2025 INSC 245
SUPREME COURT OF INDIA
(HON’BLE B.R.
GAVAI, J. AND HON’BLE AUGUSTINE GEORGE MASIH, JJ.)
RUPA AND CO. LIMITED
Petitioner
VERSUS
FIRHAD HAKIM
Respondent
Civil
Appeal Nos. OF 2025 (Arising out of SLP(C) Nos. 5517-5519 of 2024)-Decided on
12-02-2025
Contempt
Constitution of India,
Article 226 – Contempt of Courts Act, 1971, Section 12 – Contempt of Court - Non-compliance
– Show
cause issued - High Court itself, on
more than one occasions in the contempt proceedings, had found that the State
was bound to comply with the writ of mandamus issued by it vide judgment and
order dared 10th February 2020 and had also issued notice to the Chief
Secretary of the State for complying with the directions issued by it, it could
not have referred the matter for mediation in spite of the resistance of the
learned counsel for the appellants - Approach of the Division Bench was totally
untenable in law - High Court having allowed the appeal on 10th February 2020,
and which was not interfered with by this Court on 19th July 2021, the State
ought to have conveyed the land in question to the appellants on the basis of
the offer made initially on 6th April 2011 - Asking the appellants to pay
according to the current market rate after the appellants have succeeded before
the High Court and this Court, is an attempt to disobey and defeat the mandamus
of the High Court - Impugned order, which has the effect of undermining the
dignity and authority of the High Court, is not sustainable in law - High Court
totally erred in diluting its earlier orders by passing the impugned order - Impugned
order is not sustainable in law and the appeals deserve to be allowed - Chief
Secretary of the State of West Bengal to ensure that the order passed by the
High Court dated 10th February 2020 is complied with in letter and spirit - In
case the directions so issued by the High Court and reiterated by this Court
are not complied with by Respondent No.7, the Respondent No.7 shall personally
remain present in this Court at 10:30 a.m. on 3rd March 2025 and show cause as to why an action
for committing contempt be not taken against him.
(Para
9 to 21)
JUDGMENT
B.R. Gavai, J. :- Leave granted.
2.
Heard Shri Nalin Kohli, learned Senior Counsel for the appellants, Ms.
Madhumita Bhattacharjee, learned counsel for respondent No.7 and Shri Kartikeya
Bhatt, learned counsel appearing for the officers of the West Bengal Housing
Infrastructure Development Corporation Limited (for short, ‘HIDCO’).
3.
At the outset, Ms. Bhattacharjee submits that the Chief Secretary, West
Bengal has since changed and cause title may be amended accordingly.
4.
We permit the appellants to forthwith amend the cause title so as to change the
name of Respondent No.7 (Chief Secretary, West Bengal).
5.
These appeals raise a very serious question about maintaining the dignity and
authority of the High Court. The issue raised is as to whether the High Court
should act leniently in matters where an issue with regard to the obedience of
its mandamus is concerned.
6.
Ms. Bhattacharjee, learned counsel for respondent No.7 vehemently opposes the
petition. She submits that the appeals are against an interlocutory order and
the contempt petitions are still pending before the High Court and as such,
this Court should not interfere in the present proceedings. Ms. Bhattacharjee
further submits that the State Government is willing to abide by the orders of
the High Court. However, the only decision is to direct the appellants to pay
the market rate so as to balance the equities.
7.
Shri Kartikey Bhatt, learned counsel appearing on behalf of respondent Nos.1,
3, 4 and 5 submits that insofar as the said respondents are concerned, they are
officers of HIDCO. It is submitted that they could not have conveyed the land
unless there was a permission from the State Government. It is therefore
submitted that there is no cause of action to proceed against the said
respondents. It is lastly submitted that if the State Government directs the
said respondents to comply with the orders of the Court, they are bound to do
so.
8.
The facts, in brief, giving rise to the present appeals are as under:
8.1 In a response to
an offer made by the appellants herein, the respondent(s)/HIDCO by its letter
dated 6th April 2011 promised to convey to them on freehold basis a piece of
land bearing Plot No.IIE/17 in Jyoti Basu Nagar also known as New Town,
Kolkata. By the said letter dated 6th April 2011, HIDCO had agreed to convey
the land to the appellants on freehold basis @ Rs.13.364 lakhs per cottah
aggregating to Rs.4,00,92,000/-. According to the said letter, the earnest
money of 25% aggregating to Rs.1,00,23,000/- was to be paid within 30 days from
the said letter followed by the payment of the balance amount of
Rs.3,00,69,000/- within a period of 60 days thereafter. Accordingly, the
appellants had deposited the entire amount of Rs.4,00,92,000/-.
8.2 On 24th August
2012, HIDCO addressed a letter to the appellants stating that the earlier
allotment was done during the period when Model Code of Conduct was in place on
account of West Bengal Assembly General Elections, 2011. The said letter stated
that due to those circumstances, the decision of allotment was reviewed. It was
decided that the allotment would not be on a freehold basis but on leasehold
basis for 99 years and the sale price was to be treated as a lease premium.
8.3 The said letter
was responded by the appellants on 16 th November 2012 on various grounds. It
was submitted that the Model Code of Conduct did not forbid transfer of land by
HIDCO or any other Government company. It was also stated that the effect of
the grant of lease for 99 years and the sale was the same, inasmuch as both
were transfers under the Transfer of Property Act, 1882. The appellants
therefore requested HIDCO to revoke their letter dated 24th August 2012.
8.4 On 12th October
2012, HIDCO forwarded a draft deed of lease to the appellants asking them to
execute the same. It appears that there were certain correspondences between
the appellants and HIDCO, which took place thereafter. After some time,
the Government came up with a land allotment policy on 26th December 2012. On
coming into effect of the said policy, a letter was addressed by HIDCO to the
appellants on 14th January 2013 stating that in view of the change in policy,
there would be certain changes in the proposed lease deed.
8.5 Aggrieved thereby,
the appellants filed a writ petition before the learned Single Judge of the
Calcutta High Court challenging the said cancellation of allotment. The learned
Single Judge of the Calcutta High Court dismissed the said petition. Being
aggrieved thereby, the appellants approached the Division Bench of the High
Court by way of First Miscellaneous Appeal No.299 of 2019. The said appeal was
decided on 10th February 2020. In the appeal, a specific objection was taken by
the respondent/State as well as HIDCO that the writ petition as well as the
appeal were not tenable on account of the availability of an alternate remedy.
However, the Division Bench of the High Court found that if an action was
vitiated by arbitrariness, unreasonableness and/or mala fides, the High Court
was very well entitled to consider the issue in exercise of its jurisdiction
under Article 226 of the Constitution of India and decide the same on
the basis of evidence given in affidavits. The Division Bench of the High Court
therefore found that the case of the appellants fit into that criteria,
inasmuch as the action of the respondents smacks of violation of Article
14 of the Constitution of India. The Division Bench of the High Court
therefore in unequivocal terms held that the action was arbitrary and therefore
set aside the same. The appeal was allowed in terms of prayer clause (g), which
reads thus:
“(g) A Writ of or in
the nature of Mandamus and/or order or orders and/or direction or directions of
like nature commanding the respondents to forthwith execute and register the
deed of sale/conveyance for sale of 30 cottahs of land bearing Plot No. 11E/17
within sub-CBD of AA-IID of New Town, Kolkata in favour of the petitioner No. 1
on freehold basis in terms of the letter of allotment being No. M-1343/2010
dated 6 th April, 2011 being annexure “P-1” hereto;”
8.6 It is relevant to
note that a special leave petition was filed by HIDCO before this Court
challenging the judgment and order of the Division Bench, which came to be
rejected by this Court vide order dated 19th July 2021.
8.7 Alleging
non-compliance thereof, the appellants filed contempt petition being CPAN
No.384 of 2021 before the Division Bench of the High Court. In the said
contempt petition, vide order dated 6th May 2022, the Division Bench of the
High Court specifically recorded the submission of the counsel for the State
whereby he submitted that the order passed by the High Court has to be complied
with. The Division Bench of the High Court therefore made it clear that if a
compliance report was not forthcoming on the returnable date, the Court will
initiate contempt proceedings against the alleged contemnors by issuance of a
formal rule. When the matter was listed before the Division Bench of the High
Court on 17th June 2022, the High Court was informed that the matter was
referred to the Cabinet on 31st August 2022 and unless a formal approval is
received thereon, the earlier order could not be complied with. The High Court,
after recording that, directed the Registrar General of the High Court to send
a copy of the order dated 17th June 2022 to the Chief Secretary so as to enable
him to resolve the issue before the adjourned date of the contempt petition.
8.8 It appears that
thereafter on 12th December 2022, the General Manager, Commercial of HIDCO
informed the appellants that in compliance with the directions issued
by the Division Bench of the High Court, the Cabinet, in its meeting held
on 25th November 2022, has decided to convey the said plot to the appellants at
the then market value, i.e. Rs.12,51,47,722/-. Since the appellants had already
paid a sum of Rs. 4,00,92,000/-, they were directed to pay the balance amount
of Rs.8,50,55,722/-. Aggrieved thereby, the appellants filed another contempt
petition being CPAN No.88 of 2023 before the High Court. On 6th December 2023,
the High Court was informed by the learned Additional Government Pleader that
expeditious steps have been initiated to comply with the order of the High
Court. It will be relevant to refer to the following paragraph of the order
dated 6th December 2023 passed by the Division Bench of the High Court, which
reads thus:-
“We make it absolutely
clear that in the absence of compliance, in addition to any other order that
the court may pass in exercise of its contempt jurisdiction, the court may
consider appointing a Receiver or Special Officer to execute the necessary
conveyance to comply with its order.” 8.9 An interesting turn takes place
thereafter. When the very same contempt petition was listed before the High
Court on 9th February 2024, the High Court vide impugned order observed that,
considering the submission of the parties it would be appropriate that the
matter is settled through mediation. It, accordingly, appointed a former Judge
of the High Court as a Mediator. It will be relevant to note that the said
proposal for mediation was specifically opposed by the learned counsel for the
appellants. Aggrieved by the same, the appellants have filed the present
appeals by way of special leave.
9.
We find that the approach of the High Court in passing the impugned order is
totally untenable. When the High Court itself, on more than one occasions in
the contempt proceedings, had found that the State was bound to comply with the
writ of mandamus issued by it vide judgment and order dared 10th February 2020
and had also issued notice to the Chief Secretary of the State for complying
with the directions issued by it, it could not have referred the matter for
mediation. It is further to be noted that mediation has to be by the consent of
both the parties. Mediation cannot be thrusted upon either of the parties. The
learned Division Bench of the High Court in the present case, in spite of the
resistance of the learned counsel for the appellants herein, only on the basis
of the statement of the learned Advocate General appearing in the matter
whereby it was submitted that the State was willing to offer the appellants an
alternative piece of land, has referred the matter to mediation.
10.
We have no hesitation to say that the said approach of the Division Bench was
totally untenable in law.
11.
We further find that the approach of the State Government in the present matter
can be said to be one of committing aggravated contempt. The High Court having
allowed the appeal on 10th February 2020, and which was not interfered with by
this Court on 19th July 2021, the State ought to have conveyed the land in
question to the appellants on the basis of the offer made initially on 6th
April 2011. Asking the appellants to pay according to the current market rate
after the appellants have succeeded before the High Court and this Court, in
our view, is an attempt to disobey and defeat the mandamus of the High Court.
12.
Under the constitutional scheme, a writ issued by the High Court in exercise of
its jurisdiction under Article 226 of the Constitution of India which
has not been interfered with by this Court has to be followed in letter and
spirit, by all the authorities who are bound by such a writ. The majesty
of law requires that due obedience has to be given to the command of the High
Court under Article 226 of the Constitution of India, particularly
when it is not interfered with by this Court.
13.
In that view of the matter, we find that the impugned order, which has the
effect of undermining the dignity and authority of the High Court, is not sustainable
in law. The High Court has totally erred in diluting its earlier orders by
passing the impugned order. The High Court having, on earlier occasions,
emphasized the necessity to abide by the command of its directions and also
issuing notice to the Chief Secretary to comply with the order, ought not to
have directed the parties to mediation.
14.
Therefore, in our considered view, the impugned order is not sustainable in law
and the appeals deserve to be allowed.
15.
In the result, the appeals are allowed. The impugned order dated 9th February
2024 in CPAN No. 88 of 2023 along with CPAN No.384 of 2021 and CPAN No.1453 of
2022 arising out of FMA No.299 of 2019 passed by the High Court of Calcutta is
quashed and set aside.
16.
Having quashed and set aside the order of the High Court, in ordinary course,
we would have remanded the matter to the High Court to proceed with the
contempt petition. However, in the present case, we are not inclined to do so.
The appellants, having succeeded before the Division Bench of the High Court as
early as on 10th February 2020 and before this Court on 19th July 2021, have
been running from pillar to post for a period of almost 12 years. In our view,
relegating the matter to the High Court and asking it to decide the same afresh
would lead to further delay.
17.
In that view of the matter, while allowing the appeals, we deem it appropriate
to keep the matters pending so as to ensure compliance of the writ of mandamus
issued by the High Court.
18.
We are of the considered view that, as already observed hereinabove, the
majesty of law should not be compromised with.
19.
In that view of the matter, we direct the Chief Secretary of the State of West
Bengal to ensure that the order passed by the High Court dated 10th February
2020 is complied with in letter and spirit. For the sake of clarity, we have
already reproduced hereinabove the prayer clause (g), which is part of the
order of the High Court dated 24th March 2023.
20.
We, therefore, direct Respondent No.7 to comply with the directions of the High
Court dated 10th February 2020.
21.
It is made clear that in case the directions so issued by the High Court and
reiterated by this Court are not complied with by Respondent No.7, the
Respondent No.7 shall personally remain present in this Court at 10:30 a.m. on
3 rd March 2025 and show cause as to why an action for committing contempt be
not taken against him.
22.
We further make it clear that if the better counsel prevails upon Respondent
No.7 and the order is complied with by the next date of hearing, he need not
remain present before this Court.
23.
List the matter on 3rd March 2025 for reporting compliance.
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