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SC slams parts of NHAI Act, asks govt to examine

September 09, 2025

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Hindustan Times

The Supreme Court on Monday came down heavily on provisions of the National Highways Act, 1956 (NHAI Act), calling them "bad" for depriving landowners of judicial recourse and imposing a unilateral dispute resolution mechanism that places adjudicatory powers in the hands of bureaucrats rather than judicial officers.

- Utkarsh Anand

A bench led by justice Surya Kant questioned why the act vests the determination of compensation with officers of the executive when even smaller state acquisitions require judicial oversight under the Land Acquisition Act and other laws.

"There is a valid heartburn for these landowners. Why do officers and bureaucrats have to decide and adjudicate? For a large chunk of land acquired by NHAI, officers decide. And for a 500 square metre land acquired by the state, it has to be approved by a district judge.

Why this discrimination?" the bench asked solicitor general (SG) Tushar Mehta.

The bench, also comprising justice Joymalya Bagchi, pressed the Union government to consider making necessary clarification in the law so that the adjudication of compensation, solatium and interest for acquired land is conducted by judicial officers rather than executive authorities.

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