Unilateral cancellation of documents by a party not involved in the agreement is invalid; the court maintains jurisdiction under extraordinary circumstances despite the presence of alternate remedies.

JUDGMENT :

VIBHU BAKHRU, CJ.

1. The appellants have filed the present appeal impugning a common order dated 20.12.2024 passed by the learned Single Judge of this Court in W.P.No.28962/2015 (GM-RES), which was clubbed along with W.P.No.9193/2017 (GM-ST/RN) and W.P.No.9578/2017 (GM-RES).

2. The said petitions were filed by respondent No.1 [Asset Reconstruction Company (India) Limited – hereafter, referred to as 'ARCIL']. In W.P.No.28962/2015, ARCIL had impugned a letter dated 28.02.2015 issued by respondent No.2 [Senior Sub- Registrar] purporting to impound the Resolution Plan and Broad Terms and Conditions executed by appellant No.1 [hereafter, M/s Sridevi or the appellant] in favour of ARCIL on 27.09.2010. Apparently, the said letter was passed on the basis of the copy of the said document, which was presented before the Senior Sub- Registrar by the Anti-Corruption Council of India.

3. In W.P.No.9193/2017, ARCIL impugned a deed of cancellation dated 03.10.2016 and a deed of declaration dated 03.10.2016, which were unilaterally executed by appellant No.2, as the Proprietor of M/s.Sridevi.

4. In W.P.No.9578/2017, the ARCIL impugned a gift deed dated 30.09.2024 executed by appellant No.2 in favour of his daughter (respondent No.6).

5. The learned Single Judge allowed the said petitions. The operative part of the impugned order reads as under:

"In view of my above findings, I pass the following:

ORDER

i) W.P.No.28962/2015 is allowed, a certiorari is issued, Impugned Letter bearing No.SRO/Peenya/1203/ 2014-15 vide Annexure-J dated 28.2.2015 issued by the Senior Sub Registrar, Peenya Bangalore is quashed.

ii) W.P.No.9193/2017 is allowed, a certiorari is issued, Impugned Deed of Cancellation dated 03.10.2016 registered vide Document No.4707/2016- 17 in Book-I in the office of the Sub-Registrar, Peenya, Bangalore and the Deed of Declaration dated 03.10.2016 registered vide Document No.4706/2016-17 Book-I in office of the Sub- Registrar, Peenya, produced as Annexures-O and P, respectively, are quashed. The Sub-Registrar, Peenya, is directed to make necessary entries as regards the cancellation of the aforesaid two documents in the register maintained by him.

iii) W.P.No.9578/2017 is allowed, a certiorari is issued, the registration by the Senior Sub-registrar, Peenya, Bangalore of the impugned Gift Deed executed by Respondent No.4 in favour of Respondent No.5 dated 30^th September 2014 vide Document No.554/14-15 and all subsequent transactions thereafter vide Annexure-P is quashed. The Sub-Registrar, Peenya, is directed to make necessary entries as regards the cancellation in the register maintained by him.

iv) The Commissioner of Stamps and Inspector General of Registration is directed to cause an inquiry into the manner in which the Sub-Registrar, Peenya has impounded the document, registered the Deed of Cancellation dated 03.10.2016 vide Document No.4707/2016-17 in Book-I in the office of the Sub- Registrar, Peenya, Bangalore and the Deed of Declaration dated 03.10.2016 registered vide Document No.4706/2016-17 Book-I in office of the Sub-Registrar, Peenya, and has also acted on the complaint filed by Anti-Corruption Council of India and take necessary action against the Sub-Registrar and Anti-Corruption Council of India after due enquiry, which shall be preceded by iss