IN THE HIGH COURT OF CHHATTISGARH, BILASPUR
DEEPAK KUMAR TIWARI, J.
South Eastern Coalfields Limited - Petitioner
Versus
Ramdular Khande, S/o. Late Kanhaiya Khande & Ors. - Respondents
CR No. 62 of 2023
Decided On : 29-04-2024
Succession Certificate - Jurisdictional Issue - Indian Succession Act, 1925, Section 370(2), Section 371 - The court discussed the jurisdictional issue under Section 371 of the Indian Succession Act, 1925, and the interpretation of Section 370(2) regarding debts and securities. The court also emphasized the summary nature of proceedings for grant of succession certificate and the inapplicability of res judicata in such proceedings.
Fact of the Case:
The case involved a dispute over the issuance of a succession certificate for the amount in the deceased employee's CMPF account. The petitioner, an employer, contested the issuance of the certificate, citing jurisdictional issues, lack of impleadment, and the nature of the amount as debt or security.
Finding of the Court:
The court found that the succession certificate holders were validly entitled to receive the amount, and the petitioner's challenges lacked merit. The court emphasized the summary nature of succession proceedings and dismissed the Revision.
Issues: The issues involved jurisdictional questions, impleadment of parties, and the nature of the amount in the CMPF account as debt or security.
Ratio Decidendi: The court emphasized the summary nature of succession proceedings, the inapplicability of res judicata, and the interpretation of provisions under the Indian Succession Act, 1925, regarding jurisdiction and debts/securities.
Final Decision: The Revision was dismissed, affirming the validity of the succession certificate and the entitlement of the holders to receive the amount.
ORDER :
1. This Revision has been preferred against the order dated 13th April, 2023 passed in Succession Appeal No.1/2022, whereby the District Judge, Janjgir had affirmed the findings recorded by the Succession Court i.e. the Civil Judge Class-I, Akaltara on 22nd March, 2022 in Succession Case No.6/2021, whereby succession certificate has been issued in favour of respondents No.1 to 3 to receive an amount of Rs.11,92,864/- in CMPF Account No. BLP/13/1380 held by the deceased namely, Rameshwari, respondent No.1 being husband in relation and respondents 2 & 3 being children of the deceased employee and the Appeal was dismissed.
2. Facts of the case are that respondents/non-applicants No.1 to 3 had earlier filed a succession application before the Civil Judge, Class-I, to the Additional Judge, Korba bearing Succession Case No.3/2020, which was withdrawn on 3rd April, 2021. Mother of the deceased employee, namely, Ram Kunwar had also filed a case bearing No.2A/2021 before the Civil Judge, Class -I, Katghora and the same was dismissed for non prosecution on 4th March, 2022. During the pendency of the case, mother of the deceased employee had expired on 7.2.2023 (Annexure-1/6). Respondents/non-applicants No.1 to 3 had subsequently filed Succession Application before the Civil Judge, Class-I, Akaltara bearing Case No.6/2021 alleging that non-applicant No.1 is the husband whereas non-applicants No.2 & 3 are children of the deceased. After enquiry, the said application was allowed in favour of non-applicants No.1 to 3. The petitioner herein was not impleaded as party in the original application and the same ground was raised by the petitioner herein in Succession Appeal No.1/2022 that the petitioner is a necessary party to decide the controversy effectively and completely between the parties, however, the said Appeal was dismissed. Thereafter the present Revision has been filed.
3. Learned counsel for the petitioner would submit that the petitioner being an employer is a necessary party, which is having service record of deceased Rameshwari and not arraying the petitioner as party is fatal. He further submits that the deceased has made nomination in favour of her mother Ram Kunwar, however, he would not dispute the fact that during the pendency of the case, mother of the deceased had expired on 7.2.2023. The Succession Application is barred by the principle of res judicata, as the earlier application was withdrawn. He further submits that the amount lying with the CMPF is not a security or debt, as defined under Section 370 (2) of the Indian Succession Act, 1925 (for short ‘the Act, 1925’). He further submits that the subject application was not filed before the jurisdictional Civil Court, as the deceased was ordinarily residing at Korba District, whereas the application was filed before the Civil Court, Janjgir. Therefore, in view of the provisions under Section 371 of the Act, 1925, the said application was not maintainable before the latter Court. He lastly submits that on the basis of succession certificate, respondent No.1 is also trying to seek employment, though he fairly submits that the succession certificate does not give any right in favour of the holder of the certificate to get employment and the employment is to be given strictly as per the scheme/policy and the Rules of the organization. He would place reliance on the judgment of the Hon’ble Supreme Court in the matter of Mumbai International Airport Pvt. Ltd. Vs. Regency Convention Centre and Hotels Pvt. Ltd and Ors., AIR 2010 SC 3109 (Para-8) and also on the judgment rendered by the Delhi High Court in the matter of M/s Indian Associates Vs. Shivendra Bahadur Singh and Others, AIR 2003 Delhi 292 (paras-29 to 33) to submit that the petitioner herein is a necessary party. He prays that the orders passed by the Appellate Court and the Civil Court (Succession Court) are bad in law and the same may be set aside and the matter be remitted back to decide the same afresh, in ac
Mumbai International Airport Pvt. Ltd. Vs. Regency Convention Centre and Hotels Pvt. Ltd and Ors.
Succession Certificate – Grant of Succession Certificate merely identifies hands in which death benefits/debts/securities be given – Scope to determining shares of parties would not be available in p....
Section 373 merely lays down that Court is required to be satisfied that there is ground for entertaining application namely by a person who desires to make a claim.
The Court cannot direct the deposit of charges for succession certificate for the entire claim/security when the petitioner is claiming only a portion of the security.
Entitlement to family pension and succession benefits granted to the second wife, affirming her legal status as a widow under applicable pension rules, despite the opposition from children of the fir....
Section 371 of Act reads as court having jurisdiction to grant certificate.
Compliance with the requirements of the Indian Succession Act, Section 372 is essential for the issuance of a succession certificate.
The appellate court must base its decisions on the evidence presented and cannot dismiss a case based on conjectures, especially when the relationship of the parties is established and undisputed.
The court clarified that proceedings under Section 372 of the Indian Succession Act are summary and do not grant final adjudication of rights, allowing for provisional determinations to meet urgent n....
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