{"id":133936,"date":"2009-02-04T00:00:00","date_gmt":"2009-02-03T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/n-k-mohammed-vs-olavanna-panchayath-on-4-february-2009"},"modified":"2015-11-28T01:52:14","modified_gmt":"2015-11-27T20:22:14","slug":"n-k-mohammed-vs-olavanna-panchayath-on-4-february-2009","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/n-k-mohammed-vs-olavanna-panchayath-on-4-february-2009","title":{"rendered":"N.K.Mohammed vs Olavanna Panchayath on 4 February, 2009"},"content":{"rendered":"
Kerala High Court<\/div>\n
N.K.Mohammed vs Olavanna Panchayath on 4 February, 2009<\/div>\n
       \n\n  \n\n  \n\n \n \n  IN THE HIGH COURT OF KERALA AT ERNAKULAM\n\nAS.No. 71 of 1997()\n\n\n\n1. N.K.MOHAMMED\n                      ...  Petitioner\n\n                        Vs\n\n1. OLAVANNA PANCHAYATH\n                       ...       Respondent\n\n                For Petitioner  :SRI.V.V.SURENDRAN\n\n                For Respondent  :SRI.P.V.KUNHIKRISHNAN\n\nThe Hon'ble MR. Justice P.N.RAVINDRAN\n\n Dated :04\/02\/2009\n\n O R D E R\n                               P.N.Ravindran, J.\n                          =====================\n                              A.S. No.71 of 1997\n                          =====================\n\n                  Dated this the 4th day of February, 2009.\n\n                                 JUDGMENT\n<\/pre>\n
       The defendant in O.S.No.861 of 1993 on the file of the Court of<\/p>\n
the Subordinate Judge of Kozhikode is the appellant in this appeal. The<\/p>\n
respondent is the plaintiff therein. The suit instituted by the respondent<\/p>\n
for realisation of the sum of Rs.39,644.85 together with interest thereon<\/p>\n
at 12% per annum on the principal sum of Rs.33,315\/- from the date of<\/p>\n
suit till realisation was decreed as prayed for. Hence this appeal.<\/p>\n
       2. The plaintiff is the Olavanna Grama Panchayat. The right to<\/p>\n
remove sand from the Chaliyar river flowing through the Olavanna Grama<\/p>\n
Panchayat was sold in public auction held on 29.2.1992, pursuant to<\/p>\n
Ext.A1 auction notice dated 13.2.1992. The appellant was the successful<\/p>\n
bidder in the auction and the right to remove sand from the Chaliyar<\/p>\n
river for the period from 1.4.1992 to 31.3.1993 was knocked down in his<\/p>\n
favour for the sum of Rs.50,050\/-. As per the terms of Ext.A1, the<\/p>\n
appellant deposited the sum of Rs.1000\/- as security deposit on the date<\/p>\n
of auction and Ext.B1 receipt was thereupon issued to him. Though as<\/p>\n
per Ext.A1 notice, the successful bidder was bound to remit 1\/3rd of the<\/p>\n
bid amount immediately, the appellant remitted the same only on<\/p>\n
14.3.1992 as is evident from Ext.B2. The appellant thereafter entered<\/p>\n
AS 71\/97                         -: 2 :-<\/span><\/p>\n
into Ext.A3 agreement on 16.3.1992 with the plaintiff.<\/p>\n
       3. As per the terms of Ext.A3, the appellant had to remit the<\/p>\n
balance bid amount in 8 instalments of Rs.3,818\/- during the period<\/p>\n
from May to December, 1992 and the balance Rs.3,821\/- as the last<\/p>\n
instalment in January, 1993.       The appellant did not remit the<\/p>\n
instalments. The Panchayat thereupon issued Ext.A4 notice dated<\/p>\n
5.5.1992 calling upon him to remit the instalments that have fallen in<\/p>\n
arrear together with interest. The appellant did not reply to Ext.A4<\/p>\n
notice. The Panchayat thereafter issued Ext.A5 notice dated 17.10.1992<\/p>\n
calling upon the appellant to remit the arrears failing which he was<\/p>\n
informed that the right to remove sand will be re-auctioned at his risk.<\/p>\n
The appellant did not remit the arrears. Instead, he sent Ext.B3 letter<\/p>\n
dated 24.11.1992 disputing his liability to pay the amount.          He<\/p>\n
contended that as the road to the river bed was not motorable he could<\/p>\n
not remove sand. The Committee of the Panchayat that met on<\/p>\n
12.1.1993 considered the reply sent by the appellant and resolved to<\/p>\n
cancel Ext.A3 agreement and to re-auction the right to remove sand at<\/p>\n
the risk and cost of the appellant. The resolution of the Panchayat is<\/p>\n
evidenced by Ext.A6. The appellant was informed of Ext.A6 resolution in<\/p>\n
Ext.A4 letter dated 13.1.1993. A re-auction was held on 29.1.1993 and<\/p>\n
the right to remove sand during the period from 29.1.1993 to 31.3.1993<\/p>\n
was knocked down in favour of a Society for the sum of Rs.1050\/-. In the<\/p>\n
suit, the Panchayat sought to recover the loss sustained by it in the re-<\/p>\n
AS 71\/97                           -: 3 :-<\/span><\/p>\n
auction conducted on 29.1.1993.\n<\/p>\n
      4. The appellant resisted the suit contending that he had entered<\/p>\n
into Ext.A3 agreement on the assurance given by the Panchayat and that<\/p>\n
the road to the river bed would be rendered motorable, that as the road<\/p>\n
was not rendered motorable, he could not collect or remove sand from<\/p>\n
the river bed and that he is therefore entitled to refund of the security<\/p>\n
deposit and the advance remitted by him. He also filed a counter claim<\/p>\n
seeking refund of the sum of Rs.16,685\/- deposited by him. The trial<\/p>\n
court on an analysis of the evidence oral and documentary available in<\/p>\n
the case held that the case set up out the appellant that he could not<\/p>\n
remove sand as the road to the river bed was not motorable cannot be<\/p>\n
accepted. The suit was accordingly decreed as prayed for.<\/p>\n
      5. Sri.P.A. Harish, the learned counsel appearing for the appellant<\/p>\n
contended that the judgment of the court below is not sustainable in law<\/p>\n
and the evidence on record. The learned counsel for the appellant also<\/p>\n
contended that the court below has not taken note of the testimony<\/p>\n
tendered by PWs 2 and 3 who were former members of the Panchayat in<\/p>\n
support of the defendant’s contention that the road to the river bed was<\/p>\n
not motorable. The learned counsel for the appellant further contended<\/p>\n
that as the road was not motorable, the defendant could not remove<\/p>\n
sand and as the Panchayat did not take steps to provide access to the<\/p>\n
river bed, the contract stood frustrated.\n<\/p>\n
      6. It is not in dispute that after the initial deposit of Rs.1000\/- on<\/p>\n
AS 71\/97                          -: 4 :-<\/span><\/p>\n
the date of auction, namely, 29.2.1992 and 1\/3rd of the bid amount<\/p>\n
namely Rs.16,685\/- on 4.3.1992, the appellant has not remitted the<\/p>\n
amounts payable by him under Ext.A3 agreement. As the appellant did<\/p>\n
not remit any of the instalments payable under Ext.A3 agreement, the<\/p>\n
Panchayat issued Ext.A4 notice dated 5.5.1992 calling upon him to remit<\/p>\n
the arrears of instalments due. The appellant did not reply to the said<\/p>\n
notice. Later, Ext.A5 notice dated 17.10.1992 was issued to which he<\/p>\n
sent Ext.B3 reply, wherein for the first time, he contended that he could<\/p>\n
not remove sand as the road to the river bed was not motorable. The<\/p>\n
Panchayat thereafter proceeded to consider the issue and decided in the<\/p>\n
meeting that held on 12.1.1993 to cancel the auction in favour of the<\/p>\n
appellant and to re-auction the right to remove sand at the risk and cost<\/p>\n
of the appellant. In the re-auction the price fetched was only Rs.1,050\/-.<\/p>\n
Ext.A3 authorised the Panchayat to recover from the successful bidder in<\/p>\n
the first auction the loss if any sustained by it in the re-auction. The<\/p>\n
evidence on record proves that the appellant did not remit the<\/p>\n
instalments payable as per Ext.A3 agreement and therefore, the<\/p>\n
Panchayat was forced to re-auction the right to remove sand for a<\/p>\n
nominal sum of Rs.1,050\/-. The Panchayat thereby sustained a loss of<\/p>\n
Rs.33,315\/-. The only ground on which the appellant resisted the suit<\/p>\n
was that the road to the river bed was not motorable and therefore he<\/p>\n
could not remove sand. His contention is that as the Panchayat and its<\/p>\n
officials had not made the road motorable as promised, the contract<\/p>\n
AS 71\/97                           -: 5 :-<\/span><\/p>\n
stood frustrated.\n<\/p>\n
      7. In my opinion, as rightly noticed by the court below, there is no<\/p>\n
evidence in support of the said plea. Ext.A3 does not refer to any such<\/p>\n
undertaking or condition. No material has been produced before the<\/p>\n
court below or this Court to establish the appellant’s contention that the<\/p>\n
road to the river bed was not motorable and that he had no access to the<\/p>\n
river bed. In fact, there is no material before this Court to come to the<\/p>\n
conclusion that the road leading to the river bed was not motorable as<\/p>\n
claimed by the appellant. Therefore, the plea of the appellant that he did<\/p>\n
not remit the instalments as he was not in a position to remove sand<\/p>\n
does not merit acceptance. The appellant however relies on the<\/p>\n
testimony tendered by the defence witnesses examined as DWs 2 and 3<\/p>\n
in support of his contention that the road was not motorable. As rightly<\/p>\n
noticed by the court below, the appellant has not taken out a<\/p>\n
Commission to ascertain whether the road to the river bed was<\/p>\n
motorable or not. He has not also taken steps to summon and call for<\/p>\n
documents to prove that the road was repaired after the re-auction. The<\/p>\n
testimony tendered by DWs 2 and 3 cannot in my opinion be relied on to<\/p>\n
hold that the road to river bed was not motorable. In other words, there<\/p>\n
is no cogent material before this Court to come to the conclusion that<\/p>\n
the appellant had no access to the river bed and that he was thereby<\/p>\n
disabled from extracting and removing sand.\n<\/p>\n
      I therefore agree with the court below that the appellant is liable to<\/p>\n
AS 71\/97                           -: 6 :-<\/span><\/p>\n
make good the loss sustained by the Panchayat in the re-auction. For the<\/p>\n
reasons stated above, I hold that there is no merit in this appeal. The<\/p>\n
appeal fails and is accordingly dismissed. No costs.<\/p>\n
                                                P.N.Ravindran,
\n                                                Judge.\n<\/p>\n
ess 7\/2<\/p>\n","protected":false},"excerpt":{"rendered":"
Kerala High Court N.K.Mohammed vs Olavanna Panchayath on 4 February, 2009 IN THE HIGH COURT OF KERALA AT ERNAKULAM AS.No. 71 of 1997() 1. N.K.MOHAMMED … Petitioner Vs 1. OLAVANNA PANCHAYATH … Respondent For Petitioner :SRI.V.V.SURENDRAN For Respondent :SRI.P.V.KUNHIKRISHNAN The Hon’ble MR. Justice P.N.RAVINDRAN Dated :04\/02\/2009 O R D E R P.N.Ravindran, J. ===================== A.S. […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8,21],"tags":[],"class_list":["post-133936","post","type-post","status-publish","format-standard","hentry","category-high-court","category-kerala-high-court"],"yoast_head":"\nN.K.Mohammed vs Olavanna Panchayath on 4 February, 2009 - Free Judgements of Supreme Court & High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/n-k-mohammed-vs-olavanna-panchayath-on-4-february-2009\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"N.K.Mohammed vs Olavanna Panchayath on 4 February, 2009 - 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