Ganesh Nivrutti Varade vs National Highways Authority Of India … on 1 April, 2026

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    Bombay High Court

    Ganesh Nivrutti Varade vs National Highways Authority Of India … on 1 April, 2026

    2026:BHC-AUG:13753
    
    
                           IN THE JUDICATURE OF HIGH COURT AT BOMBAY
                                      BENCH AT AURANGABAD
    
    
                                ARBITRATION APPEAL NO. 103 OF 2025
    
               National Highways Authority Of India PIU Jalgaon
               Through Its Project Director Shivaji V Pawar       ...Appellant
    
               VERSUS
    
               1.    Bhaskar Ninu Zambare,
               2.    Nalini Madhukar Zambare,
               3.    Hari @ Bhushan Madhukar Zambare,
               4.    Chhaya Dnyandev Bhangale,
               5.    Pushpa Yogesh Warke,
               6.    Ramchandra Bhaskar Zambare.                  ...Original Claimants/
                                                                     Respondents
               7.    The Competent Authority Land Acquisition
                     And Sub-Divisional Officer at Bhusawal.      ...Respondent
               ...
               Advocate for Appellant : Mr. Manorkar Deepak Suresh
               Advocate for Respondents No.1 : Mr. A. P. Bhandari h/f Mr. K. M. More a/w
               Shubham Zalte
               Advocate for Respondents- Competent Authority : Mr. R. R. Bangar
               ...
                                                  WITH
                                CIVIL APPLICATION NO. 8404 OF 2025
                                            IN ARBA/103/2025
    
                                                WITH
                                CIVIL APPLICATION NO. 13976 OF 2025
                                          IN ARBA/103/2025
                                                 ...
    
                                              AND
                                ARBITRATION APPEAL NO. 104 OF 2025
    
               National Highways Authority Of India PIU Jalgaon
               Through Its Project Director Shivaji V Pawar       ...Appellant
    
               VERSUS
    
               1.    Manohar Hari Patil (died) Thr Lrs
               1.1   Laxmibai Manohar Patil,
               1.2   Pramod Manohar Patil,
               1.3   Purushottam Manohar Patil,
               1.4   Shrikrishna Manohar Patil,
               1.5   Dinkar Hari Patil,                    ...Original Claimants/
                                                                     Respondents
               2.    The Competent Authority Land Acquisition
                     And Sub-Divisional Officer at Bhusawal.      ...Respondent
    
    
                                                  Page 1 of 23
                                                                 Arb Appeal 103-2025, oth
    
    
    
    ...
    Advocate for Appellant : Mr. Manorkar Deepak Suresh
    Advocate for Respondents No.1.1 to 1.5 : Mr. A. P. Bhandari h/f Mr. K. M.
    More a/w Shubham Zalte
    Advocate for Respondents- Competent Authority : Mr. R. S. Sarvadnya
    ...
                                      WITH
                    CIVIL APPLICATION NO. 8406 OF 2025
                                 IN ARBA/104/2025
    
                                    WITH
                    CIVIL APPLICATION NO. 13977 OF 2025
                              IN ARBA/104/2025
                                     ...
    
                                  AND
                    ARBITRATION APPEAL NO. 106 OF 2025
    
    National Highways Authority Of India PIU Jalgaon
    Through Its Project Director Shivaji V Pawar        ...Appellant
    
    VERSUS
    
    1.    Sangita Sunil Patil,
    2.    Nilima Damodhar Warade,                       ...Original Claimants/
                                                           Respondents
    3.    The Competent Authority Land Acquisition
          And Sub-Divisional Officer at Bhusawal.       ...Respondent
    ...
    Advocate for Appellant : Mr. Manorkar Deepak Suresh
    Advocate for Respondents No.1 : Mr. A. P. Bhandari h/f Mr. K. M. More a/w
    Shubham Zalte
    Advocate for Respondents- Competent Authority : Mr. R. R. Bangar
    ...
                                      WITH
                   CIVIL APPLICATION NO. 13979 OF 2025
                                 IN ARBA/106/2025
    
                                    WITH
                     CIVIL APPLICATION NO. 8410 OF 2025
                              IN ARBA/106/2025
                                     ...
    
                                  AND
                    ARBITRATION APPEAL NO. 108 OF 2025
    
                                      Page 2 of 23
                                                                    Arb Appeal 103-2025, oth
    
    
    
    
    National Highways Authority Of India PIU Jalgaon
    Through Its Project Director Shivaji V Pawar            ...Appellant
    
    VERSUS
    
    1.    Ganesh Nivrutti Varade,                           ...Original Claimant/
                                                               Respondent
    2.    The Competent Authority Land Acquisition
          And Sub-Divisional Officer at Bhusawal.           ...Respondent
    
    
    ...
    Advocate for Appellant : Mr. Manorkar Deepak Suresh
    Advocate for Respondents No.1 : Mr. A. P. Bhandari h/f Mr. K. M. More a/w
    Shubham Zalte
    Advocate for Respondents- Competent Authority : Mr. R. D. Sanap
    ...
                                      WITH
                    CIVIL APPLICATION NO. 8414 OF 2025
                                 IN ARBA/108/2025
    
                                    WITH
                    CIVIL APPLICATION NO. 12518 OF 2025
                              IN ARBA/108/2025
                                     ...
    
                                    CORAM            : ARUN R. PEDNEKER, J.
                                    Dated            : April 01, 2026
    
    JUDGMENT :

    1. By the present Arbitration Appeals, the appellant – National Highway

    Authority of India has challenged the order passed by the learned Principal

    SPONSORED

    District Judge under Section 34 of the Arbitration and Conciliation Act,

    1996, whereby the application filed by the appellant under Section 34 of

    the said Act came to be rejected and the arbitral award passed by the

    learned Arbitrator under Section 3G(5) of the National Highways Act, 1956

    Page 3 of 23
    Arb Appeal 103-2025, oth

    came to be confirmed.

    2. Since all the Arbitration Appeals involve common questions of fact

    and law, they are taken up together for hearing and are being disposed of

    by this common judgment.

    3. For the sake of convenience, the facts in Arbitration Appeal No.103

    of 2025 alone are referred to. The brief facts of the appeal are as under :

    The National Highways Authority initiated acquisition proceedings for

    the purpose of widening National Highway No.6 from Jalgaon, Maharashtra

    to the Gujarat boundary. A notification under Section 3A of the National

    Highways Act, 1956 was issued on 11/11/2011. The said notification was

    published in the newspapers pursuant to communication dated 30/12/2011

    and the public notice was published on 23/01/2012. Subsequently, a

    declaration under Section 3D of the said Act was issued on 10/10/2012.

    4. The Competent Authority for Land Acquisition (CALA) thereafter

    passed an award determining compensation at the rate of Rs.340/- per

    square meter. In addition thereto, compensation to the extent of 10% of

    the amount was granted towards easementary rights. The lands were

    classified into two groups, wherein the lands situated at village Kothali and

    village Muktainagar were treated as belonging to the same group.

    Page 4 of 23

    Arb Appeal 103-2025, oth

    5. Being dissatisfied with the amount of compensation awarded by the

    Competent Authority, the claimants preferred arbitration proceedings

    under Section 3G(5) of the National Highways Act seeking enhanced

    compensation as well as statutory benefits under Section 3G(7)(a) to (d) of

    the Act.

    6. Before the Arbitrator, the claimants relied upon several sale

    instances and led evidence in support of their claim. The relevant sale

    deeds relied upon are as under:

    (I) Sale Deed No.1674 of 2005 dated 22/11/2005 showing

    consideration at the rate of Rs.3022/- per square meter in respect of

    Plot No.7 from land Gut No.562 situated at village Muktainagar.

    (ii) Sale Deed No.217 of 2010 dated 25/01/2010 showing

    consideration at the rate of Rs.3375/- per square meter in respect of

    land Gut No.1075 situated at village Muktainagar.

    (iii) Sale Deed No.331 of 2012 dated 13/02/2012 showing

    consideration at the rate of Rs.4000/- per square meter in respect of

    land Gut No.542/1 and 543, Plot No.40 situated at village

    Muktainagar.

    Apart from the above sale deeds, other sale instances pertaining to

    nearby villages were also placed on record.

    7. Upon appreciation of the material on record, the learned Arbitrator

    Page 5 of 23
    Arb Appeal 103-2025, oth

    held that the registered sale deed dated 13/02/2012 was the most

    proximate in point of time and therefore could be relied upon for

    determination of market value. The Arbitrator further held that the

    claimants were entitled to compensation for severance and loss of property

    in terms of Section 3G(7)(b) and Section 3G(7)(c) of the National Highways

    Act. Accordingly, by award dated 26/07/2021 the Arbitrator granted

    enhanced compensation at the rate of Rs. 2800/- per square meter.

    8. Being aggrieved by the said arbitral award, the appellants preferred

    an application under Section 34 of the Arbitration and Conciliation Act

    before the learned District Judge challenging the award. The said

    application came to be dismissed. Hence, the present appeals under

    Section 37 of the Arbitration and Conciliation Act have been filed.

    9. The learned counsel Mr. D. S. Manorkar for the appellants has

    challenged the arbitral award as well as the order passed under Section 34

    on the following grounds:

    (I) Illegal reliance on post-notification sale deed

    It is contended that the Arbitrator committed patent illegality by

    relying upon the post-notification sale deed bearing No.331 of 2012 dated

    13/02/2012. According to the appellants, under Section 3G(7)(a) of the

    National Highways Act, the market value of the land is required to be

    determined as on the date of notification under Section 3A of the Act,

    Page 6 of 23
    Arb Appeal 103-2025, oth

    which in the present case was issued on 11/11/2011. Since the sale deed

    relied upon by the Arbitrator is subsequent to the said notification, the

    same ought not to have been considered for determination of

    compensation.

    (II) Comparison of dissimilar properties

    It is further contended that the Arbitrator erroneously compared

    dissimilar properties. The lands of the claimants are agricultural lands

    situated at village Kothali, which is about one kilometer away from

    Muktainagar. However, the Arbitrator relied upon transactions relating to

    commercial plots situated within the municipal limits of Muktainagar. It is

    also submitted that the Arbitrator failed to consider the “size factor”, as

    the sale instance relied upon pertains to a very small plot.

    (III) Illegality in awarding interest

    It is further submitted that the Arbitrator awarded interest at the rate

    of 9% per annum from 10/10/2012, though the possession of the acquired

    land was taken only after the award passed by the Competent Authority on

    09/05/2013. Placing reliance on the judgment of the Supreme Court in R.

    L. Jain vs. Delhi Development Authority & others reported in

    (2004) 4 SCC 79 it is contended that interest is payable only from the

    date of taking physical possession and not from the date of notification.

    Page 7 of 23

    Arb Appeal 103-2025, oth

    (IV) Award of compensation without evidence

    It is further contended that the Arbitrator awarded compensation at

    the rate of Rs.280/- per square meter towards severance and Rs.246/- per

    square meter towards loss of easementary rights without there being any

    documentary evidence such as panchanama or other material to establish

    such loss. According to the appellants, the claimants failed to lead any

    evidence to show that they suffered any injury to other immovable

    property or loss of earnings due to the acquisition.

    10. The learned Counsel for the appellant further submitted that the

    District Court failed to exercise its jurisdiction under Section 34 of the

    Arbitration Act to set aside the arbitral award.

    11. Per contra, the learned Counsel Mr. A. P. Bhandari holding for Mr.

    K. M. More appearing for the respondent/claimants relied upon the

    judgment of the Hon’ble Supreme Court in Chimanlal Hargovinddas v.

    Special Land Acquisition Officer reported in AIR 1988 SC 1652,

    particularly para 4, clause (9) of the judgment, and submitted that even

    post-notification sale deeds can be relied upon unless it is specifically

    pleaded that the prices mentioned therein are inflated or the transaction

    itself is challenged as not genuine. He further submitted that the sale deed

    relied upon by the Arbitrator is executed only about three weeks after the

    notification and there is no evidence to suggest that the price mentioned

    Page 8 of 23
    Arb Appeal 103-2025, oth

    therein is inflated. The sale deed is bona fide and has not been challenged

    by the NH Authority on the grounds of fraud or inflation.

    12. As regards the compensation towards easementary rights is

    concerned, it is submitted that the Competent Authority for Land

    Acquisition (CALA) itself granted compensation to the extent of 10%

    towards easementary rights in accordance with the statutory mandate, and

    the Arbitrator has granted consequential relief in consonance with the

    enhanced compensation.

    13. As regards compensation for loss of profit and severance in terms of

    Section 3 G (7) (b) and (c) of the National Highways Act, 1956, it is

    submitted that the claimants have specifically stated in their affidavit that

    they have suffered losses on account of the acquisition, and the said

    statement has not been controverted by the National Highways Authority.

    14. Apart from the above submissions, the learned Counsel for the

    respondent further submits that there were several other acquisition

    proceedings pertaining to the same notification dated 11/11/2011. In one

    such case, land bearing Gut No.453 of village Muktainagar came to be

    acquired and compensation was awarded at the rate of Rs.3200/- per

    square meter on the basis of a registered sale deed dated 13/02/2012. In

    Page 9 of 23
    Arb Appeal 103-2025, oth

    the said proceedings also, compensation was awarded towards

    easementary rights as well as for loss of business. The said awards were

    challenged by the Authority, however, the challenge failed and the same

    was also not accepted by this Court. It is submitted that in respect of about

    36 such cases, the awards have already been satisfied by the appellant.

    15. The learned Counsel for the respondent, therefore, submits that once

    the Arbitrator has passed the award on the basis of relevant considerations

    and material placed on record, and the same has been confirmed by the

    Court while exercising jurisdiction under Section 34 of the Arbitration Act,

    this Court, in exercise of powers under Section 37 of the Arbitration Act,

    would be slow in interfering with the same.

    16. In support of the above submissions, reliance is placed upon the

    judgments of the Hon’ble Supreme Court in Associate Builders v. Delhi

    Development Authority reported in AIR 2015 SC 620 and PSA Sical

    Terminals Pvt. Ltd. v. Board of Trustees of V.O. Chidambaranar Port

    Trust, Tuticorin reported in (2023) 15 SCC 781.

    17. Having considered the rival submissions, the first question that

    arises for consideration before this Court is whether the Arbitrator could

    have relied upon the sale deed dated 13/02/2012 or whether there is any

    legal bar in relying upon the said sale deed.

    Page 10 of 23

    Arb Appeal 103-2025, oth

    18. The Hon’ble Supreme Court in Chimanlal Hargovinddas (Supra)

    has laid down the parameters to be considered while determining

    compensation. It has been observed that while determining market value,

    various factors are required to be taken into consideration and one of such

    factors is that even post-notification sale instances can be taken into

    account if (i) they are very proximate in point of time, (ii) they are genuine

    transactions, and (iii) the acquisition itself has not motivated the purchaser

    to pay a higher price on account of the resultant improvement in

    development prospects.

    19. The said principle has also been followed by this Court in Goa

    Industrial Development Corporation v. Maria Tereza N. Quadros

    reported in 2016(3) All MR 810 and in Pandurang Ramrao

    Somvanshi v. State of Maharashtra reported in 2025 BHC (AUG)

    14723.

    20. Considering the aforesaid judgments, there is no absolute bar in

    taking into consideration a post-notification sale deed; however, the

    market value is required to be determined with reference to the date of the

    notification. Applying the principles laid down in Chimanlal

    Hargovinddas (supra), it can be seen that the sale deed relied upon by

    the Arbitrator is executed merely about three weeks after the notification.

    Page 11 of 23

    Arb Appeal 103-2025, oth

    There is no evidence on record to indicate that the sale price mentioned

    therein is inflated and the transaction itself has not been challenged as not

    being genuine. There is also no contest as regards the bona fide nature of

    the said sale deed.

    21. Even if the other sale deeds placed on record (noted at para 6

    above) are considered and the prices therein are suitably adjusted for

    yearly escalation, the resultant price would broadly correspond with the

    price reflected in the sale deed dated 13/02/2012.

    22. In such circumstances, when the Arbitrator has relied upon the said

    sale deed dated 13/02/2012 for determination of compensation and the

    District Court, while exercising jurisdiction under Section 34 of the

    Arbitration Act, has not interfered with the same, this Court, while

    exercising appellate jurisdiction under Section 37 of the Arbitration Act,

    would be slow to interfere with the determination of compensation based

    on the sale deed dated 13/02/2012.

    23. As regards the compensation towards easementary rights is

    concerned, the same was initially granted by the Competent Authority for

    Land Acquisition (CALA) and the said grant was not specifically challenged

    by the National Highways Authority while contesting the enhancement of

    the market value of the land. Consequently, upon enhancement of the

    Page 12 of 23
    Arb Appeal 103-2025, oth

    compensation for the acquired land, there would naturally be a

    corresponding increase in the total amount payable towards loss of

    easementary rights. Similarly under Section 3 G (7)(c) compensation is

    also granted by CALA.

    24. As regards the grant of compensation under Section 3G(7)(b) and (c)

    of the National Highways Act, 1956, it is to be noted that the claimants

    have made specific statements in their affidavits regarding the losses

    suffered by them on account of the acquisition. In the case of Krishna

    Balchandra Hadfadkar and Ors. vs. Special Land Acquisition Officer

    and The Managing Director, reported in MANU/MH/0159/2013, this

    Court has held that even if the issue of severance is not raised or framed,

    the same has to be considered if the facts justify severance. This Court in

    Krishna (supra) has observed as under :

    “22. it is true that in the reference application, the applicants
    had not claimed compensation towards severance charges. It
    is also true that no issue was framed int hat regard. However,
    the fact remains that due evidence was led by the applicants
    on this aspect. In the case of “Caetano Jose Filomeno (Dr.)”

    (supra), this Court has held that the question of severance of
    land was liable to be considered even if no such issue was
    framed and even if no such plea was taken by the applicant in
    his application for reference.”

    25. Similarly in the case of Dr. Caetano Jose Filomeno Jacinto de

    Page 13 of 23
    Arb Appeal 103-2025, oth

    Loiola Pereira vs. Deputy Collector, South, Sub-Division and Ors.,

    reported in 2005 (1) All MR 797, this Court at paragraph No.22 held as

    under :

    “22. The next grievance made on behalf of the applicant is
    that by the present acquisition their remaining property of
    survey No.363/1 was severed as a result of which it has now
    remained landlocked without there being any access. The
    applicant in his evidence before the Court had stated that in
    view of the acquisition the property under survey No.363/1
    remained blocked without any access. There is no doubt that
    no issue on this aspect was framed by the Court nor such a
    plea was taken by the applicant in his application for
    reference. Nevertheless if the Court is required to determine
    the market value of the acquired land by sitting, on the
    armchair of a willing purchaser and in our view it is right so,
    this factor certainly ought to have been considered by the
    learned Trial Court. Shri Noronha has placed reliance on
    several decisions regarding this aspect of the case. In
    Government v. The Century Spinning and Manufacturing Co.
    Ltd. MANU/MH/0092/1941
    : A.I.R.1942 Bom 105 wherein this
    Court observed that when large proportion of frontage is
    acquired and a relatively small amount of frontage is left with
    the owner of the remaining land, he is entitled to some
    compensation in respect of severance.
    Reliance has also been
    placed on the case of Radhey Shyam v. Haryana State
    MANU/PH/0155/1981 wherein it is observed that the claimants
    were entitled to compensation for severance. In the case of
    Smt. Kasturi Devi an Ors. vs. The Collector, Nainital
    MANU/UP/0607/1982: A.I.R. 1983 All 338 after the acquisition

    Page 14 of 23
    Arb Appeal 103-2025, oth

    of 20,000 Sq. ft. of land the remaining area was deprived of
    frontage on the road and a Division bench of that Court
    observed that this would certainly diminish the value of the
    land to some extent. However, no evidence was produced to
    show as to what extent the value of the remaining land had
    diminished, but still the Court held, that it was difficult to hold
    that severance of the disputed land had diminished the value
    of the remaining land and in the absence of positive evidence,
    the Court considered to award Rs.2000/- as damages
    sustained by the applicants on account of severance of land.
    Int he case of Amirbibi and Ors. vs. Special Land Acquisition
    officer, MANU/GJ/0146/1984: AIR1981 Guj 219 a division bench
    of that court stated that it could not be laid down as a rule of
    law that where expert assistance is not available and where a
    reasonable guess can be made form whatever evidence there
    is on record, the Court would be precluded form doing so only
    because the expert evidence is not led in a particular case.
    The Court further felt that damage suffered by the claimants
    could not go uncompensated altogether and that they should
    make their best endeavour to meet out justice to them,
    although they must be on guard while doing so, as their
    conclusion must be based on a broad basis and commonsense
    inference. The Court therefore proceeded after considering
    pros and cons of the questions to award compensation for
    injurious affection to Rs.2/- per sq. metre as it would serve the
    purpose.”

    26. The Arbitrator has considered the uncontroverted affidavits and the

    evidence while determining the compensation. It is evident that the lands

    Page 15 of 23
    Arb Appeal 103-2025, oth

    of the claimants were not acquired in their entirety, but only partially for

    the purpose of widening or expansion of the National Highway. This

    position is also reflected in their claim applications filed before the CALA.

    Each of the claimants specifically raised the issue of severance

    before the CALA, and the same is duly recorded in the CALA awards. For

    ready reference, one such objection and the corresponding finding are set

    out in the table below –

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                                              Page 16 of 23
                                                                       Arb Appeal 103-2025, oth
    
    
    
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    27. The acquisition for widening of road takes place of a large strip of

    land, generally narrow in width, affecting only a portion of larger land

    Page 17 of 23
    Arb Appeal 103-2025, oth

    holdings belonging to several land owners. As a result, such acquisition

    may cause severance and may also adversely affect the usability and

    economic utility of the remaining land. The Arbitrator, taking into

    consideration the affidavits and statements of the claimants as well as the

    nature of the acquisition, has granted compensation towards severance.

    28. The power of the ‘Court’ to interfere with arbitral award under

    Section 34 and of this Court under Section 37 of the Arbitration Act needs

    to be noted before considering the above submissions on merits of arbitral

    award. The Supreme Court in the case of PSA Sical Terminals Private

    Limited Vs. Board of Trustees of V.O. Chidambaranar Port Trust

    Tuticorn and Anr. reported in (2023) 15 SCC 781 has observed that it

    is a settled legal position, that in an application under Section 34, the court

    is not expected to act as an appellate court and reappreciate the evidence.

    The scope of interference would be limited to grounds provided under

    Section 34 of the Arbitration Act. The interference would be so warranted

    when the award is in violation of “public policy of India”, which has been

    held to mean “the fundamental policy of Indian law”. A judicial intervention

    on account of interfering on the merits of the award would not be

    permissible. However, the principles of natural justice as contained in

    Section 18 and 34(2)(a)(iii) of the Arbitration Act would continue to be the

    grounds of challenge of an award. The ground for interference on the basis

    that the award is in conflict with justice or morality is now to be understood

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    Arb Appeal 103-2025, oth

    as a conflict with the “most basic notions of morality or justice”. It is only

    such arbitral awards that shock the conscience of the court, that can be set

    aside on the said ground. An award would be set aside on the ground of

    patent illegality appearing on the face of the award and as such, which

    goes to the roots of the matter. However, an illegality with regard to a mere

    erroneous application of law would not be a ground for interference.

    Equally, reappreciation of evidence would not be permissible on the ground

    of patent illegality appearing on the face of the award.

    29. The Hon’ble Supreme Court in PSA Sical Terminals Private

    Limited (supra) has further observed that a decision which is perverse,

    though would not be a ground for challenge under “public policy of India”,

    would certainly amount to a patent illegality appearing on the face of the

    award. However, a finding based on no evidence at all or an award which

    ignores vital evidence in arriving at its decision would be perverse and

    liable to be set aside on the ground of patent illegality.

    30. To appreciate the test of perversity, the Hon’ble Supreme Court in

    PSA Sical Terminals Private Limited (supra) in para 42 has further held

    as under :-

    “42. To understand the test of perversity, it will also be appropriate
    to refer to paragraph 31 and 32 from the judgment of this Court in
    Associate Builders (supra), which read thus:

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    Arb Appeal 103-2025, oth

    31. The third juristic principle is that a decision which is perverse or
    so irrational that no reasonable person would have arrived at the
    same is important and requires some degree of explanation. It is
    settled law that where:

    (i) a finding is based on no evidence, or

    (ii) an Arbitral Tribunal takes into account something irrelevant to
    the

    decision which it arrives at; or

    (iii) ignores vital evidence in arriving at its decision,

    such decision would necessarily be perverse.

    32. A good working test of perversity is contained in two judgments.
    In Excise and Taxation Officer-cum-Assessing Authority v. Gopi Nath &
    Sons [1992 Supp (2) SCC 312], it was held:

    “7. … It is, no doubt, true that if a finding of fact is arrived at by
    ignoring or excluding relevant material or by taking into
    consideration irrelevant material or if the finding so outrageously
    defies logic as to suffer from the vice of irrationality incurring the
    blame of being perverse, then, the finding is rendered infirm in
    law.”

    In Kuldeep Singh v. Commr. of Police (1999) 2 SCC 10, it was held:

    “10. A broad distinction has, therefore, to be maintained between
    the decisions which are perverse and those which are not. If a
    decision is arrived at on no evidence or evidence which is
    thoroughly unreliable and no reasonable person would act upon
    it, the order would be perverse. But if there is some evidence on
    record which is acceptable and which could be relied upon,
    howsoever compendious it may be, the conclusions would not be

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    Arb Appeal 103-2025, oth

    treated as perverse and the findings would not be interfered
    with.”

    31. The Hon’ble Supreme Court at para 14 in the case of MMTC Limited

    Vs. Vendanta Limited reported in (2019) 4 SCC 163 has further

    observed that as far as interference with an order made under Section 34,

    as per Section 37, is concerned, it cannot be disputed that such

    interference under Section 37, cannot travel beyond the restrictions laid

    down under Section 34. In other words, the Court cannot undertake an

    independent assessment of the merits of the award, and must only

    ascertain that the exercise of power by the Court under Section 34 has not

    exceeded the scope of the provision. Thus, it is evident that in case an

    arbitral award has been confirmed by the Court under Section 34 and by

    the Court in an appeal under Section 37, this Court must be extremely

    cautious and slow to disturb such concurrent findings.

    32. As observed in above noted Judgment of Supreme Court i.e. PSA

    and M.M.T.C., (Supra) the power of this Court to interfere with an arbitral

    award is extremely limited. Unless the award suffers from patent illegality

    or falls within the limited grounds contemplated under Section 34 of the

    Arbitration and Conciliation Act, 1996, interference would not be

    warranted. The scope of interference becomes even narrower while

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    Arb Appeal 103-2025, oth

    exercising appellate jurisdiction under Section 37 of the said Act.

    33. This Court has also taken into consideration that in respect of the

    same acquisition proceedings, several other awards have attained finality

    on account of delay in filing application under Section 34 of the Act.

    34. Considering the totality of the circumstances, this Court is of the

    opinion that no case is made out for interference with the award passed by

    the Arbitrator. The Arbitrator has assessed the value of the land

    considering the relevant material before him and has granted

    compensation for severance, loss of business, and loss of easementary

    rights. The same is based on the material on record and is in accordance

    with the law as noted in the above-referred judgments of this Court.

    Consequently, while exercising jurisdiction under Section 37 of the

    Arbitration and Conciliation Act, 1996, this Court finds no reason to

    interfere with the impugned judgment under Section 34 and the award,

    passed by the Arbitrator.

    35. In view of the orders passed in all the arbitration appeals today, all

    civil applications seeking withdrawal of amounts are allowed. However,

    since the National Highway Authority intends to challenge this order, the

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    Arb Appeal 103-2025, oth

    applicants shall furnish an undertaking to this Court stating that, in the

    event any favourable order is passed in favour of the National Highway

    Authority, they will redeposit the amount withdrawn within a period of four

    weeks.

    36. All other pending applications for interim relief/ stay stand disposed

    of.

    ( ARUN R. PEDNEKER, J. )

    vj gawade/-.

    Page 23 of 23



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