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2025 Supreme(Bom) 1395

IN THE HIGH COURT OF JUDICATURE AT BOMBAY
AMIT BORKAR, J.
Shri Shivneri Sahakari Bank Ltd. – Appellant
Versus
Rupee Cooperative Bank Ltd. – Respondent
Writ Petition No. 2623 of 2024
Decided On : 09-12-2025

Advocates Appeared:
For the Appellant : A.R. Gole
For the Respondents: Nitin Deshpande, Anjali S. Shinde

The territorial jurisdiction for hearing writ petitions under Article 227 is determined by the location of the original authority, not the appellate authority, as mandated by administrative rules.

Headnote:(A) Constitution of India - Articles 226 and 227 - Bombay High Court Appellate Side Rules, 1960 - Territorial jurisdiction - Writ petition arising from the Kolhapur District - The petition must be heard by a Single Judge at the Kolhapur bench in view of Rule 3A, which mandates such allocation. The original dispute arose in Kolhapur, and the administrative rules define the proper forum for hearing petitions. (Paras 2, 10, 15, 28)

(B) Jurisdiction - The court clarified the distinction between Articles 226 and 227, emphasizing the importance of the situs of the original court for determining the appropriate bench to hear disputes. The doctrine of merger does not apply to the allocation of jurisdiction for petitions under Article 227. (Paras 3, 18, 30)

(C) Supreme Court Precedents - The judgment referred to various Supreme Court rulings that established the principle of jurisdiction linked to the original authority rather than the appellate authority, supporting the position that disputes must follow the geographical origin for internal allocation. (Paras 19, 21, 24)

Table of Content
1. dispute's jurisdiction based on events in kolhapur. (Para 1 , 2)
2. petitioner's arguments on articles 226 and 227. (Para 3 , 4 , 5)
3. respondent's reliance on jurisdictional definitions. (Para 6 , 7 , 8 , 9)
4. critical questions on bench jurisdiction. (Para 10 , 11)
5. internal allocation of work based on rule 3a. (Para 12 , 14 , 15 , 16 , 17)
6. impact of doctrine of merger on territorial jurisdiction. (Para 18 , 19 , 21 , 22)
7. chief justice's authority in judicial allocation. (Para 20 , 23 , 24 , 25)
8. final determination of hearing rights based on rule 3a. (Para 26 , 27 , 28 , 29)
9. court's order directing transfer to kolhapur bench. (Para 30 , 31 , 32)

JUDGMENT :

AMIT BORKAR, J.

1. The issue that requires adjudication is, whether having regard to the statutory framework, the administrative notifications issued by the High Court, and Rule 3A of the Bombay High Court Appellate Side Rules, 1960, the present writ petition under Article 227, which arises from a dispute originating in Kolhapur District, is required to be heard and decided by the learned Single Judge at the Kolhapur Bench instead of the Court at the principal seat.

2. The facts relevant to this issue are not in dispute. The Co operative Court No. 1 at Kolhapur dismissed Dispute No. 1539 of 2006. The Maharashtra State Cooperative Appellate Court, Mumbai, Pune Bench, allowed the appeal by judgment and order dated 10 February 2022 and thereby allowed the dispute. The letter of credit which formed the basis of the dispute was opened by Respondent No. 3 at the Kolhapur branch of the petitioner Bank. Respondent No. 1 carries on business at Kolhapur, though its registered office is at Pune. All relevant transactions which gave rise to the dispute took place in Kolhapur District. A circuit bench of this Court now sits at Kolhapur under the Notifications and the amended Rules referred to by the parties. On these facts, the parties have taken different positions as to jurisdiction.

3. Mr. Gole, learned counsel for petitioner relies on the distinction between Articles 226 and 227 of the Constitution. It is contended that Article 226 clause (1) is concerned with the authority or person to whom the writ is to be issued, that is, the situs of the authority. Article 226 clause (2) is concerned with the place where the cause of action arises, wholly or in part. Clause (2) was brought on the statute book by the Constitution (Fifteenth Amendment) Act, 1963. According to the petitioner, this amendment imported the doctrine of cause of action into Article 226. It is further urged that Article 227 contains no such reference. Article 227 vests in every High Court the power of superintendence over all Courts and Tribunals throughout the territories in relation to which it exercises jurisdiction. There is no express mention of cause of action. Therefore, according to the petitioner, in proceedings under Article 227, the High Court looks only at the situs of the subordinate Court or Tribunal whose order is impugned. The concept of cause of action, as understood in the Code of Civil Procedure, has no role in deciding territorial jurisdiction under Article 227. The petitioner then stresses that the present petition is expressly filed under Article 227 and not under Article 226. It is argued that once the petitioner has invoked only the supervisory jurisdiction, the tests evolved under Article 226(2) about cause of action and part of cause of action are not attracted. The High Court exercises superintendence over “all Courts and Tribunals in the State” and the only test, according to the petitioner, is the location of the Court or Tribunal which has passed the order subject to challenge.

4. The petitioner further submits that the Kolhapur seat of this Court is only a circuit bench. It is not a permanent bench established under Section 51(2) of the States Reorganisation Act, 1956. Being a circuit bench, it remains only a part and extension of the principal seat at Bombay. Under S

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