GOPAL SINGH (DEAD) BY LRS.versusSWARAN SINGH & ORS.

                       [2018] 14 S.C.R. 1131                             1131


                 GOPAL SINGH (DEAD) BY LRS.                              A
                                  v.
                    SWARAN SINGH & ORS.
                  (Civil Appeal No. 11930 of 2018)
                       DECEMBER 07, 2018                                 B
  [UDAY UMESH LALIT AND R. SUBHASH REDDY, JJ.]
       Punjab Package Deal Properties (Disposal) Act, 1976: s. 16
– Bar of jurisdiction and finality of orders – On facts, alienation of
the land, sold under restricted auction – Proceedings for resumption
                                                                         C
of the land, allowed by the Authority and the said order set aside by
the High Court – Thereafter, order by the Deputy Commissioner
that cancellation of the auction was proper and confirmed the
allotment made in favour of the appellants – Said order attained
finality – Thereafter, suit by respondents seeking declaration that
they are bonafide purchasers – Trial court decreed the suit holding      D
that the order passed by the Deputy Commissioner was null and
void – In appeal, the first appellate court set aside the order of the
trial court – However, the High Court restored the order of the trial
court – On appeal, held: Every order made by any officer or
authority under the Act is final and no civil court shall have
                                                                         E
jurisdiction to entertain any suit or proceeding and no injunction
shall be granted by any court or other authority in respect of any
action taken under provisions of the Act – First appellate court, by
applying s. 16, held that the suit is barred and is not maintainable
against the State and its authorities, without issuing notice u/s. 80
CPC, also no leave was sought from the court for dispensing with         F
issuance of notice as provided u/s. 80(2) CPC – High Court did not
deal with the said aspect – When the suit itself is barred, it is not
open for the civil court to record any finding on the validity of the
order passed by the Deputy Commissioner – Respondent-plaintiffs
had an opportunity before the authority and when the said order
                                                                         G
has become final, in view of the bar u/s. 16, the High Court committed
error in recording finding on the validity of the order passed by the
Deputy Commissioner – Thus, the order passed by the High Court
is set aside.

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                                1131
1132               SUPREME COURT REPORTS                   [2018] 14 S.C.R.


 A           Allowing the appeal, the Court
              HELD: 1.1 Every order made by any officer or authority
       under the Punjab Package Deal Properties (Disposal) Act, 1976
       is final and no civil court shall have jurisdiction to entertain any
       suit or proceeding and no injunction shall be granted by any court
 B     or other authority in respect of any action taken under provisions
       of the Act. The first appellate court, by applying Section 16, has
       clearly recorded a finding that the suit is barred and further it
       was also held that suit is not maintainable against the State and
       its authorities, who are defendant nos.1 to 4, without issuing notice
       under Section 80 CPC. There is also nothing on record seeking
 C     leave from the court for dispensing with issuance of notice as
       provided under Section 80(2) CPC. The said aspect is not at all
       dealt by the High Court. So far as the bar of the suit under Section
       16 is concerned, the High Court referred to Special Leave
       Petition, but, it appears that the said petition is dismissed for
 D     non-prosecution. High Court also referred to certain other earlier
       judgments to support a finding on the validity of the order dated
       28.03.1985, passed by the Deputy Commissioner. But when the
       suit itself is barred, it is not open for the civil court to record
       any finding on the validity of the order dated 28.03.1985.
       [Para 13][1136-F-H; 1137-A-C]
 E
             1.2 The respondent-plaintiffs had an opportunity before the
       authority and when the said order has become final, in view of
       the bar under Section 16 of the Act, the High Court has committed
       error in recording finding on the validity of the order dated
       28.03.1985. Further, the appellate court also has not disturbed
 F     the finding of the lower appellate court on issue of notice as
       contemplated under Section 80 CPC. Thus, the judgment and
       order passed by the High Court is set aside and thus, the suit is
       dismissed. [Para 13, 14][1137-C-E]
             State of Haryana & Ors. v. Vinod Kumar & Ors. 1986
 G           (1) PLR 222 – referred to.
                              Case Law Reference
       1986 (1) PLR 222               referred to             Para 13

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  GOPAL SINGH (DEAD) BY LRS v. SWARAN SINGH & ORS.                               1133


       CIVIL APPELLATE JURISDICTION : Civil Appeal No. 11930                     A
of 2018.
       From the Judgment and Order dated 16.02.2018 of the High Court
of Punjab and Haryana at Chandigarh in RSA No. 1163 of 1991.
       Neeraj Jain Sr. Adv., Vikas Mahajan, Vinod Sharma,
Vishal Mahajan, Anil Kumar, H. S. Saini, Surinder Kumar Gupta,                   B
Karan Bharihoke, Ms. Navkiran Bolay, Kaushal Naryan Mishra, Advs.
for the appearing parties.
       The Judgment of the Court was delivered by
       R. SUBHASH REDDY, J.
       1. Leave granted.                                                         C
       2. This appeal is filed by the legal heirs of the deceased defendant
no.5 in the suit, aggrieved by the judgment and order dated 16.02.2018
passed by the High Court of Punjab & Haryana at Chandigarh in Regular
Second Appeal No.1163 of 1991 (O&M). Respondent nos.1 to 4 herein
were the plaintiffs in Suit No.496 of 1985 filed before the Sub-Judge 1 st
                                                                                 D
Class, Sultanpur Lodhi, District Kapurthala in the State of Punjab. In
the said suit following reliefs were claimed by them :
       “Suit for declaration that they are absolute owners in possession
       being bonafide purchasers for consideration and without notice of
       land measuring 82 kanals 3 marlas bearing khasra nos.54/22min
       (4-0), 61//2 (8-0), 1min (4-18), 9(10-4), 54//22min (4-0), 61//min        E
       (4-0), 55//16 (8-0), 17 (7-7), 54//19min (4-0), 20 (8-0), 21 (8-0),
       54///19min (4-0), 25/25 (6-17), and 60/5/2 (0-17), total 82 kanals 3
       marlas, situated in village Kamalpur Patti, Tehsil Sultanpur Lodhi,
       District Kapurthala as per Jamabandi for the year 1981-82 and
       the order of learned Chief Sales Commissioner, Kapurthala dated
                                                                                 F
       28.3.1985 vide which the sale in favour of Mohan Singh son of
       Alladatta of village Mothawala, Tehsil Sultanpur Lodhi, District
       Kapurthala dated 23.12.1964 qua the suit land has been cancelled
       and allotment of this land in favour of Gopal Singh defendant no.5
       has been considered right is highly illegal, arbitrary, unwarranted
       without jurisdiction, against the provisions of law and is thus           G
       unsustainable and not binding on the rights and title of the plaintiffs
       over the suit land with the consequent relief of permanent injunction
       restraining the defendants from reauctioning the suit land or
       alienating it in any other manners and further restraining the
       defendants from interfering in the peaceful possession of the
       plaintiffs in the suit land in any manner.”                               H
1134                 SUPREME COURT REPORTS                        [2018] 14 S.C.R.


 A            3. The suit schedule property was auctioned in the restricted auction
       under the provisions of The Punjab Package Deal Properties (Disposal)
       Act 1976 [for short ‘the Act’]. It was originally sold to one Mohan
       Singh, son of Aladitta, resident of Kamalpur in the auction held on
       23.12.1964. There was a restriction on transfer which was held pursuant
       to an auction, not to alienate the suit property till the final realisation of
 B
       the loan amount taken by the allottee for purchase of the land or till the
       expiry of 10 years which is later. On the ground that the said Mohan
       Singh has breached the condition, proceedings were initiated for
       resumption of the land. Initial order for resumption passed by the authority
       was set aside in the writ petition by the High Court. Thereafter, further
 C     order was passed by the Deputy Commissioner-cum-Chief Sales
       Commissioner, Kapurthala on 28.03.1985. The aforesaid order was
       passed by recording a finding that cancellation of the auction was proper
       and further confirmed the allotment made in favour of the appellants
       herein.
 D           4. The said order dated 28.03.1985 passed by the competent
       authority under the provisions of the Act and the rules framed thereunder
       has become final.
              5. The trial court, by recording the finding that respondent-plaintiffs
       are bonafide purchasers, has decreed the suit by declaring the order
 E     dated 28.03.1985 passed by the competent authority under the provisions
       of the Act as null and void and granted consequential relief of injunction
       restraining the defendants from dispossessing the plaintiffs from the suit
       land.
              6. Aggrieved by the judgment and decree of the trial court dated
 F     25.01.1989, the appellant herein who is defendant no.5 has filed Civil
       Appeal No.57 of 1989 and defendant nos.1 to 4 which are authorities of
       the State also filed Civil Appeal No.59 of 1989. By the common judgment
       and decree dated 18.01.1991, the first appellate court allowed the appeals
       by setting aside the judgment and order of the trial court mainly on the
       ground that in view of the provision under Section 16 of the Act, Civil
 G     Court has no jurisdiction to try the suit. Further, it was also held by the
       appellate court that the suit is liable to be dismissed because no notice,
       as required under Section 80 of the Code of Civil Procedure (CPC) was
       given before filing the suit and no application was filed to dispense with
       the requirement of giving notice under Section 80(2).
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  GOPAL SINGH (DEAD) BY LRS v. SWARAN SINGH & ORS.                              1135
               [R. SUBHASH REDDY, J.]

       7. Aggrieved by the common judgment and decree passed in the             A
said civil appeals by the first appellate court, the respondent-plaintiffs
have filed Second Appeal Nos.1163 and 1164 of 1991. Said appeals are
allowed by the High Court of Punjab & Haryana at Chandigarh by
judgment and decree dated 16.02.2018. Thus, the judgment and decree
passed by the trial court were restored.
                                                                                B
      8. We have heard Mr. Vikas Mahajan, learned counsel for the
appellants and Mr. Neeraj Jain, learned senior counsel for the respondents
who are on caveat and also perused the written submissions submitted
on behalf of the parties.
        9. In this appeal, it is the case of the appellants that against the    C
initial cancellation of sale vide order dated 17.06.1975 the vendees of
the original transferee have approached the High Court in Civil Writ
Petition No.5210 of 1975 and in view of the judgment dated 09.10.1979,
after hearing all the necessary parties, order dated 28.03.1985 was passed
by the competent authority, cancelling the sale and said order has become
final and not challenged before the revenue authorities. It is the case of      D
the appellants that the validity of the order dated 28.03.1985 cannot be
the subject matter of challenge before the civil court in view of the bar
under Section 16 of the Act. It is further submitted that in view of the
opportunity provided by the authorities judgment relied on by the High
Court cannot be applied having regard to the facts and circumstances.           E
It is submitted that in any event the finding recorded by the first appellate
court that suit is not maintainable for not issuing notice under Section 80
of the CPC is not interfered with and without recording any finding
Second Appeal is allowed.
       10. On the other hand, it is the case of the respondent-plaintiffs       F
that respondent-plaintiffs are bonafide purchasers of the suit land for a
valuable consideration and in similar cases this Court has dismissed the
Special Leave Petitions, as such, there is no ground to interfere with the
same. It is further submitted that in any event, in view of Section 41 of
the Transfer of Property Act 1882, Civil Court is competent to entertain
the suit for grant of relief as prayed for. It is also pleaded that defect in   G
the prayer, if any, for quashing the order dated 28.03.1985, may not
come in the way of the respondent-plaintiffs for seeking relief of
declaration of their title which is to be protected in view of the provision
under Section 41 of the Transfer of Property Act 1882.
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1136                 SUPREME COURT REPORTS                        [2018] 14 S.C.R.


 A           11. Having heard learned counsel on both sides, we have perused
       the impugned judgment and the judgments of the lower appellate court
       and the trial court.
               12. It is not in dispute that originally land was put to restricted
       auction to sell the land under the provisions of the Act and the Rules
 B     framed thereunder. There are restrictions on the alienation of the land
       as per the original transfer. At first instance when the order of cancellation
       was passed, matter was carried to High Court and the High Court has
       disposed of the petition by directing the authorities not to take steps for
       eviction of the petitioners therein unless they are provided opportunity
       before passing appropriate order. After order was passed by the High
 C     Court, order dated 28.03.1985 was passed cancelling the transfer and
       further allotment made in favour of the appellants herein was confirmed.
       Section 16 of the Act reads as under :
              “16. Bar of jurisdiction and finality of orders
 D            (1) Save as otherwise expressly provided in this Act, every order
              made by any officer or authority under this Act shall be final and
              no Civil Court shall have jurisdiction to entertain any suit or
              proceeding, in respect of any matter which the State Government,
              or any officer or authority apopinted under this Act is empowered
              by or under this Act to determine, and no injunction shall be granted
 E            by any Court or other authority in respect of any action taken or
              to be taken in pursuance of any power conferred by or under this
              Act.
              (2) Nothing in the Punjab Public Premises and Land (Eviction
              and Rent Recovery) Act, 1973, shall apply to package deal
 F            property.”
              13. From a reading of the aforesaid provision, it is clear that every
       order made by any officer or authority under the said Act is final and no
       Civil Court shall have jurisdiction to entertain any suit or proceeding and
       no injunction shall be granted by any court or other authority in respect
 G     of any action taken under provisions of the Act. The first appellate
       court, by applying the aforesaid provision, has clearly recorded a finding
       that the suit is barred and further it was also held that suit is not
       maintainable against the State and its authorities, who are defendant
       nos.1 to 4, without issuing notice under Section 80 of CPC. There is
       also nothing on record seeking leave from the court for dispensing with
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     GOPAL SINGH (DEAD) BY LRS v. SWARAN SINGH & ORS.                           1137
                  [R. SUBHASH REDDY, J.]

issuance of notice as provided under Section 80(2) of the CPC. The said         A
aspect is not at all dealt by the High Court. So far as the bar of the suit
under Section 16 is concerned, the High Court referred to Special Leave
Petition(C) No.26714 of 2015, but, it appears that the said petition is
dismissed for non-prosecution. High Court also referred to certain other
earlier judgments to support a finding on the validity of the order dated
                                                                                B
28.03.1985. But we are of the view that when the suit itself is barred, it
is not open for the civil court to record any finding on the validity of the
order dated 28.03.1985. Even the judgment of the Full Bench of the
High Court in the case of State of Haryana & Ors. v. Vinod Kumar
& Ors.1 cannot be applied unless it is held that the order passed by the
primary authority is a nullity. As we are of the view that the respondent-      C
plaintiffs had an opportunity before the authority and when the said order
has become final, in view of the bar under Section 16 of the Act, the
High Court has committed error in recording finding on the validity of
the order dated 28.03.1985. Further, as rightly contended by counsel for
the appellants that the appellate court also has not disturbed the finding
                                                                                D
of the lower appellate court on issue of notice as contemplated under
Section 80 of the CPC.
       14. For the aforesaid reasons we allow this appeal and set aside
the judgment and order dated 16.02.2018 passed in R.S.A.No.1163 of
1991 and consequently the Civil Suit No.496 of 1985 stands dismissed,
with no order as to costs.                                                      E

Nidhi Jain                                                    Appeal allowed.




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1
    1986 (1) PLR 222                                                            H