Shri.Nandkumar Naidu S/O Damodar Naidu Vs Shri.Rudramuni Devaru Mathadipathi

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1 - NC: 2025:KHC-D:12133-DB RFA No. 100135 of 2020

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HC-KAR

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IN THE HIGH COURT OF KARNATAKA, AT DHARWAD DATED THIS THE 16^TH DAY OF SEPTEMBER 2025

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PRESENT

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THE HON'BLE MR. JUSTICE S.R. KRISHNA KUMAR AND

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THE HON'BLE MR. JUSTICE C.M. POONACHA REGULAR FIRST APPEAL NO.100135 OF 2020 (MON)

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BETWEEN:

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SHRI. NANDKUMAR NAIDU S/O. DAMODAR NAIDU, AGE: 65 YEARS, OCC: BUSINESS, R/O: NO.5, "MANJUNATH NILAY", SAI NAGAR, HUBBALLI, DIST: DHARWAD-580031.

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&APPELLANT

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(BY SRI. SANJAY S. KATAGERI, ADVOCATE)

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AND:

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Digitally signed by SAMREEN AYUB DESHNUR Location: HIGH COURT OF KARNATAKA DHARWAD BENCH

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SHRI. RUDRAMUNI DEVARU MATHADIPATHI SHADAKSHARAMATH, AGE: 60 YEARS, OCC: PONTIFF, KANCHAGHATTA, TIPTUR, TQ: TIPTUR, DIST: TUMKURU-572201.

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&RESPONDENT (BY SRI. MALLIKARJUNSWAMY B. HIREMATH, ADVOCATE)

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THIS RFA IS FILED UNDER SECTION 96 OF CPC AGAINST THE JUDGMENT AND DECREE DATED 25.10.2019 PASSED IN O.S.NO.363/2012 ON THE FILE OF THE I ADDITIONAL SENIOR CIVIL JUDGE, HUBBALLI, DISMISSING THE SUIT FILED FOR RECOVERY OF MONEY.

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NC: 2025:KHC-D:12133-DB RFA No. 100135 of 2020

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HC-KAR

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THIS APPEAL COMING ON FOR ORDERS THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER:

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CORAM: THE HON'BLE MR. JUSTICE S.R. KRISHNA KUMAR AND

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THE HON'BLE MR. JUSTICE C.M. POONACHA

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ORAL JUDGMENT

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(PER: THE HON'BLE MR. JUSTICE S.R. KRISHNA KUMAR)

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This appeal by the plaintiff in O.S.No.363 of 2012 on the file of the I Additional Senior Civil Judge, Hubballi¹ , is directed against the impugned judgment and decree dated 25.10.2019 whereby, the said suit filed by the appellant/plaintiff against the respondent/defendant for recovery of sum of ¹29,50,000/together with interest was dismissed by the Trial Court.

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The parties have entered into a joint compromise petition amicably settling the dispute between them. The said compromise petition filed under Order XXIII Rule 3 of the Code of Civil Procedure, 1908² reads as under:

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<COMPROMISE PETITION UNDER ORDER 23 RULE -3 R/W 151 OF CPC.

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The Appellant and the Respondent herein humbly submits this Compromise Petition which is as follows:

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1 Hereinafter referred to as <the Trial Court= for short.

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2 Hereinafter referred to as <the CPC= for short.

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HC-KAR

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1) That, the top Noted Regular First Appeal is filed by the Appellant /Plaintiff in challenging the Impugned Judgment and Decree dated: 25-10-2019 passed in O.S. No.363/2012 by the learned I Addl. Senior Civil Judge and JMFC, Hubballi, wherein the Suit filed by the Appellant herein for the Relief of Recovery of Money as against the Respondent herein came to be dismissed. Hence, this Regular First Appeal by the Plaintiff.

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2) That, the said Suit in O.S. No. 363/2012 was filed by the Appellant for Recovery of Money of Rs. 29,50,000/- with interest at the rate of 18% p.a. from the date of Suit till its realization as against the Respondent herein./Defendant. The said Suit was filed in view of the Appellant herein having been Appointed as Manager by the Respondent with Remuneration of Rs.3,00,000/- per annum for the Services to be Rendered by the Appellant in respect of Number of Litigations involved by the Respondent as Junior Pontiff with Senior Pontiff of Moorusavira Math, Hubballi in respect of Mathadipati of the Dispute. So also, the Appellant was Appointed as GPA Holder by the Respondent herein in this regard.

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3) That, in all some 31 Litigations were involved by the Respondent herein with the said Senior Pontiff of Moorusavira Math before various Courts. Since 199798 and the same was ended in the 2009-10. Wherein. the matter was settled in view of the Arbitration Proceedings as initiated by the Hon'ble Supreme Court in this regard before the Arbitrator at Kolkata. Thus,

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HC-KAR

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the Respondent herein having settled the Matter and was given abode at Tiptur Math in (Tumkur) Tumkuru District.

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4) Thus, in view of the Services rendered by the Appellant herein and so also, having appointed as Manager and GPA Holder of the Respondent herein, the Respondent handed over 4 Account Pay Cheque dated: 10-08-2009, 10-09-2009, 12-10-2009 and 10-11-2009 for the Value of Rs.7,37,500/- each in 4 Installments. Thus, the said Cheque were for Totally Rs.29,50,000/(Rupees Twenty Nine Lakhs Fifty Thousand only) drawn through Tumkur Grain Merchants Co-Operative Bank Ltd., Tiptur Branch in favour of the Appellant herein.

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5) Thus, when the Appellant presented one after another said Cheque, they were dishonored on account of "Insufficient of Funds" in the Account of Respondent. Thus, the Appellant initiated Legal Proceedings against the Respondent by complying the Procedure as Contemplated Under the N.I. Act before the Jurisdictional JMFC Court, Hubballi.

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6) Thus, 4 Cheque Bounce cases were filed by the Appellant against the Respondent and the same are pending as on today before the Learned III Additional Civil Judge & JMFC, Hubballi.

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They are as follows:

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i. C.C. No.1421/2016 (Old C.C. No. 915/2010) (PCR No.234/2009).

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HC-KAR

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ii. C.C. No. 1422/2016 (Old C.C. No. 916/2010) (PCR No.19/2010).

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iii. C.C. No. 1423/2016 (Old C.C. No. 914/2010) (PCR No. 9/2010).

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iv. C.C. No. 1424/2016 (Old C.C. No. 1251/2010) (PCR No. 1/2010).

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7) That, the said Criminal Cases as pending between the Appellant and Respondent are out of the same and one transaction only. The Criminal Cases are pertaining to Cheque Bounce Case under the N.I. Act. Whereas, the said Civil Suit in O.S. No. 363/2012 was for Recovery of the said Amount itself. Thus, in both the Cases Recovery Amount of Rs. 29,50,000/- by the Appellant as against the Respondent herein is one and same. Thus, in view of Settlement of the Matter between the Appellant and Respondent, this Compromise Petition is filed in which both the Civil as well as Criminal Case are settled in this Appeal before this Hon'ble Court with the following Terms and Conditions.

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a) The Appellant herein / Plaintiff has agreed to Receive Full and Final Claim Amount of Rs. 19,00,000/- (Rupees Nineteen Lakh only), which includes Interest, Costs etc. from the Respondent herein /Defendant, in lieu of his Claim Amount of Rs.29,50,000/- with 18% p.a. as prayed in the O.S. No. 363/2012 and as decided by the Learned I Addl. Senior Civil Judge and JMFC, Hubballi, by the Judgment and decree dated: 25-10-2019

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HC-KAR

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which is challenged in this Appeal. So also, the Claim made by the Appellant in the said 4 Criminal Cases as against the Respondent which are pending in C.C.No.1421/2016, C.C.No.1422/2016, C.C. No.1423/2016 and C.C. No. 1424/2016 as on today on the file of Learned III Additional Civil Judge & JMFC, Hubballi.

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b) The Respondent herein agrees to pay the said Amount of Rs. 19,00,000/- (Rupees Nineteen Lakhs only) to the Appellant herein in respect of the said Claim made in the Suit in O.S. No. 363/2012 and the Cheque Amount Claimed Under the N.I. Act in the said 4 pending Criminal Cases Nos. 1421/2016, 1422/2016, 1423/2016 and 1424/2016 before the III Addl. Civil Judge and JMFC, Hubballi. Thus, the Respondent herein agrees to pay the said Amount in this Appeal before this Hon'ble Court to the Appellant. So, the Appellant agrees to withdraw all said 4 Criminal cases as filed under N.I Act as mentioned above as against the Respondent herein.

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c) That, the Respondent herein shall pay the said Amount of Rs. 19,00,000/- (Rupees Nineteen Lakh only) by way of Two Separate Demand Drafts of Rs. 12,00,000/ (Rupees Twelve Lakh Only) drawn through the Bank of Baroda, Broadway HubliDharwad dated: 15-09-2025 DD No. 165269 payable to the Appellant herein at Hubballi. Similarly, another Demand Draft for Rs.7,00,000/

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HC-KAR

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(Rupees Seven Lakh Only) drawn through Indian Bank, Tipaturu Branch dt 12.09.2025 D.D.No.708042 payable to the Appellant herein at Hubballi.( At par at all Branch) The said Amount is paid in Two Installments by way of Demand Draft and the same is paid today i.e. 16-09-2025 before this Hon'ble Court in this Appeal to the Appellant. The Appellant acknowledges the Receipt of the said Amount of Rs. 19,00,000/- (Rupees Nineteen Lakhs only) by way of 2 Separate Demand Drafts from the Respondent.

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d) The Appellant herein Acknowledges that he has no any further Claim in any manner before any Court of Law or Authority or Forum as against the Respondent herein in this regard. Thus, Appellant agrees that he will not file any Case of Civil or Criminal or other Cases as against the Respondent herein in this regard.

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e) So also, the Respondent is not liable to pay any Claim of such amount or any consideration or kind to the Appellant in this regard before any Court of Law or Authority or Forum. The Respondent shall not file any Case either Civil or Criminal or other nature case as against the Appellant herein before any Court of Law or Forum or Authority in respect of this transaction.

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f) The Appellant agrees to withdraw all the said 4 Criminal Cases as filed against the Respondent

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NC: 2025:KHC-D:12133-DB RFA No. 100135 of 2020

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HC-KAR

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and which are as on today pending before the Learned III Addl. Civil Judge and JMFC Court, Hubballi in C.C. No.1421/2016, C.C. No.1422/2016, C.C. No.1423/2016 and C.C. No. 1424/2016 as arising out of the N.I. Act. The said withdrawal of the Cases by the Appellant is without any condition, in view of the Settlement taken place in this regard in this Compromise Petition between the Appellant and the Respondent in this Appeal.

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g) That, in the event of said Demand Drafts are not realized in a manner known to Law to the Appellant, then it shall be deemed that the Respondent herein has failed to comply the Terms and Conditions of this Compromise Petition. Thus, Appellant herein /Plaintiff is entitle for the Judgment and Decree in this Appeal of the said Suit in O.S. No. 363/2012 as prayed therein against the Respondent. Thus, the Respondent shall not obstruct such Judgment and decree of this Appeal before any Court of Law.

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h) Further, in the Event of Appellant herein refused to receive the said Agreed amount of the Demand Drafts as per the Terms and Conditions of this Compromise Petition, the Respondent liberty to Deposit the same before this Hon'ble Court in this Appeal or by filing Execution Petition before the Trial Court as per this Compromise Petition.

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HC-KAR

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8) That, this Settlement by way of this Compromise Petition in between the Appellant and Respondent herein is agreed with their Free Consent and there is no any Coercion, Undue Influence, Misrepresentation or Fraud to any of the parties or between them.

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9) This Compromise Petition is binding upon the Appellant and Respondent herein and upon their Legal Heirs, successors, Executants, Assignees, Administrator, Agents etc.

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10) That, the contents of this Compromise Petition which is in English Language is read over and explained to the Appellant and Respondent in the Kannada Language known to them. Thus, they have agreed for the Terms and Conditions of this Compromise Petition which are true and correct to the best of their knowledge, belief and information and thereby they have affixed their signatures with their Free Consent. Hence, this Compromise Petition be kindly accepted by this Hon'ble Court.

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11) That, the Appellant herein / Plaintiff is entitle for Refund of the Court Fee of Rs. 1,45,375/- as paid in this Appeal before this Hon'ble Court. The Respondent herein shall not have any Right or Interest over the said Court Fee payable to the Appellant. Thus, the Registry of this Hon'ble Court be kindly directed to Refund the said Court Fee of Rs.1,45,375/- in favour of the Appellant herein as provided Under

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HC-KAR

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Section-66 of the Karnataka Court Fees and Suits Valuation Act-1958.

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Therefore, it is most humbly prayed by the Appellant herein /Plaintiff and the Respondent herein / Defendant to this Hon'ble Court, be please to Accept this Compromise Petition with the Terms and Conditions as stated above, by Setting Aside the Impugned Judgment and Decree dated: 25-10-2019 passed in O.S. No.363/2012 by the Learned I Addl. Senior Civil Judge & JMFC, Hubballi, wherein the said Suit filed by the Appellant herein / Plaintiff for the Relief of Recovery of Money as against the Respondent herein / Defendant was Dismissed with Costs, by allowing this Appeal in Terms and Conditions of this Compromise Petition as agreed by the parties, without Costs, in the interest of justice and equity.

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Signature of the Appellant Signature of the Respondent Sd/- Sd/Shri. Nandakumar Naidu Shri. Rudramuni Devaru, S/o. Damodar Naidu, Mathadipati, Shadaksharmath, Hubballi. Tiptur. (Tipaturu) Advocate for, Appellant Advocate for Respondent Sd/- Sd/Sanjay S. Katageri) (Mallikarjunswamy B, Hiremath) KAR. Roll No. 2181/2001 KAR. Roll.No. 2069/2005

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Place: Dharwad Date: 16-09-2025.

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HC-KAR

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As can be seen from the aforesaid terms and conditions of the compromise petition, the respondent/defendant has paid a total sum of ¹19,00,000/- to the appellant/plaintiff vide D.D.No.165269 drawn on Bank of Baroda, Dharwad Branch for a sum of Rs.12,00,000/- and D.D.No.708042 drawn on Indian Bank, Tipaturu Branch for sum of Rs.7,00,000/- in favour of appellant/plaintiff towards full and final settlement of all claims of the appellant/plaintiff against the respondent/defendant in the present appeal and suit as well as in all other proceedings including criminal proceedings referred to in Paragraph No.6 of the compromise petition.

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The appellant/plaintiff acknowledges the receipt of the aforesaid sum of ¹19,00,000/- from the respondent / defendant towards full and final settlement of all claims of the appellant/plaintiff against the respondent/defendant involved in the present appeal and suit as well as in all other proceedings including the aforesaid criminal proceedings.

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The appellant/plaintiff is physically present along with

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his counsel; so also the respondent/defendant is also physically present along with his counsel and both the parties have been

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identified by their respective counsels and submit that they have entered into a compromise voluntarily with free consent and without any coercion, undue influence, misrepresentation or fraud and the same may be accepted.

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Being satisfied with the terms and conditions of the compromise, we deem it just and appropriate to dispose of the appeal in terms of compromise by setting aside the impugned judgment and decree of the Trial Court.

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