Official Liquidator Vs Savannah Lifestyle Private Limited (Bombay High Court)
Bombay High Court held that mere delay in filing application for recall or review, not involving latches, acquiescence or estoppel, would not prevent this Court from exercising inherent power of recalling its order.
Facts- Liquidator of Vasantdada Shetkari Sahakari Bank Ltd. (The Bank) has filed Interim Application No. 13400 of 2024 seeking recall of order dated 21 October 2022, which is passed in view of Minutes of Order dated 20 October 2022. Review Petition No.85 of 2024 is filed by Mr. Amit Prabhakar Kore, suspended director of M/s. Shaila Clubs & Resorts Private Limited (Shaila Clubs) seeking review of Order dated 21 October 2022. Shaila Clubs has filed Review Petition No. 38 of 2023 seeking review of the Order dated 21 October 2022.
Thus, the Interim Application and the two Review Petitions essentially seek either recall or review of order passed by this Court on 21 October 2022 disposing of Writ Petition No.11610 of 2022 based on Minutes of Order tendered on 20 October 2022.
Conclusion- Held that on the issue of delay in filing of Interim Application No.13400 of 2024 and in filing the two Review Petitions, it is well settled position of law that mere delay, not involving latches, acquiescence or estoppel, would not prevent this Court from exercising inherent power of recalling its order. The inherent power of this Court in recalling an order is not circumscribed by considerations of delay. Once this Court arrives at a conclusion the compromise is unlawful and could not have been acted upon by this Court, mere delay would not be a hurdle for this Court to recall and/review the recording of unlawful compromise. Reliance by Mr. Seervai on judgments in Annada Prasad Mitra, Somar Bhuiya, Pooranchand Mulchand Jain, M.M. Thomas and State of Maharashtra V/s. Digambar (supra) in this regard is apposite. Once this Court arrives at a conclusion that the compromise itself is unlawful, mere delay in filing applications for recall or review cannot be a reason for shutting the doors of this Court on technical ground of delay.
