Case: Central Bank of India Vs. N.R.C. Limited

This contempt petition makes a grievance that the respondent-N.R.C. Ltd. has not complied with the order dated 19th August, 2013 passed by this Court while dismissing their SLP (C) No.24874 of 2013, and an action be taken against them for committing contempt of the above order passed by this Court. The said order dismissed the SLP filed by the respondent, challenging their eviction from the premises occupied by them. However, considering the number of employees who were engaged in their registered office situated at that place, they were granted time till the end of December, 2014 to vacate the premises, subject to filing the usual undertaking in the Registry of this Court within four weeks from that date, stating that the petitioner will not create any third party rights, all the mesne profits will be paid in the meanwhile, and will peacefully vacate the premises concerned at the end of December, 20142. That special leave petition was filed to challenge the judgment dated 10th May, 2013 of the High Court of Bombay in Writ Petition No.2898/2011 and L.P.A. No.174 of 2012 under which the order passed by the Estate Officer of the appellant, and confirmed by the City Civil Court was left undisturbed. The order dated 19th August, 2013 required the respondent to file the necessary undertaking, but it was not filed, and the mesne profits as required have also not been paid. It is also pointed out that subsequently one more I.A., being I.A. No.2 of 2014, was taken out by the respondent-N.R.C. Ltd. to be relieved of this undertaking, and that I.A. was not pressed, and the same came to be dismissed by this Court by its order dated 7th October, 2013.

Court's reasoning:
7. As far as the present action initiated by the Central Bank of India is concerned, the notice to evict was issued on 26th June, 2007, much after the Maharashtra Rent Control Act came into force on 31.3.2000. This Act clearly lays down that it shall not apply to Public Ltd. Companies having a paid up share capital of Rs. One Crore or more. Section 3 (1) (b) of the Act reads as follows:-1) This act shall not apply(b) To any premises let or sub-let to banks, or any Public Sector Undertakings or any Corporation established by or under any Central or State Act, or foreign missions, international agencies multinational companies, and private limited companies and public limited companies having a paid up share capital of rupees one crore or more."There is no dispute that the respondent N.R.C. Ltd. is a company having a paid up share capital of more than rupees one crore. That being so, the protective umbrella of the State Rent Control Act which was available to the N.R.C. Ltd. would not be available to it beyond 31.3.2000. That being so, the provisions of Public Premises Act would clearly apply to these premise on or after 31.3.2000 for the purposes of eviction of unauthorised occupants and therefore, the action initiated by the Central Bank of India could not be faulted with8. Mr. Andhiyarujina, learned senior counsel, appearing for the N.R.C. Ltd. has drawn our attention to the fact that the company?s affairs are before the BIFR, and it also had correspondence with the trade union representing the employees, but the employees union was not ready to help in any manner. Those are different aspects, and as pointed out by Mr. Raju Ramachandran, learned senior counsel, the financial difficulties of N.R.C. Ltd. were brought to the notice of this Court by filing the I.A.No.2 of 2014 which was not pressed, and that being so, the issue cannot be allowed to be re-agitated. A tenant or an occupant cannot be permitted to be on the premises of the landlord without paying the rent, or the occupation charges, which is what N.R.C. Ltd. is attempting to do