Delhi High Court
Jaideep Puri vs Swaran Malhotra & Ors on 18 November, 2011
Author: Manmohan Singh
* HIGH COURT OF DELHI: NEW DELHI
Judgment pronounced on: 18.11.2011
+ O.A. No. 146/2011 in CS (OS) No.135/2005
JAIDEEP PURI ..... Appellant
Through Mr. H.S.Chandhoke, Adv. with
Mr. Anant Garg, Adv.
versus
SWARAN MALHOTRA & ORS ..... Respondents
Through Mr. Y.P.Narula, Sr. Adv. with
Mr. Aniruddha Choudhury &
Mr. Vinay Kr. Garg, Advs. for R-1.
CORAM:
HON'BLE MR. JUSTICE MANMOHAN SINGH
1. Whether the Reporters of local papers may
be allowed to see the judgment?
2. To be referred to Reporter or not?
3. Whether the judgment should be reported
in the Digest?
MANMOHAN SINGH, J. (ORAL)
I.A. No.18245/2011 (for exemption)
Exemption allowed, subject to all just exceptions.
The application is disposed of.
O.A. No.146/2011 in CS(OS) No.135/2005 Page No.1 of 6
O.A. No.146/2011 & I.A. No.18244/2011 (for interim stay) and
CS(OS) No.135/2005
1. The above-mentioned appeal being O.A. No.146/2011 has been filed
by Mr. Jaideep Puri who is defendant No.3 in the suit bearing
CS(OS) No.135/2005, under Rule 4, Chapter II of Delhi High Court
(Original Side) Rules, 1967, read with Section 151 of the Code of Civil
Procedure, 1908 against the order dated 04.11.2011 passed by the learned
Registrar General in I.A. No.14677/2011 filed by the plaintiff in the above
said suit, namely, Smt. Swaran Malhotra, who is respondent No.1 in the
present appeal.
2. The operative portion of the impugned order dated 04.11.2011 reads
as under:-
"9. Presently, the amount deposited along with interest would
stand at Rs.4.18 crores approximately.
10. Since, the valuation suggested by the plaintiff, based on
the property sold in public auction in the year 2008 which is
situated in neighbouring Village, some credence is to be given,
the property offered in security is located at the Village
contagious property sold in public auction (purchaser of which
is Public Sector Undertaking) photocopy of the Sale Deed has
been placed on record which shows that M/s GAIL purchased
the property at Rs.77 lakhs per acre in Village
Raisina, District-Sohna. The value of the secured property, at
the said rate i.e. Rs.77 lakhs per acre comes to Rs.2.19 crores
approximately.
11. Having perused the documents filed along with
application, it is clear that the property offered towards
security situated in Village Mohamdpur Gujjar, Haryana,
which in my opinion values about Rs.2.19 crores. It is
pertinent to mention that the security to the amount to be
released-accrues more interest till the disposal of the suit.
O.A. No.146/2011 in CS(OS) No.135/2005 Page No.2 of 6
Hence, reasonably the security is sought to the tune of
additionally for Rs.2 crores by bank guarantee.
12. Learned counsel for the plaintiff states that he is ready to
furnish the bank guarantee for the remaining amount.
13. Therefore, the plaintiff is directed to furnish the bank
guarantee to the tune of Rs.2 crores besides the security
offered by the plaintiff in respect of land situated in Village
Mohamdpur Gujjar, Haryana. However, the plaintiff shall also
file an undertaking that he will get the bank guarantee renewed
from time to time. The plaintiff shall also file an undertaking
that in case the plaintiff not succeeding in the suit, she will
restitute the amount along with upto date interest to the
Court subject to such orders to be passed by the Hon'ble
Court.
14. At this stage, learned counsel for the defendants states that
the operation of the present order be stayed as she will seek
instructions from the defendants. In my view, there is no scope
for granting the stay since the undersigned is acting only under
the orders of the Hon'ble Court."
3. In terms of the impugned order dated 04.11.2011, the Bank
Guarantee for Rs.2 crores issued by the HDFC Bank Ltd., Green Park
Extn., New Delhi, valid up to 08.11.2012 was furnished by the plaintiff/
respondent No.1 herein. The requisite undertakings in terms of the order
dated 04.11.2011 have also been filed. The plaintiff/respondent No.1
herein also filed an undertaking that in case she doesn't succeed in the suit,
she will restitute the amount along with up to date interest to the Court
subject to such orders to be passed by the Court.
4. The above said order has been challenged mainly on the ground that
the Registrar General has not appreciated that to determine the land rates,
the rate of the property which is adjacent/nearby, are to be taken into
O.A. No.146/2011 in CS(OS) No.135/2005 Page No.3 of 6
consideration, whereas in the impugned order, the Registrar General has
ignored the sale deed placed on record by the appellant and respondents
No.3 to 5 herein in respect of a plot of land situated in the same village as
the property offered as security. The Registrar General has erroneously
ignored the mandate of the Division Bench regarding the release of moneys
subject to restitution. In the impugned order, it would have been directed
respondent No.1 to furnish the appropriate Bank Guarantee for the interest
that would continue to accrue on the amount released in her favour. In the
absence of such direction, the appellant and respondents No.3 to 5 herein
would be compelled to initiate recovery proceedings against respondent
No.1 (plaintiff in the main suit). Therefore, the impugned order for release
of the money is contrary to the order passed by the Division Bench.
5. Mr. Narula who is appearing on behalf of respondent No.1 has
strongly opposed the present appeal. Both the parties have made their
respective submissions.
6. After some arguments, with the consent of the parties, the present
appeal is disposed of, with the following directions:-
(a) In view of the order passed by the Registrar General on
15.11.2011, the Registry would release the amount of Rs.4.18
crores to the plaintiff/respondent No.1 herein, in terms of order
dated 30.07.2007 passed by the Division Bench in FAO(OS)
No.251/2007 and FAO(OS) No.252/2007. The remaining
amount, if any, be kept in FDR initially for a period of one
year with automatic renewal.
O.A. No.146/2011 in CS(OS) No.135/2005 Page No.4 of 6
(b) As the matter is at the stage of evidence, it is agreed between
the parties that the proceeding of the suit be expedited and a
Local Commissioner be appointed to record the evidence, who
may make an endeavour to complete the evidence of the
parties within six months. Hence, Mr. Dinesh Dayal, Retired
ADJ, 9, Upper Bela Road, Civil Lines, Delhi (Ph.
Nos.23955012/9810100200) is appointed as a Local
Commissioner to record the evidence of the parties and
complete the same within six months. The parties have
assured that they will not take unnecessary adjournment(s)
before the Local Commissioner. It is also agreed between the
parties that the evidence will be recorded by the Local
Commissioner in the Court premises itself. List the matter
before the Local Commissioner on 30.11.2011 for directions
regarding the plaintiff's evidence. The fee of the Local
Commissioner at this stage is fixed at Rs.80,000/- which shall
be borne by the contesting parties in equal proportion. As
regards the remaining fee of the Local Commissioner is
concerned, the same shall be fixed by the Court on the next
date of hearing depending upon the evidence produced by the
parties. The dealing assistant of the case or his/her authorized
representative shall produce the file before the Local
Commissioner for the purpose of recording the evidence on
the date fixed and he/she shall be paid prescribed diet money
by the parties concerned.
O.A. No.146/2011 in CS(OS) No.135/2005 Page No.5 of 6
(c) The matter would be listed before the Court after the period of
six months for re-assessment/restitution of the amount along
with up to date interest and for adjustment of the amount, if
necessary, as alleged by defendants No.3 to 5 in the suit, as
well as for status of the proceedings. List the matter before the
Court on 04.07.2012.
7. In view of the above, the application bearing I.A. No.18244/2011
(for interim stay) has become infructuous and the same is also disposed of
as such.
MANMOHAN SINGH, J.
NOVEMBER 18, 2011/ka
O.A. No.146/2011 in CS(OS) No.135/2005 Page No.6 of 6
