As per case facts, plaintiffs ordered goods from defendants, but a shortage occurred due to a defective weigh-bridge. Defendants were proceeded ex-parte as their counsel had no instructions, leading to ...
CR-7485-2017 (O&M)
and RSA-1146-2021 (O&M) 1
IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
114
Date of decision: 28.10.2025
1.CR-7485-2017 (O&M)
Steel Authority of India and others ...Petitioner(s)
Vs.
Rajeev Gupta and another ...Respondent(s)
AND
2.RSA-1146-2021 (O&M)
Steel Authority of India and others ...Petitioner(s)
Vs.
Rajeev Gupta and another ...Respondent(s)
CORAM: HON’BLE MS. JUSTICE NIDHI GUPTA
Present:- Mr. Avnish Mittal, Advocate for the petitioners
in CR-7485-2017 and for the appellants in
RSA-1146-2021.
Mr. Pavan Malik, Advocate for the respondents
in CR-7485-2017 and for the respondents
in RSA-1146-2021.
***
NIDHI GUPTA, J.
CR-7485-2017 (O&M)
Present Civil Revision Petition under Article 227 of
Constitution of India has been filed by the petitioners/defendants
against the order dated 13.07.2016 (Annexure P-5) passed by ld.
Additional Civil Judge (Senior Division), Amloh; whereby application filed
CR-7485-2017 (O&M)
and RSA-1146-2021 (O&M) 2
by the petitioner under Order 9 Rule 13 CPC read with Section 151 CPC
for setting aside exparte judgment and decree dated 25.01.2011 and ex
parte order dated 09.03.2010, has been dismissed. Challenge in the
present petition is also laid to the order dated 03.05.2017 (Annexure P-
7) passed by the learned Additional District Judge, Fatehgarh Sahib;
whereby the appeal filed by the petitioner against the order dated
13.07.2016, has been dismissed.
RSA-1146-2021 (O&M)
Present Regular Second Appeal has been filed by the
defendants against the concurrent judgments and decrees of the
learned Courts below; whereby suit filed by the plaintiffs/respondents
for mandatory injunction directing the defendants to make delivery of a
remainder of order dated 19.03.1998, the payment of which had already
been received by the defendants being the goods short supplied by the
defendants on account of defect in weigh-bridge, has been decreed by
both the Courts below.
2. Brief facts of the case as pleaded in the plaint, are that the
plaintiffs had been purchasing the iron and steel material from the
appellants/defendants. On 19.03.1998, plaintiffs placed an order for
supply of 1500 MT slab end cuttings. Order was accepted by the
defendants; and payments made by the plaintiffs by way of demand
drafts were also accepted and encashed. On 6.4.1998, plaintiff took
delivery of the order supplied by way of four wagons and detected
CR-7485-2017 (O&M)
and RSA-1146-2021 (O&M) 3
shortage of 38.545 M/T in these four wagons. Plaintiff immediately
informed the defendant regarding the said shortage on the same date. It
was informed by the defendants that officers are being deputed to visit
the spot for verification of weight at the spot. Plaintiff was informed by
the Deputy CMM Delhi/defendant no.5 that the Weigh bridge where
goods were weighed was defective. Team of officials visited on 8.4.1998
and they were apprised of the shortage detected in four wagons.
Plaintiff made repeated requests to the team of the defendant to weigh
the material. However, the delivered material was not weighed.
Accordingly, plaintiff had no option but to take delivery because entire
value of goods already stood paid. Thereafter, despite repeated
intimation, defendant slept over the matter and did not even bother to
give reply. Plaintiff sent legal notice through counsel on 20.5.1998.
However, no reply was received from the defendant. Accordingly,
plaintiff again sent a Notice on 15.10.1999 under registered cover. But
defendant never replied. Hence, present suit was filed on 16.3.2000.
3. The defendant/appellants put in appearance and filed written
statement. However subsequently, the defendants were proceeded
against ex-parte by order dated 9.3.2010; as the learned counsel
representing the defendant pleaded ‘no instructions.’
4. Consequentially, the suit of the plaintiffs was partly-decreed
vide ex parte judgment dated 25.01.2011 for the relief of recovery of
CR-7485-2017 (O&M)
and RSA-1146-2021 (O&M) 4
Rs.24,09,153/- alongwith interest @ 6% p.a. from 07.04.1998 till actual
realization along with cost of the suit.
5. The Civil Appeal filed by the defendants was dismissed by the
ld. Additional District Judge, Fatehgarh Sahib vide judgment and decree
dated 27.7.2020. Hence, present second appeal by the defendant.
Main cases:
Both, the above said Revision Petition and Regular Second
Appeal, are being disposed of by this common order as both
proceedings emanate from the same civil suit and are between the same
parties and issues involved in both cases are identical. For the sake of
brevity, facts are being taken from, and parties are being referred to as
per their status in CR-7485-2017.
2. It is inter alia submitted by learned counsel for the
petitioners that learned Courts below were in error in dismissing the
application of the petitioners as they failed to appreciate that in the civil
suit filed by the respondents/plaintiffs, the petitioners had duly put in
appearance and had even filed written statement. It is submitted that
however during the pendency of the suit, learned counsel for the
petitioners pleaded no instructions. As such vide order dated 09.03.2010
(Annexure P-1), learned Trial Court directed the petitioners to be
proceeded against ex parte. Consequentially, suit of the
respondents/plaintiffs was decreed ex parte vide judgment and decree
dated 25.01.2011 (Annexure P-2). It is submitted that it is only during the
CR-7485-2017 (O&M)
and RSA-1146-2021 (O&M) 5
pendency of the execution proceedings that the petitioners discovered
about the factum of ex parte judgment and decree dated 25.01.2011;
and immediately moved application dated 18.09.2013 (Annexure P-3)
under Order 9 Rule 13 read with Section 151 CPC for setting aside ex
parte judgment and decree.
3. Learned counsel contends that it is relevant to point out that
while passing the impugned orders, the learned courts below have not
appreciated the settled principles of law in which it has been held by the
Hon'ble Supreme Court in number of judgments that once the counsel
for the parties have no instructions then the court has no option but to
issue notice to the client so that the client should not suffer because of
non-appearance of the counsel. However, in the present case, the said
settled principles of law has been ignored by the learned courts below
while passing the impugned orders, Annexure P-5 and P-7, respectively.
4. It is submitted that in these circumstances, it was incorrect
for learned Courts below to infer that the present application had been
filed by the petitioners only to delay the matter. Thus, impugned orders
passed by learned Courts below are based on conjectures and surmises.
It is argued that the learned Courts below failed to appreciate that
petitioners do not stand to gain anything by not putting appearance
before the learned Courts below.
5. On merits, learned counsel for the petitioners/defendants
further valiantly argues that a perusal of the impugned orders would
CR-7485-2017 (O&M)
and RSA-1146-2021 (O&M) 6
show that learned Trial Court was merely influenced by the fact that
since the petitioners/defendants had not appeared therefore, the suit of
the plaintiff be decreed. It is submitted that the impugned Judgments
and decrees of the learned Courts below are, therefore, unsustainable as
even no issue-wise findings have been given. It is submitted that even
the Civil Appeal preferred by the petitioners before the first Appellate
Court has been dismissed only on grounds of delay.
6. He accordingly prays for setting aside the impugned orders
dated 13.07.2016 (Annexure P-5); 03.05.2017 (Annexure P-7) and allow
application dated 18.09.2013 (Annexure P-3) in the Revision Petition;
and for setting aside the impugned judgments and decrees dated
25.01.2011 and 27.07.2020 respectively in the Second Appeal.
7. Per contra, learned counsel for the respondents/plaintiffs
vehemently opposes submissions made on behalf of the petitioners and
submits that the entire blame for non-appearance on behalf of the
defendants/petitioners cannot be placed upon the counsel. It is also for
the petitioners to be a vigilant litigant and pursue litigation diligently.
8. It is further submitted that the impugned judgments and
decrees suffer from no error whatsoever. It is submitted that although
the decree passed by ld. Trial Court is exparte however, the same is
passed on the basis of report of the fact finding Committee which
comprises of Chairman of defendant-company itself; whereupon it was
found that there was short supply of material supplied by defendant to
CR-7485-2017 (O&M)
and RSA-1146-2021 (O&M) 7
the plaintiff. Accordingly, defendant was directed to pay the decretal
amount to the respondent. Learned counsel for the respondents
accordingly prays for dismissal of the present Civil Revision and also the
Second Appeal.
9. No other argument is raised on behalf of the parties. I have
heard learned counsel and perused the case file in great detail.
10. Brief facts of the case in chronological order are as follows: –
16.03.2000: The plaintiffs/respondents filed a civil suit dated 16.3.2000
(Annexure P-2) for Mandatory Injunction, seeking a direction to the
defendants to deliver 267.440 m/t Slab End Cuttings, being the balance
of an order dated 19.03.1998. In the alternative, the plaintiff sought
recovery of the resultant loss incurred.
17.07.2001: The defendants had duly put in appearance in the said suit
through counsel and filed detailed written statement dated 17.07.2001
before the learned trial court.
09.03.2010: On 9.3.2010, the defendants were proceeded against ex-
parte as their counsel pleaded "no instruction" qua them.
25.01.2011: The suit was partly decreed vide an ex-parte judgment
dated 25.1.2011, granting relief of recovery of Rs. 24,09,153/- along-with
interest at the rate of 6% p.a. from 07.04.1998 till actual realization
along-with cost of the suit.
18.09.2013: The defendants filed application under order IX rule 13 of
CPC for setting aside the ex-parte order (Annexure P-3).
CR-7485-2017 (O&M)
and RSA-1146-2021 (O&M) 8
10.11.2014: The plaintiffs filed a reply to the application of the
defendants for setting aside ex-parte order (Annexure P-4).
13.07.2016: The learned Trial Court dismissed the above-mentioned
application under order 9 rule 13 CPC (Annexure P-5).
16.08.2016: Aggrieved by the above, the defendants preferred an appeal
before the Learned First Appellate Court, Fatehgarh Sahib (Annexure P-
6).
03.05.2017: The Learned First Appellate Court dismissed the said appeal
(Annexure P-7).
21.09.2017: The defendants then filed the present civil revision before
this Court.
01.11.2017: The defendants also filed a First Appeal against the ex-parte
judgment dated 25.01.2011, along with an application under Section 5
of the Limitation Act, seeking condonation of delay of 2472 days.
19.01.2018: In the meanwhile, proceedings were going on before the
learned Executing Court. Thus, in the Civil Revision Petition this Court,
vide its order dated 19.01.2018, directed the petitioner to deposit the
decretal amount along with interest before the learned Executing Court
within a period of three weeks, and adjourned the matter to 12.02.2018.
22.02.2018: Vide order dated 22.2.2018, this court issued Notice to the
respondent, and the execution was stayed, as the petitioner had
complied with the order dated 19.01.2018 by depositing the decretal
amount.
CR-7485-2017 (O&M)
and RSA-1146-2021 (O&M) 9
27.07.2020: In the meantime, the learned First Appellate Court
dismissed the Civil appeal of the defendant on ground of delay of 2472
days.
30.1.2021: The defendant preferred the present Regular Second Appeal
before this Court.
11. It is my considered view that the above said facts are self
speaking and amply reflect the utterly callous, casual and cavalier
attitude adopted by the petitioner in pursuing the present litigations. It
has been submitted on behalf of the petitioner that the learned trial
court ought to have issued notice to the petitioners before proceeding
ex parte against them. However, duty also lies upon the petitioner to be
vigilant towards its rights to pursue litigation diligently. The petitioner
cannot totally sleep upon the matter for decades together, after
entrusting the same to counsel. In this situation, it would be apposite to
refer to recent judgment of the Delhi High Court in Moddus Media Pvt.
Ltd. v. M/s. Scone Exhibition Pvt. Ltd., (Delhi): Law Finder Doc Id #
887148 holding that:
“11. The litigant owes a duty to be vigilant of his rights and is
also expected to be equally vigilant about the judicial proceedings
pending in the court of law against him or initiated at his instance.
The litigant cannot be permitted to cast the entire blame on the
Advocate. It appears that the blame is being attributed on the
Advocate with a view to get the delay condoned and avoid the
decree. After filing the civil suit or written statement, the litigant
cannot go off to sleep and wake up from a deep slumber after
CR-7485-2017 (O&M)
and RSA-1146-2021 (O&M) 10
passing a long time as if the court is storage of the suits filed by
such negligent litigants. Putting the entire blame upon the advocate
and trying to make it out as if they were totally unaware of the
nature or significance of the proceedings is a theory put forth by the
appellant/applicant/defendant company, which cannot be accepted
and ought not to have been accepted.”
12. As regards the Regular Second Appeal, the learned Courts
below have given cogent findings in decreeing the suit of the plaintiff.
The relevant findings of learned Trial Court as contained in judgment
dated 25.01.2011 are reproduced as under: -
“7.Thereafter plaintiff examined the three witnesses.
Those witnesses were made available for cross examination
but were not cross examined as Sh GD Bector counsel for the
defendant pleaded no instructions, Defendants were
proceeded exparte for this reason on 9.3.2010.
XXX XXX XXX
9. In its evidence PW1 Anil Kumar deposed that he is
attorney of plaintiff Rajiv Gupta. Power of attorney dated
8.7.03 is Ex. P-1. Не personally is well conversant with the
case. He deposed on the lines of pleadings and same is not
repeated for sake of brevity. He proved on record sale order
photocopy dated 19.3.1998 vide which order was placed as
Ex. P-2. Defendants dispatched the material on 31.3.1998.
Photocopy of the letter dated 31.3.1998 addressed to CMM
Bokaro is Ex. P-3 and photocopy of plaint instruction memo
dated 1.5.1998 is Ex. P-4. Photocopy of fax dated 6.4.1998
CR-7485-2017 (O&M)
and RSA-1146-2021 (O&M) 11
addressed to Suresh Parsad CMM Commercial is Ex. P-5.
Photocopy of letter dated 6.4.1998 addressed to CMM
Commercial is Ex. P-6. Photocopy of letter dated 7.4.1998
addressed to MD & EX (MM) is Ex. P-7. Photocopy of letter
dated 9.4.1998 addressed to ED (MM) is Ex. P-8. Photocopy of
letter dated 15.4.1998 addressed to MD BSL delivered
personally is Ex. P-9. Photocopy of fax message dated
16.4.1998 addressed to MD BSL delivered personally is Ex. P-
10. Photocopy of fax message dated 24.4.1998 addressed to
MD BSL is Ex. P-11. Photocopy of fax message dated 6.5.1998
addressed to ED (MM) is Ex. P-12. Photocopy of letter dated
11.5.1998 addressed to Chairman SAIL with copy to MD BSL is
Ex. P-13. Photocopy fax message dated 15.7.1998 addressed
to MD with copy to ED (MM) and CMM (Commercial) is Ex. P-
14. Photocopy of fax message dated 20.11.1998 addressed to
MD and EX (MM) is Ex. P-15. Photocopy of letter dated
22.1.1998 addressed to MD is Ex. P-16. Photocopy of of letter
dated 29.5.1999 addressed to MD submitted on his visit to
Mandi Gobindgarh is Ex. P-17. Photocopy of letter dated
17.6.1999 addressed to Sh. MP Goyal Deputy CMM
(Commercial) New Delhi is Ex P-18. Photocopy of letter dated
6.9.99 addressed to MD Bokaro Steel Plant is Ex. P-19.
Carbon copies and fax messages in original were brought in
the court. He further deposed that when representatives of
the defendants did not agree to make physical weighment
the plaintiff approached certain respectables to have
weighment in their presence of remaining 22 wagons to
ascertain the factum of weighment. Those respectables
include sh. Narinder Sharma, Ram Kumar, Ved Diwan, Vishal
Goyal and weighment of 22 wagons was made on 8.4.1998 in
presence of above said person and weighment was found
CR-7485-2017 (O&M)
and RSA-1146-2021 (O&M) 12
1050.625 M.T. confirming a shortage of 228.595 MT. At that
time a weighment statement was prepared and got signed by
the deponent and all the above said persons present which is
Ex.P21. They also signed the weighment statement in
presence of deponent. A hand written weighment statement
was prepared when weighment was in progress and same is
Ex. P-22. Most importantly a fact finding committee
comprising of Sh JP Bhatele DGM ETB (Chairman) Sh. MM
Mehewshwari CMM (PUR MIS) Member and Sh. N. Roy
Chowdhury CFM (S & E Member) was formed who submitted
their report to higher officers and fact finding committee has
supported case of plaintiff and a photocopy of report is Ex. P-
20. The court had already allowed proving the document
through secondary evidence. Interrogatories were also served
upon defendants but defendants submitted the wrong reply
and they are liable to penal action. Letters Ex. P-5 to P-19
clearly shows that defendants just slept over the matter.
Plaintiff maintains regular books of accounts and a cash
balance is struck in the evening. All the transactions are duly
entered in the accounts books. True copies of the same are
Ex. P-23 and P-24. Original accounts books were brought at
the time of leading evidence. Plaintiff is also member of
Gobindgarh Chamber of Commerce. The chamber also took
the matter wit the defendants and correspondence to this
effect is Ex. P-25 to P-30. Officials received the letters at Delhi
and had responded vide letter dated 27.8.1998 and copy of
same is Ex. P-31. Plaintiff now claims Rs. 24,09,153/ and Rs.
38,66,500/- as interest from 1.4.1998 to 28.2.2007 and
plaintiff further claims interest till realisation of the amount.
10. PW2 Narinder Sharma deposed that he is conversant
with the controversy. On 8.4.1998 he alongwith Anil Gupta,
CR-7485-2017 (O&M)
and RSA-1146-2021 (O&M) 13
Ram Kumar, Ved Diwan, Vishal Goyal witnessed the physical
weighment of goods as officers of the defendants had
weighed the material. Weighment statement is Ex. P-21
which bears his signatures.” Emphasis supplied
10. From the above, it is clear that the learned trial court has
considered the matter in sufficient detail and has satisfied itself in
respect of the claim of the plaintiff. Ld. Counsel for the petitioner has
been unable to point out any error in the above said findings of fact of
the ld. trial court.
11. Further, the Civil appeal has been filed before the learned
first Appellate Court with a delay of 2472 days. In this regard, the
findings of the learned First Appellate Court as recorded in para 13 of
the judgment dated 27.7.2020 are relevant, which reads as follows: –
“13. So far as issue No.2 is concerned there is no material
evidence brought on behalf of the applicants that the delay in
filling the appeal is not only intentional or deliberate. Rather
the applicants have been found negligent and irresponsible in
defending the suit as well as in filing the appeal also. The
applicants cannot should have been vigilant in pursuing their
litigation. Accordingly issue no. 2 is hereby decided in favour
of respondents and against the applicants.”
12. In this situation, reference may be made to recent judgment
of the Hon’ble Supreme Court in Civil Appeal No. 11794 of 2025 titled as
Shivamma (Dead) by LRs Vs. Karnataka Housing Board and others, 2025
CR-7485-2017 (O&M)
and RSA-1146-2021 (O&M) 14
INSC 1104 decided on 12.09.2025, Law Finder Doc Id # 2777666,
wherein it is held that: –
“D. Limitation Act, 1963, Section 5 - State and Public
Authorities - Earlier jurisprudence granted some latitude for
bureaucratic delays; however, post-2012 decisions
(Postmaster General v. Living Media India Ltd.) reject
mechanical condonation of delay due to bureaucratic
inefficiency - The State is not entitled to any special
treatment and must act with reasonable diligence - Repeated
laxity cannot be condoned, and officers responsible for delay
may be held accountable.
E. Limitation Act, 1963, Section 5 - Public Interest -
Condonation of delay merely to protect public interest is not
a valid ground if delay is due to State negligence - Public
interest is better served by enforcing limitation strictly to
promote accountability and timely action.”
13. It is, therefore my considered view that the
petitioner/defendant/appellant being a state-owned, public sector
undertaking, the resources at its disposal are not the personal bounty of
its officers to be squandered due to their whimsical negligence and
carelessness. The petitioner is therefore called upon by this Court to
identify the officers responsible for the crass manner in which the
present case has been pursued; and impose punitive financial liability
upon them to act as a deterrent for dereliction of Duty.
14. Accordingly, present Civil Revision Petition as well as Regular
Second Appeal are dismissed.
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and RSA-1146-2021 (O&M) 15
15. Pending application(s), if any, also stand(s) disposed of.
28.10.2025 (NIDHI GUPTA)
Divyanshi JUDGE
Whether speaking/reasoned: Yes/No
Whether reportable: Yes/No
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