IN THE HIGH COURT OF DELHI AT NEW DELHI
SURESH KUMAR KAIT, J.
Transasia Private Capital Limited – Appellant
Versus
Gaurav Dhawan – Respondent
Review Petition No. 102 of 2021 in Ex.P. 37 of 2021
Decided on : 09-12-2021
Code of Civil Procedure, 1908 - Order XXI – Rules 1, 22(2) and 41(2) - Sections 13, 44A and 151 - Payment of salary/statutory dues - Notice to show cause against execution in certain cases - Application for review of judgment - Review petition has been filed by the judgment debtor under the provisions of Order XLVII Rule 1 r/w Section 151 CPC seeking review of order - Pertinently, the aforesaid directions have been passed against the judgment debtor in the execution petition wherein execution of a foreign judgment and order passed by the High Court of Justice Business & Property Courts of England & Wales Commercial Court (QBD) in CL is sought by the decree-holder.
Finding of the Court :
A perusal of Order XXI Rule 22(2) CPC makes it clear as to what would have weighed in the mind of the Court to invoke afore-noted provision of law. During the course of hearing, attention of this Court was drawn by learned counsel for decree holder to fact that judgment debtor had resigned as Director of PCL Foods Pvt. Ltd. three days prior to filing of present petition and an apprehension was expressed that judgment debtor may dispose of his assets, including shareholding with intent to frustrate judgment. In such a scenario the judgment debtor was directed to file affidavit of his assets in Form 16A, Appendix E under Order XXI Rule 41 (2) CPC and further directed not to transfer and alienate or create any third-party interest in respect to its assets to the tune of decreetal amount - Court is only required to correct a mistake and not to substitute a view. Court opinion of this Court, the order does not call for any review
Result: Petition dismissed
ORDER :
1. Vide order dated 24.05.2021, this Court has issued the following directions against the Judgment Debtor:-
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8. The judgment debtor shall not transfer, alienate or create any third-party interest in respect of its assets to the tune of decreetal amount except in the ordinary course of its business such as payment of salary/statutory dues. However, the judgment shall not discharge any liability except the financial liability in respect of a bank/financial institution till the next date of hearing.
9. The judgment debtor shall remain present before this Court on the next date of hearing”
2. Aggrieved against the aforesaid directions issued by this Court, the present review petition has been filed by the judgment debtor under the provisions of Order XLVII Rule 1 r/w Section 151 CPC seeking review of order dated 24.05.2021. Pertinently, the aforesaid directions have been passed against the judgment debtor in the execution petition [EX.P. 37/2021], wherein execution of a foreign judgment and order dated 16.10.2020 passed by the High Court of Justice Business & Property Courts of England & Wales Commercial Court (QBD) in CL-2021-000257, is sought by the decree holder.
3. At the hearing, learned senior counsel for applicant/judgment debtor submitted that under the provisions of Sections 13 and 44A of the CPC, the judgment debtor is entitled to contest a foreign decree and for execution thereof, issuance of a show-cause notice under Order XXI Rule 22(1) CPC is mandatory. Learned senior counsel further submitted that the foreign Award/decree in question, has neither been passed by a Court of competent jurisdiction, nor is it a judgment on merits. It was pointed out that the order under review suffers from material errors, wherein powers under Order XXI Rule 22(2) of the CPC have been invoked, dispensing with requirement of issuance of Show Cause Notice.
4. Learned senior counsel next submitted that the execution petition was filed on 11.05.2021and purported advance service email is also dated 11.05.2021 and even if it is assumed that advance service was affected upon judgment debtor, still it could not have been before 11.05.2021, though the judgment debtor had resigned from the directorship of PCL Foods Pvt. Ltd. on 06.05.2021, which fact was placed on record by the decree holder by filing additional documents on 15.05.2021 i.e. the Company Master Data.
5. It has been pleaded on behalf of judgment debtors that the principles carved out in Bhandari Engineers & Builders Pvt. Ltd. Vs. Maharia Raj Joint Venture 2016 227 DLT 302, have been applied to the domestic decrees and not to foreign decrees, execution of which is sought under Section 44A CPC.
6. Lastly, learned senior counsel has submitted that ex parte directions issued by this Court vide order dated 24.05.2021 has caused great prejudice to the judgment debtor and thereby, this review petition deserves to be allowed and directions of this Court in Paras-6 & 8 of the impugned order dated 24.05.2021 deserve to be set aside.
7. To the contrary, learned senior counsel appearing on behalf of decree holder submitted that the grounds on which the preset review petition has been preferred is beyond the scope of Order XLVII Rule 1 CPC. Learned senior counsel submitted that this Court after examination of the facts, recorded its satisfaction to invoke Order XXI Rule 22(2) CPC and only thereafter, issued the directions in dispute.
8. Learned senior counsel submitted that the execution petition was filed on 11.05.2021 and advance copy thereof along with documents was se
Bhandari Engineers & Builders Pvt. Ltd. Vs. Maharia Raj Joint Venture 2016 227 DLT 302
Power of review can be exercised for correction of a mistake but not to substitute a view. Such powers can be exercised within the limits of the statute dealing with the exercise of power.
Execution of foreign decree requires adherence to procedural norms; revisiting established judgments without new evidence undermines legal certainty.
The execution of foreign decrees from reciprocating territories requires a swift process; however, exceptional circumstances may necessitate the framing of issues and consideration of evidence in det....
Execution under CPC Section 44A for reciprocating territory decrees involves summary Section 13 inquiry; framing issues and evidence allowed only in exceptional circumstances like doubts on service, ....
A court cannot independently impose asset disclosure requirements during execution proceedings without a request from decree holders, ensuring compliance with jurisdictional provisions and protecting....
“Judgment” as per Section 2(9) of CPC means statement given by Judge on grounds of a decree or order.
Once an award is found to be enforceable under Section 49, it is deemed to be a decree from the date of the foreign award. Only broader principles of CPC apply to Part II of the Act.
The executing court cannot go behind the decree unless it is a nullity, and re-agitating objections already dismissed in a previous petition would amount to an abuse of process of law.
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