Supreme Court of India

Municipality Of Bhiwandi And … vs M/S. Kailash Sizing Works on 20 September, 1974

Supreme Court of India
Municipality Of Bhiwandi And … vs M/S. Kailash Sizing Works on 20 September, 1974
Equivalent citations: 1975 AIR 529, 1975 SCR (2) 123
Author: A Ray
Bench: Ray, A.N. (Cj)
           PETITIONER:
MUNICIPALITY OF BHIWANDI AND NIZAMPUR

	Vs.

RESPONDENT:
M/S.  KAILASH SIZING WORKS

DATE OF JUDGMENT20/09/1974

BENCH:
RAY, A.N. (CJ)
BENCH:
RAY, A.N. (CJ)
MATHEW, KUTTYIL KURIEN
KRISHNAIYER, V.R.

CITATION:
 1975 AIR  529		  1975 SCR  (2) 123
 1974 SCC  (2) 596


ACT:
Bombay	District  Municipal  Act-S.  167-Scope	of   General
Clauses Act--"Done in good faith" meaning of.



HEADNOTE:
The respondent had a structure beside a nallah which carries
dirty  water  and rain water to the creek.   The  Government
demolished  a  portion of the dam upstream as  a  result  of
which the water stored in the lake was bound to pass through
the nallah to the creek.  The appellant had left  unfinished
the  work of laying cement slab across the nallah.   In	 the
rainy	season	the  nallah  overflowed	 and   flooded	 the
respondent's property causing damage to it.  The  respondent
alleged	 that on account of the negligence of the  appellant
the  water  course  was completely blocked  in	the  monsoon
season and resulted in the flooding of his premises.
The  High Court decreed the respondent's suit  for  damages.
Section	 167  of the Bombay District Municipal	Act  confers
protection  on the Municipality in respect of anything	done
in  good faith or intended to be done.	The General  Clauses
Act and the Bombay General Clauses Act, 1904 define "done in
good faith" to mean done honestly, whether done	 negligently
or not.
On  the question whether the Municipality could be  said  to
have acted honestly).  Dismissing the appeal,
HELD  : An authority is not acting honestly where it  had  a
suspicion  that there was something wrong and did  not	make
further	 enquiries.  Being aware of possible harm to  others
and  acting  in	 spite	thereof,  is  acting  with  reckless
disregard of consequences.  It is worse than negligence, for
negligent action is that the consequences of which, the	 law
presumes to be present in the mind of the negligent  person.
whether actually it was there or not.  L125 G]
The  Central as well as Bombay General Clauses Act lay	down
that  negligence  does	not  necessarily  mean	mala  fides.
Something more than negligence is necessary.  In the instant
case  the appellant was aware of the possible harm  and	 yet
cared  to  do nothing about it.	 Its action  was,  therefore
reckless  and  showed  its mala fides in  the  eye  of	law.
Section 167 of the Act did not protect it. [126 B]
Jones v. Gordon, 2 A.C. 616, referred to.



JUDGMENT:

CIVIL APPELLATE JURISDICTION : Civil Appeal No. 2154 of
1968.

Appeal from the judgment and decree dated March 18, 1968 of
the Bombay High Court in Appeal No. 102 of 1966.
Naunit Lal, for the appellant.

V. M. Tarkunde and B. R. Agarwala, for the respondent.
The Judgment of the Court was delivered by
RAY, C.J.-This appeal is by certificate from the judgment
dated 18 March, 1968 of the High Court of Bombay.

124

The respondent filed the suit against the appellant
Municipality for the recovery of Rs. 1,00,012/- as damages
suffered to the respondent’s property on account of flood
caused by acts of gross negligence on the part of the
appellant. The High Court passed a decree in favour of the
respondent for Rs. 54,560/- with interest at 6% per annum.
The respondent has a structure abutting on the Yacoob Road.
The width of Yacoob Road is about 12 feet. On the other
side of the road is an open nallah running parallel to the
road. The nallah is about 45 feet in width, The nallah
provides for passage of dirty water, rain water to the creek
during the months of November to May.

The Government of Maharashtra demolished a portion of Varala
Dam in the month of May, 1963. In consequence the “rater
stored in the lake was bound to pass through the nallah to
the creek. The appellant commenced the work of laying
cement slab across the nallah in about the second week of
June, 1963. The centering work to support and settle the
slab continued to remain in its position in the nallah till
about the first week of July, 1963.

The allegations against the appellant were these
First, the appellant prepared a plan for narrowing the
nallah in front of the respondent’s shop without making any
provision for the passage of additional rain water from the
Varala lake catchment area.

Second, the existence, of the centring work and the cement
slab across the nallah constituted a grave obstruction
against the passage of rain water through the nallah.
Third, the appellant neglected and failed to see that the
passage of the nallah was kept free and unobstructed by work
of construction and debris for providing a safe passage of
the rain water which was likely to pass at the commencement
of the monsoon season.

Fourth, in the normal course of the monsoon season, there
was heavy rain at Bhiwandi on the 5th, 6th and the 7th days
of July, 1963. Because of the existence of centring work in
the nallah, the slab, wild shrubs and debris, the water
course was completely blocked and the rain water which
collected in the catchment area beyond the dam and in the
Bbiwandi and Nizampur accumulated at the mouth of the slab
work to dangerous heights. This resulted in the whole of
The area adjoining and surrounding the nallah being flooded.
The High Court found these facts :

The appellant had knowledge in the month of April, 1963 of
the demolition of the Varala Dam above a height of 6 feet
above ground level. The appellant completed the laying of
the slab between Teen Batti bridge and Habsanali bridge
after April, 1963 with the knowledge of the demolition of
the Varala Dam. The appellant narrowed
125
the water-way near Teen Batti bridge to an extent that it
was insufficient for discharge of water from the increased
catchment area. because of the demolition. The appellant
with full knowledge of the consequences narrowed the water
passage, put a slab on it and did not remove the centring at
Lendi bridge. The appellant allowed accumulation of garbage
and debris so as to obstruct the passage of’ water.
The further findings are these.

The nallah runs from south to north. The water carried by
it flows on to the creek at the northern end of the nallah.
There are five bridges over the nallah. The portion of the
nallah which lies between Habsanali bridge and Lendi bridge
was covered with concrete slab in 1963. Because of heavy
rain on the 4th, 5th and 6th days of July, 1963 was
accumulated at the southern end of Habsanali bridge and
entered the surrounding area. Water was two feet deep in
the factory of the respondent. This state of affairs
continued for three days. The narrowing of the water-way
and putting a slab on it at Habsanali bridge was ill-timed.
This should have been commenced after the Varala Dam was
reconstructed. If the appellant wanted to proceed with this
work before the reconstruction of the Dam sufficient water-
way should have been provided for passage of water from a
catchment area of 0.9 sq. miles providing for a rain fall of
3 inch per hour. The centring work should have been removed
before the monsoon. In any case no trees, bushes debris or
garbage should have been allowed to be collected at the
centring of the slab so as to obstruct the free passage of
water. The retention of the centring, and the negligence in
not clearing the passage of debris was the principal cause
of the flood.

Section 167 of the Bombay District Municipal, Act confers
protection on the Municipality in respect of anything in
good faith done or intended to be done. The expression
“done in good faith” has been defined in the Bombay General
Clauses Act, 1904 and in the General Clauses Act, to mean,
done honestly, whether done negligently or not. The
question, therefore, is, whether the Municipality,, in the
present case, can be said to have acted honestly.
In Jones v. Gordon(1) Lord Blackburn pointed out the
distinction between the case of a person who was honestly
blundering and’ careless, and the case of a person who has
acted not honestly. An authority is not acting honestly
where an authority has a suspicion, that there is something
wrong and does not make further enquiries. Being aware of
possible harm to others, and acting in spite thereof, is
acting with reckless disregard of consequences. It is worse
than, negligence, for negligent action is that, the
consequences of which, the law presumes to be present in the
mind of the negligent person, whether actually it was there
or not. This legal presumption is drawn through the well
known hypothetical reasonable man. Reckless disregard of
consequences and mala fides stand-equal, where the actual-
state of mind of the actor is relevant. This is ‘so in the
eye of law..,
(1) 2 A. C. 616.

126

even if there might be variations in the degree of moral
reproach deserved by recklessness and mala fides.
The Bombay, as also, the Central, General Clauses Acts, help
only in so far as they lay down that negligence does not
necessarily mean mala fides. Something more than negligence
is necessary. But these Acts say “honestly” and so, for the
interpretation of that word, we have explained the legal
meanings above.

In the facts of this case we hold that the defendant was
aware of possible harm and yet cared to do nothing about it.
The action was, therefore, reckless, and therefore in the
eye of law mala fide, and there fore unprotected by section
167 of the Act.

For these reasons the appeal fails and is dismissed. The
appellant will pay costs.

Appeal dismissed.

P.B.R.

127