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Bombay HC dismisses petition which seeks for arbitration when the conciliation proceeding was abruptly terminated.

TITLE : Bafna udyog v Micro and Small enterprises, Facilitation council

CORAM : Hon’ble Justice Neela Gokhale

DATE :  16th  January 2024

CITATION : Arbitration Petition No.201 of 2023

FACTS

The petitioner seeks appointment of a retired judge to conduct the arbitration proceedings. The petitioner also requests the court to direct the respondent to produce all records required for the proceedings. The petitioner is registered under MSMED Act, 2006. The respondent owes Rs. 92,41,072 to the petitioner with future interest as per the act.

The dispute among the parties remained unsolved. The petitioner contends that the respondent acknowledged the debt he owes. The petitioner filed a conciliation proceeding which upon getting failed has approached for arbitration under Section 11(6) of the arbitration act. The respondents did not show up during the proceedings even after issuing notice.

LAWS INVOLVED

Section 11(6) states that an arbitrator would be appointed by the arbitral forum if none of the parties take initiative to appoint an arbitrator or fails to seek for an arbitrator.

ISSUES

Whether the petitioner was right in asking for an arbitration proceeding?

JUDGEMENT

The court observed that the arbitration proceeding would be invalid as per the MSMED Act. There is an alternative remedy available in law to first observe failure of conciliation proceeding and then approach for arbitration. In the present matter, the conciliation proceeding was terminated which is against Section 18(3) of the MSMED Act which states that only after failure of conciliation proceeding, an arbitration recourse can be proceeded with.

The petiton was dismissed on the grounds of maintainability.

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Written by- Sanjana Ravichandran

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Defence representative for a workman is not permissible under inquiry proceedings : Bombay HC

Lawyer shows the scales of justice in hand on a blurred background.

TITLE : Ajit Bhagwan Sawant V M/s Parveen Industries Pvt Ltd.

CORAM : Hon’ble Justice Sandeep V Marne

DATE :  8th January 2024

CITATION : WP No. 11801 Of 2023

FACTS

The primary issue in the petition is about right of a workman to avail services of a legal practitioners to defend himself in the inquiry process by the labor officer. The appeal is on the basis of the industrial court rejecting the application for permission to defend the workman. The petitioner is working in the defendant company and has been subjected to domestic inquiry. The inquiry officer is a person practicing law and is a qualified advocate. The petitioner claim that the inquiry officer hurried the proceeding without granting enough opportunity to defend him. The petitioner had filed for an interim application under Section 30(2) of the Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971.

LAWS INVOLVED

Bombay Industrial Employment (Standing Orders) Rules 1959 gives the power to another workman or trade union member to defend a workman under enquiry.

Section 21 of the MRTU and PULP act, no workman shall be allowed to appear or act or allowed to be represented in any proceedings relating to unfair labour practices.

ISSUES

Whether the employee can be permitted to engage services of a legal practitioner as a defence representative?

JUDGEMENT

Under the Model Standing Orders imposes a restriction on the right of the workman to choose his defence representative. The court held that the employer has the right to impose such restriction. Further, it was held that as per the provisions of Clause 25 of the Model Standing Orders the defence representative can only be a workman working in the same department or an office-bearer of trade union of which he is a member.

The advocate is not appointed by the company and not an employee of the respondent company.

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Written by- Sanjana Ravichandran

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Census record is sufficient to prove scheduled tribe to certify them belonging to the community : Bombay HC

TITLE : Omkar v The state of Maharashtra

CORAM : Hon’ble Justice Ravindra v Ghuge

DATE :  15th  January 2024

CITATION : WP No. 13567 Of 2021

FACTS

It was claimed by the petitioner that they belong to a particular tribe called as Thakar Scheduled Tribe, which was invalidated by the scheduled tribes certifying authority. It was argued that the collector has approved the petitioners in belonging in the community. The same was forwarded to the Scheduled Tribes certifying scrutiny authority. It was contended that the procedure adopted by the Committee is contrary to Rule 12(7)(8) of the Maharashtra Scheduled Castes, De-notified Tribes, (Vimukta Jatis), Nomadic Tribes, Other Backward Classes and Special Backward Category (Regulation of Issuance and Verification of) Caste Certificate Rules, 2012. The vigilance committee also approved the petitioners as  belonging to the caste. 

LAWS INVOLVED

The scheme under Rule 12, particularly, sub-clause (7) and (8) would depict that once the vigilance cell report is favourable, the Committee shall normally rely upon the same and issue validity certificates.

ISSUES

Whether the petitioner belong to the thakar community?

JUDGEMENT

The court observed the evidence provided by the petitioners which were national census including the relatives as ‘Thakar’ caste. Records also figured school certificates of the cousin and grandfather of the petitioners to declare them as belonging to the thakar community.

The court held that the petitioners have proved themselves to be belonging to the thakar community through census record.

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Rape, Murder and Remission: Supreme Court on Bilkis Bano Case

“A woman deserves respect howsoever high or low she may be otherwise considered in society or to whatever faith she may follow or any creed she may belong to. Can heinous crimes, inter alia, against women permit remission of the convicts by a reduction in their sentence and by granting them liberty?”

 Introduction

The Supreme Court of India passed a judgement in the infamous case of Bilkis Bano favouring the victim and her late family. The judgement is considerably known as a historic landmark judgement shaping the criminology and victimology aspect of law.

The battle of Bilkis Bano in the legal fraternity proves that crime and punishment are two sides of the same coin. While the victim is granted relief as justice prevails, the liberty of the convicts has been taken away and they have been ordered to return to prison.

Factual Matrix

The case starts its roots in the year 2002 in Gujarat during the communal riots. 11 members of the protestors who later came to be known as the convicts of the case broke into Bilkis Bano’s house. They then proceeded to gang rape her along with her family members who were as young as 2- days old. The family members were killed, gang raped and severely abused. In total 22 members of her family were brutally murdered.

The case moved to the Supreme Court to Gujarat and then finally to Maharashtra. The accused members were convicted and sentenced accordingly.  In an appeal to the Gujarat Sessions court by one of the convicts, remission was granted in the year 2022 upon which all the convicts were free and granted liberty.

In August 2023, Bilkis moved to the Apex Court and pleaded to quash the remission orders along with other PILs which supported her case.

The Issue

The core contemplation of the case was whether the State of Gujarat had jurisdiction in granting remission. While going through the proceedings of the case of conviction, it is evident that the transfer of court occurred from Gujarat to Maharashtra. The special court of Maharashtra convicted the criminals on charges of gang rape and murder. Subsequently, the government of Maharashtra was legally responsible for considering a grant of remission.

When the Government of Gujarat granted remission, it was through the central government which approved it through the way of the Home Ministry in Delhi.

The mischief :

One of the convicts had filed an application in front of the CBI and the State of Maharashtra that he had important information withheld which would grant him remission. Both the agency and the government of Maharashtra rejected his case and held that remission would not be granted.

He then fraudulently received permission to approach the Gujarat Government for remission. Upon that, it was revealed in the judgement that the State of Gujarat had used the rules of remission which has not been amended as per the central government. The rules used were the 1992 remission policy instead of the 2014 remssion policy. In the new rules, no government is allowed to grant remission to rapists. Furthermore, as per Section 433A of CrPC, a person would not be granted remission if he has been punished under life imprisonment and 14 years have not been elapsed. It has been stated that the Gujarat Government took advantage of the legal system by not appropriating the laws. It was stated that the central law would prevail over the laws of the state regarding remission.

The Judgement

The two bench judgment of the Supreme Court will prevail for years to come. The court held that the State Government of  Gujarat had no power whatsoever to grant remission for the 11 criminals. The crime committed against the victim and her family was considered to be a social crime as it resulted in a community frenzy. The court drew proportionated the crime committed with that of the social impact it has. The more socially perverse, the less chance of being granted remission was implied by the court of justice.

The court then interpreted the term “appropriate government” to grant remission and held that the state of Gujarat had no powers to shorten the sentence of the criminals and subsequently usurped its powers. In the current matter, the appropriate government was the state of Maharashtra as the case was transferred by the Supreme Court in the year 2002 as it feared the State of Gujarat may have partiality towards the accused. As per Section 432(7)(a) of the CrPC, the appropriate government would be the government which gave the order of conviction and not any other jurisdiction.

The Supreme Court in vesting its powers also held that the 11 convicts shall not hold the power to remission as the gravity of the crimes committed is severe in nature. The court found it appropriate that the 11 convicts be sent back to prison as they have committed grave crimes against humanity the pain of which is irrevocable.

The court agreed that personal liberty is a most important constitutional value enshrined in Article 21 of the Constitution. But in the current case, the liberty of the 11 men was a result of the mistake of the Gujarat government, an incompetent authority, is set aside. Therefore as per the court, it is only reasonable to send the 11 men back to prison.

Conclusion

The rule of punishment includes the mere chance of reducing the punishment. The court analysed the principles of punishment and vehemently acknowledged that in matters of grave, heinous and diabolical crimes, the predators should not be left scott-free. It is believed that the Gujarat Government made a grave error which should have been interfered with by the Supreme Court in its early stages, further stopping the misuse of power.

The two bench judgement upheld the rule of law which is no one is above the law along with the principle of equality which is everyone is equal in the eyes of the law.

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Criminal charges in a civil dispute is an abuse of criminal justice : Supreme court.

TITLE : Dinesh Gupta v The state of Uttar Pradesh

CORAM : Hon’ble Justice Vikram Nath and Hon’ble justice Rajesh Bindal

DATE :  11th January 2024

CITATION : WP No. 203 Of 2024

FACTS

A company, namely Global Capital filed an FIR against the appellants who are promoters of other companies. The company alleged that there should be an extension of short term loans of Rs. 5,16,00,000 and Rs. 11,29,59,000 to the promoter companies. The loan was then converted into debt equity which promised high returns from the real estate business. The company also acquired shares from the promoting companies. The promoting companies had plans of merging and as a result the company shareholding reduced considerably. The company also did not receive any notice of the amalgamation. When the company asked to return the loan amount, deliberate ignorance was done by the promoter’s company upon which the company filed an FIR. After investigation, the police found that a case was made out against the accused under Sections 420, 467 and 120-B of the IPC

ISSUES

Whether the Criminal charges against the appellant is valid?

JUDGEMENT

The court held that the money transaction was plain and simple between the corporates. The short term loan was advanced for a period of one year, which was not paid back. No other measures were taken by the complainant before filing the FIR.

The court stated that :

The entire factual matrix and the time lines clearly reflects that the complainant deliberately and unnecessarily has caused substantial delay and had been waiting for opportune moment for initiating false and frivolous litigation.

In furtherance, it held that hearing the proceedings would be a abuse of process of court and it is a clear case of malicious prosecution and quashed the FIR.

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