In a significant ruling, the Nagpur bench of the Bombay High Court has come down heavily on the National Highways Authority of India (NHAI) for its inordinate delay in compensating a city-based club for land acquired for a major highway project. The court has ordered the immediate release of all dues to the Maharajbagh Club.
Court's Stern Directive to NHAI
A division bench comprising Justices Anil Kilor and Rajnish Vyas issued the directive on Monday, sharply criticising the prolonged delay by the NHAI. The bench made it unequivocally clear that administrative delays cannot justify withholding compensation, especially when the acquired land is already being used for public infrastructure. The court directed NHAI's public works department to ensure full compliance with statutory requirements and pay all dues immediately.
The Heart of the Dispute: A Two-Year Wait
The order came in response to a petition filed by the historic Maharajbagh Club. The club alleged that the NHAI acquired a portion of its land over two years ago for widening the highway and constructing an elevated corridor stretch from the Regional Transport Office (RTO) to the University Campus in Nagpur. Despite assurances and the fact that construction work is actively underway at several points in the city, the agreed compensation remained unpaid.
Advocates Shyam Dewani and Sahil Dewani, representing the club, argued before the court that the failure to compensate the landowner for such an extended period was a clear violation of legal and procedural obligations. The petition described the NHAI's actions as arbitrary and contrary to established norms governing land acquisition for public projects.
Shifting Blame and No Resolution
The club informed the court that despite consistent follow-ups, different departments within the NHAI kept shifting responsibility, leading to a complete stalemate. The court accepted the club's contention that the land was already put to public use and that compensation could not be indefinitely withheld on the grounds of inter-departmental issues.
The court's intervention now compels the NHAI to honour its commitment without any further delay. This case highlights the challenges faced by landowners in timely compensation disputes with large government agencies, even for critical national projects like the Amravati highway.
