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Presidency Towns Insolvency Act, 1909 — Section 9(2) — “Decree or order” — Whether includes a recovery certificate issued by a Debts Recovery Tribunal under the Recovery of Debts Due to Banks and Financial Institutions Act, 1993 (pre-2016 amendment) — Held, no — Insolvency Act, being weighed with grave civil consequence of “civil death”, must be strictly construed — Expression “decree or order” must bear the meaning assigned under Ss. 2(2) and 2(14), CPC, requiring adjudication by a “court” in a “suit” — A DRT recovery certificate, not being a decree or order of a court within this meaning, cannot found an insolvency notice under S. 9(2) — Ratio of Paramjeet Singh Patheja v. ICDS Ltd., (2006) 13 SCC 322 (rendered qua arbitral awards) held to rest on a wider principle applicable equally to DRT recovery certificates — Impugned judgment of Division Bench, Bombay High Court, affirming Single Judge’s quashing of insolvency notice, upheld. Persons with Disabilities (Equal Opportunities, Protection of Rights and Full Participation) Act, 1995 — Section 47 — Non-discrimination in government employment — Employee acquiring disability during service — Mandatory obligation on employer to shift employee to alternate post with same pay and service benefits, or, failing that, to accommodate on supernumerary post till superannuation — Respondent, a CRPF Constable (Driver), rendered blind/partially blind in 1996 and medically invalidated from service in 1998 without consideration of alternate posting — Held, S. 47 casts a positive and mandatory obligation on employer to protect disabled employee and not await a request for accommodation — Order of medical invalidation dated 11-3-1998 held ultra vires S. 47 and Arts. 14 and 21 of the Constitution — Single Judge’s direction reinstating respondent, upheld by Division Bench, affirmed in principle, though relief modified in view of respondent’s superannuation — Kunal Singh v. Union of India, (2003) 4 SCC 524; Bhagwan Dass v. Punjab State Electricity Board, (2008) 1 SCC 579; Ravinder Kumar Dhariwal v. Union of India, (2023) 2 SCC 209, relied on. State Financial Corporations Act, 1951 — Sections 29 & 30 — Auction sale of mortgaged property by Financial Corporation for recovery of dues — Judicial review of, scope — Borrowers persistently defaulting over eight years despite multiple opportunities, repayment schedules fixed by High Court, and statutory notices — Financial Corporation auctioning mortgaged property after affording repeated chances including a final 21-day matching offer, which borrowers ignored — Held, fairness required of a Financial Corporation cannot be carried to the extent of disabling it from recovering what is due to it; fairness is not a one-way street — Courts have no say in matters between the Corporation and its debtor except where there is (a) statutory violation, or (b) the Corporation has acted unfairly/unreasonably — Writ court/civil court does not sit as an appellate authority over commercial decisions of the Corporation — Absence of prior valuation report, by itself, held insufficient to vitiate auction where borrowers never objected to the basis of sale (BOS — balance outstanding as on date of possession/sale deed) and themselves sought to retain the property on the very same terms — Concurrent findings of Trial Court and High Court setting aside auction sale, reversed. Protection of Children from Sexual Offences Act, 2012 — Sections 19(1) & 21 — “Knowledge that such an offence has been committed” — Meaning and scope — Held, not confined to direct/personal knowledge of commission of offence based on person’s own senses — Includes awareness founded on receipt of credible information regarding commission of offence punishable under the Act — Where such information is received directly from the victim, capable of communicating/reporting/informing, the same is deemed credible — Restrictive construction confining “knowledge” to direct, sensory knowledge would render sub-sections (5) & (6) of S. 19 and R. 4 of POCSO Rules, 2012 non-functional, and defeat the protective purpose of the Act — Person receiving report from victim not obliged to independently verify or investigate truth of allegation before reporting — Conducting a prior “verification exercise” to ascertain correctness of the child’s complaint, and reporting only if own assessment finds signs of assault, is impermissible and defeats the very purpose of the Act, since it may result in disappearance of evidence and delay — Delhi Rent Control Act, 1958 — Section 14(1)(b) — Subletting, assignment or parting with possession — Whether involuntary transfer pursuant to statutory scheme of bank amalgamation attracts the provision — Original tenant-bank (HCB) amalgamated with another bank (PNB) pursuant to a Scheme framed by RBI and notified by the Central Government under S. 45 of the Banking Regulation Act, 1949 — Consequent thereto, HCB ceased to exist and all its rights, including tenancy rights in the demised premises, vested in PNB, which came into possession without the landlord’s written consent — Held, S. 14(1)(b) is of wide amplitude, covering subletting, assignment, and “any other mode” by which possession is parted with, and does not distinguish between voluntary and involuntary transfers — Once the twin ingredients — transfer of tenancy rights/possession, and absence of the landlord’s written consent — are satisfied, the provision is attracted irrespective of the reasons necessitating the transfer — Contention that a statutory amalgamation stands outside the mischief of the provision, rejected

Presidency Towns Insolvency Act, 1909 — Section 9(2) — “Decree or order” — Whether includes a recovery certificate issued by a Debts Recovery Tribunal under the Recovery of Debts Due to Banks and Financial Institutions Act, 1993 (pre-2016 amendment) — Held, no — Insolvency Act, being weighed with grave civil consequence of “civil death”, must be strictly construed — Expression “decree or order” must bear the meaning assigned under Ss. 2(2) and 2(14), CPC, requiring adjudication by a “court” in a “suit” — A DRT recovery certificate, not being a decree or order of a court within this meaning, cannot found an insolvency notice under S. 9(2) — Ratio of Paramjeet Singh Patheja v. ICDS Ltd., (2006) 13 SCC 322 (rendered qua arbitral awards) held to rest on a wider principle applicable equally to DRT recovery certificates — Impugned judgment of Division Bench, Bombay High Court, affirming Single Judge’s quashing of insolvency notice, upheld.

Persons with Disabilities (Equal Opportunities, Protection of Rights and Full Participation) Act, 1995 — Section 47 — Non-discrimination in government employment — Employee acquiring disability during service — Mandatory obligation on employer to shift employee to alternate post with same pay and service benefits, or, failing that, to accommodate on supernumerary post till superannuation — Respondent, a CRPF Constable (Driver), rendered blind/partially blind in 1996 and medically invalidated from service in 1998 without consideration of alternate posting — Held, S. 47 casts a positive and mandatory obligation on employer to protect disabled employee and not await a request for accommodation — Order of medical invalidation dated 11-3-1998 held ultra vires S. 47 and Arts. 14 and 21 of the Constitution — Single Judge’s direction reinstating respondent, upheld by Division Bench, affirmed in principle, though relief modified in view of respondent’s superannuation — Kunal Singh v. Union of India, (2003) 4 SCC 524; Bhagwan Dass v. Punjab State Electricity Board, (2008) 1 SCC 579; Ravinder Kumar Dhariwal v. Union of India, (2023) 2 SCC 209, relied on.

Arbitration and Conciliation Act, 1996 – Section 11(6) – Appointment of arbitrator – Arbitration agreement entered into between the parties provides Hong Kong as the place of arbitration – Agreement between the parties choosing “Hong Kong” as the place of arbitration by itself will not lead to the conclusion that parties have chosen Hong Kong as the seat of arbitration -HELD Section 11 has no application to “International Commercial Arbitrations” seated outside India – Words in Clause 17.1 “without regard to its conflicts of laws provisions and courts at New Delhi shall have the jurisdiction” do not take away or dilute the intention of the parties in Clause 17.2 that the arbitration be administered in Hong Kong

SUPREME COURT OF INDIA FULL BENCH MANKASTU IMPEX PRIVATE LIMITED — Appellant Vs. AIRVISUAL LIMITED — Respondent ( Before : R. Banumathi, A.S. Bopanna and Hrishikesh Roy, JJ. ) Arbitration…

Service Matters

HELD Uttar Pradesh Higher Judicial Services – Judicial review – Dismissal – Disciplinary action – Natural suspicion as to the integrity and honesty of the appellant in several land acquisition cases – Held, There is no explicit mention of any extraneous consideration being actually received or of unbecoming conduct on the part of the appellant – The order of dismissal dated 17.01.2006 passed by Respondent No. 1 is set-aside, and the appellant’s prayers for reinstatement with consequential benefits including retiral benefits, is accepted.

SUPREME COURT OF INDIA FULL BENCH SADHNA CHAUDHARY — Appellant Vs. STATE OF U.P. AND ANOTHER — Respondent ( Before : S.A. Bobde, CJI , B.R. Gavai and Surya Kant,…

Registration Act, 1908 – Section 17(1)(d) – Leases of immovable property – Lease deeds allegedly executed between the defaulting rice miller(s) and the respondent(s), as they do not satisfy the statutory requirements of Section 17(1) (d) HELD The writ petitions filed by the respondent lessees are dismissed, however, with liberty to pay dues with penalty/interest of the original rice millers and thereafter on production of ‘No Dues Certificate’ seek allocation of paddy for custom milling in accordance with the policy of FCI.

SUPREME COURT OF INDIA FULL BENCH FOOD CORPORATION OF INDIA AND ANOTHER — Appellant Vs. M/S. V.K. TRADERS AND OTHERS — Respondent ( Before : S.A. Bobde, CJI , B.R.…

Consumer Protection Act, 1986 – Section 2(d) – Meaning of “Consumer” – Destruction of some part of the crop – Respondent lodged a consumer complaint alleging negligence and breach of contract on the part of the Appellant on the ground that the Appellant failed to buy back her produce, leading to the destruction of the greater part of the crop – Appellant contested the farmers’ claims before consumer fora on the preliminary point of maintainability right up to this Court, HELD Tendency to resist even the smallest of claims on any ground possible, by exploiting the relatively greater capacity of seed companies to litigate for long periods of time, amounts to little more than harassment of agriculturists, Appeal dismissed

SUPREME COURT OF INDIA DIVISION BENCH M/S NANDAN BIOMATRIX LIMITED — Appellant Vs. S. AMBIKA DEVI AND OTHERS — Respondent ( Before : Mohan M. Shantanagoudar and R. Subhash Reddy,…

V IMP :: Expeditious Adjudication Of Cheque Bounce Cases: SC Registers Suo Motu Writ Petition HELD “A matter which is supposed to be disposed of summarily by the trial court in six months, it took seven years for this case to be disposed of at the trial court level. A dispute of such nature has remained pending for 15 years in various courts, taking judicial time and space up till this Court”

Expeditious Adjudication Of Cheque Bounce Cases: SC Registers Suo Motu Writ Petition [Read Order] LIVELAW NEWS NETWORK 7 March 2020 7:28 PM The Supreme Court has registered a Suo Motu…

Constitution of India, 1950 – Articles 14, 19 (1) (a), 19 (1) (c) and 21 – Organisation of political nature – Any organisation which habitually engages itself in or employs common methods of political action like ‘bandh’ or ‘hartal’ ,’rasta roko’, ‘rail roko’ or ‘jail bharo’ in support of public causes can also be declared as an organisation of political nature, according to the guideline prescribed in Rule 3 (vi) – Foreign Contribution (Regulation) Act, 2010

SUPREME COURT OF INDIA DIVISION BENCH INDIAN SOCIAL ACTION FORUM (INSAF) — Appellant Vs. UNION OF INDIA — Respondent ( Before : L. Nageswara Rao and Deepak Gupta, JJ. )…

Hindu Adoptions and Maintenance Act, 1956 – Sections 7 and 11 – Adoption – Two important conditions as mentioned in Sections 7 and 11 of the Act of 1956 are the consent of the wife before a male Hindu adopts a child and proof of the ceremony of actual giving and taking in adoption – HELD Appellant was not adopted by the Respondent and her husband – Appellant had failed to prove that she has been adopted by the Respondent and her husband. – Appeal dismissed.

SUPREME COURT OF INDIA DIVISION BENCH M. VANAJA — Appellant Vs. M. SARLA DEVI (DEAD) — Respondent ( Before : L. Nageswara Rao and Deepak Gupta, JJ. ) Civil Appeal…

Income Tax Act, 1961 – Rule 16(2) – Attachment (DRT) – If an attachment has been made under Schedule II to the Act, any private transfer or delivery of the property shall be void as against all claims enforceable under the attachment HELD Rule 16(1) also stipulates that no civil court can issue any process against such property in execution of a decree for the payment of money. However, the property can be transferred with the permission of the Tax Recovery Officer.

SUPREME COURT OF INDIA DIVISION BENCH M/S. CONNECTWELL INDUSTRIES PRIVATE LIMITED — Appellant Vs. UNION OF INDIA THROUGH MINISTRY OF FINANCE AND OTHERS — Respondent ( Before : L. Nageswara…

Vehicle Owner’s Insurance Claim Cannot Be Repudiated Merely Because Driver Was Possessing Fake Licence: SC HELD “If the driver produces a licence which on the face of it looks genuine, the employer is not expected to further investigate into the authenticity of the licence unless there is cause to believe otherwise. “

Vehicle Owner’s Insurance Claim Cannot Be Repudiated Merely Because Driver Was Possessing Fake Licence: SC [Read Judgment] Ashok Kini 4 March 2020 9:22 PM “If the driver produces a licence…

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