Login
  • Bookmark
  • PDF
  • Share
  • CaseIQ

Ioc Ltd. v. Deepak V. Shukla .

Gujarat High Court
Apr 4, 1997
Smart Summary (Beta)

Structured Summary of the Opinion

Factual and Procedural Background

This application was filed by the original respondent in Special Civil Application (SCA) No. 3887 (referred to in the opinion variously as 3887/96 or 3887/93) which the single Judge had decided on 27-01-1997. At the hearing before the single Judge on this application the applicant's counsel (Shri G.N. Shah) described the application as one to review and recall the order dated 27-01-1997. Counsel also stated the application was filed pursuant to an order by the Division Bench in Letters Patent Appeal (LPA) No. 208/97.

The Court examined the Division Bench's order in LPA No. 208/97 and recorded that the Division Bench had not directed any specific filing but had granted liberty to the appellant to approach the single Judge by an appropriate application and kept the direction issued by the single Judge in abeyance up to 26-03-1997. Treating the present filing as an application for review of the single Judge's order of 27-01-1997, the Court proceeded to determine whether review was permissible and whether the materials now produced justified review.

The applicant produced three documents (referred to collectively as Annexure C, at pages 26, 28 and 30) and sought that they be considered for review of the earlier order. The Court considered whether those documents constituted proper grounds for review and whether other new grounds raised in the application were allowable at the review stage.

Legal Issues Presented

  1. Whether the present application constitutes a valid application for review/recall of the single Judge's order dated 27-01-1997.
  2. Whether, in proceedings under Article 226 of the Constitution of India, the High Court may exercise review powers and on what limited grounds (i.e., whether the three documents produced qualify as "new and important matter or evidence" or show an "error apparent on the face of the record" or an analogous ground).
  3. Whether the three documents produced (Annexure C: letters at pages 26, 28 and 30) are new evidence which could not, despite due diligence, have been produced earlier and therefore warrant review.
  4. Whether an entirely new ground (that the Central Government was a necessary party to the original proceedings) can be raised for the first time at the review stage.

Arguments of the Parties

Applicant's Arguments

  • The application was presented as one to review and recall the single Judge's order dated 27-01-1997.
  • It was submitted that the application was filed pursuant to the Division Bench's order in LPA No. 208/97 (i.e., the Division Bench had given liberty to approach the single Judge for appropriate relief).
  • The applicant relied on three documents (letters at pages 26, 28 and 30, collectively Annexure C) which were not produced in the original SCA and which the applicant asked the Court to consider in order to justify review.
  • One of the grounds taken in the application was that the Central Government was a necessary party to the original proceedings and that in its absence no proper relief could have been granted to the original petitioner.

Other Parties' Arguments

The opinion does not contain a detailed account of the opposing parties' legal arguments submitted in response to this application.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
A.T. Sharma v. A.P. Sharma, AIR 1979 SC 1047 The scope and limits of review in writ proceedings under Article 226: review may be exercised for discovery of new and important evidence not produced despite due diligence, for mistakes or errors apparent on the face of the record, or analogous grounds; review cannot be used to re‑argue merits (appellate power). The Court invoked these principles to emphasize the limited nature of review in Article 226 proceedings and to assess whether the applicant's newly produced documents met the stringent tests (newness, due diligence, error apparent). Finding those tests unmet, the Court declined to grant review on the basis of these materials.
Gujarat University v. Sonal P. Shah, AIR 1982 Guj 58 Clarification that Order 47 of CPC is not applicable to review in Article 226 proceedings; review powers in such proceedings are to be exercised only to prevent miscarriage of justice or to correct obvious/palpable errors, on grounds analogous to Order 47, Rule 1 (discovery of new evidence, error apparent on face of record, analogous grounds). The Court relied on the Full Bench's formulation to frame the tests to be applied to the applicant's request for review. Using this standard, the Court examined the annexed letters and concluded they did not satisfy the necessary criteria to permit review under Article 226.

Court's Reasoning and Analysis

The Court first determined the proper character of the motion, concluding that it would treat the filing as an application for review of the order dated 27-01-1997. It examined the Division Bench order in LPA No. 208/97 and concluded that the Division Bench had not specifically directed that an application be filed but had merely granted liberty to approach the single Judge and kept the earlier direction in abeyance until 26-03-1997.

The Court then set out the governing legal framework. It reaffirmed that proceedings before the High Court under Article 226 are not governed by the Code of Civil Procedure as if they were ordinary suits and that the power of review in writ proceedings is subject to the limits spelled out by the Apex Court (A.T. Sharma) and elaborated by the Full Bench in Gujarat University v. Sonal P. Shah. These authorities restrict review to (a) discovery of new and important evidence which, despite due diligence, could not have been produced earlier; (b) mistake or error apparent on the face of the record; or (c) analogous grounds — but not to re‑examination of the merits.

Turning to the material produced by the applicant, the Court reviewed each of the three documents (Annexure C):

  • Document at page 26: a letter dated 02-11-1992 from the Under Secretary, Ministry of Petroleum and Natural Gas, laying down procedure and guidelines for sanctioning consumer petrol pumps. The Court noted that the respondent (original petitioner) had applied in 1994 and that a sanction in his favour was issued on 20-01-1995. The document was therefore already in the possession of the applicant/respondent and not newly discovered; moreover, it was not alleged that sanctioning to the petitioner had violated those guidelines. Consequently, this document did not support review.
  • Document at page 28: a letter dated 12-09-1996 from the Under Secretary revising the policy/guidelines and directing that oil companies follow new procedures "with immediate effect." The Court observed that the applicant had already sanctioned the consumer pump to the petitioner on 20-01-1995, so these revised guidelines post‑dated the sanction and could not affect the petitioner's claim; therefore this letter did not assist the applicant in seeking review.
  • Document at page 30: a letter dated 19-11-1996 from the Under Secretary directing stoppage of supplies to consumer pumps sanctioned in violation of guidelines and asking for reports of action taken. The Court noted again that the applicant had not pleaded that the sanction in favour of the petitioner was in violation of guidelines; hence this document did not establish a basis for review.

The Court also examined the pleadings and application and found that the applicant had not pleaded that these documents were "new and important" evidence which could not have been produced earlier despite due diligence. Nor had the applicant pleaded any mistake or error apparent on the face of the record or any analogous ground. Instead, the applicant effectively sought a re‑hearing because it considered the earlier decision to be incorrect on merits — a basis not permissible in review proceedings under Article 226.

Further, the applicant attempted to raise for the first time the ground that the Central Government was a necessary party. The Court held that an entirely new ground not raised in the original proceedings cannot be considered for the first time at the review stage.

Given these conclusions — that the annexed documents neither met the tests for fresh evidence nor showed an error apparent on the face of the record, and that a new ground could not be first raised in review — the Court determined that the application did not satisfy the limited criteria for review under Article 226.

Holding and Implications

Holding: The Court REJECTED the present application for review of the order dated 27-01-1997.

Immediate consequences: The application is dismissed and the parties are directed to bear their respective costs.

Broader implications: The opinion applies established limiting principles governing review in Article 226 proceedings — namely those in A.T. Sharma and Gujarat University — and declines to permit re‑opening a concluded writ matter where the applicant has not demonstrated that newly produced documents are newly discovered evidence falling within the narrowly conceived grounds for review, or that there is an error apparent on the face of the record. The opinion does not purport to establish a new legal principle; it applies existing authorities to the facts before the Court.

Show all summary ...

I have heard both the sides at length at this stage on merits and therefore with the consent of the parties, I proceed to decide this application finally by this judgment,

2. This application is filed by the original respondent in SCA No. 3887/06 which has been decided by me on 27-1-97. In the application it has not been specifically stated as to what is the nature of this application but at the time of hearing learned advocate for the applicant Shri G.N. Shah submitted that the application is an application to review and recall the order passed by this Court on 27-1-97 in SCA No. 3887/96. It . is also sbmiltcd by him that this application is filed in pursuance of the order passed by the Division Bench of this Court in LPA No. 208/97. I have perused the judgment-order given by the Division Bench. But if the order of the Division Bench in LPA No. 208/97 is read carefully then it would be quite clear that there is no direction of the Division Bench to file any application. The Division Bench had only granted opportunity to the petitioner as prayed by the petitioner to approach this Court by an appropriate application for appropriate order. The order of the Division Bench is running as under :

"This appeal is directed against the judgment and order passed by the learned single Judge in Special Civil Application No. 3887 of 1993 decided on January 27, 1996. Along with the Letters Patent Appeal the appellant has placed on record certain new and additional materials in the form of some policy decisions said to have been taken by the authorities. In our opinion, it would be in the fitness of things if this Court in exercise of its jurisdiction under letters patent may not express any opinion. Mr. G. N. Shah learned counsel for the appellant states that the appellant corporation may be permitted to move the learned single Judge by filing an appropriate application before the learned single Judge who decided the matter. He however, states that in view of the fact that a direction is issued by the learned single Judge and since some time was taken by the appellant in getting the certificate copy and therefore, the corporation has approached this Court, some time may be granted against the order passed by the learned single Judge. In the facts and circumstances of the case ends of justice would be met if this appeal is disposed of with a liberty to move the learned single Judge for an appropriate order to be passed. The direction issued by the learned single Judge is ordered to be kept in abeyance upto March 26, 1997.

The learned counsel for the appellant also states that the judgment is dated 27th January 1997 and a question of limitation may also arise. He however states that immediately the copy was applied for after some time the certified copy was made available to the appellant. It is open to the learned counsel for the appellant to invite the attention of the Court to that aspect and the Court will pass an appropriate order. The appeal is accordingly disposed of. No order as to costs."

I proceed to consider this application as an application for review of the original order passed by this Court on 27-1-97. It must be remembered that where a litigant has obtained a judgment in a Court of justice he is by law entitled not to be deprived of that judgment without solid ground. Where therefore, a review of a judgment is as.ked for by a party greatest care ought to be exercised by the Court in granting the review especially where the ground of review is the discovery of fresh evidence. It is settled law that scope of review is limited. The provisions of Code of Civil Procedure do not apply to a proceeding under Article 226 of the Constitution of India. The proceeding before this Court is a proceeding under Article 226 of the Constitution of India and in the case of A.T. Sharma v. A.P. Sharma, AIR 1979 SC 1047, the Apex Court has considered the question of review powers in a writ petition by laying down the following principles (at page 1048);

"It it true there is nothing in Article 226 of the Constitution to preclude the High Court from exercising the power of review which inheres in every Court of plenary jurisdiction to prevent miscarriage of justice or to correct grave and palpable errors committed by it. But, there are definitive limits to the exercise of the power of review. The power of review may be exercised on the discovery of new and important matter of evidence which, after the exercise of due diligence was not within the knowledge of the person seeking the review or could not be produced by him at the time when the order was made; it may been exercised where some mistake or error apparent on the face of the record is found; it may also be exercised on any analogous ground. But, it may not be exercised on the ground that the decision was erroneous on merits. That would be the province of a Court of appeal. A power of review is not to be confused with appellate power which may enable an Appellate Court to correct all manner of errors committed by the Subordinate Court."

The above decision of the Apex Court is before the amendment of Section 141, CPC and an explanation has been added to Section 141, CPC by the amendment Act of 1976 and that Section 141 along with the explanation is running as under:

"141. The procedure provided in this Code in regard to suits shall be followed, as far as it can be made applicable, in all proceedings in any Court of civil jurisdiction."

Explanation : In this section, the expression "proceedings" includes proceedings under Order IX, but does not include any proceedings under Article 226 of the Constitution."

3. The Full Bench of this Court in the case of Gujarat University v. Sonal P. Shah, AIR 1982 Guj 58, has considered the provisions of Section 141 of Code of Civil Procedure and the decisions of the Apex Court and has laid down the following principles as regards the exercising of review powers (at page 62) :

"As regards Court's power of review in proceeding under Article 226 of Constitution the following principles can be laid down : (1) The provisions of the Civil Procedure Code in Order 47 arc not applicable to the High Court's power of review in proceedings under Article 226 of the Constitution; (2) the powers are to be exercised by the High Court only to prevent miscarriage of justice or to corrective and palpable errors (the epithet "palpable" means that which can be felt by a simple touch of the order and not which could be dug out after a long drawn out process of argumentation and ratiocination). (3) The inherent powers, though ex-facie plenary, are not to be treated as unlimited or unabridged, but they are to be invoked on the grounds analogous to the grounds mentioned in Order 47, Rule 1; namely, (1) discovery of new and important matter or evidence which the party seeking the review could not produce at the time when the earlier order sought to be reviewed was made, despite exercise of due diligence existence of some mistake or error apparent on the face of the record; and (iii) existence of any analogous ground. (These are the very those grounds referred to in Order 47, Rule 1 Civil P.C. and they are the hedges or limitations of the High Court's power.)"

4. Therefore, bearing in mind the aforesaid principles. I proceed to consider this application before me. The applicant has produced three documents which are at Annexure C (Collectively) and they are at pages 26, 28 and 30. The applicant original petitioner wants me to consider them and to review my earlier order. Said three documents are the letters sent to the Chairman of the applicant and Chairman of other petroleum companies respectively on 2-11-92, 12-9-96 and 19-11-96. The applicant wants to rely upon these three documents which were not produced by the applicant at the time of hearing of orginal SCA. Therefore, it was incumbent on the applicant to make out a case for the production of these documents and for the consideration of the same by this Court. If the application of the, applicant is read carefully then it would be quite clear that no case to that effect is pleaded by the applicant in hisapplication. It is no where claimed by the applicant in the application that these documents are new and important pieces of evidence which the applicant could not produce at the time when the earlier order was passed despite the exercise of due diligence. When the applicant is not pleading that the applicant could not produce said documents as they were not either in his custody or the applicant could not produce the same though he had taken due diligence to search and produce said documents, then the production of the said documents could not be allowed. Therefore, in the circumstances, the applicant has not only not pleaded a case for consideration or these documents in his application but he has also not proved any case for consideration of these documents, then the production and consideration of them could not be allowed. Therefore, in the circumstances, it is not open for this Court to consider those documents and on the strength of the same to review the order passed by this Court,

5. Now apart from the above aspect, I proceed to consider the said documents with a view to avoid remand of the matter, in case, if the Appellate Court happens to disagree with me on the point of not taking into consideration said documents on account of applicant's failure to make out a case for allowing production of these documents. The document at page 26 is a letter dated 2-11-92 issued by the Under Secretary to Government of India, Ministry of Petroleum and Natural Gas. Said letter lays down the procedure and guidelines for sanction of the consumer pumps. In the instant ease, the respondent original pctitionerhad applied in the year 1994 for sanction of consumer petrol pump and admittedly by letter dated 20-1-95 the applicant had sanctioned consumer petrol pump in favour of the respondent-original petitioner. Original respondent and applicant before me was in possession of this letter and guidelines for sanction of the petrol pump and therefore, it will have to be presumed that the original respondent-applicant sanctioned the consumer pump to the original petitioner by following those guidelines. Consumer pump was sanctioned to the respondent original petitioner. It was also installed and all the necessary ancillary things like fixing of tank, obtaining of necessary certificates were also fulfilled. Only commissioning of the pump had not started for many months in spite of repeated requests and hence the petition was filed in this Court. It is not the case of the applicant in the affidavit in reply filed to the original petition as well as in this application that sanctioning of the consumer petrol pump in favour of the respondent-original petitioner was contrary to these guidelines. Therefore in the circumstances, said document at page 26 does not assist the applicant for seeking review of the order passed by this Court.

6. The document at page 28 is also a letter issued by the Under Secretary to Government of India, Ministry of Petroleum and Natural Gas dated 12-9-1996 to the Chairman of the applicant as well as the other Chairman of other Petroleum Corporations and Companies. In para I of the said letter it has been stated that the Ministry has been receiving complaints that the oil companies are not following the guidelines contained in the letter dated 2-11-92 and therefore, lot of complaints are received and bickering is going on among the oil companies and then the second part of the said letter is beginning as under :

"In view of the above, the policy for sanctioning of consumer pumps has been reviewed by the Government and it has been decided that the Oil Companies will now follow the following guidelines procedure with immediate effect for sanctioning of Consumer Pumps."

Thereafter guidlines Nos. 1 to 4 are mentioned. But this letter is of no use to the applicant because the applicant had already sanctioned theconsumer pump to the respondent on 20-1-95. Sanctioning of consumer pump for the respondent original petitioner had already taken place before issuance of this letter and therefore said guidelines could not be made applicable to the respondent-petitioner's claim.

7. The third document is at page 30 and it is also a letter dated 19-11-96 addressed by the Under Secretary to Government of India, Ministry of Petroleum and Natural Gas to Director (Marketing). IOC, BPCL, GPCL and IBP Co. Ltd. all of Mumbai. Said letter is running as under:

"I am directed to enclose a copy of the list of consumer pumps commissioned against Industry norms in Andhra Pradesh, and to say trial the Government has taken a serious view of the sanctioning of consumers pumps by the Oil Companies in violation of the Government guidelines on the subject. The Oil Companies are directed to stop supplies with immediate effect to all the consumer pumps sanctioned in violation of the guidelines in Andhra Pradesh as well as other States/UTs. A report on the action taken may kindly by sent to this Ministry.

Yours faithfully (H.C. Khurana)"

If the above documents/letters arc taken into consideration then it would be quite clear that said letters are of no help to the applicant in seeking the review of the order passed by this Court in SCA No. 3887/96. It is very pertinent to note that it is not the claim of the applicant cither in this application or in its reply in the original petition of SCA No. 3887/96 that the consumer pump sanctioned to the respondent in this application and original petition is sanctioned in violation of any guidelines given by the Ministry of Petroleum and Natural Gas.

8. Thus all the three documents/letters produced by the applicant along with his application arc not of any help to the applicant for seeking the review of the order passed by this Court. The applicant has not made any claim that there is existence of any mistake or error apparent on the face of record or existence of any analogous ground. If the averments made in the application arc considered then it would be quite clear that the applicant wants me to decide the case again as the applicant feels that my earlier decision is faulty or even incorrect. It is settled law that the Court cannot under the guise of review arrogate to itself the power to decide the case over and again because either it feels or the applicant feels that the appreciation of evidence etc. done formerly was faulty or even incorrect. Review cannot be granted on the ground that decision is erroneous on merits as such a ground being appropriate for an appeal.

9. One of the grounds taken by the applicant in the application is that the Central Government was a necessary party to the original proceedings and in the absence of the Central Government no proper relief could be granted to the original petitioner but no such pleading was made by the applicant in the original proceedings in the affidavit in reply as well as in the four additional affidavits filed by the applicant. It is settled law that entirely a new ground which was not raised earlier could not be considered for the first time at the time of review stage.

10. Thus I hold that present application deserves to be rejected and I accordingly reject the same. In the circumstances the parties to bear their respective costs.