Legal Document View

Unlock Advanced Research with PRISMAI

- Know your Kanoon - Doc Gen Hub - Counter Argument - Case Predict AI - Talk with IK Doc - ...
Upgrade to Premium
[Cites 6, Cited by 1]

Karnataka High Court

M/S India Sugas And Refineries Ltd vs The Deputy Commissioner Bellary on 21 January, 2010

Bench: H.G.Ramesh, Aravind Kumar

 

I W.A.Nos.5243/2009 &
5246-49/2009 (GM»R_ES)

IN THE HIGH COURT OF KARNATAKA

CIRCUIT BENCH AT DHARWAD

DATED THIS THE 21ST DAY OF JANUARY,   I I"

PRESENTn_

TI-IE HON'BLE MR.JUsTAI¢E;1'H~;t;.R.A1v1§:s1§ 

THE HON'BLE MR.JU$ffIoE --_A_I2Aif1raro_Kt;iv1AR
W.A. Nos. 5243'/'~26:-39 35 5;t246:V4L:a/;:2Ioo9 {GMRES}

Between:

M / s.Ind13"Su.gét--r.s';I--,and.__Refinei°ieS._'  '
Ltd., ChI1twadg,:, Ho:-3pet*._'> ¢   '
BeIIa1jy_VDi'strict'1«:;,__ _  '  ' ' 
Repoby itSoA!\/tanagef Fifia'r1ce .
P.S.Kris_h~na Murthgr» ' _  ' -

S / 0 late P.K.Souridar'«Raj..an-

50 yrs.  -   . . .. Appellant
(B;r'Sri.. G Vshahtaraju, Sr.counseI for

 Sr: H,VM.Shash.idhar, Kesvy 85 Co. )

*   ----l)IAe-gouty Commissioner

 BeI_Ig1--ry Bistrict
" . Baellary 583 101

State of Karnataka

Rep by its Secretary
Department of Commerce and
Industries, Vikas Soudha

{'33



7 W.A.Nos.5243l2009 &
5246-49/2009 (GM--RES)

 

1*" floor, Dr.Ambedkar Veedhi
Bangalore--56O 001

3 The Commissioner of Cane
Development and Director of Sugar
No.32, 691 floor, Chowguie house
Crescent Road
Bangalore-56O 001

4 C H Srinivasa Rao 
S/o Chinna Basavaiah A  ,
42 yrs, r/o Basavanadurgégvi11.age
Nagenahalli Post -~ 583 21 1 " ._ 1
Hospet Taluk, Be11ary.V__D'istrictI .

5 T Channappar  --
S / o Chidann'd__aj::.pa E V 1 ~  
38 yrs, r/o Nagcnah.érI1i:';'Vi1lago  M  _
and Post 583 211*  I :  
H0spet"Ta,luk;AWV' 
Be11ary"D,iStrié.t. =i 

6  P Lime-;anr:3ago--uda, _
1 A Soviatc.VShiVabasérva:oagouda
" 40 yrs,.1'/H QV'Na'gE;h'ah'a11i village
émudé Post 583 21111"
-- .. Ho"sp_et'Te;1uk-, Béllary District.

" V. K"1--I§amap1:5é'@ Rarnanna
_ v.5-fffroudappa
_  Vyr_s','_.r/o Benakapura village
" « N.a_g'€;;_n'ahaIli Post 583 21 1
v_ .Ho--spet Taluk, Bellary District.

8 " V AIS K Praveena
 S /0 late Kedareshwara
28 yrs, r/ o Nagenahalli village
and Post 583 211



 

3 W.A.N0s.5243/2009 &
5246-49/2009 (GM-RES)

I-Iospet Taluk,
Bellary District. .. Respondentsfi

(By Dr.Ravivarrna Kumar, Sncounsel for  «e  
Sri K N Phanindra, Adv for R-4, 5, 6, 7  « ..  :_. 

These WAS are filed ur1'd'er¢ S'ect_ivc')ri'V:v 4 it of'; the i

Karnataka High Court Act praij,/ing.,to jset as_id--e "Lh'e_ order

passed in W.P.N0s3872O/2009135 3.s764~'7"57,<20.o9_:jd.at'edV

24--12»2o09.  4_

These WAS coming  prelihxiriaxfir hearing this
day, ARAVIND KUMAR J. ,xrd.eliver'er.;l_ the follQWi.r1g:--

£QE§iLA$"d> ?

 Section 4 of the

Karriéitaltéie  "'C§5urtA"_'}XCtV,' are filed by fourth

resfioziderit.ddestioriiii-zgshe correctness and legality of

the order VpaisVs--ed'gl3y"'"learned Single Judge dated 24-

 iri '""W'.'P.Nos.38720/2009 and 38764»

i  it 767/2i0i09s;r 

 parties are referred as to per their ranks

 before the learned Single Judge. %



 

4 W.A.Nos.S243/2009 &
5246-49/2009 (GM-RES)

3. The facts in a nutsheli are as follows:

(i) The petitioners who are farrner.s_d?.are

growing sugarcane in their lands situate

villages of Bellary district and»__these"'1ai;njds"'~ 

petitioners are within the not:ifpied"tareai*fo'1'  

of the fourth respondien't....V -- sugar   The-9'

petitioners fi1edwritAp_..__pAetition  Nos.

38720/2009  seeking the
following relief-S;  9 V 2 it it

' *1::approp_ria'te.__VWrit or Order or Direction
'A.  the Order / Endorsement
. V'ff-dated._"'---- 16'-12-2009 bearing No.
' _ "I{aAM','..1T*ARA/ISR 904/2006-07 vide

_ V'AI'£'(1€X1_f{1"€-D, order / endorsement
 *-dated" 16-12-2009 bearing No.
""--.I§A1x.Ai/ITARA/ISR 904/2006-07 vide
Anr1eXure--D 1 , order / endorsement

 dated 16-12-2009 bearing no.
~~ KAM/ITARA/ISR 904/2006-07 vide
Anr1exure--D2, order / endorsement
dated 16- 12-2009 bearing No.
KAM/ITARA/ISR 904/2006-07 Vide
Annexure-D3 and order/ endorsement
dated 16- 1 2-2009 bearing No.
KAM/ITARA/ISR 904/2006-07 vide
Annexure-D4, all passed by the 15?
respondent and issued to the

"'Issu'e---Ta \Nri.'t of certiorari or any other



 

5 W.A.Nos.5243/2009 &
5246419/2009 (GM--RES)

petitioners, in the interest of justice
and equity. 

(2) Issue a writ of mandamus or._any"o't.h'er

appropriate Writ or Order_.~-or  
directing the respondents"-._VV1jto 3 "to
permit the peti.ti_one1{s' "t'oTf'.se117.the "

sugarcane crop raisea oin-._tr1e.__lands
belonging to. 1"them~.  _ to »C'~_tihie

persons / factorie 'S'~-'Of their , choice in the ' = ~'
absence of Agreenierit, b"e_tWe.eri the'-

petitioners  the fc.ur'th' respondent
as s_tipulatye.d_g"und_er Clau.se_rS of the
Karn__a'taka_:'i Sugarcane (Regulation of
DistriiilutiofllfE=(I~IospetV)l "Order, 1974 at
Anne2;ure.;£% the "ir1;t.e*rest of justice
c.j"and:equit3¥."_  - ~ "

  i'fi'£v'_he'll:'§. _ respondent--company has
estaljlirushed  and crushing sugar cane

hazing  5:? "$2500 Tons Crushing per Day

 _  a"s~_on  Government of Karnataka in

..exercVis.e"  power conferred on it under Sugar

1

(Contrc1}.:l~"Order reserved certain areas in favour of

 x Vagppellant -- Sugar Factory whereunder farmers in the

 reserved area were to supply sugarcane to the

 appellant - Sugar Factory for crushing.



7 W.A.Nos.5243/2009 &
5246-49/2009 (GM--RES)

4. When the matter was listed for prelirrlinary

hearing before learned Single Judge on 

counsel for fourth respondent i.e., 

volunteered to appear and urirdtertookj V

for fourth respondent and 'thy  of 

counsel appearing for thejparties,.n'1atte_ruV.fas"taken'V'

up for final hearingflxheard' '"d.i.sposecl.,o§'3vy order
dated 24-12-2009 loyi._gii}ingl;:ce:rtai'n.'directions to all
the concerned  farmers and
Deputy  said.-order is now assailed
in these   respondent on various
groundsiuu . V  

  "-ab_o_V& appeals were listed before this

,  1512-2009 for prelirnineuy hearing. This

  interim order dated 31-12-2009 had

stayed operation of order passed by learned Single

2 itludge dated 24-12-2009 subject to the conditions



 

8 W.A.Nos.5243/2009 &
524649/2009 (GM~RES)

stipulated therein. The said conditions reads as

under:

(1)

  A  " "-----"'cornpany
"rec-o_m'm.e-nee _ its' ._:crushing of sugarcane
;_on'6--.1:2c.1Q:

The appellant snail deposit:'.'all's=.iin of"

Rs. 1 .00 crore with re spondenit' '  
or before 5--1--20.10;_"'r n ' ~ ..  

The appel.lan.t  'keep*i'

ready the"2._"perrr1its. "for  cutting
sugarcane p..a_n.fciv--.ir'1timate' -- the. "same to
the '__c'once.rned"' farmers to come and
collect ' the   in my accordance with

the busVi'ness_ praot-ise;..'  

shall

'the'iV.appel1'ant deposits money as per

-- V "cr.)nd'ition. No.1, supra, the respondent

l\lo..l= Ijeputy Commissioner shall take

V' ,p--roper"'course of action to restrain the

 Aifarmers, within the appellant reserve

area, from transporting sugarcane to
some other sugar factory. Further, he

  shall not issue sugarcane permit to the
" farmers to transport to some other

sugar factory. lf respondent No.1 has
already issued sugarcane permit, he
shall take all measures to see that
sugarcane is not transported to some
other industry than that of the

appellant.
@



 

{5}

(5)

(7)

9 W.A.Nos.5243/2009 &
S246-49/2009 (GM-RES)

The appellant shail issue permit to
respondent Nos.4 to 8 within a."period
of five days from today.  

The Deputy Commissioneifr  ~ .9
at liberty to disburse srnga_rca_fnerpric:-2_A
at the rate of,RS51,700/'4"-per'tnetric V'

tonne out of deposit .togth'e-- supplier of

sugarcane, within  a days. frorn the"--dilate

of supply, _

The appe11a;ntT"sha.l1  a 'statement

regarding c.rttshin.g of sugarcane with
all necessary detafls. with respondent
No.1"on-the ifol1o"w.ing 'day of crushing,
regularly,  effect'{fI?0rn 6-1-2010.

glf their  fails to
1..,_d'epos:it._ "1?._s.l".G-(J Crore with the Deputy

 Comn1i.ssi_o11er on or before 5-1-2010,

  * (9%)

A  i .'1'1::t,he in'terirn*~order granted by this Court
  ..  'slhall4rCo.rne to an end automatically.

 iriade clear on the next date of

'..l1earing, that is on 15-1-2010 in the

"-V.eyfent of seeking extension of interim

order, further necessary conditions
including further deposit would be

it  imposed.

 to}

Learned Add1.Govt.Advocate is
directed to communicate this interim
order to the Deputy Commissioner,
Bellary, forthwith." 6%}



E0 W.A.Nos.5243/2009 &
5246419/2009 (GM~»RES)

 

6. It is to be noticed by us that at the tirne of
passing interim order on 31/ 12/ 2009 by this 

was observed as follows-

"On the other hand,:Sri.K.N--';if3hvanihd.fa;'_}_  
learned counsel for':,'res:poAndents_' 4   f
submits that the im'pug_11'ed osrder hash; 

been passed  by 7._e't>nse.r'z't .__s.nd;
therefore the 'present appeal is hot
maintainable.  has.' opposed
granting =;-my inAte"rin_:1"order."  

7. On pa.ssing.~uf..theV'al:lo\}e'V_siai.d"interim order,
this Court   list the matter
on   The above writ
appeals: for further orders on
13 /01 /2010 as.tier"l\Eo_.tification No. HCCB (D) 2 /2010

aa1.iVV1_ir1 /yo 1  1_Q,__y _

   matter was listed before this Bench on
 affidavit came to be filed by appellant

 .. hereiniiwhich was sworn to by the Manager--I-"finance of
i  aoibellant -- sugar factory stating that the interim

 order passed by this Court on 31-12-2009 had been



11 W.A.Nos.5243/2009 &
5246-49/2009 (GM~RES)

complied with and the Deputy Commissioner, inspite

of there being an order of this Court, had

sugar cane grown in the reserved area to---be vd.iT\7elrted"~a "

to other factories. The interim;'order  on

12-2009 was not extended on     «.  

9. Thereafterwardsajl"~n'1atter__   be i'

adjourned to today'.zandp..ii't'  oi3ss.erved"'froa:ln order
dated 31-12--2009  the counsel
for respondentis-a4  that present
appeals   and had opposed
   is also observed from
the Qatar  that issue regarding

Whether  24-12-2009 which is now

 tVi'r1'tp1ig'ne'd.pin these appeals is a consent order or

    kept open to be considered at a later

S't.ag£;_"ar1d' accordingly an order came to be passed on

 .. 3_'1»l2«;2009. The relevant portion of order dated

it  s1+i12--2oo9 reads as under:

*3



I2 W.A.Nos.5243/2009 &
5246-49/2009 (GM-RES)

"On the other hand, Sri K 
Phanindra, learned counsel 
respondents--4 to 8 submits that_.'t.h'e__'~._

impugned order has been passed»  

consent and therefore the _.gp<.rese'nt* 
appeal is not rnaintainab1e,____He'has
opposed granting any~»interii'n order. ' '

"Whether the  '    « .  :7-A

consent order,*o4_r otherwise iwouldibe;
considered at 1atei=._stage.'.'__ '   "

10. Learned   '\fi/ermaii Kumar
appearing for the  to 8 herein
reiterated  x that present
appeals since it is an order
pas   ' » 

 the matter is listed for

prelirninaijtilhearing,  learned counsel for appellant

   Valflfildavit enclosing the letter dated

  addressed by him to the Deputy

Commissioner, Bellary District, Bellary.

12. Sri G V Shantaraju, learned senior counsel

 appearing for appellant, would bring to the notice of



13 W.A.Nos.5243/2009 &
5246-49/2009 (GM-RES)

this Court the order impugned in appeals particularly

paragraphs 6, 8 8:. 9 to contend that learned 

for appellant herein i.e., counsel __for 

respondent before learned Single  v4_'_not_ 

concede and no consent was g'iVen_'i1'or 

amount/ money in its entire:ty_eforAbeing_ by " it

the farmers. Elaborating  * --  E learned
senior counsel would which has
been filed toc1.eiy:~ by  may kindly be
 conceded by the
counlselll  Sugarlvll3'actory before learned
Single  that appellant herein

undertoolll: ..to'id'eplositl the amount in three days in

 referrinlgmit to the actual crushing to be done

  it -b_yp'ap"pelEa:it-:"per day which would be 2500 TCD and

accordingly it is contended that what was intended to

 .. be deposited is Rs.-42,50,000/-- to be paid three days

din' advance and it is on this understanding that

submission was made and order came to be passed.

 ,



 

E7 W.A.N0s.5243/2009 &
5246-49/2009 (GM--RES)

Single Judge. He would further contend that if there

were to be any doubt as to the understanding"of"-.t:h--eA

order dated 24--12»2oo9 the appellant -- segaeaaetesy it

should have approached the learn--e.d  Ru

Way of filing an applicationiff_oii'._iclarification"

should not to have approached» the  as it

has been done n0W';.,.e_gHe   contend that in
View of the applicatioVn.'AhaVviin:g  filed by
the appellant::lgfitf;2fore_'A  the course
left open   same and not
    us to order impugned

'partticularly with reference to

in these 

paragraph    contend that learned counsel

  Sii"i*gaI'--.el3'actorff"before the learned single Judge on

   given consent which in effect can be

c'ategt')1"i.sed under four categories:

i  willing to crush sugarcane.

(ii) financially Viable and Willing to deposit the

amount in advance;



I8 W.A.Nos.5243/2009 &
5246-49/2009 (GM~RES)

(iii) liberty to supply the sugar cane to ___any

other sugar factory if not complyi1l'g.i:'Wit'h

(i) and (ii) referred to above ar1d.'=

(iv) the appellant ~ factory-to  

and for all; if orders are not

these terms.

He would contendllthatl  on these
grounds,  a#1ej'yirtuaJly by way
of veiled?   these ingredients are
not   the appellant - factory
would*be* left  option but to close down.

Reiterating .the..vsub-mission made by learned counsel

. if  .pfo'rC.reAs'pondentsedlltlo 8 made on 31-12-2009 regarding

 rnaiiitairiabflity of appeals, learned senior counsel

  our attention to paragraph 6 & 8 of the

 .. ordeI'~---and submitted that said order is passed solely
"",.VVO'fi'A"the submission /consent of the counsel for fourth

respondent appearing for Sugar Factory. He would



19 W.A.Nos.5243/2009 &
5246-49f20U9 (GM--RES)

also submit that by virtue of the said concession

made by counsel, the present appeals are~._:n_oit-._

maintainable. He would submit sub--secAti:on4A:'

Section 96 of CPC is expiicit Wh€F€L1nd€'.=f.ifEi'§a..]jiéidiio 

appeal lies against an order passed on con's.epnt 

accordingly submits that  remedy Vaya'iiab}e";to
appellant is to approach,t1eatr_neda..tIudge-rwtio has
Passed the order   review or
clarification      pp  iyould contend
that by  and the order
havirié s'u_ch'V'Vconsent, appellant is
estopped  in this appeal. He

would u also ._:subi'nitV that by virtue of such consent

  been giirien and orders passed pursuant

 'VVtheV1feto'~.__on".'-,:?4--12-2009, resp'ondents--4 to 8 and

similarlycapiaced farmers were eagerly waiting to

 .. receivefithe amounts from Sugar factory though it was

"1:Va'bysmal1y low when compared to what other Sugar

"factories are paying to the farmers in neighbouring



20 W.A.Nos.5243/2009 &
52464922009 (GM»RES)

areas. Learned Sr.Counsel Sri Ravivarma Kurnar

would submit that writ petitioners (respondenti"l\los:.'4,,

to 8 herein) would not have agreed  it

namely to accept Rs.1,700/-- :pe'r"--Metfr'ic_,vl.'llon_ 

was not in consonance with the :'pre-=Jalent.p.rice 

this regard contentions    is
sought to be pressed   these
submissions, he would   to dismiss
these appeals'   I

I6,   , learned senior
  would submit that
 it to be so given,

when it  contrary the statute, would not be

   and theiVCourt cannot pass an order contrary

 tog. namely the Sugar Control Order by

directing  appellants to deposit the amount within

 three. -days from date of intimation by farmers

 particularly when the regulation itself provides for 14

i    days after taking delivery of sugar cane. In support of



21 W.A.Nos.5243/2009 &
524649/2009 (GM~RES)

his submission, he would rely upon the decision of

the Supreme Court in case of UNION OF 

MOHANLAL LIKUMAL PUNJAB! (2004 _;i6'6;)"V~d1t?;%1§'IFtr ~

296). _'  

17'. Having heard 1ear'neci..A_'t"senio1f" ..cou'ni'se1~t/..

appearing for appellant _resp.ondents._fJ 
point arises for our consider-atVton:''' .' V

"m Whether  appellant
are maintqindible?   'ggfziittftfialrther orders

to be passéc'i§_?V":f-  'V j   

:18." * 

 learned counsel for the
parties, 'it Wotpildl'.he--~._:r1ecessary for us to extract

relevant  which have been pressed into

  set';».»g.Ii'ce."ovE3y"' both thtedvsides. Learned Senior Advocates

   parties have taken us through the

order  24-12-2009 in extenso to buttress their

 respectoie contention and particularly paragraph 6

t which reads as under: 



 

W.A.Nos.5243/2009 &
5246-49/2009 (GM-RES)

22

"6. Per contra, Sri.H.N. Shashidhara

contends that the respondent No.4-
willing to crush the sugarcane  'V' 
the reserved area  t1;:é'" 

respondent is financia1¥3r'~ "'vi'a~b_1e_   . p  ii i A

willing to deposi:1::"~V.. _theA'" gaugenarrow
sugarcane to" be ..  the V vfarrhers
in advanced'   ._ Deputy
   respondent

  rriorzey before taking

Vde1i?.r¢ry?'3:'fV"V'of'flthe hstigarcane from the

 petitioners bO3'._1"czlTJfy7 other farmers, in such

 ._everit, the farmers who have grown

"t'uAgarcarie'A!V3e given liberty' to supply to

 _"v=:.,._Ah,Vany.v".1other sugar factory. He further

'.si;1bmits that, if such an order is not

1. passed, the 4511 respondent -- Factory has

to be closed once for all."

(Emphasis supplied by us)



23 W.A.Nos.5243/2009 &
5246-49/2009 (GM--RES)

19. In this background, it is to be examined by
us as to:

'Whether the order impugned   it
appeals is based on consent 

given by learned counsel Vappearing forj"::iartiif}  A
respondent -- Sugar Pacto-rryzi before  

learned Single Judge': 2   . _ _
20. Having perused'l_the entire ord'er,V..i."weHVfind

that fourth respondent --  F*acto.ry«_had_ineither
entered caveat nor notiee, ordered on fourth

respondent i.e.*,' 5?'Pp€1'1arit:iherein_beforeilearned Single

Judge;  ..iivlappearing for fourth
resporidentpV(appe11ant._:herein} volunteered to appear

and-1.tnder'toiok~»t'o lfileiiisvakalath and agreed for the

it  Ar;1"atter"l'Aheing taiieniiyup for final hearing and it is by

it  S:.._ich eVo«nSent_.:of parties, matter was heard once and

£51: al}"h§,?il1earned Single Judge. The relevant

 paragraph in the impugned order makes it explicit

i vvhieh reads as under:  -



24 W.A.Nos.5243/2009 &
5246-49/2009 (GM-RES)

"Though the matter is listed for
preliminary hearing, Mr.H.N.SashidaIa
undertakes to file vakalath for?
respondent No.4. The learned coui'isel"--«_ 
for both the parties request the;C--oL1rt_i'  
to take up the matter for final h.e'a*ring'.'=."  h

2. With the.-"consent   V
parties, the matter;__is Zheardonce 'for 

all."  v
This aspect has neither been«r.traversed.norjhireptzdiated
by appellant in the  or  any of
its affidavits filed in   contrary,

what has l'lbyv.._...addressing oral

 flbiasis  the affidavit of the

Advocate that understanding of the

order, impiigned. in appeal by Deputy Commissioner is

 erroneoils' lllll Hperforced him to approach the

    and as such would contend that even

if it ispconstrued as consent given by learned counsel

 for fouzeth respondent i.e., appellant herein, it is to be

l'~_i;1'n::l'erstood in the manner as explained in the

 " ~---affidavit filed today. We are afraid that said



25 W.A.N0s.5243/2009 &
5246-49/2009 (GM--RES)

contention cannot be accepted for the following

reasons:

(1) It is not in dispute that order  

these appeals was pronounced in open   "  

were to be any ambiguity or e1fi"oif...i1f1} understandtingt.'

the same, nothing prevented
the same to notice of  Judge
immediately or seek  thereon.

(2) Having not :donle::'sol,'--l thought fit to
file an   iolflllorder of learned

Single  S same  V admittedly pending.

(3)uIt is alVsol:_S;seien._:froin the communication of the

Deputy Commissionerlldated 29«~12~«2009 addressed to

 - aPiDlé1Iié11t"--i.SugarlSFeetory, wherein it is intimated that

  ofders of learned Single Judge dated 24-

l2««~._2OQ'9  office of Deputy Commissioner received

 "iintimations from farmers as on 29«~l2--2009

S 'ttyintimating the quantity of sugarcane grown and ready

 " iv-for supply and called upon the Sugar Factory to



'W

26 W.A.Nos.5243/2009 &
5246-49/2009 (CiM~RES)

deposit the amount of Rs.48.4E3 crores which was not

done. However, a reply has been sent on behalf-.._:of
Sugar Factory by learned Advocate 
deposit only Rs.42.50 lakhs beinrgwthe »»eiiu'¢--iii¢r'25poo i

Metric tonnes since its capacity  t'o"ciruish_"'only that-t.:

Quantity Per day and souéh:,:f;.""fQr This
request has been turned 'Commissioner
by order dated 30-12~l4i2(V)i.)':9'~.l' from the
order dated;   by Deputy
  to 8 herein and
other  their representation
dated  only intimated Deputy

ComrnissiorrerVVbut*.alsofiugar Factory about quantity of

"--being"available for being supplied (though

-Sugar  has refused to receive such

represe_ntlatioiris) the Deputy Commissioner has rightly

ll""'--._V"'proceed_ed to pass orders permitting the farmers to sell
it :thei.r5 sugarcane to other factories since money was not

i   adleposited try Sugar factory.

 .
27 W.A.Nos.5243/2009 &

524649/2009 (GFVLRES)

21. It would be necessary to extracVt--V:.f'th"e.u averments made in the affidavit filed pp counsel for appellant filed today----in 2 namely, paragraph 9 which reads' '~ . «. "

"However, our "-.cl'i~ent had'...f_i1e<i; application beforefithe learned Single Judge for~.__clarificaifiiorfe-.._of the" order dated ~.24+1,2--2o0'9jaii fl._in we No.38720/2009 a_nd'~ 'connected matters. :r'lr1.§iiew._'of theévlfiling of the appeai and conside'1'ationVVf'of appeal by ...tl1'is5';}f_1_c)n~?!3:le C_Vour;t,f;the said application becoIi1e--« infI5i;Ct'uofds"v.and our client will "witfi1«:§.raw,_"'the " when the said eap_plic'fation»...pi' comes up before the ' l.ea:*'r:'1:=:c'll Single. Judge. 2"

In View of the sajne} contention of learned counsel for ' Atfieiiéfiiiiellant thaitmtinderstanding of the order and its 1 " i.r11p~iernentation has led to the present we reject said contention.

sitL_1atio1:.r:annot be accepted by us and accordingly 28 W.A.Nos.5243/2009 & 5246-49/2009 (GM«RES)

22. It is seen from perusal of the order impugned in these appeals, it was an order consent/concession by learned counsel_."i3orAfioj;1rtl*i--_pl~- respondent -- Sugar Factory:»~partic.ulariy..'jVlteepingo H' interest of both the parties {V factory on the one hand respondents3{'fa1":ners ' V on the other hand.,_ explicit whereunder it is held ii. l ' :..''*E"l:ierefc$re,: the*~Tbackground of this f..pa.r'ticular 1case_,,l:<eepin'g' open all the _c'ont'e'ntionf-St V. the. ' farmers to be . 'V decipded 3 in" -an __ 'appropriate case, '_ch_g_s_ ..is"~.o'f theiibpinion, the ends of Vj;;;:;t._»ic:e w_¢_$_t;.1__c_1_Mbe met if an equitable . ordejr.Vis._=oa.,ssed in favour of both the , ~ parties _ba--sed on the submissions of ~. thej_eow:_:nsel for the 4'11' respondent."

""*--~--{--Emphasis supplied by us) ~ "l'cof1.sent/ concession given by fourth flrespo:1d'e_n't's counsel was the basis on which order cafI1,e_:3 to be passed for which writ petitioners it * .,_(respondent Nos.4 to 8 herein} have not objected and E have acquiesced in the said order. 29 W.A.Nos.5243/2009 & 524649/2009 (GM~RES)

23. When the order is made by virtue of consent the course left open for such litigant/party"i:sf._tou approach the learned Judge who passed" V"

order and seek clarification or s-eekreview the sa.r11el"--wA on any ground available under.»A:'la':W."=A.VA. CPC reads as under:
"96. Appeal' frorr1"orLglzra'}.glecreef'; =_(_3) Filo :a_ppeal'~v_jsha11j' lie from a decree p9.ssed""b'y the court w'i-tr:Vgthelcoiugsent of parties."

it for us to quote the decision of Hon.*b1e"'.SAupreme Court in the case of rtisflm D,EvIlB'HAlGAT (B) BY LR vs RAJINDER dt'o*m1:Rs (AIR 2005 so 2628). The rel-e_var_1.t paragraphs reads as under:

"question (i) -- Whether the appeal filed by Pushpa Devi under Section 96 of the Code of Civil Procedure, against the consent decree was rnaintinabie. ssssss 30 W.A.Nos.5243/2009 & 524649/2009 (GM-RES) Re. Point No.(i)
10. It is no doubt true that tl'ie"a. landlords did not contend either before'-«.V the first appellate court or befc--;re*«ti1.e_" 5 ;_ High Court that the appeal aga-insttth'e"l consent decree was not maintin_ab1e.. This contention is urged for .t1fi'e">j'3.rSt'.:V.' time in this Court, 'contention relates to jurisdiction of the appe,1lat"e_"'~ it court and is evident 'front thee'.;.jr§:co_rd._V§ Such a plea does notr..re'.qui,reV"; evidence. F'urther«,._ being a' contention relating V to the' ju1'i.sdiction "of" the appellate '-CT;)ur't, d'o_evsA'not requirek any 'pleadingi ThoVughV'-thi.Vs';Court will not;.norrn.fil--y. pernjiit_ a"ne"W{'p1ea to be r.a1sed-- at the...'he.aii*ir_igV_of' the special .;_petitio~n or :1' an V "appeal under ' A_rticl"e'=.1 'such plea does not "'~i.n'x*o11yeV " question .arnen3§irnerit.&"of pleading and is purely Q one"-.o'fi _l'aw',*--._ particularly relating to ~ jurisdictiCon&i"'ofV~" the appellate court, it of fact or ican"be'.ente_rtained by this Court (See Shanti Devi v. Bimla Devi -- AIR 1988 SC=£Zy1_-4l_and Zahoor VS. State of UP. -- ._AIR 1991 sc 40}. In Hiralal v. Kasturi &.._I'3e__vi (AIR 1957 sc 1853), this Court " observed:
" ...... ..though the question of it it jurisdiction had not been urged before the High Court, it stares one in the face of the judgment of the appellate court. We are satisfied that the appellate court had no jurisdiction though this point was not raised in the High "fro1'rr_ r--2:.~.1977 " proviso was added to Rule 3, Order 23 31 W.A.Nos.5243/2009 & 5246-49/2009 (GM-RES) Court, it is so obvious that we have permitted the plea to be raised beforelp us."

In this case, the raised being one relating to j1ririsdict--i.on of the heard both sides theVi*eo'n,'

11. Sectivor'i'*--_ 96 '..pro.Vi_"des; for appeals from original, decrees. Sub~ section ,{3..), ofV*""Sec:tioris~..96, however, provided that no appeal shall lie from a decree passed by' ¥th_eii"court_. with the consent of' the partiesd; "rnay notice }r1e're"_"that_ Order 43*, {,Ru_le_f'1 (m) of cpc ll1.':1C?:vii__€_§c':i.':.'v'li1€'¢_I'_pI'QR/lfiifid for an appeal a..g'a,inst theffor'd.e,1* under Rule 3 Order ;«£?ecor.d'ing or..__refL3'1sing to record an " * A.agreernenltpcompromise or satisfaction. .Bui'.'fclaus'e,_(Ir;.1'of Rule 1, Order 43 was ornittejd, byfxct' 104 of 1976 with effect Simultaneously, a wi'th,effe.ct from 1~2~l977'. We extract ..below the relevant portion of the said = pr_oviso:

'Provided that where it is alleged by one party and denied by the other that an adjustment or satisfaction has been arrived at, the court shall decide the question ...."
Rule 3A was also added in Order 23 with effect from 1-2-1977 barring any appellateV~--"'court, Wei'-havefl A permitted the said ,r-:.o1f1ftentio,n'--- arid 32 W.A.Nos.5243/2009 & S246-49/2009 (GM--RES) suit to set aside a decree on the ground that the compromise on WhichHti1e"s._ decree is based was not lawful.

12. The position that from the amended provisions--»o_ff~Orderp 23, can be summed:-u"p'thus_;& T b * V

(i) no appeal is maihtainaible. "

again-s__t a l w<_:onsen»t"' decree} having '$5-gard to sp'c§cif"ic bar contained "in section
(ii) No' a'ppeal_.~,_isdrrlaintainable V.-V'againvst._'=,thelv_ order of the C§01J.~l't j'reVc_oi'ding the cornptjoijiise, (or refusing to "'1fecordAi~ compromise) in Vi'e-v'v~.._Of,5' the deletion of _ "clause (m) Rule 1, Order 43.

-- V '*(iii}*--._'No4 independent suit can be »-- filed for setting aside a compromise decree on the V ground that the """ compromise was not lawful in View of the bar contained in Rule 3A.

(iv) A consent decree operates as an estoppel and is valid and binding unless it is set aside by the Court which passed the consent decree, by an order on an application under the Q4 ssss ..

34 W.A.Nos.5243/2009 & 5246~49f2009 (GM~RES) maintainable, having regard to the express bar contained in Section 96{fg3)x of the Code." "

25. In View of the principles FUSE-lPADEVI's case referred to opinion that same is clearly applicable circumstances of the present'V.i.cas_e and~ unable to accede to the learned counsel for the concession given by Factory before learned as is sought to be unde';:jstoodV,VViV"uli'i:-.i%act',4"Vsu'b--section (3) of Section 96 of cpc has.be'e'n:':_"_rie1;erred to in PUS}-IPADEVI's referred "t-oiVsup.ra, in extenso would be squarely » vappglicablegto ___facts of the instant case also. Hence, . 'the.iconte.'n--tion of learned counsel for appellant cannot Q accepted it is hereby rejected. upon the decision of MOHANLAL referred to supra, to it Learned counsel for appellant has relied {fig}. .
35 W.A.Nos.5243/2009 & 5246-49/2009 (GM»RES) contend that there cannot be an estoppei againstthe statute. The principles enunciated therein disputed. The order impugned in i based on consent given by:-'iiearnedp coun«seVIVfor appellant herein since according"-to boti:f,"*naIne1'y,;"

farmers as wefl as sugar bad to be done in a time' on the basis of the past dues crores still being contended that said dues' of Annexure--C, as extracted clearly demonstrate that referred to therein, are admitted said question has been left to>be' adjudicated by appropriate authorities. Be that' fc1S:V'i»t.rna;.r,.1~we wouid not embark upon to examine as'--~.to the fieracity of statements made across the bar on the.-issue regarding past dues, since it is not the i usubject matter. ' 36 W.A.Nos.5243/2009 & 5246-49/2009 (GM--RES)

27. It is seen from order impugned in_..___this appeal particuiarly, paras 1, 2, 6, 8 85 9, based on a consent given by counsei apepearirngi' V' Sugar Factory by keeping inteij-e's"t"of and as such, we do not find or the said order. The is an .¢'q1iit:ab'i,eViViorder. In View of the above" bIioV.'{'1)'"Vi:s to be answered by hoidinéé intra-court appeais are.-igficzt I View of our conclusion' appeals are not anyiivfiirther orders does not order is passed:

d>d$RDER hereby dismissed. No costs.
, gig};
E3883 Safe EESSE V. .3},/-