High Court of KeralaDivision BenchWrit appeal dismissed with the decision upholdi...

KERALA STATE BACKWARD CLASSES DEVELOPMENT CORPORATION LIMITED v. RADHAKRISHNAN PAVOOR

Case / Petition Number:WA.No.1579 of 2015

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • Ashok Bhushan
  • A. M. Shaffique
Judgment Date
2015-07-23
Court Decision / Holding
Writ appeal dismissed.
Final Disposition
Writ appeal dismissed with the decision upholding the Single Judge’s dismissal of the writ petition.

Parties to the Case

Appellants / Petitioners

  • KERALA STATE BACKWARD CLASSES DEVELOPMENT CORPORATION LIMITED

Respondents

  • RADHAKRISHNAN PAVOOR
  • STATE OF KERALA
  • THE ASSISTANT EDUCATIONAL OFFICER, NADAPURAM, KOZHIKODE DISTRICT
  • THE DEPUTY DIRECTOR OF EDUCATION, OFFICE OF THE D.D (EDN.) NEAR MANANCHIRA, KOZHIKODE
  • THE ASST. EDUCATIONAL OFFICER OFFICER OF A.E.O KUNNUMMEL, VATTOLY P.O., KOZHIKODE DISTRICT
  • THE TAHASILDAR (RR), TALUK OFFICE, VADAKARA, KOZHIKODE DISTRICT

Legal Representation & Advocates

Counsels for Petitioners

  • • Sri Jayapradeep V.

Counsels for Respondents

  • • Sri John Joseph (Roy)
  • • Sri P. I. Davis

Case Synopsis & Summary

RadhaKrishnan Pavoor filed WP(C) No.14147/2011 challenging revenue recovery proceedings initiated by the Kerala State Backward Classes Development Corporation Limited for recovery of a loan advanced under a contract providing for repayment in 60 instalments, the last instalment being due on 11 July 2006. Pavoor had paid through instalment 32 on 31 March 2004; thereafter no payments were made, and there was no renewal of the loan or express acknowledgment of debt. Ext.P5, a revenue recovery notice dated 19 December 2011, prompted the writ petition. The petitioner contended that the debt was time-barred by limitation and sought quashing of the recovery proceedings. The learned Single Judge held that the debt recovery was barred by limitation and allowed the writ petition, citing State of Kerala v. Kalliyanikutty (Supreme Court). The appellant argued Ext.P4, an earlier communication, amounted to an acknowledgment of liability and extended the limitation period. The court, however, did not treat Ext.P4 as an acknowledgment, observing that it merely raised disputes regarding interest and liability and did not grant an extension of time. On appeal, the Division Bench affirmed that initiation of revenue recovery fell within the period of limitation, following Kalliyanikutty, and dismissed the writ appeal, thereby upholding the Single Judge’s order.

Submissions & Arguments

Contentions of Appellants / Petitioners

Appellant contends Ext.P4 constitutes an acknowledgment of debt extending the period of limitation; argues the loan was repayable in 60 instalments with the last instalment due in 2006; asserts that the revenue recovery initiated within the extended period under Ext.P4 and related provisions.

Contentions of Respondents

Respondents contend Ext.P4 does not amount to an acknowledgment of liability; the debt was not admitted and the notice of recovery is time-barred; rely on the observation in Kalliyanikutty and the lack of any explicit extension granted by Ext.P4.

Cited Precedents (1)

Case NameCitationTreatmentExplanation
State of Kerala v. Kalliyanikutty1999(2) KLT 146 (SC)PositiveThe Division Bench relied on this Supreme Court decision to hold that revenue recovery within the limitation period is sustainable and that Ext.P4 did not amount to an acknowledgment extending the period.

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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 THE CHIEF JUSTICE MR.ASHOK BHUSHAN & THE HONOURABLE MR.JUSTICE A.M.SHAFFIQUE** **THURSDAY, THE 23RD DAY OF JULY 2015/1ST SRAVANA, 1937** ## **WA.No. 1579 of 2015** **----------------------------** **WP(C) 14147/2011, DATED 26-05-2015 -----------------------** **APPELLANT(S)/2ND RESPONDENT:** **-------------------------------------------------** **KERALA STATE BACKWARD CLASSES DEVELOPMENT CORPORATION LIMITED, REPRESENTED BY ITS DISTRICT MANAGER, DISTRICT OFFICE, P.M.KUTTY ROAD, ERINJIPPALAM P.O., KOZHIKODE - 673 524.** **BY ADV. SRI.JAYAPRADEEP. V.** ## **RESPONDENT(S)/PETITIONER & RESPONDENTS 1, 3 TO 6:** **-----------------------------------------------------------------------------------** **1. RADHAKRISHNAN PAVOOR, AGED 50 YEARS, PAVOOR HOUSE, THAROPOLAR P.O., PONMERI VIA VADAKARA, KOZHIKODE DISTRICT-673101.** **2. STATE OF KERALA,** - **REPRESENTED BY THE SECRETARY TO GOVERNMENT OF KERALA, SOCIAL WELFARE DEPARTMENT, SECRETAIAT, THIRUVANANTHAPURAM - 695 001.** **3. THE ASSISTANT EDUCATIONAL OFFICER, NADAPURAM, KOZHIKODE DISTRICT - 673 525.** **4. THE DEPUTY DIRECTOR OF EDUCATION, OFFICE OF THE D.D (EDN.) NEAR MANANCHIRA, KOZHIKODE-673001.** **5. THE ASST. EDUCATIONAL OFFICER OFFICER OF A.E.O KUNNUMMEL, VATTOLY P.O., KAKKATTIL VIA, KOZHIKODE DISTRICT-673507.** **PJ** **......2/-** **..2..** ## **WA.No. 1579 of 2015** - **----------------------------** ## **6. THE TAHASILDAR (RR),** **TALUK OFFICE, VADAKARA, KOZHIKODE DISTRICT-673101.** **R1 BY SRI. JOHN JOSEPH (ROY) R2-6 BY SENIOR GOVERNMENT PLEADER SRI.P.I.DAVIS** **THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 23-07-2015, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:** **PJ** ## **ASHOK BHUSHAN, CJ & A.M.SHAFFIQUE, J. * * * * * * * * * * * * *** W.A.No.1579 of 2015 ---------------------------------------Dated this the 23[rd] day of July 2015 ## **J U D G M E N T** ## **Shaffique, J** Second respondent in W.P.C.No.14147/2011 is the appellant who challenges the judgment dated 26/05/2015 by which the learned Single Judge allowed the writ petition filed by the 1[st] respondent herein. 2. Writ petition was filed inter alia challenging the revenue recovery proceedings initiated by the appellant for the amount due under a contract by which loan was granted in favour of the writ petitioner. It is stated in the writ petition that there was neither renewal of the loan account nor there was any acknowledgment of any debt. After payment of the 32[nd] instalment on 31/03/2004, no payment was made on the loan account. The main contention urged by the petitioner was that no recovery can be made from his salary as the debt was barred by limitation. Ext.P1 is signed by the District Manager to the Assistant Educational Officer, Nadapuram calling upon the said W.A.No.1579/2015 2 Disbursing Officer to recover the dues from the loanee, the writ petitioner. Petitioner, in fact, challenged Ext.P5 revenue recovery notice issued by the Tahsildar (Revenue Recovery) on 19/12/2011. It is contended that the instalments were defaulted after 31/03/2004 and therefore revenue recovery is barred by limitation. 2. No counter affidavit was filed by the respondents. 3. After hearing the parties, the learned Single Judge observed that the recovery initiated by the appellant was barred by limitation and therefore the writ petition was allowed. Reference was also made to the judgment of the Supreme Court in **State of Kerala v. Kalliyanikutty** _[_ 1999(2) KLT 146 (SC). 4. It is contended by the learned counsel for the appellant that Ext.P4 letter issued by the petitioner clearly discloses an acknowledgment of debt and therefore recovery proceedings were initiated within the period of limitation as the appellant is entitled for extension of period of limitation as per Ext.P4. 5. The learned Single Judge noticed the fact that the loan was granted with the condition to pay the amounts in 60 instalments and last of the instalments was payable as on 11/07/2006. No steps were taken by the appellant to initiate W.A.No.1579/2015 3 revenue recovery proceedings by sending request to the District Collector within three years and therefore the same is barred by limitation. 6. Though the learned counsel appearing for the appellant relied upon Ext.P4 as acknowledgment of liability, learned Single Judge did not accept the contention that Ext.P4 would lead to an acknowledgment of the liability. It is contended by the learned counsel for the appellant that the said view expressed by the learned Single Judge that Ext.P4 does not disclose the acknowledgment of liability is absolutely wrong. We do not agree with the said contention. Ext.P4 is already extracted by the learned Single Judge. In Ext.P4, the petitioner, after receiving a notice of payment, has indicated that he has dispute regarding the rate of interest and penal interest claimed by the Department. It is also stated that he has dispute regarding the liability to pay the same and that he proposes to proceed to file an appeal. He also requested the appellant, that the revenue recovery proceedings may be deferred. 7. Though Ext.P4 had been sent by the petitioner, no reply had been issued by the appellant to Ext.P4. A debt is acknowledged, if the debtor, in clear and specific terms, admits W.A.No.1579/2015 4 the liability to pay. Here there is no such admission or acknowledgment of debt whereas the petitioner has raised a dispute regarding the liability to pay. Further, perusal of Ext.P4 does not indicate that it gives a right for extension of time as far as the petitioner is concerned. No reply had been sent by the appellant to Ext.P4 extending time for payment. Hence, we do not think that the learned Single Judge had committed any error in not treating Ext.P4 as acknowledgment of liability. Under such circumstances, it is clear that the initiation of revenue recovery is within the period of limitation as held in the judgment in **Kalliyanikutty** (supra). We find no ground to interfere with the judgment of the learned Single Judge and accordingly the writ appeal is dismissed. (sd/-) ## **(ASHOK BHUSHAN, CHIEF JUSTICE)** (sd/-) ## **(A.M.SHAFFIQUE, JUDGE)** jsr W.A.No.1579/2015 5 W.A.No.1579/2015 6 W.A.No.1579/2015 7