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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 —

Evidence Act, 1872, S. 35–Juvenile Justice (Care & Protection of Children) Act, 2000, S. 68–Juvenile Justice (Care & Protection of Children) Rules 2001, R. 22–Age of Juvenile–Determination of age–An entry in a school register may not be a public document and, thus, must be proved in accordance with law–Medical opinion rendered in this case corroborates the entry made in the Admission register of the school ,having been proved in accordance with law, no reason as to why the same should not be taken into consideration–No infirmity in the order passed by the High Court.                                                    

2010(1) LAW HERALD (SC) 732 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. 909 of 2009…

Service Matters

Appeal for enhancement of compensation–No submission made against the order of the High Court denying liberalised pension, hence not interfered with–Earnings of the deceased were a source of sustenance for the family–Besides, loss of a son at such a young age creates a void in the family, which cannot be filed up by making payment of any compensation–SC enhanced  the amount to Rs. 2 lakhs.  

2010(1) LAW HERALD (SC) 729 IN THE SUPREME COURT OF INDIA Before The Hon’ble Mr. Justice V.S. Sirpurkar The Hon’ble Dr. Justice Mukundakam Sharma Civil Appeal No. 140 of 2010…

Kidnapping for ransom and murder–All three accused-appellant committed offence of murder in a pre-planned manner by using scientific methods–Soon after kidnapping, deceased was reduced to a corpus with the help of chemicals and he was done to death in inhuman, diabolical and dastardly manner–Sentence  converted from death sentence to life imprisonment

2010(1) LAW HERALD (SC) 713 IN THE SUPREME COURT OF INDIA Before The Hon’ble Mr. Justice Harjit Singh Bedi The Hon’ble Mr. Justice J.M. Panchal Criminal Appeal Nos. 1396-1397 of…

Service Matters

Suspension–If the revision takes effect from a date prior to the date of suspension of a Government servant then he would be entitled to benefit of increment  pay and in the subsistence allowance for the period of suspension, if the revision scale of pay takes effect from a date falling within the period of suspension then the benefit of revision of pay and the subsistence allowances will accrue to him, only after reinstatement.

2010(1) LAW HERALD (SC) 706 IN THE SUPREME COURT OF INDIA Before The Hon’ble Mr. Justice R.V. Raveendran The Hon’ble Mr. Justice K.S. Radhakrishnan Civil Appeal No. 1096 of 2010…

Recount of votes–Specified officer has no jurisdiction to entertain election petition for recount of votes even with consent of the parties. Madhya Pradesh Panchayats (Election Petition, Corrupt Practices and Disqualification for Membership) Rules, 1995–Madhya Pradesh Panchayat Raj Adhiniyam, S.122–Election Petiton–Post of Sarpanch–Recounting of votes–Willful disobedience of the order of the High Court–Specified officer has no jurisdiction to entertain election petition for recount of votes even with consent of the parties.

2010(1) LAW HERALD (SC) 703 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. 5096 of 2009…

Service Matters

Services of respondent teachers terminated on the ground that they had absented from duties without informing the Management–Management had not followed proper procedure in terminating services of respondents–Reason for termination of services was not that they were unqualified or untrained teachers but that they had absented from duties–Assuming that they had absented from duties even then admittedly procedure laid down under Clause 13 and 18 of Schedule ‘F’ of the Bombay Primary Education Rules, 1949 had to be followed before terminating their services–Tribunal was justified in ordering reinstatement with full salary and allowances

Shantiniketan Hindi Primary School  v. Pal Hariram Ramavtar 2010(1) LAW HERALD (SC) 686 IN THE SUPREME COURT OF INDIA Before The Hon’ble Mr. Justice R.V. Raveendran The Hon’ble Mr. Justice…

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