LAWS(MPH)-2022-9-60

JAIDEVI VERMA Vs. NATIONAL HIGHWAY AUTHORITY OF INDIA

Decided On September 13, 2022
Jaidevi Verma Appellant
V/S
NATIONAL HIGHWAY AUTHORITY OF INDIA Respondents

JUDGEMENT

(1.) These two appeals have been filed under Sec. 37 of the Arbitration and Conciliation Act, 1996 (hereinafter shall be referred to as "The Arbitration Act"), whereby cross appeals have been filed by both the parties challenging the order dtd. 27/9/2021 passed in MJC No.49/2017 by the II Additional District Judge, District Betul (M.P.) on an application filed under Sec. 34 of the Arbitration Act. Arbitration Appeal No.82/2021 has been filed by the appellant -Smt. Jai Devi Verma being dissatisfied with the order of remand, whereas on the other hand the National Highways Authority of India (hereinafter shall be referred as to "NHAI") has filed Arbitration Appeal No.92/2021 being aggrieved by the order of the Court below allowing the application filed by Smt. Jai Devi Verma observing that the learned Arbitral Tribunal has exceeded its jurisdiction as defined under Sec. 3-G(5) of the National Highways Act, 1956 (hereinafter shall be referred to as "the Highways Act") and also has remitted the matter back to the revenue authority (Sub Divisional Magistrate). Instead of deciding the issue of compensation, as defined under Sec. 3-G(5) of the Highways Act, the Commissioner-cum- Arbitrator has decided the irrelevant issues, which have rightly been set aside by the Court below while deciding the application under Sec. 34 of the Arbitration Act. Both the appeals are being heard analogously. The facts necessary for proper adjudication of these appeals are taken from Arbitration Appeal No.82/2021.

(2.) By the impugned order passed under Sec. 34 of the Arbitration Act, the matter stands remitted back in the following terms:

(3.) Brief facts of the case are that the appellant- Smt. Jai Devi Verma is the owner of land bearing Khasra Nos.356/1 and 356/2 situated at District Betul, which has been acquired by the NHAI vide notifications No.3-A dtd. 6/7/2010 and 3-D dtd. 12/5/2011 for the purpose of construction of four lane National Highway between Betul and Nagpur. At the request of the appellant, the Competent Authority for Land Acquisition (hereinafter shall be referred to as "CALA") wrote a letter dtd. 5/1/2012 to NHAI requesting it to change the alignment of the road and to save the Automobile Tyre Manufacturing Factory owned by the appellant from its closure. In reply, the Project Director of NHAI issued a letter dtd. 18/1/2012 to CALA stating that as per the requirement of law, the road alignment cannot be changed and requested the CALA to pass the award including the compensation for relocation of the factory (machines and buildings etc.). The aforesaid letter is on record. Subsequently, the appellant submitted the valuation report of M/s. D.K. Jain and Co. to the Competent Authority for Land Acquisition (CALA) on 5/3/2012 in respect of the plant and machinery permanently installed on the acquired land. As per the aforesaid valuation report, the value of factory comes to Rs.64.24 Crores. The NHAI never disputed this valuation report since 5/3/2012 till date, meaning thereby the valuation is admitted by the NHAI.