Facts:

Appellant, a financial institution, advanced a loan to respondent No.1, secured by a mortgage with deposit of title deeds and a demand promissory note.

Dispute referred to arbitration, and an arbitral award was passed in favor of the appellant.

Respondent No.1 filed an application under Section 34 of the Act to set aside the award.

Respondent Nos.1 and 2 sought permission to adduce evidence, which was denied by the District Judge.

Issues:

Whether the parties can adduce evidence in an application under Section 34 of the Arbitration and Conciliation Act, 1996, to prove the specified grounds.

Whether the High Court erred in directing the District Judge to permit respondent Nos.1 and 2 to file affidavits and cross-examine witnesses.

Held:

The proceedings under Section 34 are summary in nature, and the scope is limited to specific grounds mentioned in Section 34(2).

Introduction of sub-sections (5) and (6) to Section 34 emphasizes expeditious disposal within one year and discourages delay.

The High Court erred in not considering the lack of grounds for respondent Nos.1 and 2 to adduce evidence.

The judgment clarifies that Section 34 applications ordinarily require evidence based on the record before the arbitrator.

Cross-examination should be allowed only if absolutely necessary.

The High Court's directions amounted to retrial on the merits decided by the arbitrator.

The order of the District Judge, dismissing the application, is affirmed, and the High Court's judgment is set aside.

Facts:

The case involved conflicting views among different High Courts on the competence of Chief Judicial Magistrates (CJMs) under Section 14 of the SARFAESI Act. The High Courts of Bombay, Calcutta, Madras, Madhya Pradesh, and Uttarakhand held that only Chief Metropolitan Magistrates (CMMs) in metropolitan areas and District Magistrates (DMs) in non-metropolitan areas were competent. Conversely, the High Courts of Kerala, Karnataka, Allahabad, and Andhra Pradesh took a contrary view, allowing CJMs in non-metropolitan areas to exercise powers under Section 14.

Issues:

The competency of CJMs to process secured creditor requests under Section 14 of the SARFAESI Act, given the conflicting interpretations by various High Courts.

Held:

The powers and functions of CMMs and CJMs are equivalent and similar, and the terms are interchangeable. Section 14 does not explicitly exclude CJMs from dealing with secured creditor requests. The nature of the power under Section 14 is non-judicial or the State's coercive power. Therefore, CJMs are competent to handle applications under Section 14.

The provisions of Section 14 of the SARFAESI Act do not override the provisions of the Code of Criminal Procedure. Section 37 of the SARFAESI Act indicates that its provisions are in addition to any other law for the time being in force. Thus, the SARFAESI Act is supplementary to, and not in derogation of, the Code.

Section 14 of the SARFAESI Act is a remedial measure, allowing the authorized officer to exercise administrative or executive functions to assist secured creditors in enforcing security interest. The authorized officer is not expected to adjudicate contentious issues but to verify compliance and facilitate the takeover of secured assets.

Applying the principle from Janardhan vs. State of Maharashtra, the substitution of functionaries (CMM as CJM) for administrative and executive functions is permissible and aligns with the legislative intent of Section 14.

Decision: The Court upheld the view that CJMs are equally competent to deal with applications moved by secured creditors under Section 14 of the SARFAESI Act. The decisions of the High Courts of Kerala, Karnataka, Allahabad, and Andhra Pradesh were approved, and the decisions of the High Courts of Bombay, Calcutta, Madras, Madhya Pradesh, and Uttarakhand were reversed. All these appeals are disposed of.

Facts:

The appellant, Narain Singh, was enrolled in the Indian Army as a Driver on 15.10.1980.

Promoted to ALD and granted the rank of Lance Dafedar.

Suffered four red ink entries between 7.6.1993 and 3.5.1994.

Discharged from service under Rule 13(3)(III)(v) of the Army Rules solely based on the four red ink entries.

Challenged the order of discharge before the Armed Forces Tribunal.

Issues:

Whether the nature of the offenses leading to red ink entries justifies the discharge from service.

Whether the discharge was mechanically and solely based on the red ink entries.

Whether the relevant factors, including long service, were considered before the discharge.

Held:

The court held that the discharge based on four red ink entries, considering the nature of the offenses and the appellant's long service, was unjustified.

The court emphasized that the authority must consider all relevant factors before discharging an individual from service, as stated in Veerendra Kumar Dubey vs. Chief of Army Staff and Others (2016) 2 SCC 627.

The Commanding Officer failed to consider the appellant's long service, the nature of the offenses, and other relevant aspects while passing the order of discharge.

The order of discharge was set aside, and the appellant was entitled to all consequential benefits, including pension.

The court directed the release of monetary benefits expeditiously, not later than four months from the date of the order.

Facts:

Dharmbir Singh, an Army personnel, met with an accident during a two-day casual leave in 1999.

A Court of Inquiry (COI) was conducted to investigate the circumstances of the injury.

He was discharged in 1999 based on a Medical Board's report citing a 30% disability.

The claim for disability pension was rejected by the Medical Board.

Issues:

Whether the injury sustained during casual leave is attributable to military service.

The contradictory findings between the COI and the Medical Board.

The interpretation of relevant rules and regulations governing disability pension eligibility.

Held:

The court emphasized that Armed Forces personnel on casual leave or annual leave is deemed to be on duty as per Leave Rules. The 1982 Rules provide an expansive definition of 'duty,' including periods when returning from leave. The key criterion is a causal connection between the accident and military duties.( Para 11-14)

Regulation 423 of the Medical Regulations necessitates a causal connection between the injury and military service. Rule 12(f) of 1982 Rules, regarding injuries off-duty, presents a contradiction. The Medical Board's opinion is final in determining attributability at the initial claim stage.( Para 15-18)

Causal connection between the accident and military duties is crucial. The injury or death must be connected with military service, however remote. The court emphasized the distinction between an accident attributable to military service and a risk common to human existence.( Para 19-20)

The COI's purpose is to examine conduct, not the final determination of causation. The Brigade Commander's opinion lacks material support when compared to the Commanding Officer's findings. The court set aside the Tribunal's decision, dismissing the respondent's application for disability pension.( Para 22, 23, and 37)

Facts:

The prosecution alleged that Smt. Gargi, along with her brothers, was involved in the murder of her husband. The case rested on circumstantial evidence, highlighting strained family relations and a motive stemming from property disputes. Witnesses PW-7 and PW-8 testified in support of the prosecution's case.

Issues:

The reliability of witness testimonies, the significance of the property dispute, and the prosecution's failure to establish a direct link between the appellant and the crime. The last seen theory, gaps in the timeline, and subsequent conduct were also pivotal issues.

Held:

A combined look at the testimony of PW-7 and PW-8 highlights the significance of the property dispute and the strained family relations. The court observes that the Trial Court and the High Court overlooked crucial factors surrounding the sale of the ancestral house and subsequent financial failures.( Para 24)

The lack of direct and cogent evidence regarding the appellant's involvement in illicit relations or pressuring the deceased to transfer property is emphasized. Doubts about the reliability of statements made by PW-7 and PW-8 are raised. The court questions the validity of treating the alleged statement made to PW-7 as a 'dying declaration.'(Para 25)

The last seen theory is scrutinized, noting discrepancies in the timeline. The court emphasizes the gap between the last sighting and the discovery of the deceased's body, raising doubts about the probability of the appellant being the sole author of the crime.( Para 28)

The subsequent conduct of the appellant is considered, highlighting her attendance at the office and the lack of abnormal behavior during the relevant period. The court rejects unsubstantiated claims regarding the appellant's demeanor.( Para 29)

The acquittal of the appellant's brothers is deemed crucial. The court asserts that the prosecution's case against the appellant is weakened, and doubts surrounding the prosecution story intensify.( Para 31.1)

The court concludes that the prosecution failed to establish the case beyond reasonable doubt. Homicidal nature of death is acknowledged, but strained relations, illicit affairs, and imminent danger to the deceased's life are not conclusively proven.( Para 32)

Facts:

The appellant, Union of India, initially granted exemptions from excise duty on specific goods through a notification dated 09.09.2003. Subsequently, a notification dated 25.04.2007 amended these exemptions, excluding pan masala, tobacco, manufactured tobacco substitutes, and plastic carry bags of less than 20 microns.

Issues:

The court was the validity of withdrawing the excise duty exemptions and whether the doctrine of Promissory Estoppel could be invoked by the respondents.

Held:

The court established that even when a notification specifies a particular period for exemptions, the State can withdraw it in the larger public interest. The doctrine of promissory estoppel cannot prevent the State from resiling if it is in the public interest (Paras 12, 19, and 25).

Scientific research findings on pan masala and substitutes revealed their hazardous impact on health, particularly the increased risk of oral cancer among teenagers. The court emphasized that the withdrawal of the exemption was in the larger public interest (Paras 26 and 31).

The legislative policy, as reflected in Section 154 of the Finance Act, 2003, demonstrated a clear intent to withdraw exemptions for products like pan masala with tobacco. The court found the High Court's conclusion to the contrary shocking (Para 35).

The court held that the doctrine of promissory estoppel could not be invoked in this matter, and the larger public interest would outweigh any individual loss. The appeals were allowed, and the judgments of the Gauhati High Court were set aside (Para 39).

Facts:

The National Highways Act, 1956, did not initially include provisions for land acquisition; acquisitions were made under the Land Acquisition Act, 1894.

The 1997 Amendment Act aimed to streamline the land acquisition process for national highways, removing the offer stage and introducing a declaration-based process.

The Amendment Act excluded the award of solatium and made changes to the compensation determination process.

Issues:

The constitutional validity of the 1997 Amendment Act, specifically in relation to the exclusion of solatium and interest.

Whether the Amendment Act is in line with Article 14, Article 31-C, and the Directive Principles contained in Article 39(b).

Held:

The National Highways Act, 1956, before the 1997 Amendment, relied on the Land Acquisition Act, 1894, for land acquisitions, which included solatium and interest.( Para 6)

The 1997 Amendment streamlined the acquisition process, eliminating the award stage and introducing immediate vesting upon declaration. Solatium was not provided for under Section 3G(7), and interest was awarded at 9% under Section 3H(5).( Para 9)

Solatium is considered an integral part of compensation for compulsory land acquisition, and its exclusion violates Article 14.( Para 10)

Post the Land Acquisition Act's repeal, the Right to Fair Compensation and Transparency in Land Acquisition Act, 2013, came into force, ensuring solatium and interest. A notification extended these provisions to acquisitions under the National Highways Act.( Para 11)

The assumption is made that Article 31-C, as originally enacted, continues to exist, and private property is considered part of the "material resources of the community."( Para 13)

For protection under Article 31-C, a direct and rational nexus with the principles contained in Article 39(b) is required.( Para 16)

The objects of the 1997 Amendment Act do not align with the Directive Principle in Article 39(b). Even if considered to fulfill Article 39(b), removing solatium and interest is not essentially necessary and infringes Article 14.( Para 18)

The Amendment Act's classification between different landowners for national highways acquisitions is irrational and violates Article 14.( Para 22)

Reference is made to the second proviso of Article 31-A, but it is deemed irrelevant to the present case.( Para 26)

Easementary rights under the Land Acquisition Act and the National Highways Act are compared, emphasizing that the payment of solatium and interest is a separate issue.( Para 37)

The Notification of 2015 under the 2013 Act extends solatium and interest to acquisitions under the National Highways Act, acknowledging the principle of Nagpur Improvement Trust case.( Para 38)

The court declares that the provisions of the Land Acquisition Act regarding solatium and interest will apply to acquisitions under the National Highways Act. Section 3J of the Amendment Act is declared unconstitutional to the extent that it violates Article 14.( Para 41)

Facts:

Raman Aithan Ashari executed a deed of gift in favor of Chuzhali Bhagavathi Dharmadeva Bhandaram (donee). The appellant contested the acceptance of the gift, and subsequent events included a cancellation deed and a transfer of the property. The respondents filed a suit challenging the validity of these documents.

Issues:

Acceptance of the gift deed and the burden of proof.

Competency of the donor to execute the cancellation deed and transfer.

Applicability of Article 59 of the Limitation Act.

Substantial questions of law under Section 100 of the CPC.

Held:

The High Court rightly observed that the recital of possession in the deed of gift creates a presumption of acceptance, and the burden of proof lies on the party asserting non-acceptance.( Para 20)

The High Court declined to accept the findings of the lower courts regarding non-acceptance of the gift, emphasizing the wrong assumption of law made by those courts.( Para 26)

Article 59 of the Limitation Act was held inapplicable to the deed of gift, as the donor had no authority to revoke it, rendering subsequent documents null and void.( Para 31)

The Second Appeal was rightly allowed by the High Court, setting aside lower court decisions and declaring the suit property to belong to the Bhandaram. The deed of assignment was declared null and void, allowing the respondents to recover possession.( Para 34)

FACTS:

The property, admeasuring 1053.5 square meters, was acquired by the Union of India in 1994.

Multiple attempts were made to sell the property through auctions starting in 1994, but all efforts failed.

The appellant made an offer to purchase the property for Rs.32.11 crores, but it was not accepted by the CBDT.

Subsequent auctions were conducted, and a fresh valuation report was obtained.

The appellant was the highest bidder at Rs.30.21 crores in one auction, but the proceedings were kept in abeyance.

ISSUES:

Validity of the cancellation of the auction without providing a reason.

Applicability of the appellant's offer of Rs.32.11 crores.

Arbitrariness in the auction process.

HELD:

The reason for keeping the auction in abeyance was not found to be arbitrary.Public interest justified seeking the highest possible price for the property.( Paragraph 14)

Valuation reports were submitted at every stage, and there was no reason to doubt the Fair Market Value.( Paragraph 15)

The appellant had opportunities to bid in the fresh auction but chose not to participate.( Paragraph 16)

Dismissal of the appeal.Acceptance of the respondent's counsel's offer to pay Rs.35 crores within 12 weeks, with a deduction equivalent to 9% interest on the amount of Rs.7.78 crores.( Paragraph 20)

REFERRED CASES:

Formerly known as Financial Technologies India Ltd. & Ors. vs. Union of India & Ors., (2019) 7 SCALE 50

Michigan Rubber India Ltd. vs. State of Karnataka & Ors., (2012) 8 SCC 216

Mohinder Singh Gill vs. Chief Election Commissioner, (1978) 1 SCC 405

PRP Exports and Ors. vs. Chief Secretary, Government of Tamil Nadu and Ors., (2014) 13 SCC 692