Anish M Rawther @ Anees Mohammed Rawther vs Hafeez Ur Rahman

2024 INSC 460 REPORTABLE

IN THE SUPREME COURT OF INDIA CIVIL APPELLATE JURISDICTION

CIVIL APPEAL NO. 4120 OF 2024

ANISH M RAWTHER @ ANEES MOHAMMED RAWTHER …. APPELLANT

VERSUS

HAFEEZ UR RAHMAN & ORS. ...RESPONDENTS

JUDGMENT

PRASHANT KUMAR MISHRA, J.

This appeal has been preferred by the appellant/defendant

challenging the Order passed by the High Court of Karnataka

on 21st March 2022 in Writ Petition No. 10975 of 2020

(GM-CPC) whereby the High Court allowed the writ petition and

set aside the Order dated 07th March 2020 passed by the Trial

Court in Com. OS No. 1026 of 2018 and further directed the

Trial Court to accept the memo dated 14th November 2019 Signature Not Verified Digitally signed by NITIN TALREJA Date: 2024.06.14

which was submitted by the respondents/plaintiffs and pass 15:28:05 IST Reason:

appropriate orders accordingly.

2 2. The brief facts, necessary for disposal of this Civil Appeal

are that the respondents/plaintiffs preferred a suit under Order

XXXVII of Code of Civil Procedure, 1908 (henceforth ‘CPC’)

against the appellants/defendants for recovery of Rs.

1,04,16,576/- with interest. The appellants/defendants entered

appearance and filed application seeking leave to defend which

was allowed by the Trial Court on 19th June 2019 with a

direction to the appellants/defendants to deposit 50% of the

suit claim. The said order was challenged before the High Court

in Writ Petition No. 28349 of 2019 which was dismissed on 08th

August 2019 against which an SLP (C) No. 20626 of 2019 was

preferred by the appellants/defendants which came to be

dismissed on 06th September 2019, by passing the following

order:-

“We are not inclined to interfere with the impugned order passed by the High Court.

The special leave petition, is accordingly, dismissed. However, it is open for the petitioners to approach the High Court within four weeks from today for variation of the order satisfying the High Court that he can provide adequate security in terms of the orders of the High Court.” 3

3. Despite the above order passed by this Court, the

appellants/defendants did not approach the High Court for

variation of the order as permitted by this Court.

4. When the matter stood thus, the respondent/plaintiff filed

memo dated 14th November 2019, requesting the Trial Court to

decree the suit in terms of Order XXXVII Rule 3(6)(b) of the

CPC. The Trial Court after considering the material on record,

including the objections by the appellant/defendant rejected

the memo vide order dated 07th March 2020. This order was

assailed by the respondent/plaintiff before the High Court which

has been allowed under the impugned order simultaneously

directing the Trial Court to accept the memo and pass

appropriate orders accordingly.

5. The appellants/defendants have argued that in view of

Section 14 of the Insolvency and Bankruptcy Code, 2016

(henceforth ‘IBC’), the moratorium has become operational,

therefore, the suit cannot proceed. This argument was not

accepted by the High Court and under the impugned order, the

Trial Court was directed to accept the memo and pass 4

appropriate orders. It is important to notice that this Court has

passed an order on 01st December 2023 staying the impugned

order, however, much prior to the interim order of this Court,

the suit itself was decided finally by passing a decree on 20th

April 2023. It is not brought to our notice that the said decree

has been challenged any further by the defendants. Thus, for

the present, the suit is not pending, therefore, the present

appeal which arises out of an interim order passed by the Trial

Court during pendency of the suit, has been rendered

infructuous.

6. The Civil Appeal is, accordingly, dismissed as infructuous.

………………………………………J. (VIKRAM NATH)

.......……………………………….J. (PRASHANT KUMAR MISHRA) NEW DELHI;

JUNE 14, 2024.