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2026 Supreme(Online)(Kar) 19450

THE HIGH COURT OF KARNATAKA
Anu Sivaraman, Tara Vitasta Ganju, JJ
State of Karnataka – Appellant
Versus
Karakushala Kaigarika Sahakara Sangh Ltd. – Respondent
WRIT APPEAL NO. 1321 OF 2023



Advocates:
For the Appellants/Petitioners: Pramodhini Kishen
For the Respondents: Anand B Muddappa

A quasi-judicial authority lacks inherent power to review or recall its own orders unless such authority is specifically conferred by statute or necessary implication; thus, a unilateral withdrawal of an earlier order by such an authority is without jurisdiction and invalid.

Headnote:(A) Karnataka Forest Act, 1963 - S. 109 - Quasi-judicial authority - Power of review - Held, a quasi-judicial authority has no inherent power to review or recall its own order unless specifically conferred by the statute - Order passed by Conservator of Forests withdrawing previous findings without statutory power is unsustainable in law. (Para 11)

(B) Writ Appeal - Scope of interference - Appellate court should not interfere with the findings of the learned Single Judge unless there is perversity or illegality - Findings concerning the absence of jurisdiction to review an administrative order upheld. (Paras 16, 17)

Facts of the case:
The respondent society was supplied sandalwood billets by the State. Disputes arose regarding differential pricing despite an earlier High Court order upholding the State's demand. An order was passed by the concerned forest official (Annexure-W) stating that no amount was due from the respondent. This order rendered a pending writ appeal infructuous. Subsequently, the forest official purported to review and withdraw the original order (Annexure-Y). The Single Judge quashed this review order leading to the present appeal.

Findings of Court:
The Court held that the authority lacked the jurisdiction to review its own order. It further affirmed that since the previous writ appeal was disposed of based on the original order, a subsequent review without challenging the appellate order was procedurally invalid.

Issues: Whether the forest authority as a quasi-judicial body has inherent jurisdiction to review its own order; whether the review order (Annexure-Y) of the forest authority was legally sustainable.

Ratio Decidendi: A quasi-judicial authority lacks inherent power of review unless such power is specifically conferred by the parent statute; consequently, the withdrawal of a prior order by such an authority, which formed the basis for the disposal of a separate writ appeal, is legally void.

Result: Appeal dismissed.

Table of Content
1. factual background of the writ appeal and the order challenged. (Para 1 , 2 , 3)
2. summary of the proceedings and the history of demands made by the forest department. (Para 4 , 5 , 6 , 7 , 8 , 9 , 10)
3. determination on the lack of inherent power of quasi-judicial authorities to review orders. (Para 11 , 12 , 13 , 14 , 15 , 16)
4. final confirmation and dismissal of the appeal. (Para 17)

ORAL JUDGMENT

(PER: HON'BLE MRS. JUSTICE ANU SIVARAMAN)

The writ appeal is preferred challenging the judgment in W.P.No.2602/2012 dated 15.12.2022 passed by the learned Single Judge of this Court.

2. We have heard Smt. Pramodhini Kishan, learned Additional Government Advocate appearing for the appellants as well as Sri. Anand B Muddappa, learned counsel appearing for the respondent.

3. The writ petition was filed seeking to quash the order dated 22/23.08.2006 passed by the Deputy Conservator of Forests in file No.B3-Srigandha-ca 45/2005-06 produced at Annexure-T and also to quash the order dated 13.01.2012 passed by respondent No.3 in Case No.1/Sec/(109)/08-09 produced at Annexure 'X' and also to issue a direction to respondents No.3 and 4 to refund the fixed deposit amount of Rs.26,97,842/- with interest accrued thereon, in favour of the petitioner.

4. The learned Single Judge, after considering the contentions advanced had set aside the order vide Annexure-Y dated 13.01.2012 and directed the respondent authorities to reconsider the issue of refund of fixed deposit of Rs.26,96,842/- with accrued interest in favour of the petitioner, afresh, after hearing them.

5. The learned Additional Government Advocate submits that the State Government by Order dated 23.05.2003 permitted supply of 10 metric tons of sandalwood billets to respondent No.1–Sahakara Sangha for three years from 2005–06 at 50% of the market value. An Official Memorandum stipulated that payment of market value with applicable taxes must be made in advance before supply. Pursuant to an order dated 01.06.2005, 10 metric tonnes of sandalwood were sold on 13.06.2005 at 50% of market value for Rs.56,31,165/-, which was paid by the respondent through demand draft.

6. It is further submitted that as the rates were revised on the dates of supply, an undertaking dated 26.10.2005 was given stating that the Government had raised the price with effect from 04.07.2005 and that the difference for 4085 kilograms amounted to Rs.23,20,000/- as security deposit. It is contended that the respondent did not pay the difference amount as per the revised rate for the entire 10 metric tonnes of sandalwood. Accordingly, a demand dated 22.08.2005 and a further demand dated 16.04.2009 were raised for Rs.57,45,321/-. The demand dated 16.04.2009 was challenged in W.P. No.27037/2009, and this Court by Order dated 22.11.2010 upheld the demand of Rs.57,45,321/- payable by the respondent as per the revised rates.

7. It is further submitted that appellant No.3 initiated proceedings under Section 109 (Recovery of Money due to Government) of the Karnataka Forest Act, 1963. After hearing the parties and taking note of the encashment of the security deposit of Rs.23,20,000/- and the amount deposited by the respondent in 2006–07, it was calculated that Rs.45,81,908/- was already recovered and that only Rs.11,63,413/- was payable. However, by order dated 24.12.2010, appellant No.3 held that the said amount was not due from the respondent, without knowledge of the Order passed by this Court in W.P.No.27037/2009 dated 22.11.2010.The order dated 24.12.2010 was considered by the Division Bench of this Court in W.A.No.12/2011, which noted that action had been taken during the pendency of the appeal and rendered the appeal infructuous. Thereafter, the Principal Chief Conservator of Forest, by several letters, directed appellant No.3 to reconsider the order dated 24.12.2010, as the demand dated 16.04.2009 for Rs.57,45,321/- had been upheld by the learned Single Judge in W.P. No.27037/2009. In view of this, th

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