High CourtDivision BenchAppeal allowed; Judgment of the High Court set ...

GANDHE VIJAY KUMAR v. MULJI @ MULCHAND

Case / Petition Number:Civil Appeal No. 1384 of 2011
Neutral Citation:[2017] 6 S.C.R. 551

Case Details & Bench

Court
High Court
Hon'ble Judges
  • KURIAN, J.
  • R. BANUMATHI, J.
Judgment Date
2017-07-27
Court Decision / Holding
The judgment of the High Court is set aside. The appeal is allowed. The order passed by the Rent Controller, as upheld by the Appellate Authority, is restored. The respondent’s possession is permitted to continue up to 31 March 2018 due to bonafide needs; on or before 1 April 2018, the respondent shall surrender vacant possession and shall file an undertaking in the Registry within four weeks. There shall be no order as to costs.
Final Disposition
Appeal allowed; Judgment of the High Court set aside; Rent Controller’s and Appellate Authority’s orders restored.

Parties to the Case

Appellants / Petitioners

  • GANDHE VIJAY KUMAR

Respondents

  • Mulji @ Mulchand

Legal Representation & Advocates

Counsels for Petitioners

  • • H. S. Gumraja Rao, Sr. Adv.
  • • Y. Raja Gopala Rao, Adv.

Counsels for Respondents

  • • K. Maruti Rao, Adv. (for Ms. Anjani Aiyagari)

Case Synopsis & Summary

This is a civil appellate dispute under rent control provisions concerning the bonafide requirement of the landlord. The appellant challenges a High Court revision order that set aside concurrent factual findings recorded by the Rent Controller and the first appellate authority. The High Court had treated the matter like a second appeal, re-appreciating the evidence to test the correctness of the Rent Controller’s findings. The Supreme Court reverses, holding that revisional jurisdiction is narrow and restricted to legality or propriety of the order, not a rehearing of evidence or re‑evaluation of facts. Relying on Hindustan Petroleum Corp. Ltd. v. Dilbahar Singh and the doctrines in Sri Raja Lakshmi Dyeing Works and the classic Dattonpan ruling, the Court clarifies that revisional power cannot be equated with appellate power or a second court of first appeal. The judgment sets aside the High Court’s order and restores the Rent Controller’s and the Appellate Authority’s decisions on bonafide need. It also addresses a practical timeline: the respondent may continue in possession until 31 March 2018 due to the hotel business, but must surrender by 1 April 2018, with an undertaking filed. There are no costs. The appeal is allowed.

Provisions of Law Cited

Section 115 of the Code of Civil ProcedureRent Control Acts (revisional jurisdiction)

Legal Doctrines & Maxims

  • Revision is narrower than appeal; High Court cannot act as a second court of first appeal when exercising revisional jurisdiction
  • A revisional court may correct illegal or perverse findings but should not reweigh evidence or substitute its own factual conclusions for those of the lower courts
  • Classic pronouncement in Dattonpan that revisional power is not as wide as appellate power; not a rehearing of all questions of fact
  • Where both 'appeal' and 'revision' are used in a statute, 'revision' connotes a narrower remedy than 'appeal'

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellant contends that the High Court exceeded its jurisdiction by re-appreciating the evidence and substituting its own findings on the bonafide need. The concurrent factual findings by the Rent Controller and the Appellate Authority should remain undisturbed, as revisional jurisdiction is confined to legality or propriety and not to de novo fact-finding. The appellant invokes established principles that revisional power is not a rehearing of issues raised in the original proceedings and that mere another view is not a ground to reverse the findings.

Contentions of Respondents

The respondent argues that revisional intervention is permissible where the order is illegal or perverse. The High Court, in its discretion, can re-appreciate the evidence to correct illegality and ensure proper application of law. It is urged that the bonafide need was a contested issue and required careful scrutiny of the evidence which the High Court undertook.

Cited Precedents (3)

Case NameCitationTreatmentExplanation
Hindustan Petroleum Corporation Ltd. v. Dilbahar Singh(2014) 9 sec 78PositiveCited to delineate the scope of revisional jurisdiction and to emphasize that revisional power is narrower than appellate power.
Sri Raja Lakshmi Dyeing Works—PositiveReferenced to support the proposition that when both 'appeal' and 'revision' are used, 'revision' signals a narrower remedy.
Dattonpan—PositiveClassic statement that revisional power is not as wide as appellate, and not a second court of first appeal.

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Extracted Judgment Text

Exact text extracted from official judgment records.

## [2017] 6 S.C.R. 551 ## GANDHE VIJAY KUMAR A v. ## MULJI @ MULCHAND (Civil Appeal No. 1384 of 2011) ## JULY27,2017 B ## **[KURIAN JOSEPH AND R. BANUMATHI, JJ.]** - - _Jurisdiction : Revisional jurisdiction Scope of On facts, concurrent findings of facts with regard to the bonafide requirement of the landlord by Rent Controller as well as by Appellate Authority_ - _Set aside by the High Court holding that the court can re-appreciate the evidence to test whether the findings of the Rent Controller are correct_ - _On appeal, held: High Court misdirected itself and exceeded its jurisdiction_ - _In revisional jurisdiction, the Court is expected to see only whether the findings are illegal or perverse_ - _High Court should not have gone into the evidence as a first appeal and enter a different finding, though another finding_ - _might also be possible Merely because another view was possible in exercise of the revisional jurisdiction, High Court could not upset the factual findings_ - _Judgment of the High Court set aside and that of Rent Controller and Appellate Authority, restored_ - _Rent Control and eviction._ C D E _Hindustan Petroleum Corporation Ltd. v. Dilbahar Singh_ **(2014) 9** sec 78 - **referred to.** ## Case **Law Reference** **(20t4) 9** sec 78 **referred to Para I** F CIVIL APPELLATE JURISDICTION : Civil Appeal No. 1384 of 2011. From the Judgment and Order dated 25.04.2007 of the High Court of Andhra Pradesh at Hyderabad in Civil Revision Petition G No. 4820 of 2006. H. S. Gumraja Rao, Sr. Adv. Y. Raja Gopala Rao, Adv. for the Appellant. K. Maruti Rao, Adv.(for Ms. Anjani Aiyagari) for the Respondent. H 551 552 [2017] 6 S.C.R. SUPREME COURT REPORTS A The Judgment of the Court was delivered by **KURIAN, J.** 1. The appellant before this Court is aggrieved by order passed by the High Court wherein concurrent findings on facts with regard to the bonafide requirements of the appellant have been upset holding that "the court can re-appreciate the evidence to test whether B the findings of the Rent Controller are correct". We are afraid, the High Court has misdirected itself and exceeded its jurisdiction. In revisional jurisdiction, the Court is expected to see only whether the findings are illegal or perverse in the sense that a reasonably informed person will not enter such a finding. For proper guidance, it would be appropriate to refer to a recent Constitution Bench judgment in **Hindustan Petroleum** C **Corporation Ltd. v. Dilbahar Singh',** at paragraphs-30, 31 and 43: D E F **"30.** We have already noted in the earlier part of the judgment that although there is some difference in the language employed by the three Rent Control Acts under consideration which provide for revisional jurisdiction but, in our view, the revisional power of the High Court under these Acts is substantially similar and broadly such power has the same scope save and except the power to invoke revisional jurisdiction suo mo tu unless so provided expressly. None of these statutes confer on revisional authority the power as wide as that of the appellate court or appellate authority despite such power being wider than that provided in Section 115 of the Code of Civil Procedure. The provision under consideration does not permit the High Court to invoke the revisional jurisdiction as the cloak of an appeal in disguise. Revision does not lie under these provisions to bring the orders ofthe trial court/Rent Controller and the appellate court/appellate authority for rehearing of the issues raised in the original proceedings. **31.** We are in full agreement with the view expressed in _Sri Raja Lakshmi Dyeing Works_ that where both expressions "appeal" and "revision" are employed in a statute, obviously, the expression "revision" is meant to convey the idea of a much narrower jurisdiction than that conveyed by the expression "appeal". The G use of two expressions "appeal" and "revision" when used in one statute conferring appellate power and revisional power, we think, is not without purpose and significance. Ordinarily, appellate jurisdiction involves a rehearing while it is not so in the case of revisional jurisdiction when the same statute provides the remedy H 1(2014) _9sec1s_ GANDHE VIJAY KUMAR v. MULJI@ MULCHAND [KURIAN, J.] 553 by way of an "appeal" and so also of a "revision". If that were so, the revisional power would become coextensive with that of the trial court or the subordinate tribunal which is never the case. The classic statement in _Dattonpan_ that revisional power under the Rent Control Act may not be as narrow as the revisional power under Section 115 of the Code but, at the same time, it is not wide enough to make the High Court a second court of first appeal, commends to us and we approve the same. We are of the view that in the garb of revisional jurisdiction under the above three rent control statutes, the High Court is not conferred a status of second court of first appeal and the High Court should not enlarge the scope ofrevisionaljurisdiction to that extent." A B c ## xxx xxx xxx xxx 43. We hold, as we must, that none of the above Rent Control Acts entitles the High Court to interfere with the findings of fact recorded by the first appellate court/first appellate authority because on reappreciation of the evidence, its view is different from the court/authority below. The consideration or examination of the evidence by the High Court in revisional jurisdiction under these Acts is confined to find out that finding of facts recorded by the court/authority below is according to law and does not suffer from any error of law. A finding of fact recorded by court/authority below, if perverse or has been arrived at without consideration of the material evidence or such finding is based on no evidence or misreading of the evidence or is grossly erroneous that, if allowed to stand, it would result in gross miscarriage of justice, is open to correction because it is not treated as a finding according to law. In that event, the High Court in exercise of its revisionaljurisdiction under the above Rent Control Acts shall be entitled to set aside the impugned order as being not legal or proper. The High Court is entitled to satisfy itself as to the correctness or legality or propriety of any decision or order impugned before it as indicated above. However, to satisfy itself to the regularity, correctness, legality or propriety of the impugned decision or the order, the High Court shall not exercise its power as an appellate power to reappreciate or reassess the evidence for coming to a different finding on facts. Revisional power is not and cannot be equated with the power of reconsideration of all questions of fact as a D E F G H 554 [2017] 6 S.C.R. SUPREME COURT REPORTS A court of first appeal. Where the High Court is required to be satisfied that the decision is according to law, it may examine whether the order impugned before it suffers from procedural illegality or irregularity." These principles hold good generally for exercise of revisional . B power. 2. There is no dispute with respect to the landlord-tenant relationship. The bonafide requirement also has been concurrently found by the Rent Controller as well as by the Appellate Authority. The High Court should not have ventured to look into the evidence as if in a first c appeal and entered a different finding, though another finding might also be possible. Merely because another view is possible in exercise of the revisional jurisdiction, the High Court cannot upset the factual findings. 3. The judgment of the High Court is set aside. The appeal is allowed. The order passed by the Rent Controller, as upheld by the D Appellate Authority, is restored. 4. Learned Counsel appearing for the respondent seeks some time to surrender the vacanfpossession to the appellant. Learned Senior Counsel appearing for the appellant submits that since the last 70 years, the respondent has been enjoying the property and the appellant is in . E pressing and bonafide need. Be that as it may, having regard to the fact that the respondent is- carrying on a hotel business, we permit him to continue upto 31" March, 2018. On or before I'' April, 2018, the respondent shaU surrender vacant and peaceful possession of the premises to the appellant. During the interregnum, the respondent shall not create any third party rights and shall not cause any damage to the property. F He shall also file a usual undertaking in the Registry within four weeks from today. 5. There shall be no order as to costs. Nidhi Jain Appeal allowed.