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Patna High Court

Manisha BhaskarversusThe Union of India

Decided
Disposal
DISPOSED

Holding

The writ petition is dismissed; the petitioner must seek relief by filing a petition under Section 34 of the Arbitration and Conciliation Act, 1996 before the Principal Civil Court.

Summary

Manisha Bhaskar purchased a 0.29 decimal plot of land in 2016 and later the land was acquired by the government under a Gazette Notification pursuant to the National Highways Act, 1956. She was paid Rs. 5,05,432 as compensation, although the Act stipulated a higher amount of Rs. 8,86,022, prompting her to seek enhanced compensation through an arbitration proceeding under Section 3(G)(5) of the NH Act. The arbitrator rejected her claim, applying an agricultural rate of Rs. 5,000 per decimal despite the land’s commercial character. The petitioner filed a writ petition challenging the arbitrator’s award, but the High Court held that the award is subject to challenge only under Section 34 of the Arbitration and Conciliation Act, 1996 before the Principal Civil Court. Accordingly, the writ petition was disposed, with liberty granted to approach the appropriate civil court for relief.

Issues considered

  • Whether a writ court can entertain a challenge to an arbitrator’s award made under Section 3(G)(5) of the National Highways Act, 1956.
  • Whether the petitioner’s remedy lies under Section 34 of the Arbitration and Conciliation Act, 1996 before the Principal Civil Court.

Legislation cited

Subjects

  • land acquisition
  • compensation
  • National Highways Act
  • arbitration award
  • Section 34 Arbitration Act
  • writ jurisdiction
  • commercial land valuation

Judgment

                      IN THE HIGH COURT OF JUDICATURE AT PATNA
                                Civil Writ Jurisdiction Case No.663 of 2026
                 ======================================================
                 Manisha Bhaskar Wife of Kanak Kishore Bhaskar, Resident of Colony No.- 1,
                 Durga Asthan, P.S.- Katihar, Dist.-Katihar.
                                                                           ... ... Petitioner/s
                                                     Versus
           1.     The Union of India through the Secretary, Ministry of Road, Transport, and
                  Highway Authority of India, New Delhi.
           2.    The Secretary, Ministry of Road, Transport, and Highway Authority of India,
                 New Delhi.
           3.    The State of Bihar through the Chief Secretary, Govt. of Bihar, Patna.
           4.    The Addl. Chief Secretary, Road Construction Department, Govt. of Bihar,
                 Patna.
           5.    The Principal Secretary, Finance Department, Govt. of Bihar, Patna.
           6.    The Divisional Commissioner, Purnea Division, Purnea.
           7.    The Project Director National Highway Authority of India, (Project
                 Implementation Unit, Purnea) in the house of Sri Sikandar Singh near
                 Mahananda Colony, Sahaban hata, P.S.- K. Hat, Dist.- Purnea.
           8.     The Competent Authority Cum Land Acquisition Officer, Katihar, 1st Floor,
                  Samaharnalay Bhawan, katihar, Dist.- Katihar.
                                                                       ... ... Respondent/s
                 ======================================================
                 Appearance :
                 For the Petitioner/s     :    Mrs. Nivedita Nirvikar, Sr. Adv.
                                               Mrs. Shrishti Rani, Advocate
                 For the Respondent/state :    Mr. Dhurjatti Kr. Prasad, Government Pleader 14
                                               Mr. Anshay Bahadur Mathur, C.G.C.
                 For the N.H.A.I.         :    Dr. Anand Kumar, Advocate
                                               Mr. Rajan Prakash, Advocate
                 ======================================================
                 CORAM: HONOURABLE MR. JUSTICE ANIL KUMAR SINHA
                                    ORAL ORDER

2   27-01-2026            1. Heard the parties.

                          2. The petitioner has filed the present writ application

                   being aggrieved by the order dated 27.11.2024 passed by

                   learned Divisional Commissioner, Purnea in Arbitration Case

                   No. 129 of 2022 by which the claim of the petitioner for
Patna High Court CWJC No.663 of 2026(2) dt.27-01-2026
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          enhanced compensation has been rejected.

                3. Mrs. Nivedita Nirvikar, learned senior counsel for the

          petitioner submits that petitioner purchased a piece of land

          situated at Mauza - Routara, Thana No. 152 , Khata No. 570,

          Plot No. 648 having an area of 0.29 decimal by virtue of sale

          deed no. 3924 on 14.03.2016 at the rate of Rs. 1,20,000/- per

          decimal. Gazette Notification No. 465 dated 03.02.2021 was

          issued by the Ministry of Road Transport and Highways. The

          aforesaid land was acquired by virtue of aforesaid gazette

          notification and as per the National Highways Act, 1956 (for

          short “the N.H. Act”) the petitioner was to be paid compensation

          of Rs. 8,86,022 /- which the petitioner accepted, however, Rs.

          5,05,432/- only as compensation amount has been credited in

          the account of the petitioner. Being dissatisfied with the

          compensation amount and the valuation of the land, the

          petitioner     filed     an    application    before   the   Divisional

          Commissioner -cum- Arbitrator, Purnea Division under Section

          3(G)(5) of the N.H. Act, which was registered as Arbitration

          Case No. 129 of 2022 on 24.06.2022. It has further been argued

          that the learned Arbitrator did not consider the claim of the

          petitioner in proper perspective inasmuch as the land in question

          was purchased by the petitioner on 14.03.2016 at the rate of
Patna High Court CWJC No.663 of 2026(2) dt.27-01-2026
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          Rs. 1,20,000/- per decimal for which total stamp duty of

          Rs. 2,08,800/- was paid. The land is falling in the category of

          commercial area and near the land Routara Police Station is

          functioning and there is a growing market, petrol pump, cold

          storage etc. near the land of the petitioner. It has further been

          submitted that MVR of the subject land was fixed at

          Rs. 1,00,000/- per decimal for commercial and Rs. 5,000/- for

          agricultural. The compensation amount of the petitioner has

          been calculated at the rate of Rs. 5,000/- considering the nature

          of land as agricultural. Before fixing the valuation, assessment

          by Six Men Committee was not done, however, the Arbitrator

          failed to take into consideration all the relevant points taken by

          the petitioner during the course of argument.

                4. On the other hand, learned counsel for the N.H. as well

          as State argued that the award / order passed by the Arbitrator

          can be challenged under Section 34 of the Arbitration and

          Conciliation Act, 1996. Against the award of the Arbitrator the

          petitioner has the remedy before the Principal Civil Court under

          Section 34 of the Arbitration Act.

                5. Having heard learned counsel for the parties and taking

          into consideration the fact that the order impugned is in the

          nature of award passed by the Arbitrator under Section 3G(5) of
           Patna High Court CWJC No.663 of 2026(2) dt.27-01-2026
                                                       4/4




                     the N.H. Act, accordingly, this writ application is disposed with

                     liberty to the petitioner to file a petition before the Principal

                     Civil Court / concerned court. If such an application is filed

                     along with limitation petition, the Principal Civil Court /

                     concerned court shall consider the same in accordance with law.



                                              (Anil Kumar Sinha, J)
praful/-

U


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