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Nagpur District Central Co-operative Bank Ltd. & Another v/s Union of India, through the Secretary, Ministry of Finance, New Delhi & Others


Company & Directors' Information:- L & T FINANCE LIMITED [Amalgamated] CIN = U65990MH1994PLC083147

Company & Directors' Information:- V L S FINANCE LIMITED [Active] CIN = L65910DL1986PLC023129

Company & Directors' Information:- L R N FINANCE LIMITED [Active] CIN = U65921TN1992PLC089288

Company & Directors' Information:- J R D FINANCE LTD [Active] CIN = L65999WB1993PLC058107

Company & Directors' Information:- T C I FINANCE LIMITED [Active] CIN = U65920MH1973PLC017042

Company & Directors' Information:- A. V. B. FINANCE PRIVATE LIMITED. [Active] CIN = U65993DL1992PTC049818

Company & Directors' Information:- J J FINANCE CORPORATION LTD [Active] CIN = L65921WB1982PLC035092

Company & Directors' Information:- G V S FINANCE PVT LTD [Strike Off] CIN = U65921TG1988PTC008269

Company & Directors' Information:- G T P FINANCE LIMITED [Active] CIN = U65921TZ1991PLC003149

Company & Directors' Information:- CO-OPERATIVE COMPANY LIMITED [Active] CIN = U51226DL1910PLC299886

Company & Directors' Information:- CO-OPERATIVE COMPANY LIMITED [Active] CIN = U51226UP1910PLC000093

Company & Directors' Information:- S R K FINANCE PRIVATE LIMITED [Active] CIN = U65910UP1994PTC016038

Company & Directors' Information:- J R D FINANCE LTD [Active] CIN = U65999WB1993PLC058107

Company & Directors' Information:- C K G FINANCE PRIVATE LIMITED [Active] CIN = U65910KL1996PTC010147

Company & Directors' Information:- L N FINANCE LTD [Active] CIN = U65923WB1991PLC052876

Company & Directors' Information:- R K FINANCE LTD [Active] CIN = L65921WB1983PLC035896

Company & Directors' Information:- J S M FINANCE PVT LTD [Active] CIN = U74140MP1995PTC009542

Company & Directors' Information:- UNION FINANCE LIMITED [Strike Off] CIN = U65910GJ1994PLC023717

Company & Directors' Information:- L N FINANCE PVT LTD [Active] CIN = U65929AS1992PTC003766

Company & Directors' Information:- N B A FINANCE LIMITED [Strike Off] CIN = U74899DL1993PLC052393

Company & Directors' Information:- T P D FINANCE LIMITED [Strike Off] CIN = U67120RJ1994PLC008051

Company & Directors' Information:- S K B FINANCE LIMITED [Amalgamated] CIN = U65999WB1996PLC082317

Company & Directors' Information:- J V FINANCE PRIVATE LIMITED [Strike Off] CIN = U74899DL1985PTC067873

Company & Directors' Information:- L C J FINANCE PVT. LTD. [Active] CIN = U65921WB1995PTC068809

Company & Directors' Information:- H L T FINANCE PRIVATE LIMITED [Strike Off] CIN = U65921DL1996PTC078128

Company & Directors' Information:- R N C P FINANCE LTD. [Dissolved] CIN = U67120WB1995PLC072339

Company & Directors' Information:- T T FINANCE LIMITED [Amalgamated] CIN = U67120DL1986PLC023168

Company & Directors' Information:- M M V R FINANCE LIMITED [Active] CIN = U65921TZ1997PLC007705

Company & Directors' Information:- D B FINANCE PRIVATE LIMITED [Active] CIN = U65191TN1989PTC016705

Company & Directors' Information:- C H P FINANCE PVT LTD [Active] CIN = U65921PB1992PTC012788

Company & Directors' Information:- S L B P FINANCE PRIVATE LIMITED [Active] CIN = U74899DL1990PTC041694

Company & Directors' Information:- R S FINANCE PVT LTD [Active] CIN = U65191WB1988PTC044144

Company & Directors' Information:- V K FINANCE PVT LTD [Strike Off] CIN = U67120WB1991PTC052140

Company & Directors' Information:- C D R FINANCE LIMITED [Strike Off] CIN = U65910TG1995PLC022237

Company & Directors' Information:- J R FINANCE LIMITED [Active] CIN = U65921PB1996PLC017699

Company & Directors' Information:- K V L FINANCE LIMITED [Strike Off] CIN = U65191TN1989PLC016715

Company & Directors' Information:- V L G FINANCE PRIVATE LIMITED [Strike Off] CIN = U65910AP1997PTC027952

Company & Directors' Information:- E M S FINANCE PRIVATE LIMITED [Strike Off] CIN = U65921TZ1986PTC001789

Company & Directors' Information:- T D M FINANCE COMPANY PRIVATE LIMITED [Active] CIN = U65923KL1997PTC011601

Company & Directors' Information:- S. F. FINANCE COMPANY PRIVATE LIMITED [Strike Off] CIN = U65921PB1996PTC018702

Company & Directors' Information:- R D P FINANCE PRIVATE LIMITED [Active] CIN = U65929DL1997PTC089092

Company & Directors' Information:- S R K C FINANCE LIMITED [Amalgamated] CIN = U65999TZ1989PLC002445

Company & Directors' Information:- R K N FINANCE PRIVATE LIMITED [Strike Off] CIN = U65191TN1997PTC038377

Company & Directors' Information:- H A FINANCE PRIVATE LIMITED [Strike Off] CIN = U65993DL1987PTC027064

Company & Directors' Information:- V V A FINANCE LTD [Active] CIN = U65993WB1984PLC037171

Company & Directors' Information:- Y B FINANCE PRIVATE LIMITED [Strike Off] CIN = U65921CH1996PTC017745

Company & Directors' Information:- D G L FINANCE LTD [Strike Off] CIN = U67120TG1993PLC015604

Company & Directors' Information:- M S R FINANCE PVT LTD [Strike Off] CIN = U65191TN1989PTC016789

Company & Directors' Information:- C R N FINANCE PRIVATE LIMITED [Strike Off] CIN = U74899DL1994PTC062802

Company & Directors' Information:- I FINANCE COMPANY LIMITED [Active] CIN = U67110DL2011PLC212268

Company & Directors' Information:- H AND Z FINANCE PRIVATE LIMITED [Active] CIN = U67190MH1995PTC093153

Company & Directors' Information:- Y AND K FINANCE COMPANY PRIVATE LIMITED [Strike Off] CIN = U74899DL1985PTC019837

Company & Directors' Information:- D S K FINANCE LIMITED [Strike Off] CIN = U65910UP1988PLC010317

Company & Directors' Information:- G B V FINANCE COMPANY PRIVATE LIMITED [Strike Off] CIN = U65110UP1988PTC010219

Company & Directors' Information:- B H FINANCE PRIVATE LIMITED [Strike Off] CIN = U65922KA1995PTC018390

Company & Directors' Information:- M .R .S . FINANCE LIMITED [Strike Off] CIN = U65929DL1995PLC067184

Company & Directors' Information:- P R K FINANCE P LTD [Strike Off] CIN = U65191TN1995PTC033478

Company & Directors' Information:- W S FINANCE PRIVATE LIMITED [Strike Off] CIN = U65192UP1996PTC020243

Company & Directors' Information:- OPERATIVE INDIA PRIVATE LIMITED [Active] CIN = U74300KA2008FTC048079

Company & Directors' Information:- BANK OF NEW INDIA LIMITED [Strike Off] CIN = U65110KL1999PLC000132

Company & Directors' Information:- S R B FINANCE LIMITED [Strike Off] CIN = U65910UP1988PLC010045

Company & Directors' Information:- P V FINANCE PRIVATE LIMITED [Strike Off] CIN = U65993DL1987PTC027270

Company & Directors' Information:- B B P FINANCE COMPANY PRIVATE LIMITED [Strike Off] CIN = U65921PB1996PTC018183

Company & Directors' Information:- NEW INDIA FINANCE LTD. [Strike Off] CIN = U65999WB1991PLC051652

Company & Directors' Information:- A E FINANCE PRIVATE LIMITED [Active] CIN = U65999TZ1990PTC002905

Company & Directors' Information:- L R FINANCE COMPANY PRIVATE LIMITED [Strike Off] CIN = U65910UP1988PTC009758

Company & Directors' Information:- S B M FINANCE LIMITED [Strike Off] CIN = U65921PB1994PLC014374

Company & Directors' Information:- D AND O FINANCE COMPANY PRIVATE LIMITED [Strike Off] CIN = U74899DL1993PTC054788

Company & Directors' Information:- H R P FINANCE PRIVATE LIMITED [Strike Off] CIN = U65921PB1995PTC015715

Company & Directors' Information:- P T R FINANCE PRIVATE LIMITED [Strike Off] CIN = U65191TN1989PTC016795

Company & Directors' Information:- H S B FINANCE PVT LTD [Strike Off] CIN = U67120RJ1996PTC012119

Company & Directors' Information:- NEW K K FINANCE PRIVATE LIMITED [Strike Off] CIN = U65921UP1974PTC003887

Company & Directors' Information:- M. J. S. FINANCE COMPANY PRIVATE LIMITED [Strike Off] CIN = U65921PB1971PTC003049

Company & Directors' Information:- A R FINANCE PVT LTD [Strike Off] CIN = U65921PB1989PTC009778

Company & Directors' Information:- K G FINANCE LIMITED [Strike Off] CIN = U65910TZ1982PLC001219

Company & Directors' Information:- H S N FINANCE PVT LTD [Strike Off] CIN = U67120PB1993PTC013900

Company & Directors' Information:- C S FINANCE PRIVATE LIMITED [Strike Off] CIN = U65910GJ1987PTC009799

Company & Directors' Information:- NEW INDIA BANK LIMITED [Dissolved] CIN = U65191KL1929PLC000774

Company & Directors' Information:- CENTRAL BANK OF INDIA LIMITED [Active] CIN = U99999MH1911PTC000337

Company & Directors' Information:- UNION BANK OF INDIA LIMITED [Active] CIN = U99999MH1919PTC000615

Company & Directors' Information:- BANK OF NAGPUR LIMITED [Amalgamated] CIN = U99999MH1937PLC010289

    Writ Petition No. 4369 of 2009

    Decided On, 21 February 2020

    At, In the High Court of Bombay at Nagpur

    By, THE HONOURABLE MR. JUSTICE A.S. CHANDURKAR & THE HONOURABLE MR. JUSTICE VINAY JOSHI

    For the Petitioners: M.V. Samarth, Neerja Choubey, Advocates. For the Respondents: ---------



Judgment Text


Vinay Joshi, J.

1. Rejection of petitioners’ claim for refund of Court Fees, has occasioned them to invoke inherent extraordinary writ jurisdiction of this Court under Article 226 and 227 of the Constitution of India.

2. The petitioner No. 1 is a Cooperative Society registered under the provisions of Maharashtra Cooperative Societies Act, 1960 and is doing banking business. The Petitioner – Bank has resorted the mode of recovery of loan amount from its debtors through respondent No. 2 Debts Recovery Tribunal under the provisions of Recovery of Debts Due to Banks and Financial Institutions Act, 1993 (for short “the Act of 1993”). Naturally, in the said recovery proceeding, the petitioner Bank deposited requisite Court Fees Stamp as per Rule 7 of the Debts Recovery Tribunal (Procedure) Rules, 1993. The Supreme Court ruled that the Cooperative Bank constituted under the provisions of the Maharashtra Cooperative Societies Act, 1960 does not fall within the meaning of “Banking Company” as defined in Section 5(c) of the Banking Regulations Act, 1949. In turn, the provisions of the Act of 1993 does not apply.

3. In view of the settled legal position, the petitioners’ Original Application before the Debts Recovery Tribunal, Nagpur was returned for presentation before the competent Forum vide order dated 13.03.2008.

4. After return of proceeding, the petitioner – Bank applied to the respondent No. 2 for refund of Court Fees of Rs. 1,27,000/- vide MA No. 39/2008. After hearing the petitioner – Bank, the learned Presiding Officer, Debts Recovery Tribunal, Nagpur has declined to refund the Court Fee vide impugned order dated 10.06.2008 which is the subject matter of challenge in this petition. The only short question involves for consideration is about petitioners’ entitlement for refund of Court Fees on return of proceeding.

5. Heard both learned counsel on the disputed question. So far as legal position is concerned, there is no dispute that recovery proceeding by Cooperative Bank, is not maintainable before the Debts Recovery Tribunal. It is also not in dispute that petitioners’ original application for recovery of outstanding dues came to be returned for presentation before the competent Forum. In the light of said position, the question needs to be answered about petitioners’ entitlement for refund of Court Fee.

6. The impugned order was passed on 10.06.2008 when the Debts Recovery Tribunal (Procedure) Rules, 1993 were in existence. Admittedly, these Rules nowhere contains the provision about refund of Court Fees. During course of time, Debts Recovery Tribunals (Refund of Court Fees) Rules, 2013 came in existence containing specific Clause No. 4 about the refund of Court Fees. It provides that there shall be refund of 50 percent of the Court Fees, if the matter is settled prior to the commencement of the hearing before the Tribunal. Likewise, there shall be refund of 25 percent of the Court Fees where the matter is settled at any stage of the proceeding before the final order is passed. However, there is no specific legible provision about the refund of Court Fees on the return of proceeding. In absence of such provision, one has to turn to the general provisions of liability.

7. Learned counsel appearing for petitioners would submit that since the plaint was returned on account of the jurisdiction, the petitioners are entitled for refund of full Court Fees. In this regard, he relied upon reported case of Rhoda Jal Mehta and others Vs. Homi Framroze Mehta and others, 1989 Mh.L.J. 124 . In the said case, the plaintiffs had filed a suit without obtaining requisite leave under Clause 12 of the Letters Patent (Bombay). In the said decision, this Court has referred Full Bench decision in the case of Prabhakarbhat Vs. Vishwambhar Pandit, ILR Vol.8, 1883 at Pp. 313 wherein it is observed as herein below:-

“Where a Court fee on the institution of a suit has been paid in a Court which cannot possibly afford the relief sought, it does not seem consistent with sound principle that the plaintiff should be condemned to lose the fees thus paid, or that he should not be allowed to ask without paying a second fee for an adjudication from a Court which can really give one.”

On the same line, petitioners further relied on the decision of the Supreme Court in case of Dr. (Col.) Subhash Chandra Talwar Vs. T. Choithram and sons and others, decided on 25.10.2019, wherein it is expressed that in case of return of plaint, there is no order on the merits of the suit and therefore, the party is entitled to refund of the Court Fees so as to he can fix the Court Fees at another place and accordingly entire Court Fees was ordered to be refunded. Then the petitioners relied on the decision of this Court in case of Chandra Prem Shah and others Vs. K. Raheja Universal Pvt. Ltd. and another, 2015(5) Mh.L.J. 714, wherein this Court has directed to return entire Court Fees on return of plaint.

8. On the same line, reliance is placed on one more decision of this Court in case of the Anglo-French Drug Co. (Eastern) Ltd Vs The State of Bombay and another, AIR 1951 BOMBAY 130, wherein it is ruled that while returning the plaint under Order VII Rule 10 of the Code of Civil Procedure, the Court can refund Court Fees by its inherent power under Section 151 of the Code of Civil Procedure.

9. Admittedly, by virtue of decision of the Supreme Court, Debts Recovery Tribunal has no jurisdiction to entertain proceeding and accordingly, plaint was returned for proper presentation. In other words, Debts Recovery Tribunal had no jurisdiction to adjudicate the claim and therefore, by declining to entertain the petition, it was returned for presentation before the appropriate Forum. There is no order on merits but it is a simple return of the proceeding for want of jurisdiction. Naturally, the petitioners are required to remit the requisite Court Fees before the appropriate Forum for redressal their grievance.

10. The Supreme Court in reported case of Allahabad Bank, Calcutta Vs. Radha Krishna Maity and others, AIR 1999 SC 3426 expressed that the Tribunal has wider powers than the Code of Civil Procedure and it can even go beyond the Code as long as it passes orders in conformity with principles of natural justice. The Court should put liberal interpretation of fiscal statute like Court Fees Act so as to lessen and not to add burden to the litigation. We may reiterate that there is simple return of the proceedings and therefore, we do not see any logic in depriving the petitioners from refund of Court Fees particularly when the Tribunal is not competent to decide the lis. The Tribunal has referred Rule 7(1) of the Central Treasury Rules and Regulations of practice but, we do not find any express provision which could deprive the Tribunal fro

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m refunding the Court Fee amount. Nor it was brought to our notice by respondents any absence of authority to refund Court Fee after deposit in Government Treasury. 11. Reverting to the facts, the lis has not been decided on merit by Tribunal. Naturally, the petitioners have to deposit requisite Court Fee before the competent Forum. In the circumstances, the impugned order of declining refund of Court Fee is not sustainable in the eyes of law. Hence, we set aside the same and allow the MA No. 39/2008 for refund of entire Court Fee deposited while presentation of the original application. The Tribunal shall take necessary steps in that regard. We are not inclined to grant any interest. Rules is made absolute in aforesaid terms. No order as to costs.
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