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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 Evidence Act, 1872 — Section 48 — Proof of custom — Essential attributes and standard of proof — Custom must be ancient, certain, reasonable, and continuous, and proved by clear and cogent evidence of long and uniform usage, ordinarily through testimony of persons familiar with its practice — Onus lies on the party asserting the custom — A custom cannot be held established on the solitary, unsupported testimony of one witness, particularly where such testimony is confined to the facts of the case rather than a general and consistent practice — Held, on facts, while the custom of a ghardamad acquiring rights in his father-in-law’s property stood proved, the specific claim that an uncle-in-law could similarly adopt a ghardamad was not established, being unsupported by consistent evidence — Civil Procedure Code, 1908 (CPC) — Orrder 11 Rules 1(4) & 5 (as amended by Commercial Courts Act, 2015, Sch.) — Additional documents, filing of — Standard of “reasonable cause” — Held, plaintiff obliged to file all documents in its possession along with plaint; leave to file additional documents within 30 days of institution of suit permissible only on establishing reasonable cause for non-disclosure and justification for subsequent discovery — Distinction between “reasonable cause” (applicable standard under Or. XI Rr. 1(4)/(5)) and “sufficient cause” reaffirmed, following Sudhir Kumar v. Vinay Kumar G.B., (2021) 13 SCC 71 — However, even applying the lower threshold of “reasonable cause”, application for additional documents rightly rejected where documents were in appellant’s possession since inception of suit and no explanation furnished for delay of over five years — Commercial Courts Act, 2015

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 —

Service Matters

Bihar Health Service (Appointment and Service Conditions) Rules, 2013 – Rules 5 and 6(iii) – Grant of weightage on the basis of work experience – Rule 5 and 6(iii) of the Bihar Health Service (Appointment and Service Conditions) Rules, 2013 are construed to include the experience gained by a doctor in any hospital run by the Bihar Government or its instrumentalities, as well as any other non­private hospital (including those run by the Central Government, Municipalities and Panchayati Raj Institutions; or other public authorities) within the territory of Bihar

SUPREME COURT OF INDIA DIVISION BENCH DR. (MAJOR) MEETA SAHAI — Appellant Vs. STATE OF BIHAR AND OTHERS — Respondent ( Before : Deepak Gupta and Surya Kant, JJ. )…

Chandigarh Housing Board {hereinafter ‘CHB’) invited bids to implement an integrated project with residential, commercial, and other related infrastructure facilities at the Rajiv Gandhi Chandigarh Technological Park in Chandigarh- HELD We also note that the finding in the arbitration award dated 09.01.2015 as to the apportionment of liability between the Developer and CHB to pay the principal sum and general compensation, must be given effect.

SUPREME COURT OF INDIA DIVISION BENCH CHANDIGARH HOUSING BOARD — Appellant Vs. M/S. PARASVANATH DEVELOPERS PVT. LTD. AND ANOTHER — Respondent ( Before : Mohan M. Shantanagoudar and R. Subhash…

Penal Code, 1860 (IPC) – Sections 302 and 201 – Criminal Procedure Code, 1973 (CrPC) – Section 161 – Murder – Dead body was recovered at the instance of the appellant – A complete chain which clearly leads to only one inference that it is the accusedappellant alone who could have murdered deceased – Appeal dismissed.

SUPREME COURT OF INDIA DIVISION BENCH HARINDER SINGH @ HIRA — Appellant Vs. THE STATE OF PUNJAB — Respondent ( Before : Deepak Gupta and Aniruddha Bose, JJ. ) Criminal…

Penal Code, 1860 (IPC) – Section 302 – Criminal Procedure Code, 1973 (CrPC) – Section 313 – Murder of child by mother – Appeal against conviction and sentence – Circumstantial evidence – HELD Though the doctor has opined in the post-mortem report, the cause of death is asphyxia but in absence of any clear evidence on record it is not safe to convict the appellant for the offence under Section 302 IPC – Appeal allowed.

SUPREME COURT OF INDIA DIVISION BENCH MANJU — Appellant Vs. STATE OF DELHI — Respondent ( Before : Mohan M. Shantanagoudar and R. Subhash Reddy, JJ. ) Criminal Appeal No.…

General Conditions 64 (3)(a)(ii) and 64 (3)(b) of the Contract HELD -The appellant is directed to send a fresh panel of four retired officers in terms of Clause 64(3)(b) of the General Conditions of Contract within a period of thirty days from today under intimation to the respondent-contractor. The respondent-contractor shall select two from the four suggested names and communicate to the appellant within thirty days from the date of receipt of the names of the nominees.

SUPREME COURT OF INDIA FULL BENCH RAILWAY ELECTRIFICATION — Appellant Vs. M/S ECI-SPIC-SMO-MCML (JV) A JOINT VENTURE COMPANY — Respondent ( Before : R. Banumathi, A.S. Bopanna And Hrishikesh Roy,…

Orissa Public Premises (Eviction of Unauthorized Occupants) Act 1972 – Section 4(1) – Conversion of the leasehold plot to freehold – Recomputation – There was no justification for the High Court to direct that the rate for the computation of conversion charges should be that which was applicable on the submission of an application

SUPREME COURT OF INDIA DIVISION BENCH STATE OF ODISHA AND OTHERS — Appellant Vs. BICHITRANANDA DAS — Respondent ( Before : Dr. Dhananjaya Y Chandrachud and Hrishikesh Roy, JJ. )…

Companies Act, 2013 – Sections 230 and 232 – Income Tax Act, 1961 – Sections 139(1), 139(5) and 170(1) -In view of the provisions of Section 170(1) of the Income Tax Act, the Department is required to assess the income of the Appellants after taking into account the revised Returns filed after amalgamation of the companies.

SUPREME COURT OF INDIA DIVISION BENCH M/S DALMIA POWER LIMITED AND ANOTHER — Appellant Vs. THE ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE 1, TRICHY — Respondent ( Before : Uday…

Invocation or encashment of bank guarantee – HELD The settled position in law that emerges from the precedents of this Court is that the bank guarantee is an independent contract between bank and the beneficiary and the bank is always obliged to honour its guarantee as long as it is an unconditional and irrevocable one

SUPREME COURT OF INDIA DIVISION BENCH STANDARD CHARTERED BANK — Appellant Vs. HEAVY ENGINEERING CORPORATION LIMITED AND ANOTHER — Respondent ( Before : L. Nageswara Rao and Ajay Rastogi, JJ.…

Landlord’s Derivative Title Has To Be Established When It Is Challenged By Tenant: SC  HELD the landlord is not required to prove his title in the subject property as in a title-suit, but when his/her derivative title is challenged, the same has to be established in some form.

Landlord’s Derivative Title Has To Be Established When It Is Challenged By Tenant: SC   LIVELAW NEWS NETWORK 21 Dec 2019 2:14 PM “When the landlord’s derivative title is challenged, the…

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