TMI Blog2022 (9) TMI 144X X X X Extracts X X X X X X X X Extracts X X X X ..... Committee Members, not the SRA who is under obligation to implement the Resolution Plan infusing funds, when the Contempt Case against SRA is not prosecuted, the Contemnor Nos. 1 and 4, who are Members of Supervising Committee, cannot be found guilty for criminal contempt for the reason that the SRA has to infuse funds to implement Resolution Plan and unless the SRA infused funds, the Committee can do nothing to implement the Resolution Plan. Therefore, the alleged acts of Contemnors 1 and 4 cannot be said to be willful or intentional, to saddle with any liability for criminal contempt. Criminal Contempt is defined under Section 2(C) of Contempt of Courts Act, 1917. A special procedure is provided to take cognizance of criminal contempt, other than criminal contempt in the face of Supreme Court or High Court. In case of criminal contempt, other than contempt referred under Section 14 of the Act, Supreme Court or High Court may take action on its own motion or on a motion made by Advocate General or any other person, with the consent in writing of Advocate General. In relation to Union Territory of Delhi, such Law Officer, as the Central Govt. may by notification in the Official ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dent No. 4 JUDGMENT ( Per Hon ble Mr. Justice M. Satyanarayana Murthy ) A Financial Creditor i.e., IDBI Bank filed the present contempt case under Section 425 of Companies Act, 2013 r/w Article 215 of Constitution of India and Section 15 of Contempt of Court Act 1971 against the Supervisory Committee of Deccan Chronicle Holdings Limited (hereinafter referred to DCHL ) represented by Ms. Mamta Binani, the erstwhile Resolution Professional and at present Member of Supervisory Committee to punish the Contemnors No. 1 to 4 for criminal contempt for lowering the authority of this Appellate Tribunal, interfering with the course of proceedings before this Tribunal and for obstructing administration of justice, finding them guilty for Contempt of Court. The following are the acts of contemnors alleged constituted criminal contempt. (a) Approaching adjudicating authority for stay of direction passed by the Appellate Tribunal thereby obstructed administration of justice. (b) This Tribunal vide order dated 22.05.2019 in the Appeal directed as follows: In the meantime, decision, if any taken by the Adjudicating Authority for implementation of Resolution Plan shall be s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... filed Interlocutory Application on behalf of Contemnor before Adjudicating Authority, seeking indirect stay of operation of order of this Tribunal dated 01.06.2021. 3. Despite several directions of this Tribunal at various stages, though two years period has been elapsed, the Plan was not implemented but the Contemnors infused Rs. 60 Crores as a lip service on 15th June, 2021, thus the Contemnors have failed to further implement the Resolution Plan as failure to infuse balance of Rs. 348.06 Crores as agreed in the Resolution Plan amount to contempt. 4. It is further contended that with one hand the Contemnors assuring implementation of Resolution Plan while assuring implementation by Supervisory Committee, on the other hand the Contemnors have filed Interlocutory Applications before the Adjudicating Authority, at last on 27th August, 2021, the Contemnors served a copy of one such Applications filed before the Adjudicating Authority. The said Application was listed before the Adjudicating Authority on 8th September, 2021 as I.A.(IB)/480(HYD) 2021 and passed an order on the even date. Very filing of Applications without implementation of Resolution Plan amounting to interferen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... year from the date of commission of alleged contempt. Section 20 prescribes only a condition precedent to exercise power of Court under Contempt Jurisdiction. Whether or not Section 3 of the Limitation Act is attracted, it is the Court s duty to see that this condition precedent to exercise of Contempt Jurisdiction is satisfied. The Court cannot overlook it, nor can it defeat the statute, vide Dineshbai Vs. Kripalu Co-operative Housing AIR 1980 Gujarat page 194 (D.B) At the same time, Section 20 applies to all Contempts, whether Court took action sue moto or at the instance of a party, which had obtained Advocate Generals permission, no notice can be issued after expiry of one year, as held in Hari Nandan Vs. S N Pandeta AIR 1975 AII page 48. 13. In view of the clear embargo contained in Section 20 of Contempt of Courts Act, 1971 to exercise contempt jurisdiction to take cognizance, it is the duty of the Tribunal to decide, the issue of limitation to take cognizance of criminal contempt in the present petition. 14. Admittedly, the Contempt case is filed on 14th September, 2021, the alleged acts of Contemnors constituting criminal contempt must be within a year proce ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ement Resolution Plan and unless the SRA infused funds, the Committee can do nothing to implement the Resolution Plan. Therefore, the alleged acts of Contemnors 1 and 4 cannot be said to be willful or intentional, to saddle with any liability for criminal contempt. Criminal Contempt is defined under Section 2(C) of Contempt of Courts Act, 1917 is as follows: 2. (C) criminal contempt means the publication (whether by words, spoken or written, or by signs, or by visible representations, or otherwise) of any matter or the doing of any other act whatsoever which- (i) Scandalizes or tends to scandalize, or lowers or tends to lower the authority of, any Court; or (ii) Prejudices, or interferes or tends to interfere with, the due course of any judicial proceeding; or (iii) Interferes or tends to interfere with, or obstructs or tends to obstruct, the administration of justice in any other manner; (iv) High Court means the High Court for a State or a Union territory, and includes the Court of the Judicial Commissioner in any Union territory. 17. Criminal contempt is divided into tow categories, one is publication of any matter which ..... X X X X Extracts X X X X X X X X Extracts X X X X
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