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Birendra Narang vs Sanjay Dubey
2025 Latest Caselaw 5419 MP

Citation : 2025 Latest Caselaw 5419 MP
Judgement Date : 11 March, 2025

Madhya Pradesh High Court

Birendra Narang vs Sanjay Dubey on 11 March, 2025

Author: Sanjay Dwivedi
Bench: Sanjay Dwivedi
                                               1

        IN THE HIGH COURT OF MADHYA PRADESH
                     AT JABALPUR

                          BEFORE
            HON'BLE SHRI JUSTICE SANJAY DWIVEDI
                        ON THE 11th OF MARCH, 2025
                        FIRST APPEAL NO. 807 OF 2017
                            SANJAY DUBEY & ANOTHER
                                      VS.
                           VIRENDRA NARANG & OTHERS
----------------------------------------------------------------------------------------------
Appearance:
     Shri Ajay Gupta - Senior Advocate assisted by Shri Rajeev Mishra
- Advocate for the appellants.
        Shri Umesh Shrivastava - Advocate for the respondents.
---------------------------------------------------------------------------------------
                       FIRST APPEAL NO. 1210 OF 2017
                                 VIRENDRA NARANG
                                        VS.
                               SANJAY DUBEY & OTHERS
----------------------------------------------------------------------------------------------
Appearance:
        Shri Umesh Shrivastava - Advocate for the appellant.
     Shri Ajay Gupta - Senior Advocate assisted by Shri Rajeev Mishra
- Advocate for the respondents.
---------------------------------------------------------------------------------------
Reserved on: 20.11.2024
Pronounced on : 11.03.2025
                                    JUDGMENT

These appeals under Section 96 of the Code of Civil Procedure arise out of the same judgment and decree dated 28.07.2017 passed in Civil Suit

No. 117-A/2010 by XIII Additional District Judge, Bhopal directing appellants to pay Rs. 30,54,899/- to the respondent/plaintiff within a period of two months with a further direction to pay interest @ 6% from the date of filing of the suit till judgment and decree.

2. Since both the appeals have been heard together, therefore, they are being decided by this common judgment and for the sake of convenience, the facts are being extracted from the First Appeal No. 807/2017, which are as under:-

2.1 The plaintiff/respondent No.1 filed a civil suit against the defendant Nos. 1 and 2 (So as to avoid any confusion, hereinafter plaintiff would be addressed as 'respondent No.1' and defendant Nos. 1 and 2 would be addressed as 'appellants'). The suit was filed for specific performance of contract and permanent injunction inter-alia on the ground that an agreement to sale dated 15.07.2008 was executed between respondent No.1 and the appellants for sale of House No. 29, Windsor Delight, Chunabhatti, Bhopal for a sale consideration of Rs. 52 lakhs.

2.2 The respondent No.1 paid substantial sum as per the agreement and a balance amount of Rs. 21,45,104/- remained to be paid, but appellants terminated the sale agreement by giving notice dated 06.04.2010. Thus, the suit was filed for specific performance of contract and permanent injunction.

2.3 The appellants appeared and filed a written statement denying plaint averments and took a stand that the sale agreement was for a limited period i.e. for a period of two months and the entire sale consideration was to be paid by the respondent No. 1 within two months i.e. up to 15.09.2008, but

he did not pay the entire sale consideration ever after passing of two years and therefore, appellants had no other option but to terminate the contract and that was done as per the terms of the sale agreement. It is also stated in the written statement that the respondent No.1 exaggerated the amount paid by him to the appellants and, according to them, only an amount of Rs. 7 lakhs was paid in advance.

2.4 It is also stated in the written statement that the appellants had to sell the house as there was a liability of Rs. 29 lakhs against them because they had taken home loan in the year 2008 and the said loan amount was to be paid by them to clear the liability and other liabilities were also to be cleared from the remaining amount of Rs. 23 lakhs, which they would have received from the balance sale consideration.

2.5 The respondent No.1 had taken a stand that the contract was illegally terminated by the appellants.

2.6 Thereafter, the trial court framed as many as five Issues. The statements of respondent No. 1 witnesses were recorded as they had filed affidavit under Order 18 Rule 4 of CPC on 25.04.2012. The respondent No.1 exhibited several documents and thereafter his cross examination was started on 21.08.2012, but due to paucity of time the cross-examination could not be completed.

2.7 The next date for cross-examination of the respondent No. 1 was fixed for 28.09.2012, but since on the said date counsel for the appellant had to attend the cremation of father of one of his close friends, he was not available on the said date and therefore, due to paucity of time, the cross-

examination could not be completed on the said date. Thereafter, an

application under Order 17 Rule 1 of CPC was filed seeking adjournment in the case. The trial court rejected the said application vide order dated 28.09.2012 as the court did not find the reason for seeking adjournment sufficient because the said application did not contain the details of the person, who expired and fixed the case for defence evidence on 21.11.2012.

2.8 The appellants again on 16.10.2012 moved an application under Section 151 of CPC for recalling the order dated 28.09.2012 and further seeking permission to allow them to complete the cross-examination of respondent No.1. In the said application, the appellants mentioned details of the person in whose cremation the counsel for the appellants had gone and even newspaper cutting was also annexed alongwith the application so as to substantiate that the cause for not attending the court was sufficient and to convince the court that the application under Order 17 Rule 1 CPC was wrongly rejected.

2.9 As per the counsel for the appellants, the suit was being contested by appellants and it was not proper for the court to not give them opportunity to cross-examine the respondent No.1, who was the material witness of the case.

2.10 On 21.11.2012, the concerning judge of the court was on leave and on 11.12.2012 and 23.01.2013 the respondent No. 1 took time to file reply to the application filed by the appellants under Section 151 CPC. On 13.02.2013, reply was filed and arguments were heard by the court, but on 06.03.2013, the court rejected the application of the appellants.

2.11 The appellants in this appeal, therefore, are also challenging the order dated 06.03.2013 saying that the denial of the opportunity to the appellants

to contest their case and not providing them opportunity to cross-examine the respondent No.1 despite there was sufficient reason shown by the appellants for not cross-examining the respondent No. 1 on the date fixed by the court is not justified and, therefore, the judgment and decree passed by the court below, according to the appellants, is not proper and the matter can be remanded back to the trial court with a direction to allow the appellants to cross-examine the respondents and fresh order be passed.

2.12 A writ petition i.e. WP No. 5508/2013 was filed by the appellants before the High Court and vide order dated 04.07.2013 the interim order was granted by the Court restraining trial court not to pass any final order in the matter till pendency of the petition. The trial court even during pendency of the petition proceeded further and by order dated 27.06.2013 closed the right of the appellants to lead evidence in their defence. This order, according to the appellants, is illegal because the court below even after knowing about the pendency of writ petition challenging the order of the trial court did not allow the appellants to cross-examine the respondent No.1.

2.13 According to the appellants, WP No. 5508/2013 was wrongly dismissed by the Registrar (Judicial) in pursuance to the conditional order dated 27.08.2015 passed by the Court granting time to give correct address of the respondents as per the objection raised by the Registry and since that direction was not complied with, therefore, the writ petition got dismissed. As per the appellants, the said order of Registrar (Judicial) dated 19.10.2015 was not proper because some of the respondents had already been served and as such the order of dismissal of writ petition for not providing correct address of other respondents could not have been passed

and the writ petition at the most could have been dismissed only against those respondents, who were not served but not against those who had already been served.

2.14 The trial court by the impugned judgment and decree although dismissed the suit of respondent No.1 for specific performance of contract, but directed the appellants to pay the amount received from the respondent No.1 and as such decree of Rs. 30,54,899/- was passed in favour of the respondent No.1 directing appellants to repay the said amount and interest @ 6% was also awarded from the date of the judgment and decree till realization of the amount and cost of the suit was also awarded.

2.15 There were some minor corrections in the impugned judgment and decree dated 28.07.2017 but later on it were corrected vide order sheet dated 28.08.2017 and 27.09.2017 adding other defendants in the judgment and decree.

2.16 The impugned judgment and decree has been assailed by the appellants mainly on the ground that the reasons assigned by the trial court for rejecting the application of Order 17 Rule 1 CPC and further application of Section 151 CPC are not proper. It is illegal and passed by the court below in mechanical manner adopting very strict and harsh view. As per the appellants, the impugned judgment and decree is liable be set aside and the matter deserves to be remanded back so as to give an opportunity to the appellants to cross-examine the respondent No.1.

3. Learned counsel for the appellants has submitted that there was no claim and relief prayed by the respondent No. 1 in the plaint for refund of the amount, but the court below even though decreed the suit in the said

manner and therefore, according to him, the said judgment and decree is liable to be set aside.

4. As per the appellants, an amount of Rs. 7 lakhs was paid by the respondent No. 1 and he had proved the said fact but no evidence was produced by the respondent No.1 so as to prove that he had paid the amount more than Rs.7 lakhs to the appellants.

5. According to learned counsel for the appellants, the court below failed to appreciate that even from the incomplete evidence of respondent No.1 it was clear that no amount was deposited in the accounts of the appellants nor personally paid to them. Ex. P/4 was a certificate of IDBI Bank to the effect that certain amount was deposited in the loan account of appellant No.1, but the said certificate nowhere disclosed that the said amount was deposited by whom. In absence of any specific proof about depositing the amount by the respondent No.1, it was not proper to accept that the said amount got deposited by the respondent No.1 in the loan account of appellants.

6. Learned counsel for the appellants has submitted that Ex. P/6 to P/12 are also not the proof indicating that an amount of Rs. 2,50,000/- was deposited in the loan account of the appellants. As per the appellants, the court below has wrongly interpreted the Ex.P/4, a certificate of IDBI Bank, and the amount deposited by the appellants in their loan account was considered to have been deposited by the respondent No.1. He has submitted that this happened only because respondent No.1 could not be cross-examined otherwise the things would have been clear and the impugned judgment and decree could not have been passed in the manner in which it has been passed.

7. Although several grounds have been raised by the appellants, but learned counsel for the appellants has confined his argument to the extent that the appellants should have been granted proper opportunity to defend their case and not providing the same by the trial court is illegal and therefore, the impugned judgment and decree deserves to be set aside and the matter may be directed to be remanded back to the trial court.

8. Learned counsel for the respondent No.1 has opposed the submission made by the learned counsel for the appellants and supported the impugned judgment and decree passed by the court below and further submitted that there cannot be any remand because under the existing circumstances, the case does not fall within the respective provision under which remand can be made.

9. I have heard the learned counsel for the parties and also perused the record. From the rival contention of the learned counsel for the parties, the question emerges to be adjudicated as to whether under the existing circumstances, the case can be remanded back to the trial court to decide the case afresh after granting opportunity to the appellants to complete the cross-examination of respondent No.1 and further allow the appellants to produce their witnesses in support of their defence.

10. I have examined the record of the trial court. From the order sheets dated 21.08.2012 it is clear that the court fixed the next date of the case for 28.09.2012 with an observation that the respondent No.1 would remain present in the Court on the said date so as to get his examination completed and also directed the appellants to remain present before the court to cross- examine the respondent No.1 otherwise it would be presumed that no further examination is required and their right to cross-examine the

respondent No.1 would be closed. The court further directed that if respondent No.1 wants to get any other witness recorded then remaining witnesses shall also be kept present before the court and their examination- in-chief be also kept ready on affidavit under Order 18 Rule 4 of CPC. On 28.09.2012, the respondent No.1 remained present in the court for completing his cross-examination, but appellants moved an application under Order 17 Rule 1 CPC mentioning therein that the counsel had gone to attend the cremation of father of his friend. The said application was opposed and finally the court below closed the right of the appellants to cross-examine the respondent No.1 and directed that on the next date i.e. 21.11.2012, the appellants shall keep their witnesses present in the court. Thereafter, on 06.11.2012, an application for early hearing was moved by the appellants to decide the application moved by them under Section 151 CPC, but the court did not find any urgency in the matter and therefore, the case was taken up on the given date i.e. 21.11.2012, but, because the Presiding Officer was on leave, the case was adjourned. Thereafter, the case was listed on 23.01.2013 and 13.02.2013 and after filing reply by the respondent No.1 to the application under Section 151 CPC, finally, on 06.03.2013, the trial court also rejected the application of appellants filed under Section 151 CPC saying that although the documents were submitted by the appellants alongwith the application, but no sufficient reason is shown to recall the order. Thereafter, request was made by the counsel for the appellants before the trial court that the said order has been assailed in the High Court whereupon the court adjourned the case with a clear understanding that if on the next date any order from the High Court is not produced, the right of the appellants to produce witnesses would be closed

and the case was fixed for 27.06.2013. On 27.06.2013, no order of the High Court was produced by the appellants and an application under Order 17 Rule 1 CPC was filed on the ground that the case is fixed before the High Court, but the trial court did not adjourn the case and closed the right of the appellants to adduce evidence. Although the writ petition filed by the appellants was dismissed for want of prosecution and therefore, the trial court heard the final arguments and passed the impugned judgment and decree.

11. Learned counsel for the respondent No.1 has submitted that although the power is provided to the appellate court to remand the case under Order 41 Rule 23 CPC, but the circumstances under which the remand can be made by the appellate court are not available in the present case and therefore, this Court cannot remand the case to the trial court. He has pointed out that the said provision cannot be applied in the present case and as such remand is not permissible.

12. In view of the aforesaid, it is apt to examine the relevant provision of remand and to ensure whether remand can be made or not. Order 41 Rule 23 CPC provides power to the appellate court to remand the case, which reads as under:

"23. Remand of case by Appellate Court. Where the Court from whose decree an appeal is preferred has disposed of the suit upon a preliminary point and the decree is reversed in appeal, the Appellate Court may, if it thinks fit, by order remand the case, and may further direct what issue or issues shall be tried in the case so remanded, and shall send a copy of its judgment and order to the Court from whose decree the appeal is preferred, which directions to re-admit the suit under its original number in the register of

civil suits, and proceed to determine the suit; and the evidence (if any) recorded during the original trial shall, subject to all just exceptions, be evidence during the trial after remand."

13. From perusal of the aforesaid provision and considering the submission made by the learned counsel for the parties, it is clear that under the aforesaid provision, order of remand cannot be passed because it is a case in which no additional issue is required to be framed, but it is a case in which the court has closed the right of the appellants to adduce the evidence, even so, at the same time, this Court cannot ignore the provision under which the appellate court is provided with the power to remand the case in the circumstances which are existing in the case at hand. Thus, it is also appropriate to examine the respective provision of Order 41 Rule 25 of CPC.

"25. Where Appellate Court may frame issues and refer them for trial to Court whose decree appealed from.--Where the Court from whose decree the appeal is preferred has omitted to frame or try any issue, or to determine any question of fact, which appears to the Appellate Court essential to the right decision of the suit upon the merits, the Appellate Court may, if necessary, frame issues, and refer the same for trial to the Court from whose decree the appeal is preferred, and in such case shall direct such Court to take the additional evidence required;

and such Court shall proceed to try such issues, and shall return the evidence to the Appellate Court together with its findings thereon and the reasons therefor [within such time as may be fixed by the Appellate Court or extended by it from time to time]."

The aforesaid provision makes it clear that the appellate court is not powerless. If in the opinion of the appellate court the remand is essential for right decision of the suit upon the merits, it may remand the case. Here in the case at hand, looking to the reason for which the adjournment was sought by the appellants by moving an application under Order 17 Rule 1 CPC and further under Section 151 CPC alongwith the documents so as to establish that there was sufficient reason for not attending the case, the trial court could have adopted a liberal view instead of taking such a harsh decision. The trial court not only closed the right of the appellants to cross- examine the respondent No.1 but also closed their right to adduce evidence. In my opinion, the trial court could have compensated the respondent No.1 by imposing cost upon the appellants or otherwise, but the court has not considered the aspect that such a decision would cause a great prejudice to the appellants and therefore, such decision of the court does not appear to be justified in the fact situation of the present case.

14. The Supreme Court in re C.N. Ramappa Gowda v. C.C. Chandregowda (Dead) by L.Rs. And another reported in (2012) 5 SCC 265 held the decision of the High Court justified whereby the appellate court setting aside the ex parte decree in which the right to file a written statement was closed by the trial court and remanded the matter giving opportunity to the defendants to file written statement and directed the trial court to conduct a do novo trial. In the said case, the Supreme Court observed as under:

"30. As a consequence of the aforesaid analysis and the reasons recorded hereinabove, we are of the view that the High Court was legally justified in setting aside the judgment and decree of the trial

court and allowing the appeal to thelimited extent of remanding the matter to the trial court for a de novo trial after permitting the respondent- defendant to file the written statement. The appeal consequently stands dismissed. However, we are conscious of the fact that the appellant-plaintiff for no fault on his part has been forced to entangle himself in the appeal before the High Court as the respondent giving rise to an appeal before this Court, although the respondent-defendant had leisurely failed to file the written statement in spite of numerous opportunities to file the same and also had failed to cross-examine the plaintiff witnesses, but once the decree for partition of half-share ws passed in favour of the appellant-plaintiff, the respondent-defendant promptly challenged the same by filing an appeal before the High Court."

Further, in re Shiv Kumar and others vs. Sharanabasappa and others reported in (2021) 11 SCC 277 the Supreme Court has also considered the scope of remand by the appellate court and observed as under:-

"26.4.1. The decision cited by the learned counsel for the appellants in Mohan Kumar [Mohan Kumar v. State of M.P., (2017) 4 SCC 92 : (2017) 2 SCC (Civ) 368] is an apt illustration as to when the appellate court ought to exercise the power of remand. In the said case, the appellant and his mother had filed the civil suit against the Government and local body seeking declaration of title, perpetual injunction and for recovery of possession in respect of the land in question. The trial court partly decreed the suit while holding that the plaintiffs were the owners of the land in dispute on which trespass was committed by the respondents and they were entitled to get the encroachment removed; and it was also held that the Government should acquire the land and pay the market value of the land to the appellant. Such part of the decree of the trial court was not challenged by the

defendants but as against the part of the decision of the trial court which resulted in rejection of the claim of the appellant for allotment of an alternative land, the appellant preferred an appeal before the High Court. The High Court not only dismissed [Mohan Kumar v. State of M.P., FA No. 3 of 1998, order dated 24-1-2005 (MP)] the appeal so filed by the appellant but proceeded to dismiss the entire suit with the finding that the appellant-plaintiff had failed to prove his ownership over the suit land inasmuch as he did not examine the vendor of his sale deed. In the given circumstances, this Court observed that when the High Court held that the appellant was not able to prove his title to the suit land due to nonexamination of his vendor, the proper course for the High Court was to remand the case to the trial court by affording an opportunity to the appellant to prove his title by adducing proper evidence in addition to what had already been adduced. Obviously, this Court found that for the conclusion reached by the High Court, a case for retrial was made out particularly when the trial court had otherwise held that the appellant was owner of the land in dispute and was entitled to get the encroachment removed as also to get the market value of the land. Such cases where retrial is considered necessary because of any particular reason and more particularly for the reason that adequate opportunity of leading sufficient evidence to a party is requisite, stand at entirely different footings than the cases where evidence has already been adduced and decision is to be rendered on appreciation of evidence. It also remains trite that an order of remand is not to be passed merely for the purpose of allowing a party to fill- up the lacuna in its case."

The Bombay High Court in Rauf Baig vs. Sumanbai @ Rukhmanbai Kachru Jadhav & others decided on 21st November, 2024 relying upon the decision of the Supreme Court rendered in the case of Shivkumar (supra) observed as under:-

"8. Bearing in mind principles of law as espoused by the Supreme Court, if facts and circumstances of the present case are examined, it is clear that the defendants had caused appearance before the trial court through an advocate and filed written statement. Issues were framed and evidence of the plaintiff's witnesses was recorded. Since defendants' advocate failed to cross-examine the plaintiff's witnesses, "No Cross" order was passed. Even the defendants failed to lead their evidence. Consequently, based on the evidence recorded on behalf of the plaintiff, trial court proceeded to pass the decree. The memo of appeal filed on behalf of defendants before first appellate Court, nowhere stipulate the reason as to why plaintiff's witnesses were not examined or defendants have not lead evidence. One line allegation that the advocate has not communicated progress of the matter would not be sufficient. Only by {8} A.O. 2.24 R.odt putting blame on advocate, a party cannot take benefit to overcome his own fault or negligence in attending court proceeding. Record shows that plaintiff instituted suit in the year 2013 and same has been disposed of in the year 2015. Pertinently, the decree passed by the trial court has been executed in the year 2015 itself and respondent had not taken any steps till 2018. Though, delay in filing the appeal was condoned, fact remains that the defendants were not diligent or grossly negligent in defending litigation.

9. The observations in impugned judgment, indicate that no reasons are recorded for adopting recourse of remand of suit. The appellate court merely observes that since it is a civil dispute pertaining to property rights, an opportunity needs to be given to defendants to cross examine plaintiff's witnesses or lead their evidence. However, the appellate court nowhere recorded any finding as to what precluded the defendants from availing opportunity to cross-examine plaintiff's witnesses or adduce their own evidence before the trial court. If defendants were negligent in defending the case and once they failed to avail opportunity made available to them as per law, in absence of reasons for such default, casual order of

remand cannot be permitted. It is trite that a party cannot be permitted to fill up the lacuna or order of remand is not to be passed merely for allowing the party to fill up the lacuna in its case. In that view of the matter, it was necessary on the part of the appellate court to consider and decide the appeal, on the basis of evidence already tendered into service before the trial court and record finding on re-appreciation of the material already on record, as a last fact finding court."

15. As per the Bombay High Court, the remand can be made, but the Court is under obligation to assign the reasons for remand. In my opinion, the submission made by the learned counsel for the respondent No.1 that in the present case remand can be made by the appellate court only under the circumstances as prescribed under Order 41 Rule 23 CPC is not proper and acceptable, because, in view of the circumstances existing in the present case, the remand can be made as provided under Order 41 Rule 25 CPC and as such, in my opinion, it is a fit case where the remand can be made because from the order of the trial Court it is clear that the appellants did not get proper opportunity to cross-examine and to lead their evidence in support of their defence. The order passed by the court below, in my opinion, is harsh and caused great prejudice to the appellants and the judgment and decree passed by the court below is otherwise cannot be considered to be passed on merit. It is also evidently clear from the decree sought by the respondent No.1 that he had not asked the court for refund of the amount paid, but still the said decree was granted by the court below without ascertaining the actual amount paid by the respondent No.1 to the appellants. Therefore, according to me, the impugned judgment in the existing circumstances is not sustainable in the eyes of law.

16. In the result, First Appeal No. 807/2017 is allowed. The impugned judgment and decree dated 28.07.2017 (later corrected vide orders dated 28.08.2017 and 22.09.2017) passed in Civil Suit No. 117-A/2010 is hereby set aside.

17. The matter is remanded back to the trial court with a direction to grant an opportunity to the appellants to cross-examine the respondent No.1 and his witnesses and also to lead their evidence. It is further directed that the appellants shall not take any adjournment and shall not avoid any hearing without any justifiable reason. The trial court is also directed to conclude the trial and decide the suit treating it to be a special case as the suit is of 2010 and the matter is being remanded back to the trial court for further hearing and to pass a fresh order on merit.

18. The First Appeal No. 807/2017 is accordingly allowed to the above extent.

19. Consequent upon allowing the First Appeal No. 807/2017 and setting aside the impugned judgment and decree, nothing requires to be adjudicated in First Appeal No. 1210/2017 and it has become infructuous and it is dismissed accordingly.

20. Looking to the facts and circumstances of the case, there shall be no order as to costs.

(SANJAY DWIVEDI) JUDGE Reghvendra RAGHVEN Digitally signed by RAGHVENDRA SHARAN SHUKLA DN: c=IN, o=HIGH COURT OF MADHYA PRADESH,

DRA 2.5.4.20=0b4ca33e82678112c8b8779ae 1f77dd53c66b97e56d85ed6193d6ff614 e6a268, ou=HIGH COURT OF MADHYA PRADESH,CID - 7004934,

SHARAN postalCode=482001, st=Madhya Pradesh, serialNumber=83fe7b9f6d64cc4bb81c8 f9439fc48480b0a775065e61ccf27fd2c8

SHUKLA 9984a1b74, cn=RAGHVENDRA SHARAN SHUKLA Date: 2025.03.13 11:37:49 +05'30'

 
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