LAWS(MPH)-1992-3-60

PUNJAB NATIONAL BANK Vs. LAXMI COTTON COMPANY

Decided On March 12, 1992
PUNJAB NATIONAL BANK Appellant
V/S
LAXMI COTTON COMPANY Respondents

JUDGEMENT

(1.) THE applicant bank has challenged the order dated 15.11.1988 passed by the IInd Additional judge to the Court of District Judge, Indore staying the proceedings of C.O.S. Nos. 34 -B/88 before it till the disposal of a criminal case pending Against the defendants. The law on the point has been discussed by me in the decision of Civil Revision No. 272/87 which was heard together with this case and, therefore, need not be reiterated. Whether the civil suit should be stayed pending criminal case on the same facts and circumstances has to be decided on the facts and circumstances in each case and no hard and fast rule can be prescribed for universal application. In the present case the court has stayed the suit mechanically without applying its mind to the facts and circumstances of the case blindly placing reliacne on a decision of this Court in New Bank of India v. Radhakishan Col. and Others (1988 JLJ 687). As pointed out in the decision in Civil Revision No. 272/27 (M/s. Laxmi Cotton Company and Others v. Punjab National Bank and Others), New Bank of India case (supra) also does not lay down a rule of universal application. The court has stated in the impugned order that the subject matter of the civil suit and the criminal case are the same and, therefore, the suit had to be stayed. It is beyond comprehension a to how the subject as matter of a civil suit and a criminal case could be the same. Both cases may arise out of the same facts but in civil case the court has not to adjudicate on the criminal intent of the parties. It has merely to decide whether money was due from the defendants or not. The criminal case is on a charge under Section 120 -B and Section 420 I.P.C. These matters were not to be decided in the civil suit. There could, therefore, be no embarrasment caused to the defendants if the civil suit continued the impugned order is not based on correct appreciation of law and facts. If it is allowed to stand it will cause miscarriage of justice. This revision application deserves to be allowed. It is hereby allowed and the impugned order is set aside. The Trial Court is directed to proceed further with the suit and decide it expeditiously. The non applicants on whose application the suit was stayed shall pay to the applicant Punjab National Bank costs of this proceeding. The costs quantified at Rs. 500/ - only. DD73 Application allowed.