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2019 Supreme(Mad) 2037

IN THE HIGH COURT OF JUDICATURE AT MADRAS
N. SATHISH KUMAR, J.
M/s.Shriram Chits Tamil Nadu (P) Ltd. & Ors. - Petitioners
Versus
P. Ravikumar & Ors. - Respondents
CRP.NPD Nos. 1099 to 1101 of 2013
Decided On : 16-04-2019

Advocates Appeared:
For the Petitioner: Mr. K.V. Ananthakrushnan.
For the Respondent: Mr. P. Valliappan, Amicus Curiae.

Headnote:

Civil Procedure Code - Section 115 - Chit Funds Act - Section 58 – jurisdiction - suit wherein the decree was passed - whether to execute the award through Civil Court or through the Revenue authorities as provided under Section 71 and on such option is exercised - Challenging the above orders, the present revision is filed - revision petitioner has referred the dispute relating to chit business before the Registrar under the Chit Funds Act, 1982. In pursuant to such dispute, the Registrar has passed an award under Section 58 of the Chit Funds Act. In pursuant to such award, the Registrar has issued a certificate to execute decree by the City Civil Court. Based on such certificate, Execution Petitions were filed before the Court below. The decree holder took an application to issue percepts to other Court for seeking attachment of property belonged to the judgment debtor. However, the Court below has dismissed the application held that percepts could be issued only by the Court which passed the decree not by the transferee Court - learned Judge took a view that since the award passed by the Registrar has been transmitted to the City Civil Court, the transferee Court has no power to issue percepts and dismissed the applications. Similarly, in C.R.P.No.1099 of 2013, apart from the ground of jurisdiction of the Court to issue percepts, the Court also took note that the value of the award is only Rs.18,000/-. The Court being the Sub-ordinate Court has no jurisdiction to execute such amount on the ground of pecuniary jurisdiction. Challenging the above orders, the present revision is filed – Held, Section 46 of C.P.C. Deals with the issue of percepts though the section states that the Court passed a decree may issue precepts to any other Court which would be competent to execute such decree to attach any property belonging to the judgment debtor and specified in the percepts. Wording of the Section 46 cannot be strictly construed to contend that since Civil Court has not passed a decree, it has no jurisdiction to issue percepts as already indicated the award has not been transferred to the Court under Section 71 of the Chit Funds Act which has been sent to the Court with a certificate for execution. Since the Registrar has no power to execute it as a Court of first instance, the Court which received such order or award would be deemed to be a Court which passed a decree as per Section 37 of C.P.C. Such being the position on receipt of the award with a certificate under Section 71 of Chit Funds Act, such civil Court shall be deemed to be a Court which passed a decree and has power to issue precepts under Section 46. The purpose of issuing the percepts to some other Court for attachment in order is to prevent any encumbrance over the property though property situated outside the jurisdiction of the Court which issues percepts - Therefore, I am of the view that the Civil Court has a power to issue percepts to the Court which has jurisdiction to pass an attachment over the immovable property situates within the jurisdiction of such Court. That being the position, the order of the trial Court rejecting the application is set aside - Other finding of the Court that one of the award is below Rs.18,000/-, the same cannot be executed in Sub-Court in view of the pecuniary jurisdiction under Section 19 of the Provincial Small Cause Courts Act – petition allowed

ORDER :

COMMON PRAYER: Civil Revision Petitions filed under Section 115 of the Civil Procedure Code against the order and decreetal dated 03.09.2012 passed in E.P.S.R.Nos.18720, 18724 and 18711 of 2012 in A.R.C.Nos.302, 746 and 1288 of 2008 (North Chennai), (Central Chennai), on the file of X Assistant City Civil Court at Chennai.

The above civil revision petitions have been filed against the order of the trial Court rejecting the application filed by the decree holder to issue percepts under Section 46 of the Civil Procedure Code.

2. The brief facts leading to file the above revisions are as follows:

The revision petitioner has referred the dispute relating to chit business before the Registrar under the Chit Funds Act, 1982. In pursuant to such dispute, the Registrar has passed an award under Section 58 of the Chit Funds Act. In pursuant to such award, the Registrar has issued a certificate to execute decree by the City Civil Court. Based on such certificate, Execution Petitions were filed before the Court below. The decree holder took an application to issue percepts to other Court for seeking attachment of property belonged to the judgment debtor. However, the Court below has dismissed the application held that percepts could be issued only by the Court which passed the decree not by the transferee Court.

3. The learned Judge took a view that since the award passed by the Registrar has been transmitted to the City Civil Court, the transferee Court has no power to issue percepts and dismissed the applications. Similarly, in C.R.P.No.1099 of 2013, apart from the ground of jurisdiction of the Court to issue percepts, the Court also took note that the value of the award is only Rs.18,000/-. The Court being the Sub-ordinate Court has no jurisdiction to execute such amount on the ground of pecuniary jurisdiction. Challenging the above orders, the present revision is filed.

4. Learned counsel appearing for the revision petitioner submitted that under the Chit Funds Act, when the award is passed, the Registrar has no power to execute the award. The award has to be necessarily sent to the Civil Court with necessary certificate as contemplated under Section 71 of the Chit Funds Act. Therefore, it is his contention that issuance of such certificate will not amounts to transfer of the decree for execution to the other Court. Further, he contented that the Court which has received certificate and award has a jurisdiction to issue a percepts under Section 46 of the Civil Procedure Code, the learned X Assistant City Civil Judge has not considered the Chit Funds Act and also the provisions of the Civil Procedure Code. Hence, prayed for allowing the revision.

5. Mr. Valliappan, Amicus Curiae has submitted that after the award passed under Chit Funds Act, the Registrar has no power to execute it, whereas, the Registrar has passed the award, he has no power to execute it. It is his contention that the Court at first instance has ceased to exist or to have executed Civil Court has jurisdiction. Such being the position, the Court to which such award was sent along with certificate shall be construed as a Court of first instance which passed a decree. Hence, it is his contention that Section 37 of the Civil Procedure Code defines the court which passed the decree. According to him, when the Court of first instance have no jurisdiction to execute its order, the Court which received such order should be deemed to be the Court of first instance for execution. Further, he contented that Section 71 of Chit funds Act, it is only an enabling provision to send the award to the proper Court for execution. No provisions under the Chit Funds Act deals with transferring the award for execution. Hence, it is his contention that the Civil Court has received the award as contemplated under Section 71 of the Chit Funds Act. The Court which received the said award shall be construed as the Court of first instance and it has a jurisdiction to issue precepts under Sec

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