STATE OF ORISSA Vs. ORISSA OIL INDUSTRIES LTD

JUDGEMENT

(1.) The question for consideration before me is as to whether this Court should stay the operation of the impugned order of ad interim injunction passed by the learned Subordinate Judge, Sambalpur, in Miscellaneous Case No.45 of 1982 arising out of Title Suit No.37 of 1982 instituted by the respondents against the appellants in his court injuncting the appellants from giving effect to the resolutions dated 23-4-1980, 15-5-1980 and 30-5-1980 of the State Government in the Department of Forest, Fisheries and Animal Husbandry and the letter dated 7-5-1982 of the appellant No.4 addressed to the respondent No.2 debarring the respondent No.2 from collecting sal seeds from out of the areas of the Similipahar Forest Development Corporation Limited and further informing that the collection and disposal of sal seeds by it from 1-10-1981 would be confined to the jurisdiction of the present Karanjia Division only, and from interfering in any manner with the exclusive right of the respondent No.2 to collect and appropriate sal seeds from the areas described in the schedule to the application and supply the same to the respondent No.1 for utilisation in its industry and from impeding in any manner the ingress or egress of the men and trucks/vehicles of the respondent No.2 into and out of the scheduled areas or transport thereof from/out of scheduled areas and from refusing to issue necessary permits for the said purpose. In the schedule of the order had been included the entire forests of Karanjia and Baripada Forest Division including the areas/forests alloted/attempted to be allotted to Similipahar Forest Development Corporation Limited.

(2.) The respondent No.2 had been granted lease by the State Government in respect of twelve forest divisions including the Baripada and Karanjia Divisions for the purpose of collection of sal seeds from which oil is extracted and used for manufacture of some commodities. The leases in question had been renewed from time to time in favour of that company. On 8-1-1979, the State Government passed a policy resolution in regard to exploitation of minor forest produce including the sal seeds. Subsequent to this policy decision of the State Government, the application of the respondent No.2 for renewal was considered and it was granted lease for a period of ten years on the conditions laid down in the policy decision as well as on the terms and conditions of the lease executed between the parties. This lease was to continue until the year 1989. On 22-4-1980, the respondent No.2 was informed in a letter from the Divisional Forest Officer, Baripada, to the effect that the Similipahar Forest Development Authority had come into existence since February, 1980 and therefore, the respondent No.2 was to abide by clause 17(v) of the Agreement and no collection should be made in the Similipahar Reserved Forest (Annexure-17 to the plaint). Thereafter, as per Annexure-18 to the plaint, the Managing Director of the Similipahar Forest Development Corporation Limited, which is a Government of Orissa Undertaking, invited sealed tenders from interested parties for purchase of sal seeds for the year 1980 from the Project area. The respondent No.2 unsuccessfully challenged the legality of the aforesaid letter dated 22-4-1980 from the Divisional Forest Officer, Baripada, in the Calcutta High Court, before a learned single Judge and the writ application was dismissed on 19-5-1980. Against the order of the learned single Judge, the respondent No.2 moved a Division Bench of the Calcutta High Court in P.H.A.T. No.1445 of 1980 and the appeal was dismissed as per Annexure-A to the memorandum of appeal presented in this Court. The respondent No.2 then moved a petition in the Supreme Court for grant of Special Leave to Appeal in S.L.P. No.5515 of 1980 against the judgement of the Calcutta High Court, but it was withdrawn. The respondent No.1 then filed a writ application in this Court (O.J.C. No.954 of 1980). In the meantime, the respondent No.1 made a representation to the State Government for reconsideration of the decision with respect to the lease of sal seeds in the Similipahar Forest Development area and on consideration of the representation, it was decided that the areas would be given to the respondent No.2 for collection of sal seeds for a period of one year only, i.e., 1981. Pursuant to this order, the respondent No.2 was permitted to collect sal seeds for the year 1981.

(3.) The respondents have now instituted Title Suit No.37 of 1982 in the court of the learned Subordinate Judge, Sambalpur and have prayed for ad interim order of injunction against the appellants injuncting them from giving effect to the Government resolutions and the letter of the Divisional Forest Officer dated 7-5-1982 referred to above. The suit was instituted on 12-5-1982. The application for ad interim injunction was filed on 14-5-1982. On the same day, the impugned order was passed which the State Government could know on 17-5-1982 having received notice thereof from the court of the learned Subordinate Judge. 15-5-1982 was the last working day for the subordinate civil courts in this State and the summer vacation commenced on and from the 16th May, 1982, The last working day, i.e., the 15th May, 1982, was ordinarily to be observed as a clearance day by the court. Because or this difficulty and as the order of injunction had been passed only one day prior to the day when the civil courts were to be closed, the copy of the impugned order could not be obtained by the appellants. After obtaining an order of ad interim injunction in their favour, the petitioners in O.J.C. No.954 of 1980 have now put in a memorandum in this Court on 17-5-1982 stating thus :