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Rajendran v. Parameswaran

Rajendran v. Parameswaran

(High Court Of Kerala)

OP(C) NO. 1270 OF 2020 | 19-07-2022

C.S.DIAS

1. The original petition is filed assailing the order in E.A.No.389/2019 (Ext.P7) and E.A.No.388/2019 (Ext.P8) filed in E.P.No.223/2010 in O.S.No.908/2004 of the Court of Principal Munsiff, Irinjalakuda. The concise case of the petitioner, relevant for the determination of the original petition, is that, he is the judgment debtor in the above execution petition filed by the respondent. The Execution Court found that only 5 cents of property is sufficient to satisfy the decree as per Ext.P2. The property is a commercial one, but it was sold for Rs.5,00,000/-. Hence, the petitioner filed Ext.P3 application to set aside the sale. There was another litigation between the petitioner and the wife of the decree holder before the same Court, wherein the said property was sold in auction. The petitioner had obtained a valuation report from a Chartered Engineer to prove that the property was sold for a lesser amount. The sale was challenged in CMA No.61/2015 and the appellate Court by Ext.P4 judgment had set aside the sale. The petitioner produced the above document before the Execution Court to prove the valuation of the property. Then the petitioner filed an application to reopen the evidence and re-call the Chartered Engineer to prove the market value of the property. Exts.P5 and P6 are the applications to re-open the evidence and re-call the witness. However, the Court below without adverting to the contentions raised in Exts.P5 and P6, by the impugned Exts.P7 and P8 orders dismissed the applications. Exts.P7 and P8 are erroneous and wrong. Hence, the original petition.

2. Heard; Sri.Bitto N.L., the learned counsel appearing for the petitioner and Sri.Jamshed Hafiz, the learned counsel appearing for the respondent.

3. Sri.Bitto N.L. argued that the Court below has gone wrong in dismissing Exts.P5 and P6 applications which were filed for the purpose of substantiating the petitioner's contention regarding the material irregularity in the sale in Ext.P3 application.

4. Sri.Jamshed Hafiz, the learned counsel appearing for the respondent countered the above submission contending that in view of the statutory bar under Order XXI Rule 93 of the Code of Civil Procedure, the Execution Court cannot look into any matter pertaining to the fixation of the upset price of the property once the stage is over. He relied on the decision of this Court in Antony v. Catholic Syrian Bank [1994 (2) KLT 341]. He argued that the attempt of the petitioner is to unsettle the fixation of upset price by the Court below, by filing Ext.P3 application, which is untenable.

5. The question that arises for consideration in this original petition is whether there is any irregularity or impropriety in Exts.P7 and P8 orders.

6. The respondent has filed Ext.P1 execution petition to execute Award No.20/2010 passed by the Lok Adalath, Thrissur. Pursuant to Ext.P1, the Court below has proclaimed the sale as per Ext.P2. The petitioner has filed Ext.P3 application to set aside the sale. Thereafter, he filed Ext.P5 application to reopen the evidence for the purpose of proving the valuation of the property sold by examining an Expert who issued a valuation certificate and an application to summon the Expert to prove the valuation.

7. In Antony vs Catholic Syrian Bank (supra) this Court has in paragraph 15 held thus:

"15. Rule 90(3) of O.21 contains yet another interdict against setting aside a court sale. It is in the following language: “No application to set aside a sale under this rule shall be entertained upon any ground which the applicant could have taken on or before the date on which the proclamation of sale was drawn up”. This provision was brought in the Code only in 1976, and the object is to make the judgment debtor to be more circumspect and to inform the court, right in time, of his objections. If he omits to do so without satisfactory cause, he cannot be heard to say on such objections subsequently. In Desk Bandhu Gupta v. N.L.Anand & Rajinder Sing ((1994) 1 SCC 131) [LQ/SC/1993/761] Supreme Court has observed that R.90(3) is like a “caveat emptor” that the judgment debtor be vigilant and watchful to vindicate pre-sale illegalities or material irregularities. “He should not stand by to prograstinate the execution proceedings, if he so does, R.90(3) forewarns him that he pays penalty for obduracy and contumacy”.

8. Therefore, the Execution Court cannot go back to matters pertaining to the fixation of upset price while deciding an application to set aside the sale in view of the statutory bar under Order XXI Rule 93. Hence, if at all the petitioner seeks to reopen the evidence to summon a witness, the same can only be done for the limited purpose of substantiating Ext.P3 application, to set aside the sale as provided under Order XXI Rule 90 of the Code and not for matters falling within the purview of Order XXI Rule 66 of the Code.

9. Thus, I am of the opinion that the Court below shall permit the petitioner to let in evidence only for the above said purpose and nothing more and nothing less.

10. In the result, in exercise of the supervisory powers of this Court under Article 227 of the Constitution of India, the original petition is disposed of as follows:

1. I set aside Exts.P7 and P8 orders and allow Exts.P5 and P6 applications for the sole purpose for the petitioner to substantiate Ext.P3 application filed under Order XXI Rule 90 of the Code.

2. Both parties would be at liberty to raise their respective contentions before the Court below at the time of hearing.

3. As the E.P. is of the year 2010, the Court below shall make every endevour to dispose of E.P.No.223/2010, in accordance with law, as expeditiously as possible, at any rate on or before 31.10.2022.

Advocate List
  • N. L. BITTO

  • SRI. RILGIN V.GEORGE JAMSHEED HAFIZ

Bench
  • HON'BLE MR. JUSTICE C.S.DIAS
Eq Citations
  • LQ
  • LQ/KerHC/2022/5885
Head Note

A. Civil Procedure Code, 1908 — Or. XXI R.90 and R.93 — Sale of property in execution proceedings — Valuation of property — Re-opening of evidence — Limitation — Extant law — Ext.P3 application to set aside sale — Petitioner obtaining valuation report from Chartered Engineer to prove that property was sold for lesser amount — Sale challenged in CMA and set aside by appellate Court — Petitioner filing Exts.P5 and P6 applications to re-open evidence and re-call witness to prove market value of property — Extant law,