18 November 1976
Supreme Court
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BEANT SINGH Vs UNION OF INDIA & ORS.

Bench: BEG,M. HAMEEDULLAH
Case number: Appeal Civil 333 of 1969


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PETITIONER: BEANT SINGH

       Vs.

RESPONDENT: UNION OF INDIA & ORS.

DATE OF JUDGMENT18/11/1976

BENCH: BEG, M. HAMEEDULLAH BENCH: BEG, M. HAMEEDULLAH SINGH, JASWANT

CITATION:  1977 AIR  388            1977 SCR  (2) 122  1977 SCC  (1) 220

ACT:             Constitution of India, Article 226--High Court’s  rejec-         tion of findings of facts: by departmental authorities, when         justified---Article 136, interference by Supreme Court, rule         of practice.

HEADNOTE:             The  property under dispute was put up for sale  at  two         different  auctions by the Managing Officer, Amritsar.   The         Rehabilitation  authorities cancelled the bid of  the  first         auction purchaser Smt. Rup Kaur, holding that she had failed         to  deposit the sale price in spite of issuing her a  regis-         tered notice, and at the. second auction the appellant’s bid         was accepted.  In a petition filed under Art. 226, a  Single         Judge  of the High Court found the findings of facts  to  be         erroneous and the impugned order void, and granted a writ in         favour of Smt. Rup Kaur.  On appeal, the decision was upheld         by a Division Bench of the High Court.         Dismissing the appeal the Court,             HELD:  (1)  The High Court does not sit as  a  court  of         appeal  to substitute its own judgment for that of  the  au-         thorities  which are empowered to give their decisions,  but         apart  from  jurisdictional  errors,  the  High  Court   may         correct errors apparent on the face of the record.  An error         to  be  apparent must be one which does not  take  prolonged         arguments  to bring it to the surface.  The  Single  Judge’s         conclusion  that  provisions  of Rule 90  of  the  Displaced         Persons Compensation and Rehabilitation Rules, 1955, had not         been complied with, was not erroneous. [123C-D. 126E-F]         S.L.  Hegde & Ors. v.M.B. Tirumale [1960] (1) SCR  890,  ap-         plied             Hiralal  Kher v. The Chief Settlement  Commissioner  New         Delhi [1961] P.L.R. 560, referred to.             (2)  It is a settled rule of practice of this Court  not         to  interfere with the’ exercise of discretionary powers  of         High  Courts under Art. 226 of the Constitution  merely  be-         cause two views are possible upon the facts of a case.   For         interference  by this Court, the question must  involve  at-         least a matter of public or general importance or the injus-         tice suffered by an individual due to an error of law should         be  so  gross as to touch the conscience of  this  Court  in         which case it would be deemed to be one of more than private

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       importance.  [123E-F]

JUDGMENT:         CIVIL APPELLATE JURISDICTION: Civil Appeal No. 333 of 1969.             (Appeal by Special Leave from the Order dated the  22-8-         1968 the Punjab and Haryana High Court in L.P.A. No. 427  of         1968).         B. Sen and H.K. Puri, for the appellant         S.K.  Mehta, P.N. Puri and K.R.Nagaraja. for respondent  No.         5.         The Judgment of the Court was delivered by--             BEG,  J.--This  appeal  by  special  leave  is  directed         against the judgement of a Division Bench of the High  Court         of Punjab & Haryana. dismissing in litnine an appeal against         a judgment and order of a                123         learned single Judge of that Court by which a Writ  Petition         made to the High Court had been granted.             We have been taken through the very detailed judgment of         the  learned single Judge where all the relevant  facts  are         considered in detail.  The questions which have been  raised         before us are: firstly, whether the learned single judge was         justified in considering the facts of the case and recording         certain findings of fact without having even the  advantage’         of the record of the proceedings of the Deputy Chief Settle-         ment Commissioner, and other officers who had given  certain         other findings in favour of the appellant; secondly, whether         the  learned  single Judge’s findings of fact  are  correct;         and, thirdly, whether any such apparent error was  disclosed         in  the  proceedings  of the authorities  acting  under  the         Refugees  Rehabilitation  and Settlement Act as  to  justify         interference by the High Court.  It was urged that a mistake         apparent on the face of the record has to be one which  does         not necessitate delving deep into facts on record to discov-         er  it  after a re-examination of questions  of  fact  which         ought to be left to the authorities empowered to give  these         findings.  It is true that the High Court does not sit as  a         Court  of appeal to substitute its own judgment for that  of         the authorities which are empowered to give their  decisions         in such cases.  Apart from  jurisdictional errors, the  High         Court may correct errors apparent on the face of the record.         An error to be apparent must, according to a rough test laid         down by this Court in S.L. Hedge & Ors. v. M.B. Tirumale(1),         be  one which does not take prolonged arguments to bring  it         to  the surface.  These propositions are quite  well  estab-         lished.             It is, however, also a settled rule of practice of  this         Court  not to interfere with the exercise  of  discretionary         powers of High Courts under Article 226 of the  Constitution         merely  because two views are possible upon the facts  of  a         case.  Furthermore, in order to induce this Court to  inter-         fere under Article 136 of the Constitution the the  question         must  involve  at least a matter  of   public   or   general         importance or the injustice suffered by an individual due to         an  error  of law should be so gross as to  touch  the  con-         science of this Court in which case it would be deemed to be         one  of  more than  private importance.             The  case before us is one of a competition between  two         auction  purchasers of the same property put up for sale  at         two  different auctions by the Managing  Officer,  Amritsar.         The  first  was in favour of the respondent Smt.  Rup  Kaur,         held  on  20th August, 1959, and the second  in  favour  of.         Beant  Singh, the appellant, held on 10th May, 1961, on  the

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       assumption  that the first auction could be cancelled.   The         broad  material facts, apparent from the  original  official         record, which is now before us, are stated below.             At  the auction sale on 20th August, 1959, held  by  the         Managing Officer, Amritsar, Rup Kaur’s bid of Rs.  32,000/-,         being  the highest, was accepted and this fact was  communi-         cated to her by a letter dated         (1) [1960] (1) S.C.R. 890.         124         11th  September,  1959,  sent through her  son  and  general         attorney  M.S.  Grewal.  This letter was  in  the  following         terms:                       "Dear Sir/Madam,                             I am to inform you that your bid for Rs.                       32,000/(Rupees  thirty two thousands only)  in                       respect of property No. B-XII-18-S-14 (Portion                       I   and  III)  Hide  Market Amritsar has  been                       accepted  as per terms and conditions  of  the                       auction.                             2.  You have executed an indemnity  bond                       in lieu of the earnest money due from you  for                       adjustment against the compensation admissible                       on  your verified claim(s).  For this  purpose                       please furnish if you have not already done at                       the time of auction the registration number of                       your compensation application, so as to  reach                       this office within seven days of the issue  of                       this letter.  In case you intend to  associate                       any  other claimants with you in the  purchase                       of  the  above mentioned property  you  should                       also  submit  affidavits of  association  duly                       completed  by  you and by each of  your  asso-                       ciates,  as  per  specimen  attached  to  this                       office within the period specified above.                             3. The balance of the purchase money, if                       any,  found  due from you, after  scrutiny  of                       your compensation application and that of your                       associates will be communicated to you in  due                       course.                                                                 Yours                       faithfully,                                                                 Sd/-                                                District    Rent    &                       Managing Officer,                                                                       Amri tsar".         The  above mentioned letter showed that the  contesting  re-         spondent being a displaced person had executed an  indemnity         bond and had to furnish some information so that  adjustment         of  the  compensation  due to her may be  made  against  the         amount which she had to deposit.  What was that information?         On the margin of the front page of this letter is a partial-         ly  illegible  writing  running from top to  bottom  of  the         printed  full-scap sheet on the original record.  With  some         difficulty  the following part only can be read:   "You  are         required to submit the following documents regarding  provi-         sional possession within seven days from the receipt of this         letter failing which your case wilt be  ....  "  After "will         be"  nothing is found written.  It is disputed  between  the         parties  whether this writing in hand of the margin  existed         on the letter received by Smt. Rup Kaur’s attorney.   Howev-         er,  even  looking at the copy on the original  record,  the         meaning is not at all intelligible.  If it existed, it could         only confuse and not enlighten the recipient as to what  was         to be done.

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           An order was then passed, on 8th March, 1961, which runs         as follows:         125                       "ORDER,                             Smt. Roop Kaur through her attorney Shri                       M.S. Grewal the auction purchaser of unit  No.                       B.XIII-18-S-14 (Portion I and III) Hide Market                       Amritsar  has  failed to deposit  the  balance                       sale price amounting to Rs. 28,000/- in  spite                       of issue of registered notice for 2-1-61.  Her                       bid is, therefore, cancelled and earnest money                       forfeited.  Settlement Officer Jullndur may be                       requested  to  deduct Rs.  3200/-  as  earnest                       money out of CA No. P/J/I0110.  The  applicant                       may  be  informed  accordingly  and   property                       disposed of in the next sale programme.                       Announced.                       Dated 8-3-61.  Sd/-                                                    Distt.   Rent   &                       Managing Officer,                                                                         Am ritsar".         This order does not state that parties were duly heard.   It         is  disputed whether the notice mentioned in it, alleged  to         have been sent to Smt. Rup Kaur on 18-12-1960 asking her to.         appear on 2-1-1961, was received by the contesting  respond-         ent.’ Even if the learned Single Judge’s finding that it was         not received at all by her were not correct, the time  fixed         for her appearance was too short.  Furthermore, the  allega-         tion that she had been called upon, presumably by the letter         dated 11-9-1959 to deposit Rs. 28,000/- was, on the face  of         it, untrue.  Despite a report in her favour by the  Regional         Settlement  Commissioner,  who investigated  the  facts  and         reported to the Chief Settlement Commissioner, that she  had         not  been properly served, justice was denied to her by  the         Chief Settlement Commissioner on 26-6-1963.             The  learned  single Judge had examined  the  facts  and         pointed  out  other obvious illegalities at  earlier  stages         showing  that provisions of Rules 90 and 92 and 105  of  the         Displaced  Persons Compensation & Rehabilitation Rules  1955         were not complied with in cancelling the sale.  According to         Rup Kaur, who filed some application on 9th May, 1961,  when         she  learnt what had happened, she had also filed an  appeal         against the order of 8th March, 1961, and made a request for         extension of time for payment of the balance of the purchase         money,  but,  on 14th June, 1961, the  following  order  was         passed  by  the  Assistant Settlement  Commissioner  on  her         appeal:                             "This is an appeal against the order  of                       Distt. Rent & Managing Officer Amritsar  dated                       8-3-61 whereby he cancelled the appellants bid                       and forfeited the earnest money on account  of                       his  failure to deposit the balance  price  of                       property No. B. XIII-18-S-14 (Portion I & III)                       Hide  Market Amritsar purchased by him at  the                       open  auction within the specified time.   For                       all  intents and purposes this appeal  is  for                       extension  of  time to  deposit  the   balance                       purchase price.                       126                             Extension  of time is an  administrative                       matter for which no judicial action is  called                       for.     Dismissed.   Inform   the   appellant                       accordingly".

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           The  learned  Single Judge pointed out  that  the  above         mentioned order of the Appellate authority was also void for         contravening the provisions of Rule 105 as interpreted by  a         Full  Bench of the High Court of Punjab in Hira Lal Kher  v.         The Chief Settlement Commissioner, New Delhi(1), so that  it         was  the duty of the Settlement Commissioner, to fix a  date         for  hearing  and  to inform the ’appellant     it  was  not         discharged.   Apparently,  the appeal  was  decided  without         informing  the contesting respondent Smt. Rup Kaur when  her         appeal  would  be heard.  Rule 105, which was  thus  contra-         vened, provides:                             "105.  Provisions  of Order XLI  of  the                       Code  of Civil procedure apply to appeals  and                       revisions.Except   as   otherwise    expressly                       provided  in  the Act or in these  rules,  the                       procedure  laid down in order XLI of the  Code                       of  Civil  Procedure  1908  (Act  V  of  1908)                       shall,. so far as may be applicable, apply  to                       the  hearing  and  disposal  of  ap.peals  and                       revisions and the Act".             Furthermore, extension of time was not just an "adminis-         trative matter".  The question whether Rup Kaur had made out         a  case  for  it or not should  have  been  quasi-judicially         considered  and decided. Indeed, if provisions of the  Civil         Procedure  Code were applied to these appeals and  extension         of time was only a relief sought, the discretion to grant it         or refuse it had to be judicially and judiciously exercised.         The order was made on an apparently wrong assumption.             The  learned single Judge had restored the  position  to         what it was when the letter dated 11th September, 1959,  was         received by M.S. Grewal, the son and general attorney of Rup         Kaur,  and had directed the Managing Officer to  proceed  in         accordance with Law. After having heard Learned Counsel  for         both  sides  at some length, we are not satisfied  that  any         injustice has been done to the appellant who will, no doubt,         get  back  whatever money he may have deposited.  We  think,         that, in the circumstances of the case, it could not be said         that the learned single Judge’s conclusion, that  provisions         of  Rule 90 had not been complied with in dealing  with  the         case of Rup Kaur, who had suffered injustice, was erroneous.         The learned Judge had stated his conclusion as follows:                             "A  mere  reading  of  the  above-quoted                       provision  shows  that one of  the  conditions                       precedent    entitling   the    Rehabilitation                       Authorities to cancel the sale and to  forfeit                       the  initial  deposit is the  service  on  the                       auction  purchaser  of a notice  specified  in                       sub-rule (11), sub-rule (12) or sub-rule  (13)                       of   rule.  90.   The  petitioner   admittedly                       complied  with the requirement of  the  notice                       under sub-rule (12) of rule 90 (Annexure  "F")                       and no notice in terms of the requirements  of                       subrule  (13) of rule 90 was  ever  admittedly                       issued to or                       (1) (1961) P.L.R. 560.                       127                       served    on   the   petitioner.   In    these                       circumstances, the Rehabilitation  Authorities                       has   no    jurisdiction    whatsoever     for                       cancelling   the   sale  in  favour   of   the                       petitioner  on account of alleged  non-payment                       of  the balance of the purchase price and  for                       forfeiting  the initial deposit made  by  her.                       In  this  view  of the  matter,  the  impugned                       orders  cancelling the sale in favour  of  the

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                     petitioner and forfeiting her initial  deposit                       are  wholly  without jurisdiction  and  cannot                       possibly  be sustained.  Errors of law in  the                       orders  of the Chief  Settlement  Commissioner                       and  the order Rehabilitation Authorities  are                       apparent  on their face  inasmuch as the  said                       orders have been passed in absolute  ignorance                       of   the  statutory  provisions  referred   to                       above".             We, therefore, see no reason to interfere with the  view         taken  by  the High Court.  Consequently,  we  dismiss  this         appeal.  But, in the circumstances of the case, the  parties         will bear their own costs.         M.R.                                            Appeal  dis-         missed.         128