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2001 Supreme(SC) 1518

ASHOK BHAN, N.S.HEGDE
Union Of India – Appellant
Versus
Adani Exports LTD. – Respondent


Judgement Key Points

Key Points: - The Gujarat High Court at Ahmedabad lacked territorial jurisdiction since no part of the cause of action arose there; the matter should be transferred to the Madras High Court for disposal (Paras 17-21) (!) (!) (!) (!) - Article 226(2) enables a High Court to exercise jurisdiction where the cause of action partly or wholly arises, and the court must examine the entire pleaded facts to determine nexus to the lis (Paras 15-18, 28) (!) (!) (!) (!) - The case discusses Oswal Woollen Mills and ONGC precedents to illustrate that merely having a registered office or other incidental factors do not automatically confer jurisdiction; a nexus with the lis is required (Paras 9-12, 19-21, 26-27) (!) (!) (!) (!) (!) - The Supreme Court directed that Special Civil Applications Nos. 3282/99 and 3279/99 be transferred to the High Court of Madras at Chennai and that the Ahmedabad proceedings be disposed of by the Madras Bench, with expedited handling due to prior litigation (Paras 20-21) (!) (!) - The Pass Book Scheme and Import Export Policy matter concerns entitlement to credits under the scheme, with the key jurisdictional issue central to the petition rather than merits (initial context in references 1-4) (!) (!) (!) (!)

What is the territorial jurisdiction of the Gujarat High Court under Article 226(2) in relation to the Pass Book Scheme and whether the case should be transferred to Madras High Court?

What is the correct test for establishing territorial jurisdiction for writ petitions under Article 226(2) and CPC Order XIV Rule 2, based on the facts pleaded in support of the cause of action?

What are the appellate court’s directions regarding transfer of Special Civil Applications to the High Court of Madras and the handling of proceedings in the Ahmedabad High Court?


Judgment

Santosh Hegde, J.—These civil appeals are preferred by the Union of India and Others challenging the judgment and order of the High Court of Gujarat at Ahmedabad made in Special Civil Application Nos. 3282/99 and 3279/99 wherein the High Court allowed the said civil applications and granted the relief as prayed for by the petitioner therein.

2. Though in these appeals, principal contention involved pertains to the entitlement of the respondents herein to the benefit of the Pass Book Scheme found in paragraph 54 of the Import Export Policy introduced by the appellants herein w.e.f. 1st April, 1995 in relation to certain credits to be given on export of Shrimps, the appellant firstly challenges before us the territorial jurisdiction of the High Court of Gujarat at Ahmedabad to entertain the civil applications and grant relief in favour of the respondents.

3. Mr. Mukul Rohtagi, learned Additional Solicitor General of India and Mr. Jaideep Gupta, learned counsel appearing for the appellants, contended that the High Court at Ahmedabad did not have the territorial jurisdiction to entertain the special civil applications since no part of the cause of action based on which the applic


































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