SUPREME COURT OF INDIA
O. CHINNAPPA REDDY; A.P. SEN AND E.S. VENKATARAMIAH, JJ.
M/s. Samarias Trading Co. Pvt. Ltd., Appellant
Versus
S. Samual and others, Respondents.
Civil Appeal No. 4416 of 1984, D/-9-11-1984.
Advocates appeared
Mr. Vasanta Pai, Sr. Advocate, Ms. S. Vaidalingam and Mr. P. J. George, Advocates with him, for Appellant; Ms. Bina Gupta, Advocate; Mr. K. G. Bhagat, Addl. Sol. General, Mr. R. N. Poddar and Mr. M. N. Krishnamani, Advocates, for Respondent. Mr. R. Karanjawala and Miss M. Karanjawala, Advocates for Applicant in Intervention Appln. Mr. K. Parasaran, Atty. General and Mr. D. N. Sinha, Sr. Advocates appeared at request of Court.
Constitution of India,1950 - Article 141 - Special Leave Petition - Auction - Highest bidder - Licence fee - An auction of right to sell liquor at, Islands was held by Deputy Commissioner - One H. K. Hariwat was highest bidder M/s Samarias Trading Co. Pvt. Ltd. having an office at Port Blair, petitioner before Court in Special Leave Petition, was one of participants in auction but not S. Samuel, S/o Swami Das Pillai, 12, Cathral Road, who figures before as first respondent - As did not deposit fifty per cent of licence fee as stipulated by clause 14 of terms and conditions of auction, sale was not confirmed and shop had to be auctioned again- highest bidder (M/s. Samarias Trading Co. Pvt. Ltd.) deposited sum and respectively - Sale was confirmed and shoo was awarded to M/s. Samarias Trading Co. Pvt. Ltd - Licence was to enure for period - In meanwhile, things moved - When Court was about to rise for day, Senior Advocate mentioned to a learned Single Judge of Calcutta High Court that he desired to move an application before Judge in his chambers after Court rose - Whether civil, criminal or others, must be heard in open Court – Held, when matter was next taken up, continued to be absent and a non-bailable warrant was issued for his arrest and production was also bound over to be present in Court - Court also now have before Court affidavits of Calcutta Bar explaining the facts and circumstances pertaining to proceedings that took place in Calcutta High Court - Their affidavits while confirming the facts already narrated by Court, disclose that none of them personally knew Samuel, as indeed one may not expect an advocate to know every client of his personally - They were like others, taken for a ride, if one may be permitted to use so common an expression - Administration of Andaman Nicobar Islands is demanding from them a sum of Rs. 1 lakh and odd towards lease for few days that they ran liquor shop under orders of Calcutta High Court - Calculated at rate of Rs. 25 lakhs per year – Court are unable to see any justification for demand since lease as sanctioned and as confirmed is admittedly for entire period for Rs. 30 lakhs - Demand is directed to be withdrawn - Appeal is allowed
Judgment
O. CHINNAPPA REDDY, J. :- "Curiouser and curiouser", Alice would have certainly exclaimed with us had the mischievous state of affairs of the present case come to her notice. We confess that the state of affair is but the inevitable consequence of a most curious procedure said to be followed over the years by the Calcutta High Court, a practice which we are happy to say, no other High Court in the country follows, a practice which do put in the mildest terms is unhealthy and likely to lead to harm and abuse and A practice which we now propose to forbid in the exercise of our powers under Art. 141 of the Constitution. The practice, the consequences and our precept will reveal themselves as we proceed to state the facts. We may mention at the outset that in response to our invitation the learned Attorney General very. graciously addressed us and indeed made forceful submissions. We are grateful to him to his valuable assistance.
2. An auction of the right to sell liquor at Rangat, Andaman Islands was held on 15-2-1984 by the Deputy Commissioner, Port Blair. One H. K. Hariwat was the highest bidder. M/s Samarias Trading Co. Pvt. Ltd. having an office at Port Blair, the petitioner before us in the Special Leave Petition, was one of the participants in the auction but not S. Samuel, S/o Swami Das Pillai, 12, Cathral Road, Madras, who figures before us as the first respondent. As B. K. Hariwat did not deposit fifty per cent of the licence fee as stipulated by clause 14 of the terms and conditions of the auction, the sale was not confirmed and the shop had to be auctioned again. The second auction was held on 28-3-1984. At this auction M/s. Samarias Trading Co. Pvt. Ltd. was the highest bidder. The bid was for a sum of Rupees 25 lakhs. S. Samuel also participated in the auction but his bid was just over Rupees 17 lakhs only. The highest bidder (M/s. Samarias Trading Co. Pvt. Ltd.) deposited sum of Rs. 10,000/-, 2,50,000/- and 9,90,000/- on 29-3-1984, 28-3-1984 and 29-3-1984 respectively. The sale was confirmed and shoo was awarded to M/s. Samarias Trading Co. Pvt. Ltd. The licence was to enure for the period 1-4-1984 to 31-3-1985. In the meanwhile, things moved at Calcutta on 30-3-1984. When the Court was about to rise for the day Shri Shankardas Banerjee, Senior Advocate mentioned to a learned Single Judge of the Calcutta High Court (Shri Justice Pyne) that he desired to move an application before the Judge in his chambers after the Court rose. The learned Judge granted leave and accordingly Sarvashari S. D. Banerjee, Ashoke Kumar Ganguly and K. K. Bandopadhyay, learned. Advocate purporting to appear on behalf of a person professing to be S. Samuel moved the learned Single Judge of the Calcutta High Court in his chambers under Art. 226 of the Constitution and obtained an ex parte order in the following terms :-
"On the oral. application of Mr. S.D. Banerjee and upon his undertaking to move application by Tuesday next there will he an order as follows.
The respondents are directed to maintain status quo in respect of the liquor shop at Rangat in Middle Andaman and not to proceed on the basis of the alleged liquor auction held on 28-3-19.84. The order will remain in force till Tuesday next. Let a plain copy countersigned by Asstt. Registrar (Court) be given to the learned Advocate to the petitioner.
Sd/-R. N. Pyne."
3. The remarkable fact worthy of immediate attention is that there was no written application before the learned Judge. The order of the learned Judge was made on an oral application and makes not the slightest attempt to indicate even briefly the facts told to him, the question of law, if any, raised before him and the reasons which prompted him to make the interim order that he did. All that we can gather from the proceedings and the record of the Court is that some oral application was made, an oral undertaking was given to make a written application within four days and an interim order was issued by the court direc
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