2010(2) Bankmann 403 (Ker.)
KERALA HIGH COURT
S.S. Satheesachandran, J.
Govindankutty Memon —Petitioner
versus
Shaji —Respondent
Writ Petition (C) No. 33013 of 2009
Decided on 24.11.2009
For the Petitioner:S.K. Balachandran and Mr. P.V. Jyothi (Palakkappillil), Advocates.
For the Respondent: None
IMPORTANT POINT
When a criminal case is referred to the Adalat and it is settled at the Adalat, the award passed has to be treated only as an order of that Criminal Court and it cannot be executed as the decree of a civil Court.
Headnote:Negotiable Instruments Act, 1881—Section 138—Legal Service Authority Act, 1987—Section 21—Award of Lok Adalat—Lok Adalat constituted under Legal Service Authority Act one case referred from a Court Civil or Criminal can only pass an order which the reference Court was competent to pass in the matter—When a Criminal Case is referred to Lok Adalat and it is settled at Adalat, award passed has to be treated only as order of that Criminal Court and it could not be executed as decree of Civil Court—Petitioner’s complaint u/s. 138 of N.I. Act was referred to Lok Adalat where it was settled culminating in passing of an award—Respondent committed default in making the payment—Petitioner filed execution in Civil Court seeking execution of award of Lok Adalat—Civil Court declined to entertain petition holding that award passed by Lok Adalat on reference from Magistrate could not be treated as decree—No illegality in impugned order. (Paras 6 & 7)
S.S. Satheesachandran J.—The Writ Petition is filed seeking mainly the following reliefs:
1. To call for the entire records leading to Exhibit P2 and issue ah order of certiorari quashing the same.
2. To issue a writ of mandamus or any other appropriate writ, order or direction directing the principal Munisffs Court, Ernakulam to entertain the execution petition filed by the petitioner to execute the Ext. P1 award.
2. Petitioner filed a complaint against the respondent for the offence punishable under Section 138 of the Negotiable Instruments Act. Complaint was referred to the Lok Adalat where it was settled by the parties culminating in passing of an award. The respondent under the settlement agreed to pay the cheque amount of Rs. 5,500/- in five equal monthly instalments of Rs. 1,100. The respondents committed default in making the instalment payment. Petitioner, thereupon, filed an execution petition before the Munsif Court seeking the execution of the award passed in the Lok Adalat.
3. The learned Munsif declined to receive the Execution Petition on the file of the Court for the reason that the award passed by the Lok Adalat on reference from the Magistrate Court cannot be construed as a decree executable by the Civil Court. Ext.2 is the order passed by the learned Munsif. Propriety and correctness of Ext. P2 order is challenged in the writ petition invoking the supervisory jurisdiction vested with this Court under Art. 227 of the Constitution of India.
4. I heard the learned Counsel for the petitioner. Having regard to the submissions made and taking note of the facts and circumstances presented, I find no notice to the respondent is necessary and it is dispensed with. Inviting my attention to Section 21 of the Legal Service Authorities Act, 1987, learned counsel for the petitioner vehemently contended that every award passed by the Lok Adalat shall be deemed to be a decree executable by a Civil Court. Reliance was also placed on Thomas v. Thomas Job1; Merlin v. Yesudas2; Sreedharan T. v. S.L of Police3 and State of Punjab v. Jalour Singh4 to contend that the settlement or compromise agreed by the parties in the presence of the Lok Adalat is an executable order, and it has to be construed as a decree passed by a Civil Court.
5. The question posed for consideration is when a criminal case referred to by the Magistrate Court to Lok Adalat is settled by the parties and an award is passed recording the settlement, can it be considered as a decree of a Civil Court and, thus, executable by that Court. Section 21 of the Legal Service Authorities Act, 1987, reads thus:
“21. Award of Lok Adalat—(1) Every award of Lok Adalat shall be deemed to be a decree of a Civil Court or, as the case may be; an order of any other Court and where a compromise or settlement has been arrived at, by a Lok Adalat in a case referred to it under sub-sec. (1) of Section 20, the Court fee paid in such case shall be refunded in the manner provided under the Court Fees Act, 1870 (7 of 1870).
(Sub-sec. (2) omitted as not relevant).
6. Every award passed by the Lok Adalat has to be deemed to be a decree of a Civil Court and as such executable by that Court is the argument canvassed by the learned counsel for the petitioner. I cannot agree with the proposition. If that be so, Section 21 need not have any further provision that the award of the Lok Adalat shall be deemed to be an order of any other Court, which prima facie, indicates that all awards cannot come within the ambit of a decree of a Civil court. When a reference is made from .the Civil Court or Criminal Court to the Lok Adalat, that authority is exercising the powers enjoined by the reference Court in passing an award. In a complaint referred from a Criminal Court, if it is settled and an award is passed in the Lok Adalat, such award will not acquire the characteristics of a decree of a Civil Court. To say so is patently erroneous as the Lok Adalat constituted under the Legal Servic