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2025 Supreme(Bom) 1434

IN THE HIGH COURT OF JUDICATURE AT BOMBAY
M.S. SONAK, ADVAIT M. SETHNA, JJ.
Arun Kumar Ohri – Appellant
Versus
Rajendra W. Khanna – Respondent
Appeal No. 116 of 2010, Notice No. 1099 of 2009
Decided On : 08-12-2025

Advocates Appeared:
For the Appellants : Gaurang Mehta, Rhea Mehta
For the Respondents: Dinky Pawar, Hemakshi Gandhi

The Competent Authority under the Maharashtra Rent Control Act has jurisdiction to award and enforce damages against a licensee for overstaying, and delays in execution should be minimized to uphold the rights of decree holders.

Headnote:(A) Maharashtra Rent Control Act, 1999 - Section 24(2) - Execution of order awarding damages against the appellant for overshooting the license period - The Competent Authority has jurisdiction to award and execute damages for a licensee overstaying, counter to claims made in appeal regarding lack of authority. (Paras 4-6, 8-9, 17-22, 27-34)

(B) Execution Proceedings - Delay in execution leading to frustration of decree - Courts must ensure that successful litigants do not suffer from unreasonable delays. (Paras 6, 43)

Facts of the case:
The appeal arises from a judgment allowing the execution of an earlier order for damages awarded under the Rent Act after the appellant’s non-compliance since 2004. The appellant argued against the Competent Authority's jurisdiction over damage awards.

Findings of Court:
Upheld the lower court’s judgment, confirming the Competent Authority's jurisdiction to award and execute damages under the Rent Act.

Issues: Whether the Competent Authority had jurisdiction to award damages; whether execution proceedings were barred by limitation.

Ratio Decidendi: The court ruled that the Competent Authority's authority included awarding and executing damages, contrary to the appellant's claims, stressing the importance of resolving the conflict expeditiously.

Result: Appeal dismissed with costs.

Table of Content
1. judgment against appellant's order execution. (Para 1 , 2 , 3)
2. settlements attempts and delays acknowledged. (Para 4 , 5)
3. supreme court decision highlights execution delay concerns. (Para 6)
4. jurisdiction arguments regarding damages and execution. (Para 8 , 9 , 10 , 11 , 12 , 14)
5. licensor's right to damages per rent act established. (Para 17 , 18 , 19 , 20 , 21)
6. legislative intent to expedite recovery emphasized. (Para 22 , 23 , 24)
7. competent authority's powers address overstay damages clarified. (Para 29 , 30)
8. earlier rulings inform current authority enforcement context. (Para 36 , 37)
9. acknowledgment of appellant's tactics to delay proceedings. (Para 39 , 40)
10. appeal dismissed and order enforcement confirmed. (Para 45 , 46 , 48 , 49 , 51 , 52)

JUDGMENT :

M.S. SONAK, J.

1. Heard the learned Counsel for the parties.

2. This Appeal is directed against Judgment and Order dated 19 December 2009 passed by the learned Single Judge (Coram: A.S. Oka, J, as His Lordship then was) of this Court making notice No. 1099 of 2009 absolute and allowing the execution of the order dated 27 December 2004 of the Competent Authority passed under Chapter VII of the Maharashtra Rent Control Act, 1999 (Rent Act) inter alia awarding damages against the Appellant herein.

3. In effect, the Appellant, who is, in a sense, a judgment debtor has, from 2004 onwards, has substantially succeeded in frustrating the execution of the order dated 27 December 2004 which, entirely consistent with the provisions of Section 24(2) of the Rent Act has directed the Appellant-Licensee to pay damages at double the rate of license the fee or charge of premises fixed under the agreement of license.

4. Mr Mehta, at the outset, submitted that the amount in relation to which these execution proceedings are pending is hardly Rs. three to four lakhs. He submitted that the decree holders have already withdrawn some amount against the bank guarantee. He further submitted that the Appellant had issued cheques to pay this amount, but they were dishonoured. He submitted that ultimately, the Appellant has not only paid the amount reflected on the cheques but also a matching amount in the criminal prosecution. He submitted, therefore, that this was a fit case in which some settlement could be explored.

5. While we are not opposed to any settlement, it was noted that several attempts had been made, all of which failed. The parties have been litigating for years. Even the amounts received by the decree holders, though seemingly small to the Appellant here, are against a bank guarantee they must have been servicing all these years. This is an appeal from 2010, so we saw no point in further postponing the hearing of this appeal.

6. In Satyawati vs. Rajender Singh & Anr. (2013) 9 SCC 491, the Hon’ble Supreme Court has held that there should not be an unreasonable delay in the execution of a decree because if the decree holder is unable to enjoy the fruits of his success by getting the decree executed, the entire effort of a successful litigant would be in vain. The Court has referred to several decisions which hold that judgment debtors do not abuse the process of the Court in a manner that makes the Courts of law instrumental in defrauding creditors who have obtained decrees in accordance with their rights. The Court also noted the proverbial observation by the Privy Council that the difficulty of a litigant in India commences after he obtains adecree. This appears to be one such case. The Appellant is determined to ensure that the decree holder (the original decree holder having already expired) does not obtain the fruits of the decree.

7. The facts and circumstances which have led to the institution of this Appeal are clear from the learned Single Judge’s impugned order dated 19 December 2009. Therefore, they are not repeated in this judgment and order.

8. Mr Mehta contended that the Competent Authority under the Rent Act has jurisdiction to order the eviction of

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