Citation : 2023 Latest Caselaw 542 MP
Judgement Date : 10 January, 2023
1
IN THE HIGH COURT OF MADHYA PRADESH
AT JABALPUR
BEFORE
HON'BLE SHRI JUSTICE MANINDER S. BHATTI
ON THE 10 th OF JANUARY, 2023
REVIEW PETITION No. 1195 of 2022
BETWEEN:-
1. THE UNITED CHRISTIAN MISSIONARY SOCIETY
THROUGH SHRI SUHINDRA NILESH SINGH S/O
LATE SURENDRA SINGH AGED ABOUT 39 YEARS
VICE PRESIDENT DIOCESE OF JABALPUR
CHURCH OF NORTH INDIA R/O 926 NORTH CIVIL
LINES JABALPUR (MADHYA PRADESH)
2. THE UNITED CHURCH OF NORTHEN INDIA TRUST
A S S O C I A T I O N THROUGH AUTHORIZED
SIGNATORY SHRI SUHINDRA NILESH SINGH S/O
LATE SURENDRA SINGH AGRD ABOUT 39 YEARS
VICE PRESIDENT INDIA R/O 926 NORTH CIVIL
LINES JABALPUR (MADHYA PRADESH)
.....PETITIONERS
(BY SHRI ANSHUMAN SINGH - ADVOCATE WITH SHRI ANUJ
SHRIVASTAVA - ADVOCATE )
AND
1. THE STATE OF MADHYA PRADESH THROUGH
PRINCIPAL SECRETARY DEPARTMENT OF
REVENUE VALLABH BHAWAN BHOPAL (MADHYA
PRADESH)
2. THE ADDITIONAL COLLECTOR JABALPUR,
DISTRICT JABALPUR (MADHYA PRADESH)
3. THE SUB DIVISIONAL OFFICER (REVENUE), OMTI,
DISTRICT-JABALPUR (MADHYA PRADESH)
4. THE TEHSILDAR, RANJHI, DISTRICT-JABALPUR
(MADHYA PRADESH)
.....RESPONDENTS
(BY SHRI PRASHANT SINGH - ADVOCATE GENERAL ASSISTED WITH
SHRI BHARAT SINGH - ADDITIONAL ADVOCATE GENERAL AND SHRI
Signature Not Verified
AMIT SETH - DEPUTY ADVOCATE GENERAL )
Signed by: SAVITRI PATEL
Signing time: 1/17/2023
3:05:47 PM
2
This petition coming on for admission this day, th e court passed the
following:
ORDER
This is a review petition filed by the petitioners seeking review of the order dated 24.10.2022 passed in W.P.No.23597/2022 contained in Annexure A/2.
Learned counsel for the petitioners contends that the petitioners by filing the said petition had assailed an order dated 23.09.2022 (Annexure P/9), passed by Additional Collector, Jabalpur whereby the application filed by the petitioners for renewal of lease was rejected and it was proposed that right of
re-entry would be exercised. The said writ petition has been dismissed by this Court on the ground that the petition on behalf of Association is not maintainable in view of the fact that there is no resolution on record to establish that the members of Association have taken a decision to authorize the petitioner No.2 to file the writ petition and this Court further extended liberty to the petitioners to avail the statutory alternative efficacious remedy. Counsel further contends that in the present case, this Court did not consider the specific averments made in the petition to the effect that petitioner No.2 (The United Church of Northern India Trust Association) is a registered company under the provisions of Companies Act, 1956 having its head quarter at Omega, 19 August Kranti Marg, Mumbai 400007.
It is contended by the counsel for the petitioners that there was an authority letter which was filed along with Annexure P/1 and the same was in favour of Mr. Brucelee Thangadurai, Moderator's Commissary, Jabalpur Diocese, Church of North India. It is further contended by the counsel for the petitioners that the said authorization letter was an offshoot of minutes of Signature Not Verified Signed by: SAVITRI PATEL Signing time: 1/17/2023 3:05:47 PM
meeting of the Committee of Management of United Church of Northern India Trust Association. The said minutes have been brought on record as Annexure A/3 with the review petition and a copy of General Power of Attorney has also been brought on record as Annexure A/4 which has been issued in favour of Mr. Sanjay Ezekiel Singh. Mr. Sanjay Ezekiel Singh issued authority letter in favour of Mr. Brucelee Thangadurai, Moderator's Commissary, Jabalpur Diocese, Church of North India which was produced on record with writ petition as Annexure P/1. Thus, counsel submits that this Court ought to have appreciated the aspect that the petitioner No.2 is a company and the person who sworn in affidavit was duly authorized and the authorization was issued on the basis of minutes of the Committee of Management meeting which have been brought on record as Annexure A/3. Thus, counsel submits that in terms of the law laid down by the Supreme Court in the case of United Bank of India vs. Naresh Kumar and Others reported in (1996) 6 SCC 660, the petition was maintainable and could not have been dismissed on the ground of maintainability.
It is further contended by the counsel for the petitioners that if there is misconception of law by the Court or the counsel, the same is a permissible ground in terms of Order 47 Rule 1 of C.P.C. and accordingly, the reliance is placed on the decision of Apex Court in the case of Board of Control For
Cricket in India and Another reported in (2005) 4 SCC 741. It is contended by the counsel that even the alternative remedy is no bar to entertain the petition inasmuch as, there was no opportunity of hearing before passing the impugned order dated 23.09.2022. To substantiate this contention, reliance is placed on the decision of Apex Court in the case of Express Newspapers Pvt. Ltd. and
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Others vs. Union of India and others reported in (1986) 1 SCC 133 and also in the decision of Apex Court in the case of State of U.P. and Others vs. Maharaja Dharmandra Prasad Singh and Others reported in (1989) 2 SCC
It is further submission of counsel that the order impugned was issued under Section 182 of the MPLRC, hence the same could not have been passed without extending opportunity of hearing to the petitioners.
Counsel for the petitioners contends that in the present case, as the respondent No.2 was holder of a lease which was brought on record along with the petition as Annexure P/2 and renewal of the same was applied by the petitioners, thus, without extending any opportunity of hearing to the petitioners, the renewal could not have been declined and right to re-entry could not have been exercised. Thus, counsel submits that the impugned order deserves to be recalled and the petition is to be heard afresh on merit.
Per contra, learned Advocate General submits that the present review petition is grossly misconceived and the petitioners are making a futile attempt to advance the submissions on merit which is not permissible in view of the limited scope of review jurisdiction. It is further contended by the Advocate General that the petitioners herein assailing the order dated 24.10.2022 passed in W.P.No.23597/2022 had filed a Writ Appeal also before this Court. The said writ appeal i.e. W.A.No.1364/2022 was dismissed as withdrawn vide order dated 02.11.2022 (Annexure A/6) with liberty to pursue such remedy as available in law. It is contended by the Advocate General that the Division Bench did not grant any liberty to file the review petition. It is contended by Shri Prashant Singh, Advocate General that this review petition has been filed under the garb of order dated 02.11.2022 in W.A.1364/2022 (Annexure A/6) Signature Not Verified Signed by: SAVITRI PATEL Signing time: 1/17/2023 3:05:47 PM
whereas in the said order, no liberty was extended to the petitioners to file a review petition, Thus submits that the review petition is liable to be dismissed on this count alone.
It is further contended by the Advocate General that in the present case, the Authority Letter which was filed along with the petition was seriously disputed by the State and the said objection was considered in paragraph 3 of the order by this Court. The present review petition has now been filed along with an Authority Letter dated 04.11.2022 which is in favour of one Mr. Sameer I. Khimla, Moderator's Episcopal Commissary, Diocese of Jabalpur, Church of North India thus, again in this review petition also there is no resolution by the company so as to empower the person who is swearing affidavit in support of the Review Petition. The counsel while referring to Section 2(10) of the Companies Act submits that the company is a juristic person and therefore, the filing of writ petition is only permissible within the scope of Section 21 of the Companies Act. Thus, counsel submits that the present review petition which is an attempt to re-open the issue on merits, is not maintainable and deserves to be dismissed.
Heard rival submissions of both the parties and perused the record. Though counsel for the petitioners has advanced submissions on merits of the case as well but as the review petition is only confined to the order passed in the original writ petition, the same are not being dealt with inasmuch as the merit of the case is not to be considered in the present review petition.
The contention of the counsel for the petitioners that the order is now needs to be examined in the light of the judgment of the Apex Court in the case of United Bank of India vs. Naresh Kumar and Others reported in (1996) 6
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SCC 660.
The Apex Court, in the said case in paragraphs 10 and 11 has held as under:-
"10. It cannot be disputed that a company like the appellant can sue and be sued in its own name. Under Order 6 Rule 14 of the Code of Civil Procedure a pleading is required to be signed by the party and its pleader, if any. As a company is a juristic entity it is obvious that some person has to sign the pleadings on behalf of the company. Order 29 Rule 1 of the Code of Civil Procedure, therefore, provides that in a suit by or against a corporation the Secretary or any Director or other Principal Officer of the corporation who is able to depose to the facts of the case might sign and verify on behalf of the company. Reading Order 6 Rule 14 together with Order 29 Rule 1 of the Code of Civil Procedure it would appear that even in the absence of any formal letter of authority or power of attorney having been executed a person referred to in Rule 1 of Order 29 can, by virtue of the office which he holds, sign and verify the pleadings on behalf of the corporation. In addition thereto and dehors Order 29 Rule 1 of the Code of Civil Procedure, as a company is a juristic entity, it can duly authorise any person to sign the plaint or the written statement on its behalf and this would be regarded as sufficient compliance with the provisions of Order 6 Rule 14 of the Code of Civil Procedure. A person may be expressly authorised to sign the pleadings on behalf of the company, for example by the Board of Directors passing a resolution to that effect or by a power of attorney being executed in favour of any individual. In absence thereof and in cases where pleadings have been signed by one of its officers a corporation can ratify the said action of its officer in signing the pleadings. Such ratification can be express or implied. The court can, on the basis of the evidence on record, and after taking all the circumstances of the case, specially with regard to the conduct of the trial, come to the conclusion that the corporation had ratified the act of signing of the pleading by its officer.
11. The courts below could have held that Shri L.K. Rohatgi must have been empowered to sign the plaint on behalf of the appellant. In the alternative it would have been legitimate to hold that the manner in which the suit was conducted showed that the appellant-Bank must have ratified the action of Shri L.K. Rohatgi in signing the plaint. If, for any reason whatsoever, the courts below were still unable to come to this conclusion, then either of the appellate courts ought to have exercised their jurisdiction under Order 41 Rule 27(1)(b) of the Code of Civil Procedure and should have directed a proper power of attorney to be produced or they could have ordered Shri L.K. Rohatgi or any other competent person to be examined as a witness in order to prove ratification or the authority of Shri L.K. Rohatgi to sign the plaint. Such a power should be exercised by a court in order to ensure that injustice is not done by rejection of a genuine claim."
Signature Not Verified Signed by: SAVITRI PATEL Signing time: 1/17/2023 3:05:47 PM
A perusal of the aforesaid reflects that the Supreme Court observed that a petition can be filed by a person on behalf of the company who has been authorized by way of a power of attorney.
In the present case, the writ petition being W.P.No.23597/2022 was filed on the basis of an authority letter dated 12.10.2022 issued in favour of Mr. Brucelee Thangadurai, Moderator's Commissary, Jabalpur Diocese, Church of North India. Along with the said writ petition, no resolution or any other document was filed however, now along with the review petition, minutes of the Committee of Management contained in Annuxure A/3 have been brought on record and a perusal of the said minutes reflect that there is a decision by the Management Committee of United Church of Northern India Trust Association to execute a General Power of Attorney in favour of Mr. Sanjay E. Singh. The petitioners have not filed any resolution by the Board of Directors nor there are any averments in the petition to the effect that the Management Committee of the petitioner No.2/company in fact is the Board of Directors.
In terms of the provisions of Section 2(10) of Companies Act, the Board of Directors in relation to a company means the collective body of the directors of the company. It is also important that the authentication of documents, proceedings and contracts may be signed by any Key Managerial person or any Officer or Employee of the company duly authorized by the Board in this behalf. Thus, in the light of the judgment of the Apex Court in United Bank of India (supra), if the contention of the petitioners is cogitatively pondered over, the same would reveal that the petitioners have not pleaded the Managing Committee in fact is Board of Directors. The Companies Act, 1956 contain no provision regarding Committee of Management or constitution thereof.
Signature Not Verified Undisputedly, in terms of the law laid down by the Apex Court, even on the Signed by: SAVITRI PATEL Signing time: 1/17/2023 3:05:47 PM
basis of authority letter as well a person can represent the company which is a juristic entity, but there has to be Authority in favour of such a person by the Board.
In the present case, there is failure on the part of the petitioner to demonstrate that in terms of the provisions of the Companies Act as well as the Memorandum of Association, a Board has been constituted and the Board is then empowered to take decision in terms of Section 2(10) as well as Section 21 of the Companies Act, 1956. It is also important that the statute has taken care of the different types of company and thus, in Scheduled-I of Companies Act, there are provisions of Memorandum of Association of different types of Companies and also Article of Association of Companies of the different categories.
The petitioners have not brought on record as to who are director of the company. No memorandum of Association or Article of Association have been brought on record by the petitioners', thus, Annexure A/3 filed along with a review petition, is not a resolution by the Board of Director, on the contrary, the same is extract of the minutes of the meeting of Management Committee. There are no averments in writ petition or even in the review petition that the Management Committee is in fact Board of Director of the petitioner No.2. It is also not clarified by the petitioners that as to how, when an authority letter was issued in favour of Mr. Brucelee Thangadurai, Moderator's Commissary, Jabalpur Diocese, Church of North India who sworn in affidavit in support of the writ petition, again another authority letter in favour of Mr. Sameer I. Khimla dated 04.11.2022 (Annexure A/1) has been issued and Annexure A/1 nowhere speaks about the cancellation of earlier authority letter dated 12.10.2022. Again Signature Not Verified Signed by: SAVITRI PATEL Signing time: 1/17/2023 3:05:47 PM
the authority letter which has been filed as Annexure A/1 with the review petition is also nowhere speaks about any resolution of the Board of Director. Thus, this Court rightly came to a conclusion that there is no authorization in favour of petitioner No.2 to file the present petition.
In view of the aforesaid, as there is failure on the pert of the petitioner to point out the error apparent on the record and particularly in view of the fact that as the writ appeal against the order dated 24.10.2022 in W.P.No.23597/2022 has been dismissed as withdrawn by the review petitioners and after withdrawal of the same, this review petition is not maintainable.
Thus, since the scope of review is very limited and it is also trite that review can only be entertained when there is an error apparent on the face of record and the same has resulted in miscarriage of justice.
The Apex Court in paragraph 9 in the case of Meera Bhanja (Smt)Vs. Nirmala Kumari Choudhary reported in 1995 (1) SCC 170 has held as under:
"9. Now it is also to be kept in view that in the impugned judgment, the Division Bench of the High Court has clearly observed that they were entertaining the review petition only on the ground of error apparent on the face of the record and not on any other ground. So far as that aspect is concerned, it has to be kept in view that an error apparent on the face of record must be such an error which must strike one on mere looking at the record and would not require any long-drawn process of reasoning on points where there may conceivably be two opinions. We may usefully refer to the observations of this Court in the case of Satyanarayan Signature Not Verified Signed by: SAVITRI PATEL Signing time: 1/17/2023 3:05:47 PM
Laxminarayan Hegde v. Mallikarjun Bhavanappa Tirumale [AIR 1960 SC 137 : (1960) 1 SCR 890] wherein, K.C. Das Gupta, J., speaking for the Court has made the following observations in connection with an error apparent on the face of the record:
A n error which has to be established by a long-drawn process of reasoning on points where there may conceivably be two opinions can hardly be said to be an error apparent on the face of the record. Where an alleged error is far from self-evident and if it can be established, it has to be established, by lengthy and complicated arguments, such an error cannot be cured by a writ of certiorari according to the rule governing the powers of the superior court to issue such a writ."
In the considered view of this Court as there is failure on the part of the petitioners to point out the error apparent on the record, no interference is warranted.
The Advocate General has submitted that in terms of the Revenue Books Circular, order dated 23.09.2022 was passed by Additional Collector Jabalpur which was sought to be impugned in the petition whereas there is a remedy in Clause-145 of the Revenue Book Circular to submit the representation before the Commissioner. Even, for submission of such a representation, but there has to be proper authority in terms of the provisions of Companies Act, 1959.
Therefore, the petitioners are at liberty to avail the alternative remedy as observed by this Court in Writ Petition.
Accordingly, without adverting to other contentions advanced by both the parties in respect of merits of the matter, the present review petition stands Signature Not Verified Signed by: SAVITRI PATEL Signing time: 1/17/2023 3:05:47 PM
dismissed. No order as to costs.
(MANINDER S. BHATTI) JUDGE sp
Signature Not Verified Signed by: SAVITRI PATEL Signing time: 1/17/2023 3:05:47 PM
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