Orissa High Court
A.MISRA,B.K.PATRA
Hemanta Kumar Das - Appellant
Versus
Lilabati Bewa - Respondent
Misc. Appeal No. 31 of 1969
Decided On : 02/18/1970
INJUNCTION - LAND ACQUISITION - ACT 1 OF 1894, S. 18 - CIVIL P. C., 1908, O. 39, R. 1 - TEMPORARY INJUNCTION RESTRAINING WITHDRAWAL OF COMPENSATION MONEY AWARDED IN LAND ACQUISITION PROCEEDING - PRINCIPLES GOVERNING GRANT OF INJUNCTION - BALANCE OF CONVENIENCE - IRREPARABLE INJURY - ADEQUATE SECURITY - COURT HELD THAT IN THE CIRCUMSTANCES OF THE CASE, TEMPORARY INJUNCTION WAS NOT JUSTIFIED AND APPELLANTS WERE ENTITLED TO WITHDRAW THEIR SHARE OF THE COMPENSATION MONEY ON FURNISHING ADEQUATE SECURITY.
Fact of the Case:
Appellants challenged an order granting a temporary injunction restraining them from withdrawing the compensation money awarded to their share in a land acquisition proceeding. The land was acquired in 1952, and the Land Acquisition Court apportioned the compensation among the parties. Respondents filed a suit to set aside the award on grounds of fraud and sought a temporary injunction to prevent the appellants from withdrawing their share of the compensation.
Finding of the Court:
The court held that the appellants were entitled to withdraw their share of the compensation money as awarded by the Land Acquisition Court on furnishing sufficient security in immovable properties to the satisfaction of the learned Subordinate Judge.
Issues: Whether a temporary injunction should be granted to restrain the appellants from withdrawing the compensation money awarded in the land acquisition proceeding.
Ratio Decidendi: The court held that the principles governing the grant of injunction under Order 39, Rule 1, Civil P. C. are: (1) the applicant must show a serious question to be tried and a probability of success; (2) the court's interference is necessary to protect the applicant from irreparable injury; and (3) the comparative mischief or inconvenience from withholding the injunction is greater than that from granting it. In the present case, the court found that the plaintiffs had not shown that they would suffer irreparable injury if the injunction was not granted, as the appellants had offered to furnish adequate security for the amount to be withdrawn. The court also found that the balance of convenience favored the appellants, as the compensation money was already in deposit and would not earn any interest while it remained there, while the appellants could benefit from withdrawing their share and using it.
Final Decision: The court allowed the appeal, set aside the order of the court below, and ordered that the appellants be entitled to withdraw their share of the compensation money on furnishing sufficient security.
Judgement
A. MISRA, J.- This appeal has been preferred against an order granting temporary injunction restraining the appellants from withdrawing the compensation money awarded to their share in a land acquisition proceeding.
2. The facts, in brief, are that 1.294 acres of land were acquired by the State in 1952 in Land Acquisition Case No. 3 of 1952-53. In the course of the said proceeding, the Land Acquisition Collector made a reference u/s. 18 of the Land Acquisition Act to the District Judge, Cuttack which was registered as Misc. Case No. 64 of 1956 (L.A.). In the said proceeding before the Land Acquisition Court, it was held that respondents Nos. 1 to 8 were entitled to one-third interest in the acquired property and the court passed orders apportioning the compensation awarded between the different parties. Respondents Nos. 1 to 8 filed T. S. No. 73 of 1968 to set aside the aforementioned award on grounds of fraud and claimed that they alone are entitled to the entire compensation money amounting to about Rs. 85,000/-. They also filed a petition under Order 39, Rules 1 and 2, Civil P. C. for grant of a temporary injunction restraining the present appellants from withdrawing the compensation money awarded to their share by the Land Acquisition Court. The learned Subordinate Judge allowed this prayer and issued a temporary injunction restraining the appellants from withdrawing their share of the compensation money till disposal of the suit. The said order is under challenge in this appeal.
3. For the appellants, it is contended that in the circumstances proved, there is no valid ground for issue of a temporary injunction, particularly when they are prepared to furnish adequate security for the amount to be withdrawn, they will be put to considerable loss as the compensation money already in deposit will not earn any interest during the period payment is not made to them in accordance with the injunction order. On the other hand, learned counsel for respondents Nos. 1 to 8 contends that though the Land Acquisition Court has passed an award declaring the share to which the appellants are entitled, the said award having been brought about by fraud committed by the appellants, they should not be allowed to withdraw the amount, and in case such withdrawal is permitted, plaintiffs will be put to considerable hardship in recovering the same when ultimately they succeed in the suit. It is also argued that when the validity of the award is being challenged on grounds of fraud, it is necessary that the status quo as it was on the date of the suit should be maintained.
4. The well-settled principles which govern exercise of the discretion conferred under Order 39, R. 1, Civil P. C. in the grant of injunction are (1) the person seeking a temporary injunction must satisfy the Court that there is a serious question to be tried in the suit and that on the facts before the Court there is a probability of his being entitled to the relief asked for; (2) Court's interference is necessary to protect the applicant from the species of injury which is described as irreparable before his legal right can be established on trial and (3) the comparative mischief or inconvenience which is likely to occur from withholding the injunction will be greater than that which is likely to arise from granting it.
5. In the present case, there is no dispute that the award passed by the Land Acquisition Court apportioning the compensation amount between the respective parties has the force of a decree. No appeal was filed against the said decision of the Land Acquisition Court, and as such, so long it stands, the appellants are entitled to the share of money awarded to them. Plaintiffs in the title suit have sought to set aside the decision of the Land Acquisition Court on grounds of fraud. To succeed in such a suit, the onus necessarily is on the plaintiffs to establish positively the species of fraud on which the award of the Land Acquisition Court is sought to be
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