The Himachal Pradesh High Court has directed the release of compensation for a structure acquired for the four-laning of National Highway-21. According to LiveLaw, the court ruled that payments for buildings or superstructures under the 1956 National Highways Act go directly to the individual proving an interest in the improvement. This legal principle ensures that a pending conflict over the ground beneath the building does not automatically freeze payment for the structure itself.
The dispute involved petitioner Yagya Chand, who sought the release of funds for Structure No. 35. LiveLaw reported that the National Highways Authority of India had taken the structure for the Nerchowk–Manali highway expansion. A supplementary award from May 22, 2018, identified Chand as the builder and set the compensation at 66.66 lakh rupees. However, the Gurdwara Guru Granth Sahib managing committee in Bhuntar objected, asserting ownership of the property. Consequently, officials parked the money in a fixed deposit while the ownership conflict remained unresolved.
Justice Sandeep Sharma, writing for the bench, emphasized that improvements on acquired land carry their own compensable value. He noted that the builder, possessor, or beneficiary of the structure has a right to claim payment for that specific asset. The court observed that the initial award and a local land record certificate confirmed the petitioner’s role as the constructor. In contrast, the rival claimant failed to present strong proof of ownership over the specific building, rather than just the land.
The judges also considered a prior 1997 decision in RSA No. 129, where a peer bench found the Bhuntar Gurdwara committee lacked legal constitution. This earlier finding supported the current view that the rival’s claim to the structure was less certain. The High Court ordered the Competent Authority-cum-Collector to release the 66.66 lakh rupees, plus 1,66,650 rupees and current interest, within three weeks of the October 16, 2026 decision.