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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

Service Law—Penalty—Judicial Review—The imposition of a penalty in disciplinary proceeding lies in the sole domain of the employer—Unless the penalty is found to be shockingly disproportionate to the charges which are proved, the element of discretion which is attributed to the employer cannot be interfered with.

2018(4) Law Herald (SC) 3239 : 2018 LawHerald.Org 1936 IN THE SUPREME COURT OF INDIA Before Hon’ble Mr. Justice Dr. Dhananjaya Y. Chandrachud Hon’ble Mr. Justice M.R. Shah Civil Appeal…

Succession Act, 1963, S.63—Will-Suspicious Circumstance—Beneficiary of Will deposed that in lieu of services rendered by him testator had executed the Will in his favour-But as per evidence on record beneficiary was in Army service from year 1960-1979, where as the Will was executed in the year 1970—Apart from beneficiary no other family members gave statement in support of services rendered by them—Will though was registered but discarded — Will—Proof of Execution—For proving the Will not only statutory requirements are to be satisfied but the Will should be ordinarily free from suspicious circumstances

2018(4) Law Herald (SC) 3233 : 2018 LawHerald.Org 1935 IN THE SUPREME COURT OF INDIA Before Hon’ble Mr. Justice N.V. Ramana Hon’ble Mr. Justice Mohan M. Shantanagoudar Civil Appeal No.…

Criminal Law–Detention–Writ petition before High Court to quash the order of detention–Orders were restrained to be enforced–Became infructuous by lapse of time–Writ was allowed with the observation that the respondents will be at liberty to pass any fresh order if so required to take appropriate action thereafter in accordance with law–Order of High Court set aside–The proper order required to be passed was to call upon the respondent first to surrender pursuant to detention order

2009(1) LAW HERALD (SC) 49 IN THE SUPREME COURT OF INDIA Before The Hon’ble Mr. Justice Arijit Pasayat The Hon’ble Mr. Justice Mukundakam Sharma Criminal Appeal No. of 2008 (Arising…

Criminal Law–Five persons convicted and sentenced by Session Court–Four accused preferred Criminal appeals–High Court allowed the appeal of one but in respect of others confirmed the order of conviction and sentence–Appeal before Supreme Court–Contention that when the High Court acquitted one of the accused not believing the prosecution story and granted benefit of doubt to him, such benefit ought to have been to the appellant also when a part of the prosecution story was not believable and was not behaved by the High Court, on the same set of facts and circumstances, it ought not to have convicted the appellant–Contention repelled

2009(1) LAW HERALD (SC) 42 IN THE SUPREME COURT OF INDIA Before The Hon’ble Mr. Justice C.K. Thakker The Hon’ble Mr. Justice D.K. Jain Criminal Appeal No. 386 of 2007…

Backwages–Backwages are ordinarily to be granted, keeping in view the principles of grant of damages in mind–It cannot be claimed as a matter of right. Transfer of Employee–Ordinarily an employee who has been transferred should, subject to just exceptions, join at his transferred place–Ordinarily in an industrial undertaking indiscipline should not be encouraged.

2009(1) LAW HERALD (SC) 27 IN THE SUPREME COURT OF INDIA Before The Hon’ble Mr. Justice S.B. Sinha The Hon’ble Mr. Justice Cyriac Joseph Civil Appeal No. 7011 of 2008…

Dowry death–No evidence on record to show that the cruelty or harassment was meted out to her for brining insufficient dowry–Ingredient of section 304-B cannot be said to have been proved. Dowry–Meaning of–Giving or agreeing to give any property or valuable security in connection with marriage of the parties–Customary payment in connection with birth of a child and other ceremonies are not covered.

2009(1) LAW HERALD (SC) 19 IN THE SUPREME COURT OF INDIA Before The Hon’ble Mr. Justice S.B. Sinha The Hon’ble Mr. Justice Cyriac Joseph Criminal Appeal No. 476 of 2005…

Amendment of decree–Court may not have suo moto power to award a decree but same would not mean that court cannot rectify a mistake–If a property was subject matter of pleadings and court did not frame an issue which it ought to have done, it can, at later stage when pointed out may amend the decree — Decree–When the parties have brought on records by way of pleadings and/or other material that apart from property mentioned by plaintiff in his plaint, there are other properties which could be a subject matter of partition, the court would be entitled to pass a decree even in relation thereto.

2009(1) LAW HERALD (SC) 14 IN THE SUPREME COURT OF INDIA Before The Hon’ble Mr. Justice S.B. Sinha The Hon’ble Mr. Justice Cyriac Joseph Civil Appeal No. 7008 of 2008…

Evidence Law–Extra Judicial confession–Circumstantial evidence–An extra judicial confession is, on the face of it, a weak piece of evidence and the Courts are reluctant in the absence of a chain of cogent circumstances to rely on this evidence for the purpose of recording a conviction–Evidence Act, 1872, Section 3 and 24.

2009(1) LAW HERALD (SC) 11 IN THE SUPREME COURT OF INDIA Before The Hon’ble Mr. Justice Dalveer Bhandari The Hon’ble Mr. Justice Harjit Singh Bedi Criminal Appeal No. 377 of…

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