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Tag: Doctrine of Unjust Enrichment or Retention

S.P Chengalvaraya Naidu Vs Jagannath on 27 Oct 1993

Posted on July 4, 2021 by ShadesOfKnife

Landmark judgment by a division bench of the Supreme Court of India around perjury/fraud committed upon the Courts. Just read the below line to understand how far the frauds take the Courts for a ride.

This Civil Appeal was numbered 994 of 1972, but got decided on October 27, 1993!

Twenty One (21) years lost at Supreme Court itself!!!

From Para 5,

5. The High Court, in our view, fell into patent error. The short question before the High Court was whether in the facts and circumstances of this case, Jagannath obtained the preliminary decree by playing fraud on the court. The High Court, however, went haywire and made observations which are wholly perverse. We do not agree with the High Court that “there is no legal duty cast upon the plaintiff to come to court with a true case and prove it by true evidence”. The principle of “finality of litigation” cannot be pressed to the extent of such an absurdity that it becomes an engine of fraud in the hands of dishonest litigants. The courts of law are meant for imparting justice between the parties. One who comes to the court, must come with clean hands. We are constrained to say that more often than not, process of the court is being abused. Property-grabbers, tax-evaders, bank-loan-dodgers and other unscrupulous persons from all walks of life find the court-process a convenient lever to retain the illegal-gains indefinitely. We have no hesitation to say that a person, who’s case is based on falsehood, has no right to approach the court. He can be summarily thrown out at any stage of the litigation.

From Para 6,

6. The facts of the present case leave no manner of doubt that Jagannath obtained the preliminary decree by playing fraud on the court. A fraud is an act of deliberate deception with the design of securing something by taking unfair advantage of another. It is a deception in order to gain by another’s loss. It is a cheating intended to get an advantage. Jagannath was working as a clerk with Chunilal Sowcar. He purchased the property in the court auction on behalf of Chunilal Sowcar. He had, on his own volition, executed the registered release deed (Ex. B-15) in favour of Chunilal Sowcar regarding the property in dispute. He knew that the appellants had paid the total decretal amount to his master Chunilal Sowcar. Without disclosing all these facts, he filed the suit for the partition of the property on the ground that he had purchased the property on his own behalf and not on behalf of Chunilal Sowcar. Non-production and even non-mentioning of the release deed at the trial is tantamount to playing fraud on the court. We do not agree with the observations of the High Court that the appellants- defendants could have easily produced the certified registered copy of Ex. B-15 and non-suited the plaintiff. A litigant, who approaches the court, is bound to produce all the documents executed by him which are relevant to the litigation. If he withholds a vital document in order to gain advantage on the other side then he would be guilty of playing fraud on the court as well as on the opposite party.

S.P Chengalvaraya Naidu Vs Jagannath on 27 Oct 1993 (Original)

Citations : [1994 AIR SC 853], [1993 SCALE 4 277], [1994 UJ SC 1 1], [1993 BC SC 2 546], [1994 BLJR 1 216], [1994 OLR SC 1 201], [1995 PLR 109 293], [1993 SUPP SCR 3 422], [1994 SCC 1 1], [1994 PLJR 1 39], [1994 APLJ SC 1 66], [1994 LW 1 21], [1994 GLH 1 81], [1993 JT SC 6 331]

Other Sources :

https://indiankanoon.org/doc/1151521/

https://www.casemine.com/judgement/in/5609ac8fe4b014971140f23f

Posted in Supreme Court of India Judgment or Order or Notification | Tagged 2-Judge (Division) Bench Decision Doctrine of Unjust Enrichment or Retention Landmark Case Perjury - Approached Court with Unclean Hands Perjury - Costs Levied or Imprisonment For Perjury Perjury - Forged Evidence or False Statements on Oath or False Affidavit Submitted Perjury - Judgment or Decree Obtained by Playing Fraud on the Court is a Nullity and Non Est Perjury - Wilful Omission or Supression of Material Information Reportable Judgement or Order S.P Chengalvaraya Naidu Vs Jagannath Suo Moto Proceedings by Supreme Court or High Court | Leave a comment

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