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2025 Supreme(Online)(Ker) 51381

IN THE HIGH COURT OF KERALA AT ERNAKULAM
MURALI PURUSHOTHAMAN, J
K.G. USHA, T.R. HARIKISHANAN – Appellant
Versus
B. RAGHAVAN, T.K. RADHAKRISHNAN – Respondent
OP(C) NO. 183 OF 2020 | IOP NO.19 OF 2018



Advocates:
For the Appellants/Petitioners: SRI.P.K.RAVISANKAR
For the Respondents: SHRI.G.SREEKUMAR (CHELUR), SHRI.D.ANIL KUMAR

The court emphasized the necessity of complete financial disclosure in applications to sue as an indigent person, with the burden on the opposing party to prove otherwise.

Headnote:(A) Kerala Court Fees and Suits Valuation Act, 1959 - Section 22 - Code of Civil Procedure, 1908 - Order 33 Rule 1 - Application to sue as indigent person - Court held that the plaintiff was permitted to sue as an indigent person, as there was no evidence showing sufficient means to pay court fees - Vital issues concerning the status of the partnership and the plaintiff's financial means were inadequately addressed. (Paras 6, 12, 13)

(B) Indigency - Burden of proof lies with the opposing party to establish that the applicant can pay court fees - The court emphasized that an incomplete disclosure of assets when applying to sue as an indigent person may result in claims being rejected if deemed deliberate. (Paras 9, 10)

Facts of the case:
The plaintiff, a managing partner of a partnership firm, sought permission to sue without paying court fees, claiming he was indigent. The court found no evidence that he had sufficient means to pay the required fee of Rs. 8,30,880/- and permitted him to sue as an indigent person after an inquiry. The defendants contested the plaintiff's claim of indigency, asserting that he was suppressing assets.

Findings of Court:
The original Sub Court’s order allowing the plaintiff to sue as an indigent person was set aside due to failure to adequately consider financial disclosure and the status of the partnership. The matter was remitted for reconsideration.

Issues: Whether the plaintiff qualifies as an indigent person and whether all partners must be included in the application.

Ratio Decidendi: The court underscored the importance of complete and honest disclosure of financial means in applications to proceed as an indigent party, stating that failure to do so could disqualify an applicant from such status.

Result: The order of the Sub Court was set aside, and the matter was remitted for fresh consideration.

Table of Content
1. challenging order for indigent status. (Para 1 , 2 , 3)
2. arguments on plaintiff's financial status. (Para 4 , 7)
3. sub judge findings on admissibility of evidence. (Para 5 , 6)
4. relevant case law on indigent status. (Para 8 , 9 , 10 , 11)
5. assessment of omission and directions for reconsideration. (Para 12 , 13)

JUDGMENT

This original petition is filed challenging Ext.P7 order passed by the Principal Sub Court, Ernakulam in I.O.P. No.19 of 2018 permitting the 1st respondent to sue as an indigent person.

2. The petitioners herein are defendants 1 and 2 in the I.O.P. The 1st respondent herein is the plaintiff and the 2nd respondent is the 3rd defendant therein. The status of the parties will be referred to as in the I.O.P.

3. In Ext.P1 plaint, it is stated that the plaintiff is the Managing Partner of M/s Amber Moli Homes, a registered partnership firm, which is not presently carrying on business due to financial constraints. The firm was engaged in the business of building constructions, land modification works and in due course of their business, they entered into agreement with defendants 1 and 2. The suit is for realisation of an amount of Rs. 1,12,48,000/- due as per the agreement, together with interest at the rate of 12% per annum. It is stated that the agreements entered into between the parties are in the name of the firm, and that the plaintiff, being the Managing Partner of the firm, is competent to file the suit as he is the signatory to the agreements. It is stated that the valuation for the purpose of court fee as per Section 22 of the Kerala Court Fees and Suits Valuation Act , 1959 is Rs.8,30,880/- and the plaintiff is not in a position to raise the requisite amount to pay the court fee. Accordingly, the plaintiff filed Ext.P2 petition under Order 33 Rule 1 of Code of Civil Procedure (the CPC) to permit him to sue as an indigent person and exempt him from paying the court fee.

4. The defendants 1 and 2 filed counter affidavit stating that the plaintiff is having sufficient means to pay the court fee and as such, he is not an indigent person. It was contended that the assets and income of other partners of the firm are suppressed by the plaintiff and without the firm and other partners on the party array, the application is liable to be dismissed for non-joinder of necessary parties.

5. The plaintiff was examined as PW1. Ext.B1 lawyer's notice and Ext. B2 RC particulars of vehicle bearing No. KL-39 C 0391 was marked on the side of the defendants. The learned Sub Judge caused an enquiry into the means of the plaintiff through the Village Officer who reported that the plaintiff is not having any movable or immovable properties.

6. The learned Sub Judge, by Ext.P7 order, held that there is no evidence before the court to show that the plaintiff has sufficient means to pay the court fee. It was observed that the plaintiff does not have any permanent employment, and that the car owned by him, as evident from Ext. B2 is not in his possession and has been given to his friend. The learned Sub Judge also observed that there is no evidence before the court to show that there are other partners in the firm or that they have sufficient means to pay the court fee. Accordingly, Ext.P2 application was allowed and the plaintiff was permitted to sue as an indigent person and the I.O.P. was allowed to be converted as original suit. The relevant portion of Ext. P7 order reads as follows:

“7. The certificate produced by the village officer clearly shows that petitioner is having no movable or immovable properties. The learned counsel appearing for the respondents elaborately cross examined PW1. But nothing was brought out in evidence to disbelieve the evidence given by PW1. Absolutely, there is no evidence before this court that petitioner is having sufficient means to pay court fee shown in the plaint. It is come out in evidence that petitioner is not having any permanent job and his wife was employed in a private sc

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