2004 (3) TMI 757 - SC - Indian Laws

Whether the High Court was justified in going into excruciating details on facts in a second appeal? Has not the High Court exceeded its jurisdiction under Section 100 of the C.P.C. by reversing a well-considered Judgment of the First Appellate Court on facts especially when no question of law much less any substantial question of law arose for consideration?

Summary

Issues Involved:
1. Jurisdiction of the High Court under Section 100 of the Code of Civil Procedure (CPC).
2. High Court's appreciation of facts in a second appeal.
3. Legality of remand order by the lower Appellate Court.
4. Allegations of fraud in property transfer.

Issue-wise Detailed Analysis:

1. Jurisdiction of the High Court under Section 100 of the CPC:
The primary question was whether the High Court was justified in delving into detailed factual analysis in a second appeal. The Supreme Court noted that the jurisdiction of the High Court under Section 100 CPC is confined to substantial questions of law. The High Court erred by not formulating any substantial question of law and instead revisited factual determinations made by the lower courts, which is beyond its jurisdiction. The Supreme Court emphasized that the existence of a substantial question of law is a prerequisite for the High Court to exercise its jurisdiction under Section 100 CPC.

2. High Court's appreciation of facts in a second appeal:
The Supreme Court found that the High Court had overstepped its jurisdiction by engaging in a detailed examination of facts, which is not permitted under Section 100 CPC. The High Court's role in a second appeal is limited to addressing substantial questions of law, not re-evaluating evidence or factual findings. The Supreme Court reiterated that an appeal under Order 43 Rule (1) clause (u) should be heard only on grounds enumerated in Section 100 CPC, and the High Court should not have entertained factual disputes in such an appeal.

3. Legality of remand order by the lower Appellate Court:
The lower Appellate Court had remanded the case to the Trial Court for proper identification of the disputed property. Both parties agreed that the remand was unnecessary as the identity of the properties was not in dispute. The Supreme Court observed that the High Court should have confined itself to the issues related to the remand order and not ventured into a comprehensive re-evaluation of facts. The Supreme Court held that the High Court's decision to set aside the well-considered judgment of the District Court was erroneous.

4. Allegations of fraud in property transfer:
The case involved allegations of fraudulent property transfer. The District Court had found that the disputed property (D Schedule) was not intended to be conveyed and that the misdescription in the sale deed was due to deceptive practices. The Supreme Court upheld the District Court's findings, noting that the evidence supported the conclusion that the D Schedule property was fraudulently included in the transfer. The Supreme Court emphasized that the body of the document should prevail over the schedule when there is inconsistency, and the intention of the parties was clear that only the C Schedule property was to be transferred.

Conclusion:
The Supreme Court set aside the judgment of the High Court, restoring the judgment of the District Judge, Thodupuzha. The Supreme Court deleted the remand order by the District Court, affirming the judgment in its entirety. The appeals filed by the appellant were allowed, and no costs were ordered.