IN THE HIGH COURT OF GAUHATI
Prasanta Kumar Deka, J.
Andrew Yule and Company Ltd. and Another – Appellants
Versus
M/s. Tinsukia Vastra Bhandar – Respondent
Civil Revision Petition No. 349 of 2012
Decided On : 11-11-2019
Jurisdiction - Execution of Decree - Sick Industrial Companies (Special Provisions) Act, 1985 - Section 22(1) - Order 21 Rule 26 CPC - [Money Execution Case No. 2/2007] - [Sections 22(1) of the Sick Industrial Companies (Special Provisions) Act, 1985] - The court discussed the scope of Section 47 of the CPC and the executing court's power to entertain objections regarding the executability of a decree. The court found that the transferee executing court had the jurisdiction to decide the executability of the decree under Section 47 CPC and remanded the case for fresh consideration.
Fact of the Case:
The respondent filed a money suit against the petitioners for recovery of a sum. The petitioners, claiming to be a sick industrial company under the Sick Industrial Companies (Special Provisions) Act, 1985, sought to stay the execution of the decree. Their applications were rejected, leading to the filing of a revision petition.
Finding of the Court:
The court found that the transferee executing court had the jurisdiction to decide the executability of the decree under Section 47 CPC and remanded the case for fresh consideration.
Issues: The main issue was whether the transferee executing court had the jurisdiction to entertain objections regarding the executability of the decree under Section 47 CPC.
Ratio Decidendi: The court held that the transferee executing court had the jurisdiction to decide the executability of the decree under Section 47 CPC and remanded the case for fresh consideration.
Final Decision: The revision petition was disposed of, and the case was remanded to the executing court for fresh consideration.
JUDGMENT :
Prasanta Kumar Deka, J.
1. Heard Mr. K. Agarwal, learned Senior counsel assisted by Mr. N. Deka, learned counsel for the petitioners. Also heard Mr. P.J. Saikia learned counsel for the respondent.
2. In this revision petition order dated 31.7.2012 passed by the learned Civil Judge, Dibrugarh in Misc. (J) Case No. 1/2012 arising out of Money Execution Case No. 2/2007 is under challenge. The respondent as the plaintiff filed Money Suit No. 58/2003 in the court of the then Civil Judge (Senior Division) at Tinsukia against the petitioners as defendants for recovery of Rs. 1,45,019.00, further interest on the decreetal amount @ 24% per annum from 21.9.2003 till recovery alongwith cost. The summons were duly served on the defendants petitioners but as they failed to appear and contest, the suit was decreed ex-parte. The said decree was put to execution which was transferred to the court of learned Civil Judge, Dibrugarh for execution as the defendants petitioners are carrying on business within the jurisdiction of the court under Dibrugarh district.
3. The execution proceeding was initiated by the decree holder respondent upon which Money Execution Case No. 2/2007 was registered in the said court of learned Civil Judge, Dibrugarh. Having come to know about the pendency of said execution proceeding the judgment debtors petitioners filed a petition in the month of January, 2008 under Order 21 Rule 26 CPC read with Section 22 (1) of the Sick Industrial Companies (Special Provisions) Act, 1985 (hereinafter referred as the Act 1985). In the said petition the judgment debtor petitioners contended that due to heavy loss in the business they preferred a reference being Case No. 501/2003 before the Board of Industrial and Financial Reconstruction (BIFR) for declaring the judgment debtor company as sick industrial company. The BIFR vide order dated 20.9.2004 made a declaration u/s 17 of the Act, 1985 holding that the company is a sick industrial Company in terms of Section 3(1)(o) of the Act, 1985. In view of the aforesaid declaration further proceeding of the Money Execution was sought to be stayed in accordance with the provisions of Section 22 of Act 1985. The learned Civil Judge, Dibrugarh after hearing the parties and on perusal of the materials on record rejected the petition vide order dated 27.6.2011 directing the decree holder respondent to take steps in the execution proceeding.
4. On 19.9.2011 the judgment debtor petitioners filed another application under Order 21 Rule 26 CPC for stay of the execution of the decree for a limited period. The respondent as a decree holder filed written objection against the said petition opposing the prayer for stay of the execution proceeding. The petitioners sought for stay of the execution proceeding till March, 2012 on the ground that reference case before BIFR was pending and the judgment debtor petitioners would not be able to pay the entire amount in view of the order of BIFR. The learned court below rejected the said petition vide order dated 16.12.2001 and refused to stay the execution proceeding.
5. The petitioners filed Civil Revision Petition No. 5/2012 under Article 227 of the Constitution of India challenging both the rejection order dated 27.6.2011 and 16.12.2011. Vide order dated 5.11.2012 the revision petition was disposed of granting liberty to the petitioners to file application u/s 47 of the CPC with a direction for consideration of the same and dispose of on merit.
6. The petitioners availing the liberty filed an application u/s 47 CPC and the court of learned Civil Judge, Dibrugarh registered as Misc. (J) Case No. 1/2012. In the said application the relevant facts were stated citing the provisions under the Act 1985. It was also raised in the said petition that though the principal amount was Rs. 93,400/- in the plaint of Money Suit No 58/2003, the judgment debtors petitioners paid an amount of Rs. 10,000/- vide cheque dated 23.11.2005. Subsequent thereto the petitioners is
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