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2018 Supreme(Chh) 152
IN THE HIGH COURT OF CHHATTISGARH, BILASPUR
Thottathil B. Radhakrishnan, J.
The Insurance Corporation of India Limited – Petitioner
Versus
Mohan Chandra Mukharjee S/o Lt. Harpado Mukharjee – Respondent
WP 227 No. 890 of 2012
Decided On : 09-03-2018
The finality of the award of Permanent Lok Adalat and the limited scope of judicial review under Article 227 in matters where the jurisdiction of the Permanent Lok Adalat is not under challenge.
Headnote:
Article 227 - Challenge to Permanent Lok Adalat Award - The court upheld the finality of the award of Permanent Lok Adalat and refused to interfere under Article 227 of the Constitution of India.
Fact of the Case:
The Life Insurance Corporation of India filed a writ petition challenging an award passed by the Permanent Lok Adalat, specifically contesting the quantum of the award and the assessment of the claim.
Finding of the Court:
The court found that the challenge raised was against the quantum of the award and the assessment of the claim, but the jurisdiction of the Permanent Lok Adalat was not under challenge. The court held that the award of the Permanent Lok Adalat is final and binding, and refused to interfere under Article 227 of the Constitution of India.
Issues: Challenge to Permanent Lok Adalat award on grounds of disproportionate quantum and erroneous assessment of claim.
Ratio Decidendi: The court emphasized the finality of the award of Permanent Lok Adalat as per Section 22E of the Legal Services Authorities Act, 1987, and cited precedent to support the limited scope of judicial review under Article 227 in such matters.
Final Decision: The writ petition under Article 227 of the Constitution of India was dismissed, and the petitioner was directed to pay costs to the respondent.
1. This writ petition under Article 227 of the Constitution of India filed by the Life Insurance Corporation of India challenging an award passed by the Permanent Lok Adalat.
2. The challenge levied to the impugned award, as reflected from the ground as enumerated in paragraph 9.1 to 9.4 of the writ petition, clearly show that the challenge raised is against the quantum of award on the plea that it is disproportionate and the assessment of the claim has been erroneously done. The jurisdiction of the Permanent Lok Adalat to deal with the matter is not under challenge.
3. In terms of Section 22E of the Legal Services Authorities Act, 1987 every award of the Permanent Lok Adalat under that Act shall be final and binding on all the parties thereto and on persons claiming under them. Such an award is deemed to be a decree of a Civil Court and shall not be called in question in any original civil application or execution proceedings. Therefore, the said statutory provision as to the finality of the award of Permanent Lok Adalat will have to be borne in mind, even while deciding application under Article 227 of the Constitution of India.
4. It is the settled position of law that except in certain exceptional cases of gross perversity, when the jurisdiction of Tribunal or the constitution of Permanent Lok Adalat is not under challenge, the supervisory jurisdiction under Article 227 of the Constitution of India ought not to be extended to sit in judicial review on such matters. For support, see the judgment of this Court dated 05.12.2017 passed in WP (227) No. 448 of 2012, Bajaj Allianz Life Insurance Company Limited vs. Dr. Manisha Goyal.
5. For the aforesaid reasons, on due examination the impugned order, no ground is found for interference under Article 227 of the Constitution of India. Therefore, this writ petition fails.
6. In the result, this petition under Article 227 of the Constitution of India is dismissed with costs fixed at Rs. 25,000/-. Appellant is directed to pay the Respondent such costs within one month from today.
