1953 Supreme(Pat) 79

PATNA HIGH COURT
V.Ramaswami and Choudhary JJ.
Maharaj Kishore Khanna
Versus
Raja Ram Singh
Appeal From Original Order No. 89 of 1949 ; 90 of 1949 ;
Decided On : APRIL 28, 1953

The United Provinces Legislature has no power to legislate for territories outside its jurisdiction or promulgate laws that may have extra-territorial application or affect person or properties beyond its jurisdiction.

Headnote:

UNITED PROVINCES ENCUMBERED ESTATES ACT - JURISDICTION - EXTRATERRITORIAL EFFECT - EXECUTION OF DECREE - ATTACHMENT OF PROPERTY OUTSIDE JURISDICTION - SUBMISSION TO JURISDICTION - LIMITATION - TRANSFER OF DECREE - IRREGULARITY - JURISDICTION OF TRANSFEREE COURT - ARTICLE 181, LIMITATION ACT.

Fact of the Case:

The judgment debtor, Maharaja Kishore Khanna, filed an application under Section 4 of the United Provinces Encumbered Estates Act before the Collector of Benares. The Collector passed an order under Section 6 of the Act and forwarded the application to the Special Judge. The Special Judge passed four decrees in favor of the Banares Bank and certain other creditors for a total amount of Rs. 11 lacs. The decrees were sent by the Special Judge to the Collector of Banares for execution. While the execution was pending, the Allahabad Bank applied to the Collector for the appointment of a receiver in respect of the entire property of the judgment debtor. The Collector allowed the application and appointed a receiver with respect to the properties in Bihar and United Provinces under Section 9C Encumbered Estates Act. The judgment debtor filed an execution petition before the Subordinate Judge of Purnea asking that a sum of Rs. 12,54,636 and odd due under the decree should be realized from the judgment debtor by the sale of the Somapur estate and other properties situated in the district of Purnea. The decree was sent direct by the Civil Judge Banares, to the Subordinate Judge of Purnea under Order 21 Rule 5, C. P. C., together with a certificate of non-satisfaction of the decree.

Finding of the Court:

1. The United Provinces Legislature has no power to legislate for territories outside its jurisdiction or promulgate laws that may have extra-territorial application or affect person or properties beyond its jurisdiction. 2. The decree passed by the Special Judge of Banares under the United Provinces Encumbered Estates Act has no extra-territorial effect and cannot be executed against immovable property outside the territorial limits of United Provinces. 3. The Subordinate Judge of Purnea has no jurisdiction to execute the decree or to attach the properties of the judgment-debtor located in the district of Purnea. 4. The submission of the judgment-debtor to the jurisdiction of the Collector and the Special Judge of Banares does not confer jurisdiction on the Subordinate Judge of Purnea to execute the decree. 5. The execution proceeding in the court of the Subordinate Judge of Purnea is not barred by limitation as it is a continuation of the execution proceeding pending before the Collector of Banares. 6. The Subordinate Judge of Purnea has no jurisdiction to issue an order of attachment against the Receiver or the Additional Collector of Banares with respect to the amount of Rs. 25,000 collected from the Semapere estate.

Issues: 1. Whether the Subordinate Judge of Purnea has jurisdiction to execute the money decree granted by the Special Judge of Banares in favor of the Banares Bank and the other creditors. 2. Whether the provisions of Order 21 Rule 5 were complied with in transferring the decree to the Subordinate Judge of Purnea. 3. Whether the execution of the decree by the Court of the Subordinate Judge of Purnea is barred by limitation.

Ratio Decidendi: 1. The United Provinces Encumbered Estates Act was passed by the Provincial Legislature acting under the authority conferred by Section 80A, Government of India Act, 1919. Section 80A empowered the Provincial Legislature to make laws for peace and good government of the territories for the time being constituting the province. The language of Section 80A makes it clear that the Provincial Legislature could not legislate for territories outside its jurisdiction or promulgate laws that may have extra-territorial application or affect person or properties beyond its jurisdiction. 2. The decree passed by the Special Judge of Banares under Section 14 (7) of the United Provinces Encumbered Estates Act cannot be construed to mean that the decree of a special judge is deemed to be the decree of a Civil Court of competent jurisdiction even beyond the territorial jurisdiction of the State Legislature. 3. The submission of the judgment-debtor to the jurisdiction of the Collector and the Special Judge of Banares does not confer jurisdiction on the Subordinate Judge of Purnea to execute the decree, as submission cannot give any court jurisdiction to entertain an action or proceeding which in itself lies beyond the competence or authority of the Court. 4. The failure to observe the provisions of Order 21 Rule 5 or Rule 8 is a mere irregularity and does not affect the jurisdiction of the Subordinate Judge of Purnea to execute the decree. 5. The proper article applicable in this case is Article 181 and not Article 182, Limitation Act, as the execution proceeding in Purnea Court is merely a continuation of the execution proceeding pending before the Collector of Banares.

Final Decision: Miscellaneous Appeal No. 90 of 1949 is allowed and the judgment of the learned Subordinate Judge is set aside. Miscellaneous Appeal No. 89 of 1949 is also allowed.