LAWS(SC)-2025-7-64

VISHNU VARDHAN Vs. STATE OF UTTAR PRADESH

Decided On July 23, 2025
Vishnu Vardhan Appellant
V/S
STATE OF UTTAR PRADESH Respondents

JUDGEMENT

(1.) In Nidhi Kaim v. State of Madhya Pradesh,(2017) 4 SCC 1. a three-Judge Bench of this Court emphatically asserted " ... stated simply, nothing ... nothing ... and nothing, obtained by fraud, can be sustained, as fraud unravels everything."

(2.) At the end of the last century, this Court in S.P. Chengalvaraya Naidu v. Jagannath,(1994) 1 SCC 1. noticed the growing trend of abuse of the process of law by dishonest litigants playing fraud on courts. Fraud was held to be an act of deliberate deception with the design of securing something by taking unfair advantage of another: a deception in order to gain by another's loss. The opening paragraph of such decision reads as follows: "Fraud avoids all judicial acts, ecclesiastical or temporal" observed Chief Justice Edward Coke of England about three centuries ago. It is the settled proposition of law that a judgment or decree obtained by playing fraud on the court is a nullity and non est in the eyes of law. Such a judgment/decree - by the first court or by the highest court - has to be treated as a nullity by every court, whether superior or inferior. It can be challenged in any court even in collateral proceedings.

(3.) "Fraud unravels everything" was famously said by Lord Denning in Lazarus Estates Ltd. v. Beasley,(1956) 1 Q.B. 702. emphasising that fraud can invalidate judgments, contracts and all transactions. The principle highlights the importance of honesty and transparency in legal proceedings and transactions. However, it is a cardinal principle of law that fraud has to be pleaded and proved. Order VI Rule 4, of the Code of Civil Procedure, 1908[CPC] may be referred to ordaining that particulars, inter alia, of fraud have to be stated in the pleadings.