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D. Raghavendra S/O Dhanjaya vs M/S Margadarsi Chits (Karnataka) Pvt. ...
2024 Latest Caselaw 11542 Kant

Citation : 2024 Latest Caselaw 11542 Kant
Judgement Date : 27 May, 2024

Karnataka High Court

D. Raghavendra S/O Dhanjaya vs M/S Margadarsi Chits (Karnataka) Pvt. ... on 27 May, 2024

                                             -1-
                                                    NC: 2024:KHC-K:3302
                                                     WP No. 200673 of 2021




                              IN THE HIGH COURT OF KARNATAKA

                                     KALABURAGI BENCH

                            DATED THIS THE 27TH DAY OF MAY, 2024

                                           BEFORE

                            THE HON'BLE MR. JUSTICE RAJESH RAI K

                          WRIT PETITION NO.200673 OF 2021 (GM-CPC)

                   BETWEEN:

                   D. RAGHAVENDRA S/O DHANJAYA
                   AGE: 45 YEARS, OCC: LEGAL PRACTITIONER,
                   NO.1-3-938, DHANAJAYA MOTORS,
                   GAUSHALA ROAD, SIYA TALAB,
                   RAICHUR - 584101.

                                                              ...PETITIONER
                   (BY SRI. SACHIN M. MAHAJAN, ADVOCATE)

                   AND:

                   1.   M/S MARGADARSI CHITS
                        (KARNATAKA) PVT. LTD.,
Digitally signed
by RAMESH               1ST FLOOR, ANAND TOWERS,
MATHAPATI               GANDHI CHOWK,
Location: HIGH          RAICHUR-584101.
COURT OF
KARNATAKA
                   2.   MR.JETHALAL G. PATEL
                        S/O DEVASI PATEL, OCC. BUSINESS,
                        C/O MAHALAKSHMI INDUSTRIES FACTORY,
                        PLOT NO.13, ROAD NO.17, IDA,
                        NACHARAM, HYDERABAD-76,
                        R/O MODI APARTMENTS PVT. LTD.,
                        "C" BLOCK, 1ST FLOOR, D NO.110,
                        OPP. NOMA KALYAN MANTAPAM
                        NACHARAM, MALLAPUR,
                        HYDERABAD-76.
                             -2-
                                    NC: 2024:KHC-K:3302
                                     WP No. 200673 of 2021




3.    MR. NAVEEN PATEL
      S/O JETHALAL PATEL, OCC. BUSINESS,
      C/O MAHALAKSHMI INDUSTRIES FACTORY,
      PLOT NO.13, ROAD NO.17, IDA,
      NACHARAM HYDERABAD-76,
      R/O MODI APARTMENTS PVT. LTD.,
      "C" BLOCK, 1ST FLOOR, D NO.110,
      OPP. NOMA KALYAN MANTAPAM
      NACHARAM, MALLAPUR,
      HYDERABAD-76.

4.    MR. GIRI GOPAL S/O RANGAPPA
      AGE: 47 YEARS, OCC:BUSINESS,
      C/O M/S SRINIVAS MOTORS,
      SINDHANOOR ROAD, MANVI,
      DIST. RAICHUR-585123.
      R/O H.NO. 12-4-70/1 AND 12-4-70/2,
      NEAR SRI AMBA BHAVANI TEMPLE,
      CHANDRABAND ROAD, RAICHUR-584101.

                                              ...RESPONDENTS
(BY SMT. CHANDRAKALA, ADVOCATE FOR R1;
 NOTICE TO R2 TO R4 DISPENSED WITH)

       THIS WRIT PETITION IS FILED UNDER ARTICLES 227 OF
THE    CONSTITUTION   OF   INDIA,   PRAYING   TO   SSUE   AN
APPROPRIATE WRIT OR ORDER OR DIRECTION AND THEREBY
SET ASIDE THE IMPUGNED ORDER DATED 02.02.2021 PASSED
BY THE LEARNED II ADDITIONAL CIVIL JUDGE AND JMFC-IV AT
RAICHUR    IN   EP   NO.107/2016    VIDE   ANNEXURE-C,    BY
ALLOWING THE WRIT PETITION.


       THIS PETITION, COMING ON FOR PRELIMINARY HEARING
IN 'B' GROUP, THIS DAY THE COURT MADE THE FOLLOWING:
                                -3-
                                      NC: 2024:KHC-K:3302
                                       WP No. 200673 of 2021




                              ORDER

The petitioner is aggrieved by the order dated

02.02.2021 passed in E.P.No.107/2016 by the II

Additional Civil Judge and JMFC-IV at Raichur.

2. The factual matrix of the case is that the

respondent No.1 has filed an Execution Petition under

Order 21 Rule 11 of CPC read with Section 71(a) of the

Chits Funds Act, 1982 before the II Additional Civil Judge

and JMFC-IV, Raichur in Execution Petition No.107/2016.

Thereafter, the petitioner herein / judgment debtor No.4

appeared before the executing Court. Thereafter on

30.01.2019, respondent No.1 i.e., the decree holder filed

I.A.No.IV under Order 21 Rule 37 read with Section 151 of

CPC to issue arrest warrant against the judgment debtor

Nos.1 to 4 including the petitioner who is arrayed as

judgment debtor No.4 in execution case. The Trial Court

by order dated 02.02.2021 issued an arrest warrant

against the petitioner/judgment debtor No.4, being

aggrieved by the same, the petitioner is before this Court.

NC: 2024:KHC-K:3302

3. Heard Sri.Sachin M.Mahajan, learned counsel

for the petitioner and Smt.Chandrakala, learned counsel

for respondent No.1.

4. It is the primary contention of the learned

counsel for the petitioner that as contemplated under

Order 21 Rule 37 (1) of CPC, once the application is filed

for execution of decree then executing Court has to issue

show cause notice to the judgment debtor before issuing

arrest warrant. He contends that the same is mandatory

rule and learned trial Court judge failed to appreciate the

same. Accordingly, he prays to allow the Writ Petition.

5. Per contra, learned counsel for the respondent

No.1 would contend that the petitioner herein has already

appeared before the Trial Court before filing of the

application for issuance of warrant and thereafter, he

claimed that the matter would be settled between the

parties and requested the Court to refer the matter to the

Lok-Adalath. Inspite of that, he failed to settle the dispute,

so also failed to appear before the Court, as such, the

NC: 2024:KHC-K:3302

executing Court has rightly issued the warrant and prayed

for dismissal of the Writ Petition.

6. Having heard the learned counsel for the parties

and having perused the documents made available before

this Court, it is relevant to extract the provision under

Order 21 Rule 37 (1) of CPC, the same reads as under:

"37. Discretionary power to permit judgment- debtor to show cause against detention in prison.-(1) Notwithstanding anything in these rules, where an application is for the execution of a decree for the payment of money by the arrest and detention in the civil prison of a judgment-debtor who is liable to be arrested in pursuance of the application, the Court [shall], instead of issuing a warrant for his arrest, issue a notice calling upon him to appear before the Court on a day to be specified in the notice and show cause why he should not be committed to the civil prison"

7. On careful reading of the above provision, it is

clear that before issuing such warrant, the executing Court

shall issue a notice calling upon the judgment debtor to

appear before the Court on that date to be specified in the

notice and show cause as to why he should not be

NC: 2024:KHC-K:3302

committed to the civil prison. On perusal of the order

sheet placed before this Court, it is evident that the Trial

Court failed to issue any such show cause notice to the

judgment debtor. In that view of the matter, I am of the

considered view that the order passed by the Trial Court is

required to be set aside. Accordingly, I pass the following:

ORDER

i. The Writ Petition is allowed.

ii. The order dated 02.02.2021 passed in E.P.No.107/2016 by the II Additional Civil Judge and JMFC-IV at Raichur, is set aside.

iii. The Trial Court is directed to issue show cause notice to the petitioner/judgment debtor No.4 as contemplated under the provision of Order 21 Rule 37 (1) of CPC and proceed with the matter accordingly.

Sd/-

JUDGE

VNR

CT;BN

 
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