Case: Kailash Chandra  Vs. Mukundi Lal

Brijesh Kumar, J. 1. This appeal has been preferred by the tenant of the premises in question against the Judgment and Order passed by Allahabad High Court dismissing appellants Writ Petition, filed against the order for his eviction passed in revision, on the ground of default in payment of rent. 2. The Landlords who are respondent Nos. 1-3 in the present appeal filed a suit for eviction of the appellant in the Court of Judge, Small Causes, Jaunpur. The ground for eviction on account of subletting by the appellant / tenant, was not accepted by the Trial Court. However, it was found that the appellant / tenant was in arrears of rent, but decree of eviction was not passed, since the appellant paid the amount due on the first date of hearing in accordance with S.20 (4) of the U.P. Urban Buildings (Regulation of Letting, Rent and Eviction) Act, 1972 (to be referred as Act). The Revisional Court, however, upset the order passed by the Trial Court and passed decree of eviction on account of arrears of rent as well as on the ground of subletting. The said order was upheld in the Writ Petition in so far it related to default in payment of rent. The High Court however held that the Revisional Court was wrong in substituting its own finding of fact regarding subletting, in exercise of its revisional powers. Therefore, finding of the Trial Court on the point of subletting stood restored. 3. The learned counsel for the parties have confined their submissions before us relating to the question as to whether the defendant appellant had cleared the arrears of rent or not. In this connection, it may be indicated that according to the respondent plaintiff, the rent of the accommodation in question was Rs. 18/- per month. The tenant stopped payment of rent w.e.f. 1-6-1971, but an amount of Rs. 443.50 paise was claimed on account of arrears of rent w.e.f. 15-12-1973 to 4-1-1975 and an amount of Rs. 240.50 paise on account of mesne profit w.e.f. 5-1-1975 till 15-12-1976. It is further averred in the plaint that rent for the period w.e.f. 1-6-1971 to 15-12-1973 was not being claimed having become barred by time. According to the appellant defendant, he had deposited all the amount due in the Court on the first date of hearing complying with S.20(4) of the Act and prior to that he had deposited the rent under S.30(2) of the Act. The property in question was on lease with the landlord, granted by Municipal Board. On expiry of the period of lease in the year 1971, the Municipal Board issued notice demanding rent from the defendant. Therefore, the defendant appellant resorted to the provisions of S.30(2) of the Act and started depositing the rent in the Court. Thus taking into account all the amounts deposited, nothing remained due to be paid to the plaintiff, therefore, decree of eviction could not be passed. 4. The High Court came to the conclusions that benefit of deposit under S.30(2) of the Act could not be given to the tenant under S.20(4) of the Act and the tenant has to clear off all the dues as standing against him including the amount of arrears which may, though have become barred by time. So far latter proposition is concerned, the High Courts view cannot be faulted with. In regard to the amount deposited under S.30(2) of the Act, the High Court has held as follows :- "In view of the fact that the amount of rent which was deposited by the tenant under S.30(2) of the Act, on a plain reading of S.20(4) could not be deducted or adjusted while making compliance of the requirements contemplated under sub-section(4) as the provision makes reference only to adjustment of rent deposited under S.30(1) and not to deposits made under S.30(2) of the Act, the finding of the trial Court extending benefit to the tenant of S.20(4) of taking into account the rent deposited by the tenant under S.30(2) suffered from an apparent error of law, which error has been corrected by the Revisional Court by excluding from consideration the said deposit for the purposes of judging the compliance of the provisions of sub-section (4) of S.20 of the Act." 5. The view taken by the High Court as indicated above requires examination though apparently on the face of it, it may seem to be correct. 6. Sub-section (4) of S.20 reads as under:- "(4) In any suit for eviction on the ground mentioned in Clause (a) of sub-section (2), if at the first hearing of the suit the tenant unconditionally pays or (tenders to the landlord or deposits in Court) the entire amount of rent and damages for use and occupation of the building due from him (such damages for use and occupation being calculated at the same rate as rent) together with interest thereon at the rate of nine per cent per annum and the landlords costs of the suit in respect thereof, after deducting therefrom any amount already deposited by the tenant under sub-section (1) of S.30, the Court may, in lieu of passing a decree for eviction on that ground, pass an order relieving the tenant against his liability for eviction on that ground:" S.30 of the Act reads as follows:- 30. Deposit of rent in Court in certain circumstances :- (1) If any person claiming to be a tenant of a building tenders any amount as rent in respect of the building to its alleged landlord and the alleged landlord refuses to accept the same then the former may deposit such amount in the prescribed manner and continue to deposit any rent which he alleges to be due for any subsequent period in respect of such building until the landlord in the meantime signifies by notice in writing to the tenant his willingness to accept it. (2) Where any bona fide doubt or dispute has arisen as to the person who is entitled to receive any rent in respect of any building, the tenant may like wise deposit the rent stating the circumstances under which such deposit is made and may, until such doubt has been removed or such dispute has been settled by the decision of any competent Court or by settlement between the parties, continue to deposit the rent that may subsequently become due in respect of such building. (3) The deposit referred to in sub-section (1), or sub-section (2) shall be made in the Court of the Munsif having jurisdiction. (4) On any deposit being made under sub-section (1), the Court shall cause a notice of the deposit to be served on the alleged landlord, and the amount of deposit may be withdrawn by that person on application made by him to the Court in that behalf. (5) On a deposit being made under sub-section (2), the Court shall cause notice of the deposit to be served on the person or persons concerned and hold the amount of the deposit for the benefit of the person who may be found entitled to it by any competent Court or by a settlement between the parties, and the same shall be payable to such person. (6) In respect of a deposit made as aforesaid, it shall be deemed that the person depositing it has paid it on the date of such deposit to the person in whose favour it is deposited in the case referred to in sub-section (1) or to the landlord in the case referred to in sub-section (2)." 7. A perusal of sub-section (4) of S.20 of the Act, no doubt indicates that the deduction of an amount from the total amount due is permissible only to the extent of deposit made under sub-section (1) of S.30. It does not mention about the deposits made under sub-section (2) of S.30 of the Act. 8. A tenant is required to make deposit, under sub-section (1) of S.30 on refusal of the landlord to accept the rent. The deposit under sub-section (2) of S.30 is required to be made where any doubt or dispute arises as to the person who may be entitled to receive rent in which event, the tenant may deposit the amount in the Court till such doubt has been removed or dispute has been settled. The effect of the deposits made under sub-section (1) and (2) is to be found under sub-section (6) of S.30 according to which it shall be deemed that the person depositing the amount has paid it on the date of deposit, to the person in whose favour deposit is made under sub-section (1) and to the landlord in case deposit is made under sub-section (2). It is thus clear that the effect of deposit under two different circumstances as provided under sub-sections (1) and (2) of S.30, is the same. The deposit is deemed to be payment made by the person depositing to the landlord. That being the position, it is not open to say that a deposit made under sub-section(2) of S.30 would not be deemed to be payment of rent to the landlord and the same is not liable to be accounted for while considering the amount due. Omission of sub-section (2) of S.30 in sub-section (4) of S.20 of the Act, cannot lead to an inference, which would negate or nullify the express and statutory effect provided under sub-section (6) of S.30 regarding deposits made under S.30 (2) of the Act. 9. As a matter of fact, it would not at all be necessary to incorporate the effect of sub-Section (6) of S.30 in sub-section (4) of S.20 of the Act. The effect of sub-section (6) of S.30 flows from the provision itself. Therefore, sub-section (4) of S.20 will have to be read with sub-section (6) of S.30 where it relates to deposit of rent made under sub-section (2) of S.30, which it would not be necessary in case of deposits under sub-section (1) of S.30. The interpretation as accepted by the High Court is unnatural and against the spirit and specific provision under sub-section (6) of S.30. There may or may not be a mention of sub-section (2) of S.30 in S.20(4), the plain and natural consequences statutorily provided should be allowed to flow irrespective of mention of sub-section (1) alone in sub-section (4) of S.20. There cannot be converse inference in the teeth of sub-Section (6) of S.30. Had sub-section (6) of S.30 been not there, it could perhaps provide some scope for such an inference. 10. A provision in the statute is not to be read in isolation. It has to be read with other related provisions in the Act itself, more particularly, when the subject matter dealt with in different sections or parts of the same statute is the same or similar in a nature. As in the case in hand, we find that the matter relates to liability of the tenant to pay rent to the landlord and the consequences on failure to do so as provided under S.20 (2) (a) of the Act. Sub-section (4) of S.20 deals with payment of arrears of rent etc. at the first hearing of the suit which in that event provides protection from eviction. S.30 deals with the two circumstances in which for one reason or the other, the rent is deposited in the Court instead of payment to the landlord. As noted earlier the effect of deposit of rent is provided under sub-section (6) of S.30. Therefore, all the related provisions have to be read together for the purposes of proper and harmonious construction. It is not only permissible but much desirable for proper understanding of the contents and meaning of the provisions under consideration. In R. S. Raghunath v. State of Karnataka and another, AIR 1992 SC 81 it has been observed - "No part of a Statute and no word of a Statute can be construed in isolation. Statutes have to be construed so that every word has a place and everything is in its place". In M. Pentiah Others v. Muddala Veeramall-appa and others reported in AIR 1961 SC 1107 , a reference was made to observations made by Lord Davey, in Canada Sugar Refining Company v. R., (1898 AC P. 375) it reads as follows :- "Every clause of a statute should be construed with reference to the context and other clauses of the Act, so as, as far as possible, to make a consistent enactment of the whole statute or series of statutes relating to the subject matter." See also : Gamman India Limited Etc. Etc. v. Union of India, AIR 1974 SC 960 ; Mysore State Road Transport Corporation v. Mira Khasivli Ven, 1977 SC 747 ; Commissioner of Income tax, Central Calcutta v. National Taj Traders, AIR 1980 SC 485 ; Sultana Begum v. Prem Chand Jain, AIR 1997 SC 1006 . 11. In O. P. Singhla and Another v. Union of India and Others, 1984 (4) SCC 450 at 461 it has been observed:-AIR 1984 SC 1595 at p. 1601 and 1602 : 1984 Lab IC 1659 Para 17 "One must have regard to the scheme of fasiculus of the relevant rules or Sections in order to determine the two meanings of any one or more of them and isolated consideration of a provision leads to the risk of some other inter related provisions becoming OTIOSE or devoid of meaning". (Emphasis supplied). 12. In the background of what has been held by this Court in the cases referred to in the preceding paragraph, it would only be proper rather necessary to read sub-section (4) of S.20 along with sub-Section (6) of S.30 of the Act. Sub-Section (4) of S.20 provides for payment of entire rent by the tenant at the first hearing of the Suit. It further permits, deduction of any amount therefrom which has already been deposited by the tenant under sub-Section (1) of S.30. Sub-section (2) of S.30 is omitted. The effect of payment under sub-section (2) of S.30 is that of payment by the depositor to the landlord. If it is so, how the said amount can be treated to be due from the tenant for payment to the landlord? If the amount deposited under sub-sec. (2) is not deductible under sub-section (4) of S.20 like the deposit made under sub-section(1) of S.30 and despite the deposit the tenant is liable to be evicted on the ground of arrears of rent, it would render sub-section (2) of S.30 devoid of meaning and sub-section (6) of S.30 otiose. 13. Double payment or deposit for the same period is not envisaged, nor it can be, therefore, for construing the meaning of entire amount due as occurring in sub-section (4) of S.20 of the Act, sub-section (6) of S.30 will have to be read along with it and not in isolation. It would also save sub-section (6) of S.30 from becoming OTIOSE. The anomalies and differentiation in the deposits made under sub-sections (1) and (2) of S.30, though the effect is the same, would also be saved. It would only harmonize the construction of the two provisions; namely sub-Section (4) of S.20 and sub-sections (2) and (6) of S.30 of the Act. Provisions of one Section of a statute cannot be used to defeat those of another unless it is impossible to effect reconciliation between them. (See Raj Krushna v. Vinod Kanungo, AIR 1954 SC 202 and Sultana begum (Supra) as also Mohd. Sher Khan v. Raja Seth, AIR 1922 PC page 17. 14. We also find that there are certain observations made in the judgment of the High Court for which there seems to be no basis. It is observed that amount of arrears of rent w.e.f. 1971 to 1973 have not been deposited, namely the amount which was left out to be claimed by the plaintiff being barred by time it does not appear to be correct on the face of it. It has been the case of petitioner that he had deposited the amount under sub-section 2 of S.30 only when the Municipal Board demanded rent from the defendant in 1971 on expiry of lease period of the plaintiff. It is nobodys case that amount deposited under sub-section 2 of S.30 was any amount other than for the period w.e.f. 1971. It is also not understandable as to how it has been observed by the High Court that even after the deposit made under S.30(2) is taken into account the time barred amount has not been paid. It is not necessary for us nor it would be appropriate to go into the details of the payments made but we find that the Trial Court observed that the defendant deposited Rs.700/- more than what was claimed in the plaint. A total sum of Rs. 648/- was demanded in the plaint, whereas the amount deposited was 1510/-. Rs. 443.50 p. was demanded on account of arrears of rent for the period from 15-12-1973 to 11-1-1975, thereafter, up to 15-12-1976 a sum of Rs. 204.50 as mesne profit for use and occupation. Rent for the period 21-5-1971 to 15-12-1973 had become time barred. There was admittedly a deposit made under S.30(2) of the Act. 15. We again find that at one place the High Court has observed that the Revisional Court made some observations that deposit under S.30(2) was not a bona fide deposit, hence it was not liable to be taken into account. No such question about the deposit under S.30(2) being bona fide or not, appears to have been raised before the Trial Court. No such issue was framed, nor finding recorded either way and rightly. It is not understandable how the observation came to be made by the Revisional Court for the first time. There is no denial of the fact that the Municipal Board had also served notice upon the defendant to make payment of the rent to it. It also does not appears that the plaintiff placed any document on the record to show that the Court where the deposit was being made under S.30(2) may have rejected the petition for deposit holding it to be not bona fide. Such an observation by the Revisional Court at the first instance is but only to be ignored.

Decision:
1[ds]whether the defendant appellant had cleared the arrears of rent or not4. The High Court came to the conclusions that benefit of deposit under S.30(2) of the Act could not be given to the tenant under S.20(4) of the Act and the tenant has to clear off all the dues as standing against him including the amount of arrears which may, though have become barred by time. So far latter proposition is concerned, the High Courts view cannot be faulted with5. The view taken by the High Court as indicated above requires examination though apparently on the face of it, it may seem to be correct7. A perusal ofn (4) of S.20 of the Act, no doubt indicates that the deduction of an amount from the total amount due is permissible only to the extent of deposit made undern (1) of S.30. It does not mention about the deposits made undern (2) of S.30 of the Act8. A tenant is required to make deposit, undern (1) of S.30 on refusal of the landlord to accept the rent. The deposit undern (2) of S.30 is required to be made where any doubt or dispute arises as to the person who may be entitled to receive rent in which event, the tenant may deposit the amount in the Court till such doubt has been removed or dispute has been settled. The effect of the deposits made undern (1) and (2) is to be found undern (6) of S.30 according to which it shall be deemed that the person depositing the amount has paid it on the date of deposit, to the person in whose favour deposit is made undern (1) and to the landlord in case deposit is made undern (2). It is thus clear that the effect of deposit under two different circumstances as provided unders (1) and (2) of S.30, is the same. The deposit is deemed to be payment made by the person depositing to the landlord. That being the position, it is not open to say that a deposit made under) of S.30 would not be deemed to be payment of rent to the landlord and the same is not liable to be accounted for while considering the amount due. Omission ofn (2) of S.30 inn (4) of S.20 of the Act, cannot lead to an inference, which would negate or nullify the express and statutory effect provided undern (6) of S.30 regarding deposits made under S.30 (2) of the Act9. As a matter of fact, it would not at all be necessary to incorporate the effect ofn (6) of S.30 inn (4) of S.20 of the Act. The effect ofn (6) of S.30 flows from the provision itself. Therefore,n (4) of S.20 will have to be read withn (6) of S.30 where it relates to deposit of rent made undern (2) of S.30, which it would not be necessary in case of deposits undern (1) of S.30. The interpretation as accepted by the High Court is unnatural and against the spirit and specific provision undern (6) of S.30. There may or may not be a mention ofn (2) of S.30 inS.20(4), the plain and natural consequences statutorily provided should be allowed to flow irrespective of mention ofn (1) alone inn (4) of S.20. There cannot be converse inference in the teeth ofn (6) of S.30. Hadn (6) of S.30 been not there, it could perhaps provide some scope for such an inference12. In the background of what has been held by this Court in the cases referred to in the preceding paragraph, it would only be proper rather necessary to readn (4) of S.20 along withn (6) of S.30 of the Act.n (4) of S.20 provides for payment of entire rent by the tenant at the first hearing of the Suit. It further permits, deduction of any amount therefrom which has already been deposited by the tenant undern (1) of S.30.n (2) of S.30 is omitted. The effect of payment undern (2) of S.30 is that of payment by the depositor to the landlord. If it is so, how the said amount can be treated to be due from the tenant for payment to the landlord? If the amount deposited under. (2) is not deductible undern (4) of S.20 like the deposit made under) of S.30 and despite the deposit the tenant is liable to be evicted on the ground of arrears of rent, it would rendern (2) of S.30 devoid of meaning andn (6) of S.30 otioseDouble payment or deposit for the same period is not envisaged, nor it can be, therefore, for construing the meaning of entire amount due as occurring inn (4) of S.20 of the Act,n (6) of S.30 will have to be read along with it and not in isolation. It would also saven (6) of S.30 from becoming OTIOSE. The anomalies and differentiation in the deposits made unders (1) and (2) of S.30, though the effect is the same, would also be saved. It would only harmonize the construction of the two provisions; namelyn (4) of S.20 ands (2) and (6) of S.30 of the Act. Provisions of one Section of a statute cannot be used to defeat those of another unless it is impossible to effect reconciliation between them. (See Raj Krushna v. Vinod Kanungo, AIR 1954 SC 202 and Sultana begum (Supra) as also Mohd. Sher Khan v. Raja Seth, AIR 1922 PC page 1714. We also find that there are certain observations made in the judgment of the High Court for which there seems to be no basis. It is observed that amount of arrears of rent w.e.f. 1971 to 1973 have not been deposited, namely the amount which was left out to be claimed by the plaintiff being barred by time it does not appear to be correct on the face of it. It has been the case of petitioner that he had deposited the amount undern 2 of S.30 only when the Municipal Board demanded rent from the defendant in 1971 on expiry of lease period of the plaintiff. It is nobodys case that amount deposited undern 2 of S.30 was any amount other than for the period w.e.f. 1971. It is also not understandable as to how it has been observed by the High Court that even after the deposit made under S.30(2) is taken into account the time barred amount has not been paid. It is not necessary for us nor it would be appropriate to go into the details of the payments made but we find that the Trial Court observed that the defendant deposited Rs.700/more than what was claimed in the plaint. A total sum of Rs. 648/was demanded in the plaint, whereas the amount deposited was. Rs. 443.50 p. was demanded on account of arrears of rent for the period from3 to, thereafter, up to6 a sum of Rs. 204.50 as mesne profit for use and occupation. Rent for the period1 to3 had become time barred. There was admittedly a deposit made under S.30(2) of the Act15. We again find that at one place the High Court has observed that the Revisional Court made some observations that deposit under S.30(2) was not a bona fide deposit, hence it was not liable to be taken into account. No such question about the deposit under S.30(2) being bona fide or not, appears to have been raised before the Trial Court. No such issue was framed, nor finding recorded either way and rightly. It is not understandable how the observation came to be made by the Revisional Court for the first time. There is no denial of the fact that the Municipal Board had also served notice upon the defendant to make payment of the rent to it. It also does not appears that the plaintiff placed any document on the record to show that the Court where the deposit was being made under S.30(2) may have rejected the petition for deposit holding it to be not bona fide. Such an observation by the Revisional Court at the first instance is but only to be ignored