Bombay High Court Dismisses Appeal for Non-Prosecution in Banking Dispute — Suit Transferred to Debt Recovery Tribunal Under RDB Act, 1993. Appeal Dismissed as Infructuous Due to Transfer of Suit to Debt Recovery Tribunal.

High Court: Bombay High Court
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Case Note & Summary

The case involves an appeal filed by Mackinnon Mackenzie & Company Limited against Bank of India and other respondents. The appeal arose from a suit (Suit No.2348 of 1990) and related proceedings. The High Court of Bombay, comprising Justices R.M. Lodha and J.P. Devadhar, heard the appeal on 2nd August 2005. On the date of hearing, none of the parties appeared. The court noted that the appeal had been called out on 25th July 2005 and 29th July 2005, but no one appeared, leading to adjournments. On 1st August 2005, due to heavy rains in Mumbai, the matter was adjourned to 2nd August 2005. On 2nd August 2005, again no one appeared for the parties. The court inquired from the Court Associate whether the suit had been transferred to the Debt Recovery Tribunal. Upon checking the original register, the Court Associate informed that the suit had indeed been transferred to the concerned Debt Recovery Tribunal. Consequently, the court held that the appeal had become infructuous and dismissed it for non-prosecution. No costs were awarded. The judgment is brief and focuses solely on the procedural default and the transfer of the suit to the Debt Recovery Tribunal.

Headnote

A) Civil Procedure - Non-Prosecution - Dismissal of Appeal for Default - No specific Act - Appeal dismissed for non-prosecution as appellant and respondents failed to appear on multiple hearing dates despite adjournments - Court noted that the suit had been transferred to the Debt Recovery Tribunal under the Recovery of Debts Due to Banks and Financial Institutions Act, 1993, and thus the appeal had become infructuous (Paras 1-5).

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Issue of Consideration

Whether the appeal should be dismissed for non-prosecution when neither appellant nor respondents appear on multiple hearing dates.

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Final Decision

Appeal dismissed for non-prosecution. No order as to costs.

Law Points

  • Non-prosecution
  • dismissal of appeal for default
  • transfer of suit to Debt Recovery Tribunal
  • Recovery of Debts Due to Banks and Financial Institutions Act
  • 1993
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Case Details

2005 LawText (BOM) (08) 4

APPEAL NO.814 OF 1996 IN NOTICE OF MOTION NO.171 OF 1996 IN SUIT NO.2348 OF 1990

2005-08-02

R.M. Lodha, J.P. Devadhar

Mackinnon Mackenzie & Company Limited

Bank of India, Indian Bank, Central Bank of India, Hill Properties Limited, Stand Properties Limited

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Nature of Litigation

Appeal against an order in a suit involving banking and property disputes.

Remedy Sought

Appellant sought to challenge the order passed in Notice of Motion No.171 of 1996 in Suit No.2348 of 1990.

Filing Reason

Appeal filed by Mackinnon Mackenzie & Company Limited against the order in the suit.

Previous Decisions

The suit was transferred to the Debt Recovery Tribunal under the Recovery of Debts Due to Banks and Financial Institutions Act, 1993.

Issues

Whether the appeal should be dismissed for non-prosecution when neither party appears on multiple hearing dates.

Ratio Decidendi

When a suit is transferred to the Debt Recovery Tribunal, the appeal arising from it becomes infructuous. Additionally, if neither party appears on multiple hearing dates, the appeal may be dismissed for non-prosecution.

Judgment Excerpts

None appears for the appellant. We waited for about 40 minutes but we found none appearing for the parties. The Court Associate after getting the original register from the office informed us that the suit was transferred to the concerned Debt Recovery Tribunal. In that view of the matter, the appeal has become infructuous and is dismissed for non-prosecution.

Procedural History

The appeal was filed in 1996. It was called for hearing on 25.7.2005 and 29.7.2005, but no one appeared. On 1.8.2005, due to heavy rains, the matter was adjourned to 2.8.2005. On 2.8.2005, again no one appeared. The court then learned that the suit had been transferred to the Debt Recovery Tribunal, and dismissed the appeal as infructuous.

Acts & Sections

  • Recovery of Debts Due to Banks and Financial Institutions Act, 1993:
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High Court Bombay High Court Dismisses Appeal for Non-Prosecution in Banking Dispute — Suit Transferred to Debt Recovery Tribunal Under RDB Act, 1993. Appeal Dismissed as Infructuous Due to Transfer of Suit to Debt Recovery Tribunal.