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The West Bengal Power Development ... vs State Of Jharkhand
2024 Latest Caselaw 7562 Jhar

Citation : 2024 Latest Caselaw 7562 Jhar
Judgement Date : 1 August, 2024

Jharkhand High Court

The West Bengal Power Development ... vs State Of Jharkhand on 1 August, 2024

Author: Rajesh Shankar

Bench: Rajesh Shankar

       IN THE HIGH COURT OF JHARKHAND AT RANCHI
                Cont. Case (Civil) No.595 of 2022
                                -----

The West Bengal Power Development Corporation Limited through its Authorised Signatory Souvik Mridha, Assistant Manager (Legal), Kolkata (West Bengal).

.......... Petitioner.

-Versus-

1. State of Jharkhand

2. Sanjay Mishra, Assistant General Manager and Branch Manager, Indian Bank, Large Corporate Branch, Hare Street, Kolkata, West Bengal.

.......... Opp. Parties

-----

CORAM : HON'BLE MR. JUSTICE RAJESH SHANKAR

-----

     For the Petitioner :      Mr. Anoop Kumar Mehta, Advocate
                         :     Mr. Atul Raj, Advocate
     For the State       :     Mr. Priti Priyamvada, A.C. to G.P.V
                                -----
     Order No.08                               Date: 01.08.2024

1. The present contempt petition has been filed for initiation of

contempt proceeding against the opposite party no. 2 alleging

wilful & deliberate disobedience and non-compliance of the order

dated 12.10.2018 passed by the Court of Tribunal Judge under

Coal Bearing Areas (Acquisition and Development) Act, 1957

(hereinafter referred as the Act, 1957), Rajmahal Project Area,

Lalmatia at Godda in Misc. Case Nos. 04, 05, 06, 07 and 08 of

2018 whereby the said Court had clearly observed/directed that

any revocation of Bank Guarantee would be subject to its

decision. However, despite the said observation/direction, the

opposite party no. 2 partially appropriated an amount of

Rs. 223,51,65,000/- from the Bank Guarantees furnished by the

petitioner and transferred the same in Bank Account

No. 0276050414586 of Punjab National Bank Cannaught Circus

Branch, New Delhi on 21.07.2022.

2. The learned counsel for the petitioner submits that the petitioner

had filed five miscellaneous applications being Misc. Case

Nos. 4,5,6,7 and 8 of 2018 under section 27 of Coal Mines

(Special Provisions) Act, 2015 (hereinafter referred as the Act,

2015) in the court of Tribunal Judge under the Act, 1957,

Rajmahal Project Area, Lalmatiya at Godda in which learned

Tribunal Judge vide order dated 12.10.2018 held as under:-

"In view of the facts, the stay granted by this Tribunal which has already been lapsed on 06.10.2018 is not extended, however it is made clear that any revocation of Bank Guarantee will be subject to the decision of the Tribunal."

3. It is further submitted that the opposite party no. 2 has

committed Contempt of Court by remitting the amount of

Rs.223,51,65,000/- in the bank account of Nominated Authority,

Ministry of Coal, Government of India, New Delhi after partial

appropriation of the Bank Guarantees submitted by the petitioner

knowing fully well that the said Nominated Authority did not insist

for partial invocation/appropriation of the Bank Guarantee at the

time of its renewal in the year 2019 subsequent to the order

dated 12.10.2018 passed by the Learned Tribunal Judge under

C.B.A. Act, Godda in Misc. Case Nos. 4,5,6,7 and 8 of 2018 and

now after expiring of more than 3 ½ years from passing of the

said order, the Bank Guarantees have been partially encashed.

4. Learned counsel for the opposite party no. 2, at the outset, raises

objection with respect to maintainability of the present contempt

petition by submitting that the petitioner has chosen a wrong

forum by filing the present contempt application, rather it should

2 Cont. Case (Civil) No.595 of 2022 have filed Execution Case for implementation of the order dated

12.10.2018 passed in Misc. Case Nos. 4,5,6,7,8 of 2018.

5. The primary question falls for consideration before this Court is

as to whether filing of the present contempt petition alleging

wilful violation of the order dated 12.10.2018 passed by the Court

of Tribunal Judge under the Act, 1957, Rajmahal Project Area,

Lalmatia at Godda in Misc. Case Nos. 04, 05, 06, 07 and 08 of

2018, is maintainable?

6. Article 215 of the Constitution of India enumerates that every

High Court shall be a court of record and shall have all the powers

of such a court including the power to punish for contempt of

itself. As per Section 2(b) of the Contempt of Courts Act, 1971

(in short, 'the Act, 1971"), "civil contempt" means wilful

disobedience to any judgment, decree, direction, order, writ or

other process of a Court or wilful breach of an undertaking given

to a Court. Section 11 of the said Act provides that a High Court

shall have jurisdiction to inquire into or try a contempt of itself

or of any court subordinate to it, whether the contempt is alleged

to have been committed within or outside the local limits of its

jurisdiction, and whether the person alleged to be guilty of

contempt is within or outside such limits. Section 23 of the Act,

1971 provides that the Supreme Court or, as the case may be,

any High Court may make rules, not inconsistent with the

provisions of this Act, providing for any matter relating to its

procedure.

7. The Hon'ble Supreme Court in the case of Sudhir Vasudeva,

Chairman and Managing Director, Oil and Natural Gas

3 Cont. Case (Civil) No.595 of 2022 Corporation and Others Vs. M. George Ravishekaran &

Others reported in (2014) 3 SCC 373, has held that the power

vested in the Supreme Court and the High Courts to punish for

contempt is a special and rare power available both under the

Constitution as well as the Contempt of Courts Act, 1971. It is a

drastic power which, if misdirected, could even curb the liberty

of the individual charged with commission of contempt. The very

nature of the power casts a sacred duty upon the Courts to

exercise the same with greatest care and caution.

8. In the case of R.N. Dey & Others Vs. Bhagyabati Pramanik

& Others reported in (2000) 4 SCC 400, the Hon'ble Supreme

Court has held that the weapon of contempt is not to be used in

abundance or misused. Normally, it cannot be used for execution

of the decree or implementation of an order for which alternative

remedy in law is provided. Discretion given to the court is to be

exercised for maintenance of the court's dignity and majesty of

law. Further, an aggrieved party has no right to insist that the

court should exercise such jurisdiction as contempt is between a

contemner and the court.

9. The aforesaid judgment has also been followed in the case of

Hukum Chand Deswal Vs. Satish Raj Deswal reported in

(2021) 13 SCC 166.

10. In the case of Indian Oil Corporation Limited & Others Vs.

Sheo Shankar Mishra reported in 1995 SCC OnLine Pat

358, learned Division Bench of Patna High Court has held as

under:-

4 Cont. Case (Civil) No.595 of 2022 "12. The execution proceeding as well as contempt proceeding both are independent proceedings and they operate in two different fields or spheres. So far as the execution proceeding is concerned, that is filed by a party against the other party to the litigation for enforcement of the rights and liabilities created under the decree or the order. The contempt proceedings are proceedings to uphold the prestige and the dignity of the court and majesty of law. It has nothing to do with the execution of the decree or order passed in a litigation. One proceeding cannot be termed as a substitute for the other. The contempt proceeding cannot be used as a weapon against the judgment debtor to force him to comply with the decree or order.

The contempt proceeding can be initiated only when the materials on record show wilful disobedience of the order. Raising valid objection in the execution proceeding regarding executability of the decree under the provisions of the Code of Civil Procedure or under any law, or taking other recourse of similar type permissible in law in an execution proceeding, cannot be turned as a wilful disobedience and a proceeding for contempt cannot be initiated on that ground."

11. In the case of Kanwar Singh Saini Vs. High Court of Delhi

reported in (2012) 4 SCC 307, the Hon'ble Supreme Court

has held that when the matter relates to the infringement of a

decree or decretal order, it is not expedient to invoke and

exercise contempt jurisdiction as a mode of executing the decree

or merely because other remedies may take time or are more

circumlocutory in character.

12. Now, it is well settled that the power to issue contempt is a

special and rare power available both under the Constitution of

India as well as the Contempt of Courts Act, 1971 and the same

has to be exercised with greatest care and caution. The weapon

of contempt cannot be used for execution of a decree or

implementation of an order for which alternative remedy in law

has been provided. Discretion given to the court is to be

5 Cont. Case (Civil) No.595 of 2022 exercised for maintenance of the court's dignity and majesty of

law. Further, no party has right to insist the court to exercise

jurisdiction under Contempt of Court Act, 1971 as contempt is

between a contemner and the court.

13. In the present case, Misc. Case Nos. 4, 5, 6, 7, 8 of 2018 were

filed by the petitioner under section 27 of the Act, 2015 before

the Tribunal Judge under the Act, 1957. Section 27(1) of the Act,

2015 provides that any dispute arising out of any action of the

Central Government, nominated authority or Commissioner of

payment or designated custodian, or any dispute between the

successful bidder or allottee and prior allottee arising out of any

issue connected with the Act shall be adjudicated by the Tribunal

constituted under the Act, 1957.

14. On perusal of the Act, 1957 it is evident that the constitution of

Tribunal has been provided under section 14(2) of the said Act

which empowers the Central Government to constitute Tribunal

consisting of a person who is or has been or is qualified to be a

Judge of a High Court. It is further provided under Section 14(5)

of the Act, 1957 that the Tribunal after hearing the dispute, shall

make an award determining the amount of compensation which

appears to it to be just, and specify the person or persons to

whom the compensation shall be paid; and in making the award

the Tribunal shall have regard to the circumstances of each case

and to the foregoing provisions of the said Act with respect to

the manner in which the amount of compensation shall be

determined in so far as the said provisions or any of them may

be applicable. Moreover, Section 14(8) of the Act, 1957 provides

6 Cont. Case (Civil) No.595 of 2022 that the Tribunal, in the proceedings before it, shall have all the

powers of a Civil Court as provided under the Code of Civil

Procedure, 1908 in respect of summoning and enforcing the

attendance of any person and examining him on oath; requiring

the discovery and production of any document; reception of

evidence on affidavits; requisitioning any public record from any

court or office; and issuing commissions for examination of

witnesses. Further, Section 23 of the Act, 1957 contains the

provision of penalties for a person who wilfully obstructs any

person in doing any of the acts authorised by sub-section (3) of

section 4 or wilfully fills up, destroys, damages or displaces any

mark made under section 4, or wilfully obstructs the lawful

exercise of any other power conferred by or under the said Act,

or fails to comply with any order made or direction given under

the Act. The said Section provides that such persons shall be

liable to be punished with imprisonment for a term which may

extend to six months, or with fine which may extend to one

thousand rupees, or with both.

15. The Act, 2015 does not speak about the procedure to be followed

by the Tribunal for non-compliance of any order passed by it

while dealing with the cases under section 27 of the Act, 2015.

This Court is of the view that since the Tribunal constituted under

the Act, 1957 has been empowered to deal with the cases under

section 27 of the Act, 2015, the provision of penalties provided

under section 23 of the Act, 1957 for non-compliance of any of

the orders or directions given under the said Act, will equally

apply to the non-compliance of any order passed by the Tribunal

7 Cont. Case (Civil) No.595 of 2022 while dealing with the cases under section 27 of the Act, 2015.

Under the said circumstance, the petitioner has the remedy to

file application before the Tribunal itself for taking action under

section 23 of the Act, 1957 against the opposite party no. 2 if it

feels that the opposite party no. 2 has shown disobedience of the

order dated 12.10.2018 passed by the Court of Tribunal, Judge

under C.B.A. Act.

16. For the reasons as aforesaid, this Court is of the considered view

that the present contempt petition is not maintainable.

17. The contempt petition is, accordingly, dismissed as not

maintainable. The petitioner will, however, be at liberty to

approach before the Tribunal Judge under C.B.A. Act, Rajmahal

Project Area, Lalmatia at Godda against the opposite party no.2

alleging non-compliance of the order dated 12.10.2018. If the

said application is filed, the Tribunal Judge shall pass appropriate

order looking to the merit of the claim of the parties without

being prejudiced by the dismissal of the present contempt

petition.

(Rajesh Shankar, J.) Vikas/AFR

8 Cont. Case (Civil) No.595 of 2022

 
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