Dilawar Singh & Ors vs Union Of India & Ors

A large extent of land situate in the outskirts of Pathankot in the State of Punjab and underlying different survey numbers was acquired for defence purposes under the provisions of Requisitioning and Acquisition of Immovable Property Act, 1952. Failure of the parties to arrive at an agreement as to the amount of compensation payable to the expropriated owners of the land in question led the owners to seek appointment of an Arbitrator for determination of the amount payable to them. The Government did not respond to the said request for a long time which forced the land-owners to approach the High Court of Punjab and Haryana in a writ petition seeking a mandamus directing the Government to appoint an 3 Arbitrator. It is only after the said petition was allowed and a mandamus issued that the Government appointed the District Judge, Gurdaspur as an Arbitrator, sixteen years after the lands had been acquired. The Arbitrator recorded evidence and after hearing the parties came to the conclusion that the owners were entitled to compensation that ranged between Rs.50/- per marla (Rs. 1000/- per kanal) for land relevant to Civil Appeal No.9216-9217/2010 to Rs.200/- per marla for lands relevant to Civil No. 9198- 9202/2010. Solatium @ 30% and interest @ 9% for the first year and 15% for the subsequent years till payment of the amount of compensation to them was also held payable to the landowners. Aggrieved by the said award the Union of India appealed to the High Court, inter alia, contending that the Arbitrator was not justified in awarding nor was there any provision for granting solatium and interest under the Act aforementioned. The land-owners also challenged the award made by the Arbitrator by filing cross-objections before the High Court in which they prayed for enhancement 4 of compensation payable to them to Rs.500/- per marla. By a common judgment impugned in these appeals the High Court has dismissed the appeals filed by the Union of India. The cross-objections filed by the owners were also dismissed by separate orders unsupported by any reasons for denying the enhancement prayed for by them. Relying upon the decision in Jagdish Prasad v. The Competent Authority, the High Court held that award of compensation @ Rs.150/- per marla by the Arbitrator was justified on a uniform basis for all kinds of lands. The High Court overlooked the fact that in some cases the compensation awarded was Rs.50/- per marla while in some others the same was awarded @ Rs.200/- per marla. The High Court also noticed that compensation at the same rate had been granted to owners of land in village Nalunga which award had been affirmed by the High Court in LPA 721 of 1987 filed by the Union of India and decided on 3rd September, 1987.

In the result, we allow Civil Appeals Nos.9198-9202/ 2010 and Civil Appeals Nos.9218-9219/2010 filed by the owners and modify the award made by the Arbitrator to the extent that instead of Rs.200/- per marla, the owners shall be entitled to 350/- per marla towards compensation with proportionate benefits like solatium and interest on the said amount. The appellants-owners shall also be entitled to proportionate costs in this Court and the Courts below. 16

Civil Appeals Nos.9203/2010, 9204/2010, 9205- 9209/2010, 9210-9215/2010 and 9216-9217/2010 filed by Union of India, however, fail and are dismissed leaving the parties to bear their own costs in these appeals.