Citation : 2024 Latest Caselaw 12808 Ker
Judgement Date : 22 May, 2024
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE DEVAN RAMACHANDRAN
WEDNESDAY, THE 22ND DAY OF MAY 2024 / 1ST JYAISHTA, 1946
WP(C) NO. 38753 OF 2023
PETITIONER:
CHITTUR SERVICE CO-OPERATIVE BANK LTD NO. 18
CHITTUR P.O., PALAKKAD, PIN - 678101
REPRESENTED BY ITS SECRETARY
BY ADVS.
R.HARISHANKAR
GOVINDANUNNI P.
RESPONDENT:
S. RADHAKRISHNAN
S/O SUKUMARAN ARYAMPALLAM, CHITTUR,
PALAKKAD, PIN - 678101
BY ADVS.
LINDONS C.DAVIS
E.U.DHANYA(K/672/2006)
N.S.SHAMILA(K/222/2016)
CHINJU P. JOYIES(K/894/2016)
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR
ADMISSION ON 22.05.2024, ALONG WITH WP(C).42113/2023, THE
COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
W.P.(C) Nos.38753 of 2023 & 42113 of 2023
:2:
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE DEVAN RAMACHANDRAN
WEDNESDAY, THE 22ND DAY OF MAY 2024 / 1ST JYAISHTA, 1946
WP(C) NO. 42113 OF 2023
PETITIONER:
S.RADHAKRISHNAN,
AGED 72 YEARS, S/O.SUKUMARAN (LATE)
ARYAMPALLLAM, CHITTUR,
PALAKKAD DISTRICT, PIN - 678101
BY ADVS.
LINDONS C.DAVIS
E.U.DHANYA
N.S.SHAMILA
CHINJU P. JOYIES
RESPONDENTS:
1 STATE OF KERALA
REPRESENTED BY SECRETARY TO GOVERNMENT,
CO-OPERATIVE DEPARTMENT,
THIRUVANANTHAPURAM, PIN - 695001
2 ASSISTANT REGISTRAR OF CO-OPERATIVE
SOCIETIES (GENERAL), OFFICE OF THE
ASSISTANT REGISTRAR OF CO-OPERATIVE
SOCIETIES (GENERAL), CHITTUR,
PALAKKAD, PIN - 678101
3 CHITTUR SERVICE CO-OPERATIVE BANK LTD.,
NO.18, REPRESENTED BY ITS SECRETARY,
CHITTUR.P.O, PALAKKAD DISTRICT, PIN - 678101
4 SUB REGISTRAR,
SUB REGISTRAR OFFICE, CHITTUR,
CHITTUR, PALAKKAD DISTRICT, PIN - 678101
BY ADVS.
R.HARISHANKAR
GOVINDANUNNI P.(K/001761/1999)
MABLE C.KURIAN - SR.GP
W.P.(C) Nos.38753 of 2023 & 42113 of 2023
:3:
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR
ADMISSION ON 22.05.2024, ALONG WITH WP(C).38753/2023, THE
COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
W.P.(C) Nos.38753 of 2023 & 42113 of 2023
:4:
JUDGMENT
Both these matters have been heard together, since they
involve analogous circumstances and since the petitioners seek
reliefs that are opposed to each other.
2. While W.P.(C).No.38753/2023 has been filed by the
Chittoor Service Co-operative Bank Ltd. ('Bank', for short);
W.P.(C).No.42113/2023 has been filed by Sri.S.Radhakrishnan, who
is admitted to have availed a loan from the former.
3. At the crux of the controversy between the parties, is a
question as to the validity of an order of the Kerala Co-operative
Tribunal, Thiruvananthapuram ('Tribunal', for short), in Appeal
No.136/2021, which was one filed by Sri.S.Radhakrishnan.
4. The relevant facts compendiously is that, when
Sri.S.Radhakrishnan defaulted payment, the Bank initiated
recovery action by filing A.R.C.No.4381/1999, but thereafter seems
to have left the proceedings midway, to then file a fresh A.R.C.,
numbered as A.R.C.No.4134/2015. This Arbitration was awarded,
which led to Sri.S.Radhakrishnan filing the aforementioned Appeal
No.136/2021, wherein, the learned 'Tribunal' found that the
second A.R.C. was not maintainable, particularly when the first
one had ended in a settlement between the parties in an "Adalat".
The learned 'Tribunal' has taken the view that when the first W.P.(C) Nos.38753 of 2023 & 42113 of 2023
Arbitration concluded in a final Award, the second Arbitration
proceedings were incompetent.
5. The Bank challenges the afore findings of the learned
'Tribunal' as being illegal and unlawful; while Sri.S.Radhakrishnan
seeks that the said Award be allowed to be executed and the costs
ordered therein in his favour be ordered to be paid by the Bank.
6. Sri.Harishankar - learned counsel for the Bank,
vehemently argued that the findings of the learned 'Tribunal' in
the impugned order are wholly incorrect because, the first A.R.C.
filed by his client, namely A.R.C.No.4381/1999, did not end in a
valid Award. He asserted that, even going by the impugned order,
the learned 'Tribunal' has found that, pending the afore A.R.C., an
"Adalat" was conducted at the instance of his client, and though a
One-Time-Settlement was offered, no valid Award had been issued
because, the same was nor signed, or accepted, or subscribed to
by him. He submitted that, therefore, in the absence of an Award
in A.R.C.No.4381/1999, his client was wholly without error in
having initiated a fresh A.R.C. and in obtaining an Award therein.
He, therefore, prayed that the impugned order be set aside and his
client be allowed to execute the Award obtained by them in the
A.R.C. No.4134/2015.
7. However, in response, Sri.Lindons C.Davis - learned W.P.(C) Nos.38753 of 2023 & 42113 of 2023
counsel for Sri.S.Radhakrishnan, submitted that A.R.C.No.
4381/1999 can even now be only construed to be still pending
because, the "Adalat" mentioned above was not one in which
Awards were issued, but where execution matters were considered
for settlement. He argued that, in such manner, there was no
Award in the A.R.C. at all; and that what is been projected by the
Bank before the "Adalat", is only a proceeding which they had
prepared as if it is an execution, but which his client had rightly
refused to subscribe to. He thus prayed that the order of the
learned Tribunal be left uninterdicted.
8. The learned Senior Government Pleader - Smt.Mable
C.Kurian, appearing for the official respondents in these matters,
submitted that, since the controversy is between the parties, her
clients have nothing to offer and comment at this stage. She added
that, they will abide by any directions to be issued by this Court.
9. I have gone through the order of the learned 'Tribunal'
very carefully; and it is interesting that most of the facts remain
uncontested between the parties even before this Court.
10. The factum of A.R.C.No.4381/1999 having been filed by
the Bank and that it did not lead to an Award at the hands of the
Arbitrator is without any contest. The only point of disputation is
whether an Award has been issued by the "Adalat", which was W.P.(C) Nos.38753 of 2023 & 42113 of 2023
convened at the instance of the Bank. While the Bank asserts that
there was such an Award, but admits that it was not signed by
Sri.S.Radhakrishnan; the latter takes the specific stand that this
"Adalat" was not one in which an Award could have been issued,
but was only considering execution matters.
11. Be that as it may, there is hardly any doubt - as has been
virtually admitted by both sides - that A.R.C.No.4381/1999 did not
conclude in a valid Award, at least not one in which the petitioner
had participated in, or agreed to. Pertinently, the Bank has chosen
not to produce any such Award before the learned Tribunal, or
even before this Court.
12. In such perspective, it is without doubt that the
proceedings in A.R.C.No.4381/1999 are clouded in uncertain and
unexplained scenarios; and this is exactly what has been stated by
the learned 'Tribunal' in the impugned order. As long as the said
A.R.C. is not demonstrated to have concluded, one fails to
understand how the Bank could have initiated further action
through a subsequent A.R.C., in which an Award has now been
issued and which has been rightly interdicted by the learned
'Tribunal' in the order impugned.
In the afore circumstances, I dispose of these matters in the
following manner:
W.P.(C) Nos.38753 of 2023 & 42113 of 2023
a) W.P.C.No.38753/2023 is dismissed.
b) W.P.(C).No.42113/2023 is allowed; however,
leaving liberty to the petitioner to invoke every
remedy based on Ext.P1 order therein, as per law
and following due procedure, including for its
execution as may be eligible.
Needless to say, the remedy and rights of the Bank with
respect to A.R.C.No.4381/1999 has not been decided conclusively
in this judgment, and all such contentions in that regard are left
open.
Sd/-
DEVAN RAMACHANDRAN JUDGE anm W.P.(C) Nos.38753 of 2023 & 42113 of 2023
APPENDIX OF WP(C) 38753/2023
PETITIONER EXHIBITS Exhibit P1 TRUE COPY OF JUDGMENT DATED 22.3.2023 IN APPEAL NO.136 OF 2021 OF THE KERALA CO-
OPERATIVE TRIBUNAL, THIRUVANANTHAPURAM Exhibit P2 TRUE COPY OF LOAN APPLICATION FORM SUBMITTED BY RESPONDENT Exhibit P3 TRUE COPY OF RELEVANT PAGE OF THE LEDGER OF LOAN ACCOUNT OF THE RESPONDENT Exhibit P4 TRUE COPY OF AWARD DATED 18.5.2018 RENDERED BY ASSISTANT REGISTRAR (GENERAL) CHITTUR CO-OPERATIVE SOCIETY Exhibit P5 TRUE COPY OF APPEAL PETITION NO.136/2021 FILED BY THE RESPONDENT BEFORE THE KERALA CO-OPERATIVE TRIBUNAL, THIRUVANANTHAPURAM DATED 4.11.2021 W.P.(C) Nos.38753 of 2023 & 42113 of 2023
APPENDIX OF WP(C) 42113/2023
PETITIONER EXHIBITS Exhibit P1 A COPY OF THE JUDGMENT IN APPEAL NO.136/2021, DATED 22.03.2023 OF THE KERALA CO-OPERATIVE TRIBUNAL, THIRUVANANTHAPURAM Exhibit P2 A TRUE COPY OF THE REPRESENTATION DATED 07.11.2023 SUBMITTED BY THE PETITIONER BEFORE THE 3RD RESPONDENT Exhibit P3 A COPY OF THE LETTER DATED 14.11.2023 FROM THE 3RD RESPONDENT BANK TO THE PETITIONER Exhibit P4 A COPY OF THE APPLICATION SUBMITTED BY THE PETITIONER BEFORE THE 2ND RESPONDENT DATED 14.11.2023
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