PUSHPABEN Vs. NARANDAS V BADIANI

JUDGEMENT

(1.) This is an appeal under S. 19 of the Contempt of Courts Act (hereinafter called the Act) against an order of the High Court of Bombay convicting the appellants for a Civil Contempt and sentencing them to one month's simple imprisonment. The facts of the case have been fully detailed by the High Court and it is not necessary for us to repeat the same all over again. It appears that Respondent No. 1 had given a loan of Rs. 50,000/- to the appellants on certain conditions. Somehow or other, the loan could not be paid by the appellants as a result of which respondent No. 1 filed a complaint under Sec. 420, I. P. C. against the appellants. While the complaint was pending before the Court of the Magistrate, the parties entered into a compromise on 22-7-71 under which the appellants undertook to pay the loan of Rs. 50,000/- with simple interest @ 12% per annum on or before 21-7-1972. An application was filed before the Court for allowing the parties to compound the case and acquit the accused. The Court after hearing the parties, passed the following order:

(2.) It is obvious, therefore, that the Court permitted the parties to compound the case only because of the undertaking given by the appellants.

(3.) Thereafter, it appears, that the undertaking was violated and the amount of loan was not paid to the respondent No. 1 at all. The respondent, therefore, moved the High Court for taking action for contempt of court against the appellants as a result of which the present proceedings were taken against them. The High Court came to the conclusion that the appellants had committed a wilful disobedience of the undertaking given to the Court and were, therefore, guilty of civil contempt as defined in S. 2 (b) of the Act. Hence, this appeal before us.