Ashish Seth v. Sumit Mittal & Ors. (Contempt Petition)

Contempt Petition (Civil) · 2020 INSC 361Decided 24 Apr 2020
Contempt Petition (Civil) No. 34 of 2016
Justice Ashok Bhushan · Justice M.R. Shah

Background

This is not a final judgment on this contempt petition. Three contempt petitions arose from a Memorandum of Settlement between the Seth Group and the Mittal Group over a Faridabad real estate joint venture.

Decision Breakdown

This is not a final judgment on this petition. The Court dismissed the two contempt petitions filed by the Mittal Group. On Ashish Seth's petition, it found that the Mittal Group had prima facie wilfully failed to meet its obligations, but gave it two more months after the lifting of the COVID-19 lockdown to comply with specific directions, and listed the petition after three months.

Lesson Learnt

There is no final ruling yet on this petition. Courts may give a last chance to comply before deciding contempt.

Contempt of CourtDelhi High Court

Mansi Brar vs. Mohit Singh

The Court found that the subject properties had already been sold before the status quo order was passed. The respondent did not disclose this in his reply and instead relied on other grounds, and the exact position emerged only after the Court directed him to file an affidavit. The Court held that the earlier order was passed on the basis of this non-disclosure, and that he had also wilfully breached his undertaking. He was held guilty of civil contempt under Section 2(b) of the Contempt of Courts Act, 1971. The text of the judgment supplied does not show a sentence or penalty.

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Dr. Naresh Kumar vs. Shri Ajay Kumar Bhalla & Ors.

The Court found the respondents had in fact complied with the specific direction in the earlier order: the petitioner had been promoted to CMO (OG) as ordered, and had even been further promoted to CMO (SG) since then. Since the scope of contempt proceedings is confined to the exact directions given in the order allegedly violated, and the order never addressed promotion to DIG, the Court held the petitioner could not use contempt proceedings to expand relief to a promotion issue never covered by the original order, and dismissed the petition.

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Bharat Singh Rawat vs. Dr. Poonam Singh Rawat

Relying on Supreme Court precedent (Midnapore Peoples' Coop. Bank Ltd. v. Chunilal Nanda), the Division Bench held that an appeal under Section 19 of the Contempt of Courts Act is maintainable only against an order actually punishing someone for contempt, not against an order merely directing compliance. Since no punishment had been imposed, the impugned order was not appealable under Section 19, and the appeal was disposed of, with liberty given to the appellant to separately seek clubbing of the multiple pending cases before the single judge.

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Naima Khatoon vs. Utpal Chakraborty & Anr.

The Court found that two specific cheques relied upon had never actually been presented for encashment, so no contempt arose from them. However, a receipt dated 30.11.2017 for Rs. 1,00,320 remained unclear as to whether that amount was actually collected. The Court did not impose a contempt penalty but directed that if the amount had indeed been realized by the respondents in violation of the earlier orders, it must be refunded to the petitioner with 12% annual interest within eight weeks.

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Contempt of CourtDelhi High Court

Government of NCT of Delhi vs. Ram Niwas

The High Court declined to interfere, holding it saw no basis to exercise its certiorari jurisdiction over what were essentially procedural orders granting further time and recording the government's own officers' assurances of compliance: assurances given while the government was represented by two counsel, not under any unfair coercion. The Court clarified its order was not an opinion on the merits of the underlying contempt petition, which the Tribunal remains free to decide.

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Teena Kapoor vs. Municipal Corporation of Delhi and Ors.

The Division Bench found that although the appellant knew of the pending litigation when she bought the flat and chose not to join those proceedings, she still faced the imminent threat of demolition without having been heard. The Court therefore directed that no demolition take place until her impleadment applications are decided by the Single Judge, permitted her to also seek impleadment in the related civil suit, and recorded her undertaking not to carry out any further construction in the meantime.

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