Citation : 2025 Latest Caselaw 7081 Guj
Judgement Date : 30 September, 2025
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IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/SECOND APPEAL NO. 266 of 2025
With
CIVIL APPLICATION (FOR STAY) NO. 1 of 2025
In R/SECOND APPEAL NO. 266 of 2025
FOR APPROVAL AND SIGNATURE:
HONOURABLE MR.JUSTICE SANJEEV J.THAKER sd/-
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Approved for Reporting Yes No
✔
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THE MANAGER , JUNAGADH NAGARIK SAH. BANK LTD. & ANR.
Versus
GOGANBHAI PARBATBHAI BARIYA & ORS.
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Appearance:
MR JR SHAH(762) for the Appellant(s) No. 1,2
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CORAM:HONOURABLE MR.JUSTICE SANJEEV J.THAKER
Date : 30/09/2025
ORAL JUDGMENT
1. The present Second Appeal is filed under Section 100 of the Code of Civil Procedure, 1908 (for short "the Code") challenging the judgment and decree, dated 01.03.2025, passed by the Principal District Judge, Junagadh in Regular Civil Appeal No.28 of 2023 which has confirmed the judgment and decree dated 19.12.2022, passed by the 2 nd Additional Senior Civil Judge, Junagadh, in Special Civil Suit No.11 of 2012.
2. For the sake of brevity and convenience, the parties are
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referred to as per their original status as that in the suit.
3. The brief facts arising in the present Second Appeal are that the plaintiff filed Suit for specific performance of the contract. It was the case of the plaintiff that a partnership firm Raghav Industries, while obtaining a loan from defendant no.1, had provided various properties as security and as defendant nos.3 to 5, failed to repay the loan amount, recovery proceedings were initiated against the suit property, and defendant no.3, on behalf of the partnership firm, executed a power of attorney in favor of the manager of defendant no.1, granting full rights to sell the land.
4. Thereafter, defendant no.1 had invited tenders for the sale of the land on 19.11.2005, and the plaintiff submitted a proposal to purchase 21 Bighas of land at the rate of Rs.3,21,000/- per Bigha and forwarded a cheque of Rs.10 lakhs in favor of defendant no.1, which was accepted and deposited. An agreement to sell was executed on 23.11.2005. Thereafter, as defendants did not execute the sale deed in favor of the plaintiff, the plaintiff filed a suit for specific performance after taking into consideration the facts the Trial Court framed issues, Vide Exhibit 36 as under:
"(1) Whether the plaintiff proves that he is
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ready and willing to pay the remaining amount of compensation?
(2) Whether this Court has jurisdiction to hear the present suit under Section 166 read with Section 96 of the Gujarat Cooperative Societies Act?
(3) Whether the plaintiff is entitled for the relief as sought in the suit?
(4) What order and decree?"
5. The plaintiff examined himself vide Exhibit 44. The witnesses of the plaintiff were examined vide Exhibits 74 and 96. The defendant did not enter the witness box and after considering the oral evidence, documentary evidence, and giving findings on all the issues, the Trial Court partly allowed the suit and declared that defendant no.1 to repay the earnest money amount of Rs.10 lakhs, with interest at the rate of 6% from the date the amount has been deposited by the plaintiff with defendant no.1. Aggrieved by the said judgment, the defendant no.1 filed Regular Civil Appeal No.28 of 2023, and the First Appellate Court dismissed the said appeal and confirmed the judgment and decree passed by the Trial Court in Special Civil Suit No.11 of 2012, hence, the present Second Appeal.
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6. Learned advocate for the defendant has argued that, if the documents produced with the plaint are taken into consideration, more particularly, the document produced vide Exhibit 49, dated 28.09.2011, it can be clearly established that the defendant no.1-Bank had specifically informed the plaintiff that defendant no.1 was ready and willing to refund the said amount of Rs.10 lakhs, but the plaintiff had not taken any steps to recover the said amount. The fact remains that, as the power of attorney given by defendant no.3 had been cancelled, defendant no.1 could not have executed the sale deed in favor of the plaintiff, and therefore, defendant no.1 was always ready and willing to refund the said amount of Rs.10 lakhs to the plaintiff and the Trial Court could not have granted interest at the rate of 6% on the said amount of Rs.10 lakhs when defendant no.1 had already informed the plaintiff, before the plaintiff had filed the suit, that defendant no.1 was ready and willing to refund the said amount of Rs.10 lakhs. Therefore, the Trial Court could not have granted interest at the rate of 6% on the said amount. Therefore, the present Second Appeal is required to be admitted on the following substantial question of law.:
"(i) Whether the appellate court has materially erred in not considering the provision of section 96 of the Co-
Operative Societies' Act while deciding the
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issue about the jurisdiction of the civil court.?
(ii) Whether the learned appellate court has committed an error in not properly considering section 167 of the Co-
Operative Societies' Act in view of the fact that admittedly the appellant bank is a registered under the Co-Operative Societies' Act and therefore before filing the suit it is necessary to give notice under section 167 of the Co-Operative Societies' Act.
(iii) Whether the learned Appellate court has committed an error in not framing the issue of limitation though the learned trial judge has committed an error in not framing the said issue and in the memo of appellate, appellants has raised such ground and therefore it was necessary on the part of the learned appellate court to frame such issue.
(iv) Whether the learned Appellate court has committed an error in not considering the provision of law while answering issue of limitation?.
(v) Whether the learned Appellate Court has committed an error in confirming the judgment of the learned trail judge in awarding the interest at the rate of 6%.?"
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7. Having heard the advocate for the defendant no.1, the fact remains that, though, it is the case of defendant no.1 that defendant no.1, had agreed to refund the amount of Rs.10 lakhs to the plaintiff, but at the same time, the defendant no.1 could have deposited the said amount in the Court on the date of filing the suit. If the said letter produced vide Exhibit 49 is taken into consideration, the fact remains that the said letter produced vide Exhibit 49, is dated 28.09.2011 and the suit that has been filed is filed in the year 2012. The fact also remains that the amount of Rs.10 lakhs had been deposited with the bank and it is on the date when the said amount has been deposited by the plaintiff, the amount was lying with defendant no.1.
8. Therefore, while awarding interest at the rate of 6%, the Court has taken into consideration the fact that the amount was lying with the Bank, and the interest awarded is 6%, is an appropriate interest on the amount of Rs.10,00,000/- which was lying with the bank. Therefore, The present Second Appeal is required to be dismissed.
9. It is required to be noted that in Second Appeal, the scope is very limited and the Court cannot re-appreciate the evidence. In the case of Navaneethammal v. Arjuna Chetty reported in 1996 (6) SCC 177, the Hon'ble Apex Court has observed as under:-
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"11. This Court, time without number, pointed out that interference with the concurrent findings of the courts below by the High Court under Section 100 CPC must be avoided unless warranted by compelling reasons. In any case, the High Court is not expected to reappreciate the evidence just to replace the findings of the lower courts."
10. In the case of Jaichand (Dead) through Lrs and Other v. Sahnulal and Another reported in 2024 SCC OnLine SC 3864, the Hon'ble Apex Court has observed as under:-
"28. It is thus clear that under Section 100 CPC, the High Court cannot interfere with the findings of fact arrived at by the first Appellate Court which is the final Court of facts except in such cases where such findings were erroneous being contrary to the mandatory provisions of law, or its settled position on the basis of the pronouncement made by the Apex Court or based upon inadmissible evidence or without evidence."
11. Under the circumstances, this Second Appeal is devoid of any substantial question of law. Both the learned Trial Court and first appellate Court have rightly decided the issue between the parties in the right perspective and as stated above no substantial question of law arises in the present appeal. The appellants have failed to prove their
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case before the learned trial Court as well as before the first appellate Court. This Court does not find any substance in the present Second Appeal as the same is devoid of any merit both on facts and law and the same is dismissed at admission stage.
In view of the disposal of the main matter, the connected Civil Application does not survive and the same is accordingly disposed of.
(SANJEEV J.THAKER,J) URIL RANA
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