Paritosh Jain & Anr vs Jaiprakash Associate Ltd

Subhash Chandra, Presiding Member

This Execution Application under Sections 71 and 72 of the Consumer Protection Act, 2019, seeks the execution of the judgment of this Commission dated 12.08.2021 in CC no. 760 of 2021 as required by the Review Application no.68 of 2021 dated 27.09.2021. Vide order in CC no. 760 of 2021 dated 12.08.2021 this Commission had directed that the Opposite Party (Judgment Debtor) to refund the principal amount of Rs.1,43,94,999/- with interest @ 12% per annum from the respective dates of deposit till the date of realization with cost of Rs.25,000/- within four weeks of receipt of the order failing which to refund the amount with interest @ 14% per annum for the same period in terms of the judgment of this Commission in Anish Singhal vs Jaiprakash Associates Ltd., in  CC no.2194 of 2016 dated 01.10.2019. This order was challenged by the opposite party in Civil Appeal nos. 7012–7013 of 2021 before the Hon’ble Supreme Court which was disposed of vide order dated 13.12.2021 as under:

We do not find any merit in these appeals so as to interfere with the impugned order passed by the National Consumer Disputes Redressal Commission at New Delhi, to the extent of direction for refund of the principal amount. However, we are of the view that grant of interest @ 12% is on higher side. Accordingly, we modify the interest awarded by the Commission from 12% to 9%. The interest is to be calculated from the respective dates of deposit made by the respondents till the date of realization of the amount. The impugned order stands modified to the extent, as indicated above.

The Civil Appeals stand disposed of accordingly.

The Judgment Debtor therefore, contended that in terms of the order of the Hon’ble Supreme Court, the applicable rate of interest in the order under execution in CC no. 760 of 2021 would be 9%. The Decree Holder has, however, contended that the rate of interest awarded by this Commission @ 12% only had been reduced to 9% and that directions to pay 14% interest for the default in not making payment within four weeks of the receipt of the order would continue stand as ordered.

After hearing both the parties, the Registry of this Commission was directed to calculate the amount payable which was done vide report of the Registrar dated 05.02.2023 as per which the interest was calculated @ 9% in terms of the judgment of the Hon’ble Supreme Court and the balance amount of Rs.10,43,461/- including the principal, interest and cost was calculated as payable to the Decree Holder as on that date.

The short issue in this Execution Application is whether the Decree Holder is entitled to default rate of interest of 14% as per the order dated 12.08.2021 of this Commission. It is evident that in view of the judgment of the Hon’ble Supreme Court dated 13.12.2021 by the doctrine of merger, as also held in Khoday Distilleries Limited (now known as Khoday India Limited) and Others vs Sri Mahadeshwara Sahakara Sakkare Karkhane Limited, Kollegal (under Liquidation), Represented by the Liquidator, Civil Appeal no. 2432 of 2019 with 2433 of 2019 decided on 01.03.2019, the order under execution stands merged with the order of the Hon’ble Supreme Court dated 13.12.2021 in CA No. 7012-7013.

In view of the foregoing, the Execution Application is disposed of with the directions that the Judgment Debtor shall pay to the Decree Holder the principal amount received by it along with interest @ 9% per annum from the respective dates of deposit till the date of realization. The contention of the decree holder that it is entitled to 14% interest per annum beyond the period of four weeks cannot be considered in the light of the judgment of the Hon’ble Supreme Court.

In view of some payment having already been made to satisfy the decree the Judgment Debtor shall pay the balance amount, if any, outstanding as per the above directions within a period of four weeks to the Decree Holder.

Execution Application no. 230 of 2021 is disposed of with the above directions. All pending IAs, if any, also stand disposed of by this order.