Bombay High Court
ASHOK SAGARMAL MALARA THROUGH GENERAL POWER OF ATTORNEY HOLDER VISHAL ASHOK MALARAversusTHE NATIONAL HIGHWAY AUTHORITY OF INDIA THROUGH ITS PROJECT DIRECTOR AND ANOTHER
- Disposal
- DISPOSED OFF
Holding
The Court held that the petitioner is entitled to solatium and interest on the compensation in accordance with the principles laid down in Union of India v. Tarsem Singh and the Supreme Court’s review directions.
Summary
The petitioner, a landowner whose claim for compensation under the National Highways Act was pending as of 28 March 2008, sought solatium and interest on the compensation awarded for land acquired by the National Highway Authority of India. The Court examined the directions issued in the Supreme Court’s review petition (NHAI v. Tarsem Singh, Review Petition No. 2528 of 2025) and the principles laid down in Union of India v. Tarsem Singh (2019) regarding entitlement to solatium and interest. It held that the petitioner falls within the category of claimants entitled to such additional amounts. Accordingly, the petition was allowed and the competent authority was directed to compute and pay the solatium and interest within six months, subject to verification of documents. The Court also clarified that any aggrieved party may invoke Section 3G(5) of the National Highways Act or approach an arbitrator under the Arbitration and Conciliation Act, 1996 for disputes over quantum.
Issues considered
- Whether a landowner whose compensation claim was pending on or after 28 March 2008 is entitled to solatium and interest under the National Highways Act, 1956.
- Whether the petitioner is entitled to the additional amounts as per the Supreme Court’s decision in Union of India v. Tarsem Singh.
- What remedies are available to parties aggrieved by the quantum of compensation computed by the competent authority?
Legislation cited
- Arbitration and Conciliation Act, 1996 — s. 34, 37
- National Highways Act, 1956 — s. 3G(5)
Subjects
- land acquisition
- solatium
- interest
- National Highways Act
- compensation
- arbitration
- review petition
- Supreme Court precedent
Judgment
2026:BHC-AUG:28482-DB
1 1041(i)WP1761-2023.doc
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
BENCH AT AURANGABAD
1041 WRIT PETITION NO. 1761 OF 2023
ASHOK SAGARMAL MALARA THROUGH GENERAL POWER OF ATTORNEY
HOLDER VISHAL ASHOK MALARA
VERSUS
THE NATIONAL HIGHWAY AUTHORITY OF INDIA THROUGH ITS PROJECT
DIRECTOR AND ANOTHER
...
Advocate for the Petitioner : Mr. Patil Vijay Bhalerao
Advocate for Respondent No.1 : Mr. Mr. Manorkar Deepak S. a/w. Mr. D.P. Madkar
Advocate for Respondent No.2 : Mr. Solanke K.S.
…
CORAM : NITIN B. SURYAWANSHI AND
ABASAHEB D. SHINDE, JJ.
DATE : 02.07.2026
PER COURT :
. A copy of the decision of the Hon’ble Apex Court in the Review
Petition filed in the matter of National Highways Authority of India vs.
Tarsem Singh and others in Review Petition (Civil) No. 2528 of 2025
has been placed on record. A perusal of the said order, reveals that the
Review Petition is disposed of by issuing following directions :
“ 14.Considering the facts and circumstances explained in the instant
proceedings along with the various submissions placed on record and
with a view to balancing the equities regarding delay and the
entitlements of the landowners, we issue the following directions:
(i) All landowners whose claims re: the quantum and/or components
of compensation for their lands acquired under the NH Act were alive
on or after 28.03.2008, i.e., they were pending before one of the
prescribed fora, shall be entitled to seek addition of 'interest',
'solatium', and 'interest on the solatium' to their compensation claim;
(ii)In the cases where compensation claims are alive on the aforesaid
date, but the landowner has claimed "interest'". 'solatium', and
2 1041(i)WP1761-2023.doc
'interest on solatium' after 28.03.2008, no interest on both
components shall be payable for the period of delay. Such landowner
shall be entitled to 'Interest' and 'Interest on solatium' only from the
date on which such claims were raised; and
(iii) If the claims of the landowners stood concluded prior to
28.03.2008, with no further appeal, Writ Petition, Special Leave
Petition, etc., then such landowners are not entitled to seek
reopening, review, or modification of the said decision for the purpose
of claiming 'solatium' or 'interest'.”
2. Undisputedly, the issue raised in this petition and the prayers
made are squarely covered by the decision of the Co-ordinate Bench of
this Court in Writ Petition No. 13783 of 2025 in the case of Prakash
Dayaram Patil Devre vs. The Competent Authority Land Acquisition and
Another and connected matters therein and in view of the principles
enunciated in the case of Union of India (UOI) and Ors. Vs. Tarsem
Singh and Ors. reported in 2019 (9) SCC 304. Hence, we pass the
following order :
ORDER
a) The petition is allowed by directing the competent
authorities to compute and pay to the petitioner solatium
and interest in accordance with the principles enunciated in
the case of Union of India and another Vs. Tarsem Singh
and others (Supra) within a period of six (6) months from
today.
(b) It is made clear that the petitioner shall assist the
competent authorities by producing all relevant documents
and upon verification of the same, the competent
3 1041(i)WP1761-2023.doc
authorities shall proceed further. It is also clarified that
payments made pursuant to the directions given herein
above, shall be subject to the challenges, if any, raised
under Sections 34 and 37 of the Arbitration and
Conciliation Act, 1996.
(c) In the light of the observations made herein above, it is
further made clear that if any of the parties are aggrieved
by the quantum and computation carried out by the
competent authority while carrying out the directions given
herein above, the remedy of Section 3G (5) of the National
Highways Act, 1956 would be available to such aggrieved
party in accordance with law. It is further made clear that
the competent Authority while implementing the directions
given herein above shall give reasonable hearing to all stake
holders.
3. As observed by this Court in clause ‘C’(supra), if any party has
any objection in respect of the calculation of the compensation amount,
they are at liberty to approach Arbitrator under Section 3G (5) of the
National Highways Act.
( ABASAHEB D. SHINDE, J. ) ( NITIN B. SURYAWANSHI, J. )
vsj..
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