High Court of KeralaSingle JudgeWrit petition disposed of with directions as st...

Basheer v. New India Assurance Company Limited and Deputy Tahsildar, Revenue Recovery, Kozhikode District

Case / Petition Number:WP(C).No.21036 OF 2019(D)
Neutral Citation:/null

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • Anil K. Narendran
Judgment Date
2019-08-02
Court Decision / Holding
The writ petition is disposed of with directions: (i) The petitioner shall pay the entire dues under Ext.P2 dated 29.04.2019 together with future interest in ten equal monthly installments starting from 26.08.2019, with installments due on the 26th of each following month. (ii) The 2nd respondent shall deposit the remitted amount with the MAC Tribunal in O.P.(MV) No.1181/2015 and the 1st respondent may withdraw it. (iii) The petitioner must also pay the expenses related to Ext.P2 before 26.08.2019, with a memo to be produced before the Tribunal. (iv) If installments are paid in time without default, all recovery proceedings shall be kept in abeyance. (v) In case of default, the 2nd respondent may proceed with coercive steps under the Revenue Recovery Act.
Final Disposition
Writ petition disposed of with directions as stated above; no interference with Ext.P2 was order for final equity, but a structured payment plan was provided to preserve the award's integrity while safeguarding the petitioner from immediate coercive recovery.

Parties to the Case

Appellants / Petitioners

  • Basheer

Respondents

  • New India Assurance Company Limited
  • Deputy Tahsildar, Revenue Recovery, Kozhikode District

Legal Representation & Advocates

Counsels for Petitioners

  • • Sri P.V. Anoop
  • • Sri M.P. Priyeshkumar
  • • Sri K.V. Sreeraj

Counsels for Respondents

  • • Sri A.A. Ziyad Rahman - Standing Counsel
  • • Smt Mable C. Kurien - Government Pleader

Case Synopsis & Summary

Basheer, the owner of autorickshaw KL-11/AK-8611, was involved in a road accident for which the Motor Accident Claims Tribunal awarded compensation of Rs 6,83,700 with interest and costs. The insurer was permitted to recover the amount from Basheer by proceeding against him, and revenue recovery proceedings were initiated under Section 174 of the Motor Vehicles Act, 1988, evidenced by Ext.P2. The petitioner approached the High Court seeking a writ of certiorari to quash Ext.P2 and a mandamus to permit payment of the entire amount in 24 equal monthly installments, arguing the MAC Tribunal award had attained finality and that remedies against such orders should lie under Article 227 rather than a challenge under Article 226. The court relied on Subaida v. Deputy Tahsildar (RR), Thrissur District and others, to set out the proper forum and procedure for challenging such orders, including the availability of supervisory relief under Article 227. The court held that, since Ext.P2 arises from an award and no challenge had been filed against the award, there was no basis to interfere with Ext.P2. Instead, the court granted a ten-installment plan starting 26.08.2019, with conditions to deposit expenses and stay recovery if installments are timely paid; default permits further coercive action under the Revenue Recovery Act.

Provisions of Law Cited

Section 168 of the Motor Vehicles Act, 1988Section 173 of the Motor Vehicles Act, 1988First proviso to sub-section (1) of Section 173, Motor Vehicles Act, 1988Second proviso to sub-section (1) of Section 173, Motor Vehicles Act, 1988Section 174 of the Motor Vehicles Act, 1988Article 227 of the Constitution of IndiaRevenue Recovery Act

Legal Doctrines & Maxims

  • Supervisory jurisdiction of the High Court under Article 227 of the Constitution of India
  • Remedy modulation between Article 226 and Article 227; finality of MAC Tribunal awards and the proper avenue to challenge orders under Section 174

Submissions & Arguments

Contentions of Appellants / Petitioners

The petitioner argued that Ext.P2, a revenue recovery notice issued under the order of the MAC Tribunal, was issued after an award had attained finality and that the remedy for such orders lies under Article 227 rather than directing payment or challenging the award. He sought quashing Ext.P2 and mandamus to permit payment of the entire amount in ten installments (as later reflected by the court) and contended for time-bound relief to avoid coercive recovery, pointing to the need for supervisory relief where appropriate.

Contentions of Respondents

The insurer contended that Ext.P2 is issued in pursuance of a final award and that any challenge to the award should follow the statutory route (appeal under Section 173 with provisos). They urged that recovery could proceed if the petitioner defaults, and the award-holder’s rights must be protected. The Government Pleader highlighted the need to respect the award’s finality while balancing the payer’s ability to pay and the state’s revenue interests.

Cited Precedents (1)

Case NameCitationTreatmentExplanation
Subaida v. Deputy Tahsildar (RR), Thrissur District and others2019(1) KHC SN 7: ILR 2019(1) Kerala 393PositiveThe Court relies on Subaida to state that challenges to an MAC Tribunal order under Section 174 are to be pursued through Article 227 supervisory jurisdiction rather than direct writs, and that stay and time-bound relief may be sought within that framework.

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Extracted Judgment Text

Exact text extracted from official judgment records.

## **IN THE HIGH COURT OF KERALA AT ERNAKULAM** ## **PRESENT** **THE HONOURABLE MR. JUSTICE ANIL K.NARENDRAN** **FRIDAY, THE 02ND DAY OF AUGUST 2019 / 11TH SRAVANA, 1941** ## **WP(C).No.21036 OF 2019(D)** ## **PETITIONER/S:** **BASHEER AGED 59 YEARS S/O. MOHAMMEDKOYA, 24/197(289), PUTHIYAMALIYEKAL, AZHEHAVATTOM, MANAKAVU, KOZHIKODE DISTRICT.** **BY ADVS. SRI.P.V.ANOOP SRI.M.P.PRIYESHKUMAR SRI.K.V.SREERAJ** ## **RESPONDENT/S:** **1 NEW INDIA ASSURANCE COMPANY LIMITED., ERANHIPALAM, KOZHIKODE, PIN-673 006** **2 DEPUTY TAHSILDAR, REVENUE RECOVERY, KOZHIKODE DISTRICT, PIN-673 020** ## **SRI A.A.ZIYAD RAHMAN-STANDING COUNSEL ; SMT MABLE C.KURIEN- GOVERNMENT PLEADER** **THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 02.08.2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:** **WP(C).No.21036 OF 2019(D)** 2 ## **JUDGMENT** The petitioner was arrayed as the 2[nd] respondent in O.P.No.(M.V).No.1181/2015 on the file of the Motor Accident Claims Tribunal, Kozhikode, being the owner of an autorikshaw bearing Registration No.KL-11/AK-8611, which met with an accident resulting injuries to the claimant before the Tribunal. At the time of accident, the driver of the autorikshaw was not having a valid driving licence. In Ext.P1 award, the Tribunal awarded a total compensation of Rs.6,83,700/- to the claimant together with interest from the date of petition till the date of deposit, with proportionate cost. The 1[st] respondent, who is the insurer of the that autorikshaw was permitted to recover the said amount by proceeding against the petitioner. Now, revenue recovery proceedings, based on the order passed by the Tribunal in an application filed under Section 174 of the Motor Vehicles Act, 1988 have been initiated against the petitioner, as evidenced by Ext.P2 notice issued by the 2[nd] respondent Deputy Tahsildar, demanding a sum of Rs.8,60,290/-. The petitioner is before this Court in **WP(C).No.21036 OF 2019(D)** 3 this writ petition seeking a writ of certiorari to quash Ext.P2 demand notice issued by the 2[nd] respondent. The petitioner has also sought for a writ of mandamus commanding the respondents to allow him to pay the entire amount covered by Ext.P2 in 24 equal monthly instalments. 2. Heard the learned counsel for the petitioner, the learned Standing Counsel for the 1[st] respondent-Insurance Company and also the learned Government Pleader appearing for the 2[nd] respondent. 3. As held by this Court in **Subaida v. Deputy Tahsildar (RR), Thrissur District and others [2019(1) KHC SN 7: ILR 2019(1) Kerala 393]** , if a person is aggrieved by an award passed by the Tribunal under Section 168 of the Act, he has to challenge the same in an appeal filed under Section 173 of the Act, after complying with the statutory mandate of the first proviso to sub-section (1) of Section 173, subject to the time limit prescribed in the second proviso to that sub-rule. The challenge to an order passed by the Tribunal (other than an award passed under Section 168) has to be one invoking the supervisory jurisdiction of this **WP(C).No.21036 OF 2019(D)** 4 Court under Article 227 of the Constitution of India. The challenge to such an order of the District Judge, as the Motor Accidents Claims Tribunal, has to be made under Article 227 of the Constitution of India and not under Article 226. Being part of the district judiciary, the District Judge acts as a court and the order passed by him is an order of the subordinate court against which remedy under Article 227 of the Constitution of India can be availed on the matters delineated for exercise of such jurisdiction, which is supervisory in nature. 4. In **Subaida's case supra** , this Court held further that, as per Section 174 of the Motor Vehicles Act, where any amount is due from any person under an award, the Claims Tribunal may, on an application made to it by the person entitled to the amount, issue a certificate for the amount to the Collector and the Collector shall proceed to recover the same in the same manner as an arrear of land revenue. The order of the Claims Tribunal under Section 174 of the Act, to initiate revenue recovery, based on an application made by the person entitled to the amount as per the award, is also an order against which remedy under Article 227 of the **WP(C).No.21036 OF 2019(D)** 5 Constitution of India can be availed. In an O.P.(MAC) filed under Article 227 of the Constitution of India, the petitioner can seek a time bound disposal of any interlocutory applications filed after the award passed by the Claims Tribunal and stay of operation of the order of the Claims Tribunal under Section 174 of the Act, and all recovery proceedings initiated pursuant to that order. For seeking such reliefs, it is for the petitioner to file an O.P.(MAC) under Article 227 of the Constitution of India. On the other hand, if a person against whom revenue recovery proceedings are initiated by issuing a demand notice pursuant to the order of the Claims Tribunal under Section 174 of the Act requires only time for payment of the dues in monthly instalments, he can approach this Court in a writ petition filed under Article 226 of the Constitution of India, with the person entitled to the amount as per the award and also the revenue officials in the party array. 5. When Ext.P2 demand notice issued by the 2[nd] respondent is in terms of Ext.P1 award passed by the Tribunal in O.P.No.(M.V).No.1181/2015, which has attained finality, in **WP(C).No.21036 OF 2019(D)** 6 the absence of any challenge made by the petitioner, no interference is warranted on that demand notice. 6. The learned counsel for the petitioner would submit that the petitioner shall pay off the entire dues covered by Ext.P2 demand notice in ten equal monthly installments. 7. The learned Standing Counsel for the 1[st] respondent-Insurance Company, would submit that, in case of any default in payment of any one of the aforesaid installments, the 2[nd] respondent may be permitted to proceed with the recovery proceedings. 8. Having considered the submissions made by the learned counsel on both sides, this writ petition is disposed of with the following directions: (i) The petitioner shall pay off the entire dues covered by Ext.P2 demand notice dated 29.04.2019, together with future interest, in ten equal monthly instalments, commencing from **26.8.2019** and the subsequent instalments payable on or before the 26th day of the succeeding months, by remitting the same before the 2[nd] respondent. (ii) On such remittance being made, the 2[nd] respondent shall deposit the said amount with the **WP(C).No.21036 OF 2019(D)** 7 Motor Accidents Claims Tribunal, Kozhikode in O.P. (MV) No.1181 of 2015 and thereafter, it would be open to the 1[st] respondent to withdraw the same. (iii) The petitioner shall also pay the expenses in connection with Ext.P2 demand notice, before the 2[nd] respondent on or before 26.8.2019 and a memo to that effect shall be produced before the Tribunal. (iv) If the petitioner is remitting the aforesaid instalments in time, without any default, all recovery proceedings pursuant to Ext.P2 demand notice shall be kept in abeyance, so as to enable the petitioner to pay off the entire dues, as above. (v) In case of any default committed by the petitioner in remitting anyone of the aforesaid instalments, it would be open to the 2[nd] respondent to proceed further with the coercive steps initiated under the provisions of the Revenue Recovery Act, for recovering the amount payable as per Ext.P2 demand notice. **Sd/-** ## **ANIL K.NARENDRAN** ## **JUDGE** Dxy **WP(C).No.21036 OF 2019(D)** 8 ## **APPENDIX** **PETITIONER'S/S EXHIBITS:** **EXHIBIT P1** **TRUE COPY OF THE ORDER DATED 24.10.2016 IN O.P. (M.V) NO. 1181/2015 BEFORE THE PRINCIPAL MOTOR ACCIDENT CLAIMS TRIBUNAL, KOZHIKODE.** **EXHIBIT P2** **TRUE COPY OF THE REVENUE RECOVERY NOTICE BEARING NO. 2019/3206/11 ISSUED BY THE 2ND RESPONDENT.**