefly stated, was that the writ petitioners were owners of agricultural lands, residential buildings, tubewells, etc. at Gaddiwara within the municipal limits of Panipat. THE second respondent, the National Fertilizers Limited, had installed a plant for the manufacture of fertilisers in the vicinity. THE second respondent had constructed a 'kucha' bund around the original pond and was using it for depositing effluents. THE bund was made of earth which breached due to the excessive pressure of the effluents and the accumulation of burnt ash. THE result was that water and ash had escaped from the pond and had damaged the writ petitioner's standing crops, mango gardens and residential properties. THEre had been a loss of soil, from 6 inches to 2 feet, on their lands which had made them unfit for cultivation until such time as they were reclaimed. THE second respondent had not done anything to redress the grievances of the writ petitioners. THE writ petitioner, therefore, prayed for a direction to the second respondents to close its plant until effluent disposal arrangements were made and "to pay the damages of Rs. one crore for the destruction of residential houses, crops and Mango Garden. THE respondent No. 2 may also be directed to reclaim the agricultural land of the petitioners which has been rendered unfit for cultivation. THE respondents No. 1 and 3 may be directed to take steps for civil and criminal (action) against the respondent No. 2."

(2.) THE writ petition was dismissed by a learned single Judge because it raised disputed questions of fact which could not be resolved in proceedings under Article 226. THE order of the learned single Judge was upheld by a Division Bench, the appeal being summarily dismissed.

(3.) THE arbitration agreement stated, in clause 1, thus :