2013 Supreme(Mad) 1601
High Court of Judicature at Madras
M. JAICHANDREN & M.M. SUNDRESH, JJ.
The Administrator, Kancheepuram Kamakshiamman Co-Operative Spinning Mills Ltd. Kuralagam
Versus
M/s. Kakkera Brothers, Rep. by its Managing Partner & Others
M.P.No.1 of 2012 in Rev.Appln.SR.No.91625 of 2012 in OSA.No.56 of 2006, Original Side Appeal Nos.71 of 2007 & 167 to 173 of 2007, W.P.12316 of 1999, W.P.No.2550 of 2008, Cont.P.No.625 of 2005, & M.P.No.1 of 2009, 1 of 2011, WPMP Nos.6123 of 2003 & 167 of 2007
Decided on : 12-04-2013
S. Gomathi Nayagam, Additional Advocate General, Assisted by M. Venugopal, G.A, (C.S.), P. Madhan, M/s. F.X.A.F. Denny, Ms. AL. Gandhimathi, S.D.S. Philip, M. Muthappan, V.G. Sureshkumar, S.D. Philip, R. Suryanarayana, M/s. P. Kavitha, D. Babu, M/s. Mumta Pandey, S. Gomathi Nayagam, Rev. Appln. Additional Advocate General, M. Venugopal, G.A, (C.S.). S. Gomathinayagam, Additional Advocate General Asst. By Mr.S.Gunasekaran, GA.(W), M/s. T. Kokilavani, K. Srinivasan, Advocates.
Headnote:
Delay Condonation - Cotton Merchants Dispute - Tamil Nadu Relief Undertakings (Special Provisions) Act, 1969, Arbitration and Conciliation Act, 1996 - Summary: The court dismissed the delay condonation application due to lack of sufficient cause and dismissed the review application and appeals. The court held that the delay of 1891 days was not adequately explained and cited legal principles to support its decision.
Fact of the Case:
The case involved disputes between cotton merchants and the government regarding payments under the Tamil Nadu Relief Undertakings (Special Provisions) Act, 1969. The court considered delay condonation, review application, and appeals related to the arbitration awards and payments to the merchants.
Finding of the Court:
The court found that the delay condonation application lacked sufficient cause and dismissed the review application and appeals. It held that the delay of 1891 days was not adequately explained and cited legal principles to support its decision.
Issues: The main issue was the delay condonation application and the review of arbitration awards and payments to the cotton merchants.
Ratio Decidendi: The court applied legal principles related to delay condonation and cited precedents to support its decision to dismiss the delay condonation application and review application.
Final Decision: The court dismissed the delay condonation application, review application, and appeals, citing lack of sufficient cause for the delay and legal principles related to delay condonation.
M.M. Sundresh, J.
1. Application No.1 of 2012 in Review Application SR.No.91625 of 2012 in O.S.A.No.56 of 2006has been filed seeking to condone the delay of 1891 days in filing the review application.
2. O.S.A.Nos.71 of 2007 and 167 to 173 of 2007 have been filed challenging the order of the learned single Judge dated 05.01.2007 passed in O.P.No.533 of 2005, which is the subject matter of O.S.A.No.56 of 2006.
3. W.P.No.12316 of 1999 has been filed as Public Interest Litigation seeking to issue a writ of mandamus directing the respondents to take immediate steps to make the payments due by respondents 4 to 10 to the various parties shown in Annexures A to G with interest at 18% per annum from the date when the outstandings became payable.
4. Contempt Petition No.916 of 2002 has been filed to punish the respondents herein for disobeying the order dated 22.11.2001 made in W.P.No.12316 of 1999.
5. W.P.No.2550 of 2008has been filed seeking to issue a writ of certiorari to call for the records of the first respondent-the Gazette Notification ending with the G.O.Ms.No.58 Handlooms, Handicrafts Textiles and Khadi (CI) Department dated 07.04.2005 of the Government of Tamil Nadu and quash the same as illegal and ultra vires.
6. Contempt Petition No.625 of 2005 has been filed to issue summons to the respondents 1 to 4 for the wilful dis-obedience of the orders of this Court passed in W.A.No.1642 of 2001 dated 04.01.2004 and punish them under the provisions of the Contempt of Court Act.
7. As the issues involved in these matters are similar, both on facts and law, they have been taken up together by way of a common judgment.
8. The facts in brief:
8.1. The private respondents in all these appeals are few hundreds cotton merchants, who had made supplies to the appellants herein, between 1994-1996. As the cooperative mills could not repay the amount, they had been declared as the relief undertakings by the Government on 18.07.1995 under Section 3 of the Tamil Nadu Relief Undertakings (Special Provisions) Act, 1969, by G.O.Ms.No.139 Handlooms, Handicrafts, Textiles and Khadi Department (C1), dated 05.07.1995. The Government of Tamil Nadu framed a Scheme of Settlement in August 1998, by which, three options have been given to the sellers. The first option was to waive their right over 40% of the dues and accept 60% remaining dues as full time settlement which would be paid in three equal monthly instalments on or before 31.03.1999. The second option was to make fresh supplies and then to receive payment of 10% of the old dues. The final option was to wait till the Mills became financially sound and pay the entire dues.
8.2.Most of the suppliers had accepted the option No.1. However, the said option could not be complied with by the Mills and the Government, after paying the initial instalment of 25%.
8.3.As a Social Worker, the writ petitioner in W.P.No.12316 of 1999 filed a Public Interest Litigation. Interim orders have been passed by the Honourable Division Bench of this Court to pay portions of amount to all those merchants to whom the amount was due. A further writ petition in W.P.No.6898 of 2001 was filed by the first respondent in M.P.No.1 of 2012 in Review Application No.SR.91625 of 2012. The said writ petition was dismissed on 06.08.2001, against which, a writ appeal in W.A.No.1642 of 2001 was filed. By way of a common order dated 04.01.2005 in both the writ appeal and the Public Interest Litigation, viz., WA.No.1642 of 2001 and W.P.No.12316 of 1999, a Division Bench of this Court has passed the following order.
"2. It appears that the farmers in Aandhra Pradesh and Tamil Nadu had supplied cotton to the respondent-Mills, but their grievance is that they have not received payment for the same. There is a controversy about the payment due to them and hence, we are of the opinion that this Court under Article 226 cannot properly decide this controversy. We would ordinarily relegate the petitioners to the alternative re