A bench of Justices Dipak Misra and P C Pant while reserving its verdict asked the parties to file written submissions in the matter but clarified that "it should not be on communal lines".
It took on record the written submissions filed by Gujarat government and asked the counsel for NGO, Islamic Relief Committee of Gujarat (IRCG), to file their written submission by May 1.
The High Court had issued an interim direction for computation of actual damages to the places of worship to be made by 'special officers' who were District Judges.
While Gujarat Government had sought quashing of the High Court order contending that it was neither manageable, enforceable or capable of execution as per law, the IRCG had said the state government is liable to compensate those who suffered damages.
Earlier, the court had said it has to be examined how far it would be constitutional to command the state to give money from its funds which come from tax payers for restoration, relocation and renovation of religious structures damaged due to its failure to maintain law and order situation.
The court had noted that in the instant case, government compensation relating to individuals have been completed, but the issue which was "bothering" was about the compensation for religious places.
The court had earlier said that whether the state, because of its failure to control law and order situation, can be asked to compensate with funds the restoration of temple, church, mosque or a gurudwara.
It had observed that whether a body collective, running such places of worship, can seek damage and compensation because the state has failed to maintain law and order leading to their damage.
It had said that some places of worship come up besides the roads and middle of the footpath and if relief is granted, then they would also seek compensation.
During the hearing, the Gujarat government, while assailing the High Court order, said the state fund which consists of payment of various taxes by citizens cannot be directed by the High Court to be spent for restoration or construction of any religious place by issuing a writ under Article 226 of the Constitution.
The article empowers High Courts to issue certain writs for the enforcement of any of the fundamental rights.
It had contended that the High Court, in the present case, has directed the computation of actual compensation to 'places of worship' and has created a totally new remedy by the impugned judgement which is unknown to law.
The NGO has contended that the attack on religious places of worship was an attack on religious symbolism of people who hold them as sacred and destruction of places of worship belonging to weaker section of the society by a dominant group is to inflict humiliation on them and thereby violate Article 21 (Right to Life and Personal Liberty) of the Constitution.
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