Ram Lal & Ors Vs Union Of India & Ors

High Court Of Himachal Pradesh 1 Mar 2024 Arbitration Case No.253 Of 2024 (2024) 03 SHI CK 0002
Bench: Single Bench
Result Published
Acts Referenced

Judgement Snapshot

Case Number

Arbitration Case No.253 Of 2024

Hon'ble Bench

Sushil Kukreja, J

Advocates

Suhani Gautam, Rajinder Thakur, Sneh Bhimta, Shreya Chauhan, Anup Rattan, B.N. Sharma

Final Decision

Disposed Of

Acts Referred
  • National Highways Act, 1956 - Section 3, 3G(a), 29A

Judgement Text

Translate:

Sushil Kukreja, J

1. Notice. Mr. Rajinder Thakur, Central Government Standing Counsel, Ms. Sneh Bhimta, Advocate vice Ms. Shreya Chauhan, Advocate and Mr.

B.N. Sharma, learned Additional Advocate General, appear and waive service of notice on behalf of respondents No.1, 2, 3 & 4 respectively.

2. In the present petition, a prayer has been made by the petitioners to extend the time for completion of the arbitral proceedings in Arbitration

Reference Petition No.239/18, pending before the learned Divisional Commissioner, Mandi Division, Mandi, H.P., exercising the powers of Arbitrator

under Section 3 of the National Highways Act, 1956.

3. The arbitral dispute has arisen out of the land acquisition in District Mandi, H.P. for the purpose of construction of the National Highway, land for

which has been acquired under the provisions of National Highways Act, 1956. The lands of the petitioners have been acquired in the present case

and respondent No.4 had passed an Award No.44, dated 04.03.2017.

4. Feeling aggrieved by the aforesaid Award, the landowners have preferred Arbitration Reference Petition No.239/18, which is pending before the

Divisional Commissioner, Mandi Division, Mandi, H.P., and non-adjudication of the arbitral proceedings within the statutory period has resulted in filing

of the instant petition.

5. The Reference Petition against the Award was filed by the land owners long back. According to the petitioners, repeated adjournments were

granted by the learned Arbitrator without caring for the time period and mandate under Section 29A of the Act, which resulted in unnecessary delay in

the announcement of the award by the learned Arbitrator, i.e. the Divisional Commissioner, Mandi, District Mandi, H.P.

6. This Court has gone through the order sheets appended with the petition carefully and finds that the proceedings have been conducted by the

learned Arbitrator in violation of statutory provisions, as contained in the Arbitration and Conciliation Act, 1996. Needless to mention here that when a

statute envisages an authority, be it an Arbitrator, to do a particular act in a particular manner and in a prescribed time schedule, then the onus is upon

the said authority/Arbitrator to perform the task entrusted to it within the time schedule prescribed in the statute. The delay, if any, has to be bonafide

and explainable. However, in the present petition even after completion of the pleadings, the matter was adjourned by the learned Arbitrator on one

pretext or the other. This Court fails to understand as to how the Arbitrator with such a callous attitude can decide the arbitration proceedings knowing

fully well that if the proceedings are not completed within the time stipulated in the Act, then unless the same is extended by a Court of Law, the

mandate of the Arbitrator shall stand terminated.

7. However, at this stage, the Court is restraining from making any further observation in the case save and except that henceforth, if the Court finds

the Arbitrator derelicting his duties, then it shall not hesitate to invoke its powers to terminate the mandate of the Arbitrator, dehors the fact that the

Arbitrator happens to be appointed in terms of the notification issued by the Central Government under Section 3G (a) of the National Highways Act,

1956.

8. In view of the above discussion, the instant petition is allowed and the Divisional Commissioner, Mandi Division, Mandi, H.P., exercising the powers

of Arbitrator under Section 3 of the National Highways Act, 1956 is directed to conclude the arbitral proceedings and to pass the arbitral award in

Arbitration Reference Petition No.239/18, on or before 31st August, 2024.

Petition stands disposed of, so also the pending miscellaneous applications, if any.

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