Tolls: Losses caused by natural calamities or force majeure

Stpl law

May 27, 2026
2:46 pm

In the case of M/S K.K. Associates vs. State of Himachal Pradesh &Ors., the High Court of Himachal Pradesh ruled that the State must refund revenue losses suffered by a toll lessee due to natural disasters, establishing a significant precedent regarding the symmetry of interest rates in public contracts.

Absolute Statutory Right to Refund

The petitioner, a toll lessee for the Baddi-Barotiwala unit, sought a refund after bridge collapses and floods in 2023 severely hampered traffic and decimated revenue collection. The State initially rejected the claim, arguing that under Section 10 of the Himachal Pradesh Tolls Act, 1975, a refund could only be granted if the lessee had paid an amount in excess of the total bid money. The Court rejected this narrow interpretation, holding that:

The right to a refund for losses caused by natural calamities or force majeure is absolute.
Statutory provisions must be read in harmony with administrative mechanisms like the Annual Toll Announcements, which explicitly provide for such relief.
Conditioning a refund on “excess payment” would make it practically impossible for any lessee to ever claim relief for disaster-related losses.

Rejection of Unvetted Police Reports

The Commissioner had relied on a letter from the Superintendent of Police (SP) suggesting that traffic in the district was not significantly affected. The Court found this reliance “wholly erroneous” and a misinterpretation of the facts. It noted that:

The SP’s letter actually acknowledged that major bridges had collapsed and traffic was being diverted, which directly supported the petitioner’s claim that vehicles were bypassing the toll barrier.
An internal departmental inquiry by the Excise and Taxation Department had already verified the loss, quantifying it at approximately Rs. 3,15,80,010.

Symmetry of Penal Interest

The most notable legal principle reaffirmed in this judgment is interest reciprocity. The Court observed that under the contract (Condition 2.3.18), the State imposes a strict 15% penal interest rate on private contractors for any payment defaults. Consequently:

Public contracts bind both parties equally under principles of fairness and equity.
If the State illegally retains or delays a verified refund, it must pay the exact same 15% interest rate to the contractor that it would have charged for a default.

Final Outcome

The High Court set aside the Commissioner’s rejection order and directed the State to verify the quantified loss and release the refund to the petitioner with 15% interest per annum from the due date.

STPL (Web) 2026 HP 257

M/S K.K. Associates V. State of Himachal Pradesh &Ors. (D.O.J. 26.05.2026)

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NDPS; Principles of judicial sentencing – Sentence reduced

May 27, 2026 No Comments

In the case of Ritik Rathore vs. State of H.P., the High Court of Himachal Pradesh addressed the principles of judicial sentencing under the Narcotic Drugs and Psychotropic Substances (NDPS) Act, 1985, specifically regarding intermediate quantities of contraband,. The court modified a ten-year sentence to one and a half years, establishing key precedents for proportionality and the relevance of an accused’s prior record,.

Core Dispute: Disproportionate Sentencing

The appellant was convicted for being in possession of 13 grams of Heroin. While heroin up to 5 grams is considered a “small quantity,” anything from 6 grams to 250 grams is classified as an “intermediate quantity,” punishable by up to ten years of rigorous imprisonment. The Trial Court had imposed the maximum ten-year sentence and a ₹1,00,000 fine. On appeal, the appellant did not challenge the conviction on its merits but argued that the punishment was grossly disproportionate to the quantity recovered.

Rejection of the “Mathematical Scale”

The Court ruled that sentencing should not be based on a “straitjacket mathematical scale” derived strictly from the weight of the narcotics.

Judicial Discretion: Applying a rigid mathematical formula—such as awarding one-tenth of the maximum sentence for one-tenth of the maximum intermediate weight—strips the judiciary of its essential discretion.
Individual Circumstances: Instead of a mathematical norm, courts must balance deterrence and reformation by considering the gravity of the crime, the motive, the age of the accused, and other attending circumstances.
Proportionality: A sentence must be “adequate”—neither excessively harsh nor ridiculously low—to meet the ends of justice based on the factual matrix of each specific case.

Irrelevance of Pending Cases (“Bad Character”)

A significant portion of the ruling addressed whether the pendency of other criminal trials could be used to justify a harsher sentence.

Presumption of Innocence: Under Section 49 of the BharatiyaSakshyaAdhiniyam, 2023 (formerly Section 54 of the Evidence Act), the bad character of an accused is irrelevant in criminal proceedings.
Evidence of Character: The Court held that a pending FIR or trial cannot be treated as evidence of bad character or used to enhance a sentence. Until a prior conviction is actually proved, an undertrial prisoner must be presumed innocent.

Final Modification of Sentence

The Court found that for a recovery of 13 grams of heroin (at the lower end of the intermediate spectrum), a ten-year sentence was unsustainable.

Revised Punishment: The High Court reduced the sentence to one and a half years of rigorous imprisonment and reduced the fine from ₹1,00,000 to ₹20,000.

Immediate Release: Noting that the appellant had already undergone one year and three months of incarceration, the Court ordered his immediate release if not required in any other case, provided the modified sentence was completed.

STPL (Web) 2026 HP 256

Ritik Rathore. V. State of H.P. (D.O.J. 26.05.2026)

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Murder: Irreconcilable Contradiction – Acquittal Upheld

May 27, 2026 No Comments

In the case of State of H.P. v. Gulfam @ Gullu, the High Court of Himachal Pradesh upheld the acquittal of a man accused of kidnapping a seven-year-old child for ransom and subsequently murdering him. The Court determined that the prosecution’s case, which relied entirely on circumstantial evidence, failed to establish a “flawlessly complete” chain of events and was riddled with fundamental contradictions.

Irreconcilable Chronological Contradictions

The most significant flaw in the prosecution’s story involved the timing of the child’s death versus the alleged ransom calls.

Alleged Death: The prosecution claimed the respondent killed the child by throttling on October 15, 2010.
Ransom Calls: The victim’s family testified to receiving ransom calls on October 27 and 28, 2010, during which the mother claimed to have heard her child’s cries.
Judicial Finding: The Court ruled this was an “irreconcilable” contradiction; if the child had been killed on the 15th, it was impossible for the mother to hear him crying nearly two weeks later.

Inadmissible Electronic Evidence

The prosecution attempted to link the respondent to the crime through Call Detail Records (CDRs) and other electronic data. However:

The Court ruled these documents statutorily inadmissible because they lacked the mandatory certification required under Section 65-B of the Indian Evidence Act, 1872.
Furthermore, there was no documentary evidence to directly link the mobile numbers used for the ransom calls to the respondent.

Coerced Witness Testimony

Key witnesses for the prosecution retracted their statements during the trial.

One critical witness (PW4 Kallu) testified that he was threatened by the police with being impleaded as an accused if he did not provide a statement against the respondent.
He stated he was kept in police custody for five days before his statement was recorded before a Magistrate.
Other witnesses either turned hostile or provided testimony that demolished the prosecution’s links regarding the purchase of snacks (Kurkure) used to entice the child.

Suspicious Recovery of Physical Evidence

The Court found the recovery of the victim’s notebook (exercise book) after 51 days to be highly suspicious.

Pristine Condition: Although the notebook was allegedly found in an open area exposed to the elements and rain for nearly two months, it showed no signs of deterioration or damage.
Judicial Conclusion: The Court noted that the notebook looked as if it had been taken directly from a shelf or bag, strongly indicating that the evidence was planted to implicate the respondent.
Biased Witnesses: The “independent” witnesses involved in the recovery operations were found to have hidden personal or business relationships with the victim’s family, further eroding the credibility of the investigation.

Ultimately, the High Court concluded that the respondent was entitled to the presumption of innocence, and the State failed to provide cogent or reliable evidence to overturn the trial court’s judgment of acquittal.

STPL (Web) 2026 HP 255

State of H.P. V. Gulfam @ Gullu (D.O.J. 26.05.2026)

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Forest: Modernization of Katha Processing Units – Regulations Held Valid

May 26, 2026 No Comments

In the case of Ashok Kumar v. Deputy Director General of Forest-cum-Appellate Authority &Ors., the High Court of Himachal Pradesh dismissed two writ petitions challenging state regulations and decisions of the State Level Committee (SLC) regarding the modernization of Katha (a forest product) processing units.

Core Dispute and Reliefs Sought

The petitioners, who already operated mechanized Industrial Boiler Regulation (IBR) units, challenged a 2024 SLC decision and a 2025 government notification that permitted traditional “Katha Bhatties” (handmade units) to convert into mechanized IBR Boiler units. The petitioners argued that:

The SLC exceeded its jurisdiction by ordering a “conversion” of categories.
Restrictions on timber consumption (capped at 7,500 quintals per year) were arbitrary and violated their right to trade under Article 19(1)(g).
The 2025 amendment to the regulatory conditions was invalid because the State failed to follow the mandatory pre-publication process required by Section 3 of the Himachal Pradesh (Sale of Timber) Act, 1968.

Judicial Findings

The Court rejected the petitioners’ arguments, emphasizing the following legal principles:

SLC Jurisdiction: Under Supreme Court mandates (specifically T.N. GodavarmanThirumulpad) and the Wood-Based Industries Guidelines, 2016, the SLC has explicit authority to assess timber availability and decide on the grant of licenses, capacity enhancement, and the “addition of new machineries”.
Modernization vs. Structural Change: The court clarified that allowing traditional units to use IBR Boilers is not an illegal “conversion” of industry categories but a technical upgradation aimed at reducing waste and protecting the environment. Traditional units were found to be inefficient, hazardous to labor, and wasteful of scarce natural resources.
Fundamental Rights and “Swaraj”: The court ruled that the state has the “police power” to impose reasonable restrictions on timber consumption to ensure equitable distribution and sustainable development. Invoking principles like “Integral Humanism” and “Swaraj,” the court noted that resources must be distributed fairly rather than allowing a few dominant players to capitalize on the market.
Procedural Validity (Timber Act): The court held that the requirement for “previous publication” in Section 3(3) of the Timber Act is directory rather than mandatory because the Act provides no adverse consequences (like nullity) for its omission. Furthermore, modifying a regulatory appendix (Annexure-A) rather than a core Rule does not always trigger the exhaustive statutory pre-publication process.

Conclusion

The Court characterized the petitions as an abuse of process and an attempt by “competitors” to block new entrants while enjoying the same mechanized benefits themselves. It upheld the SLC’s decision and the State’s notification, confirming that the technical regulatory framework was validly executed within the State’s policy domain.

STPL (Web) 2026 HP 254

Ashok Kumar. V. Deputy Director General Of Forest-Cum-Appellate Authority &Ors.(D.O.J. 25.05.2026)

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Rash and Negligent Driving: Conviction Valid

May 26, 2026 No Comments

In the case of Rajender Singh v. State of Himachal Pradesh, the High Court of Himachal Pradesh dismissed a criminal revision petition, upholding the conviction of a bus driver for rash and negligent driving under Sections 279, 337, and 338 of the IPC,,.

Factual Background of the Accident

The incident occurred in July 2009 when the accused, while driving a bus, overtook a Gypsy at high speed near a workshop gate in Shamshi,. In doing so, the bus hit a motorcycle coming from the opposite direction on its correct side of the road,. The accident resulted in grievous injuries to the motorcycle rider, including multiple fractures, and simple injuries to the pillion rider,,.

Absence of a Victim’s Driving License

A primary defense raised by the accused was that the victim was a minor who did not possess a valid driving license at the time of the accident,. The court rejected this argument, establishing several key principles:

No Presumption of Negligence: The mere absence of a driving license does not raise a legal presumption that the person was negligent or did not know how to drive,,.
Conduct vs. Status: A driver’s conduct must be judged by their actual actions on the road rather than their licensing status,,.
Proximate Cause: The court found that the lack of a license did not contribute to the accident; rather, the proximate cause was the accused’s decision to drive on the wrong side of the road while overtaking,,.

Negligence and Statutory Breaches

The court ruled that the accused committed a clear breach of the Rules of the Road Regulations, 1989,.

Improper Overtaking: Under Rule 6, a driver must not overtake another vehicle on a curve or when it is likely to cause danger to traffic coming from the opposite direction,,.
Wrong Side Driving: Evidence from the site plan confirmed the bus was on the extreme right (wrong) side of the road at the time of impact,,. The court noted that driving on the wrong side of the road inherently constitutes negligence,.

Evidentiary Standards in Criminal Trials

The court addressed the accused’s contention that the prosecution failed to examine independent witnesses despite the accident occurring on a busy road,.

Quality over Quantity: The court reaffirmed that the law of evidence prioritizes the quality and credibility of witnesses over their numerical quantity,,.
No Adverse Inference: An adverse inference is not drawn simply because a “repetitive” witness is dropped or if the existing injured eyewitness testimony is robust, consistent, and corroborated by a site plan,,,.

Rejection of Probation and Final Sentence

The High Court refused to grant the accused the benefit of the Probation of Offenders Act, citing Supreme Court precedents that emphasize deterrence in road accident cases, The court held that professional drivers must maintain constant attentiveness and that benevolent provisions should not typically apply to those convicted of callous driving,,.

Consequently, the court maintained the sentence of six months of simple imprisonment for the most serious offense (Section 338 IPC), ruling that it was not excessive given the grievous nature of the victim’s injuries,,, .

STPL (Web) 2026 HP 253

Rajender Singh V. State of H.P. (D.O.J. 25.05.2026)

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Tolls: Losses caused by natural calamities or force majeure

Stpl law

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