Full Judgment Text
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PETITIONER:
HANSKUMAR KISHANCHAND
Vs.
RESPONDENT:
THE UNION OF INDIA(and connected appeal)
DATE OF JUDGMENT:
22/08/1958
BENCH:
AIYYAR, T.L. VENKATARAMA
BENCH:
AIYYAR, T.L. VENKATARAMA
GAJENDRAGADKAR, P.B.
SARKAR, A.K.
CITATION:
1958 AIR 947 1959 SCR 1177
ACT:
Appeal to Supreme Court- Maintainability-Decision of High
Court in appeal from an award-If and when a judgment, decree
or order-Test-Defence of India Act, 1939 (No. XXXV of
1939), ss. 19(1)(b), 19(1)(f)-Code of Civil Procedure (Act V
of 1908), ss. 109, 110.
HEADNOTE:
These two appeals were preferred against the decision of the
Nagpur High Court in an appeal under’s. 19(1)(f) of the
Defence of India Act, 1939, modifying an award of
compensation made
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under s. 19(i)(b) of that Act in respect of certain premises
requisitioned by the Government under 75(A) of the Rules
framed under the Act. Both the parties applied for and
obtained leave to appeal to the Federal Court under ss. 109
and 110 of the Code of Civil Procedure. A preliminary
objection was taken on behalf of the Government that the
decision of the High Court was an award and not a judgment,
decree or order within the meaning of ss. 109 and 110 of the
Code and as such no appeal lay therefrom :
Held, that the objection must prevail and both the appeals
stand dismissed.
There could be no doubt that an appeal to the High Court
under s. 19(1)(f) Of the Defence of India Act from an award
made under s. 19(i)(b) of that Act was essentially an
arbitration proceeding and as such the decision in such
appeal cold not be a judgment, decree or order either under
the Code- of civil procedure or under Cl. 29 Of the Letters
patent of the Nagpur High Court.
Kollegal Silk Filatures Ltd. v. province, of Madyas, I. I,.
R. [1948] Mad. 490, approved.
There is a well-recognised distinction between a decision
given by the Court in a case which it ’hears on merits and
one given by it in a proceeding for the filing of an award.
The former is a judgment, decree or order of the Court
appellable under the general law while, the latter is an
adjudication of a private individual with the sanction of
the Court stamped on it and where it does not exceed the
terms of the reference, it is final and not appealable.
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There can be no difference in law between an arbitaration by
agreement of parties and one under a statute. A referrence
to arbitration under a statute to a court may be to it
either as a court or as an arbitrator. If it is to it as a
court, the decision is a judgment, decree or order
appealable under the ordinary law unless the statute
provides otherwise, while in the latter case the Court
functions as a persona designata and its decision is air
award not appealable under the ordinary law but only under
the statute and to the extent provided by it.
An appeal being essentially a continuation of the original
proceedings, what *as at its inception an arbitration
proceeding must retain its character as an arbitration
proceeding even where the statute provides for an appeal,
Rangoon Botatung Company v. The Collecter , Rangoon (1912)
L.R. 39 I.A. 197 .The special officer sales the building
sites Dassabhai Beznoji, (1912) I.L.R. 37 Bom 506 the
special officer sales the Building sites v. Dassabhai
Bozanji Motiwala (1913) 17 C.W.N. 421 Manavikram Tirumalpad
v. the Collector of the Nilagrie, (1918) I.L.R. 41 Mad 943
and secretary of state for India in council v. Hindustan
Co-operative Insurance society Limited ,(1931) L.R. 58 I. A
259 relied on.
1179.
National Telephone Company Limited v. Postmaster-General,
[1913] A. C. 546, explained.
JUDGMENT:
CIVIL APPELLATE JURISDICTION: Civil Appeals Nos. 224 and 225
of 1954.
Appeals from the judgment dated December 31, 1947, of the
former Nagpur High Court in Misc. (First)
Appeal No. 310 of 1943, arising out of the Award dated March
31, 1943, of the Court of the Arbitrator, Addl. Dist. and
Sessions Judge, Khandwa.
Achhru Ram and Naunit Lal, for appellant (In C. A. No.
224/54) and respondent (In C. A. No. 225/54).
C. K. Daphtary, Solicitor-General for India, R. Ganapathy
Iyer and R. H. Dhebar, for respondent (In C. A. No. 224/54)
and appellant (In C. A. No. 225/54).
1958. August 22. The Judgment of the Court was delivered
by
VENKATARAMA AIYAR J.-Both these appeals are directed against
the judgment of the High Court of Nagpur passed in an appeal
under s. 19(1) (f) of the Defence of India Act, 1939,
hereinafter referred to as the Act.
In exercise of the power conferred by s. 75(A) of the Rules
framed under the Act, the Central Government requisitioned
on February 19, 1941, certain properties belonging to
Hanskumar Kishanchand, the appellant in Civil-Appeal No. 224
of 1954. As there was no agreement on the amount of
compensation payable to him, the Central Government referred
the determination thereof to Mr. Jafry, Additional District
Judge, Khandwa, under s. 19(1) (b) of the Act. On March 31,
1943, Mr. Jafry pronounced his award, by which lie awarded
a. sum of Rs. 13,000 as annual rent -for, the occupation of
the premises. Against this award, there was an appeal to
the High Court of Nagpur under s. 19(1) (f) of the Act, and
that was heard by a Bench consisting of Grille C. J. and
Padhve J. By their judgment dated December 31, 1947, they
enhanced the annual rent payable to the appellant by a sum
of Its. 3,250, and they also allowed certain other sums as
compensation for dislocation of the High School which
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150
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was being run on the property. The appellant applied for
leave to appeal against this judgment to the Federal Court
under ss. 109 and I 10 of the Code of Civil Procedure in
respect of the amounts disallowed. A similar application
was also filed by the Government with reference to the
enhancement of compensation. On August 25, 1949, both these
applications were granted, and a certificate was issued that
the appeals fulfilled the requirements of ss. 109 and 110 of
the Code of Civil Procedure. That is how the two appeals
come before us. Hanskumar Kishanchand is the appellant in
Civil Appeal No. 224 of 1954 and the Union of India, in
Civil Appeal No. 225 of 1954.
At the opening of the hearing, a preliminary objection was
taken by the learned Solicitor-General to the
maintainability of Civil Appeal No. 224 of 1954 on the
ground that the judgment of the High Court passed in appeal
under s. 19(1) (f) was an award and not a judgment, decree
or order within the meaning of ss. 109 and 110 of the Code
of Civil Procedure, and that accordingly the appeal was
incompetent. If this contention is right, Civil Appeal No.
225 of 1954 preferred by the Government would also be
incompetent. That, of course, does not preclude the
Government from raising the objection as to the
maintainability of the appeal, though the result of our
upholding it would entail the dismissal of Civil Appeal No.
225 of 1954 as’ well. We accordingly proceed to dispose of
the objection on the merits.
It will be convenient at this stage to refer to the
provisions of the Act bearing upon the present, controversy.
Section 19(1) provides that:
" Where...... any action is taken of the nature decribed in
sub-section (2) of section 299 of the Government of India
Act, 1935, there shall be paid compensation, the amount of
which shall be determined in the manner, and in accordance
with the principles, hereinafter set out........."
Section 19(1) (a) provides for the amount of compensation
being fixed by agreement, and s. 19(1) (b) enacts that :
" Where no such agreement can be reached, the Central
Government shall appoint as arbitrator a
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person qualified under sub-section (3) of section 220 of the
above-mentioned Act for appointment as a Judge of a High
Court."
Sub-section (c) of s. 19(1) provides for the appointment by
the Central Government of a person having expert knowledge
as to the nature of the property acquired and for the
nomination of an assessor by the person to be compensated,
for the purpose of assisting the arbitrator. Sub-section
(e) of s. 19(1) enacts that the arbitrator in making his
award shall have regard to the provisions of sub-s. (1) of
s. 23 of the Land Acquisition Act, 1894, so far as the same
can be made applicable. Then comes sub-s. (f), which is
important for the present purpose, and it is as follows:
"An appeal shall lie to the High Court against an award of
an arbitrator except in cases where the amount thereof does
not exceed an amount prescribed in this behalf by rule made
by the Central Government."
Then we have sub-s. (g), which is as follows:
" Save as provided in this section and in any rules made
thereunder, nothing in any law for the time being in force
shall apply to arbitrations under this section."
On these provisions, the contention on behalf of the
Government is that the reference under s. 19(1),(b) and the
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appeal under s. 19(1) (f) are all arbitration proceedings,
that the decision of the High Court in the appeal is really
an award, and that it is, in consequence, not appealable
under ss. 109 and 110 of the Code of Civil Procedure, as
they apply only to judgments, decrees or orders of Courts
and not to awards. Mr. Achbru Ram, learned counsel for the
appellant does not dispute that the proceedings under s.
19(1) (b) are by way of arbitration, but he contends that
when once the matter comes before the High Court by way of
appeal under s. 19(1)(f), it becomes a civil proceeding
under the ordinary jurisdiction of the Court, and that any
decision therein is open to appeal under ss. 109 and I 10 of
the Code of Civil Procedure. He further contends that even
apart from those provisions, the appeal was competent under
Cl. 29 of the Letters Patent, and that,
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the certificate granted by the High Court is under that
provision as well.
Before discussing the authorities cited on either side in
support of their respective contentions, it will be useful
to state the well_established principles applicable to the
determination of the present question. When parties enter
into an agreement to have their dispute settled by
arbitration, its effect is to take the lis out of the hands
of the ordinary Courts of the land and to entrust it to the
decision of what has been termed a private tribunal. Such
an agreement is not hit by s. 28 of the Contract Act as
being in restraint of legal proceedings, because s. 21 of
the Specific Relief Act expressly provides that " save as
provided by the Arbitration Act, 1940, no contract to refer
present or future differences to arbitration shall be
specifically enforced ; but if any person who has made such
a contract ... and has refused to perform it sues in respect
of any subject which he has contracted to refer, the
existence of such contract shall bar the suit." There is a
similar provision in s. 28 of the Contract Act which is
applicable, where the Arbitration Act is not in force.
Where an arbitration is held in pursuance of such an
agreement and that results in a decision, that decision
takes the place of an adjudication by the ordinary Courts,
and the rights of the parties are thereafter regulated by
it. It is true that under the law the Courts have the
authority to set aside the award,-, made by arbitrators on
certain grounds such as that they are on matters not
referred to arbitration, or that the arbitrators had
misconducted themselves, or that there are errors apparently
the face of the award. But where the award is not open to
any such objection, the Court has to pass a decree in terms
of the award, and under s. 17 of the Arbitration Act, an
appeal lies against such a decree only on the ground that it
is in excess of, or not otherwise in accordance with the
award. In other words, it is the decision of the arbitrator
where it is not set aside that operates as the real
adjudication binding on the parties, and it is with a view
to its enforcement that the, Court ’is authorised to pass a
decree in terms thereof. There is thus a sharp distinction
between a
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decision which is pronounced by a Court in a cause which it
hears on the merits, and one which is given by it in a
proceeding for the filing of an award. The former is a
judgment, decree or order rendered in the exercise of its
normal jurisdiction as a Civil Court, and that is appealable
under the general law as for example, under ss. 96, 100,
104, 109 and 110 of the Code of Civil Procedure. The latter
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is an adjudication of a private tribunal with the imprimatur
of the Court stamped on it, and to the extent that the award
is within the terms of the reference, it is final and not
appealable. The position in law is the same when the
reference to arbitration is made not under agreement of
parties but under provisions of a statute. The result of
those provisions again is to withdraw the dispute from the
jurisdiction of the ordinary courts and to refer it for the
decision of a private tribunal. That decision is an award,
and stands on the same footing as an award made on
reference, under agreement of parties. It is for this
reason that s. 46 of the Arbitration Act X of 1940 enacts
that:
" The provisions of this Act, except subsection (1) of
section 6 and sections 7, 12, 36 and 37 shall apply to every
arbitration under any other enactment for the time being in
force, as if the arbitration were pursuant to an arbitration
agreement and as if that, other enactment were an
arbitration agreement; except in so far as this Act is
inconsistent with that, other enactment or with any rules
made thereunder. "
Nor does it make any difference in the legal position that
the reference under the statute is to a Court as arbitrator.
In that case, the Court hears the matter not as a Civil
Court but as persona designata, and its decision will be an
award not open to appeal under the ordinary law applicable
to decisions of Courts. A statute, however, might provide
for the decision of a dispute by a Court as Court and not as
arbitrator, in which ease, its decision will be a decree or
order of Court in its ordinary civil jurisdiction, and that
will attract the normal procedure governing the decision of
that Court, and a right of appeal will be comprehended
therein. The position therefore is that if the
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reference is to a Court as persona designata, its decision
will not be open to appeal except to the extent that the
statute so provides; but that if, on the other hand, it is
to a Court as Court, its decision will be appealable under
the general law, unless there is something in the statute,
which abridges or takes away that incident. It may be a
question whether the reference to a Court under a
particular statute is to it as a Court or as persona
designata ; but when once it is determined that it is to it
as persona designata, there call be no question that its
decision is not open to appeal under the ordinary law.
We shall now consider the authorities hearing on the
question. On behalf of the Government, the decisions in
Rangoon Botatoung Company v. The Collector, Rangoon (1), The
Special Officer, Salsette Building Sites v. Dossabhai
Bezonji (2), The Special Officer, Salsette Building Sites v.
Dassabhai Bozanji Moti. wala (3), Manavikraman Tirumalpad v.
The Collector of the Nilgris (4) and Secretary of State for
India in Council v. Hindusthan Co-operative Insurance
Society Limited (5) were relied on as supporting the
contention that the present appeals are incompetent. In
Rangoon Botatoung Company v. The Collector, Rangoon (1), the
facts were that certain properties had been acquired tinder
the Land Aequistion Act of 1894, and the Collector had
determined the amount of compensation payable to the quondam
owners. On their objection as to the quantum of
compensation, the matter was referred to the decision of the
Chief Court of Burina. It was heard by a Bench of two
Judges, who determined that a sum of Rs. 13,25,720 was
payable as compensation. Dissatisfied with this decision,
the owners preferred an appeal to the Privy Council under
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the provisions of tile Code of Civil Procedure. A pre-
limilary objection was taken to the maintainability of the
appeal on the ground that the decision sought to be appealed
against was not a judgment of Court but an award and was
therefore not appealable. In giving effect to this
objection, the Board observed:
" Their Lordships cannot accept the argument or
(1) (1912) 39 I.A. 197. (2) (1912) I.L.R. 37 Bom. 506.
(3) (1913) 17 C.W.N. 421. (4) (1918) I.L.R. 41 Mad. 943.
(5) (193I) L.R. 58 I.A. 259.
1185
suggestion that when once the claimant is admitted to the
High Court he has all the rights of an ordinary suitor,
including the right to carry an award made in an arbitration
as to the value of land taken for public purposes up to this
Board as if it were a decree of the High Court made in the
course of its ordinary jurisdiction. "
Shortly after this judgment was pronounced, the question
arose for determination in The special officer, Salsette
Building Sites v. Dossabhai Bezonji (1), whether a decision
given by the High Court in appeal under s. 54 of the Land
Acquisition Act was a judgment within Cl. 39 of the Letters
Patent, so as to enable a party to appeal to the Privy
Council under that provision. The applicant sought to
distinguish the decision in Rangoon Botatoung Company v. The
Collector, Rangoon (2) on the ground that there, the
decision sought to be appealed against was that of the Chief
Court of Burma, and the question of maintainability fell to
be decided on the terms of the, Code of Civil Procedure,
whereas in the instant case, the party had a right to appeal
to the Privy Council under Cl. 39 of the Letters Patent. In
rejecting this contention, the High Court referred to the
observations in Rangoon Botatoung Company’s Case (2) already
quoted, and observed
" This passage shows that it is a mistake to suppose that
the award made in such a case by the High Court is a decree
within the ordinary jurisdiction to which the Civil
Procedure ("’ode refers; and it seems to me it would be
equally erroneous to regard such an award as a final
judgment or order within the meaning of clause 39 of the
Letters Patent. "
Leave to appeal to the Privy Council was accordingly
refused. There was an application to the Privy Council for
special leave in this matter, but that was also rejected,
and the report of the proceedings before the Privy Council
in The special Officer, salsette Building Sites v. Dassabhai
Basanji Motiwala (3)shows that the interpretation put by the
Bombay High Court in The Special officer, salsette Building
sites v. Dossabhai Bezonji (1) was accepted as correct.
In Manavikraman Tirumalpad v. The Collector of the
(1) (1912) I.L.R. 37 130m 506.
(2) (1912) L.R. 39 I.A. 197.
(3) (1913) 17 C.W.N......42I.
1186
Niligris(1) the question was whether a judgment of the High
Court passed in an appeal under the Land Acquisition Act was
a judgment within the meaning of Cl. 15 of the Letters
Patent so as to entitle a party to file a further appeal to
the High Court under that provision, and it was held, on a
consideration of the authorities above referred to, that it
was not. Secretary of State for India in Council v.
Hindusthan Cooperative Insurance Society Limited (2) is a
decision under the Calcutta Improvement Act, 1911. Under
that Act, there is a tribunal constituted for determining
the amount of compensation payable on acquisition of land,
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and under the Calcutta Improvement (Appeals) Act, 1911, an
appeal is provided in certain cases from the decision of the
tribunal to the Calcutta High Court. The point that arose
for determination was whether the decision given by the High
Court in appeal under this provision was open to further
appeal to the Privy Council. In answering it ill the
negative, the Privy Council observed that in view of the
decision in Rangoon Botatoung Company v. The Collector,
Rangoon (3), there could be no right of appeal against the
decision of the High Court. It further held that this
conclusion was not affected by the amendment of the Land
Acquisition Act, 1921, providing for an appeal to the Privy
Council against the decision of the High Court under s. 54
of that Act, as that amendment could not be held to have
been incorporated by reference in the Calcutta Improve-
ment Act, 1911.
The law as laid down in the above authorities may thus be
summed up: It is not every decision given by a Court that
could be said to be a judgment, decree or order within the
provisions of the Code of Civil Procedure or the Letters
Patent. Whether it is so or not will depend on whether tile
proceeding in which it was given came before tile Court in
its normal civil jurisdiction, or de hors it as a persona
designata. Where the dispute is referred to the Court for
determination by way of arbitration as in Rangoon Botatoung
Company v. The Collector, Rangoon (3), or where it comes
(1) (1918) I.L.R 41 Mad. 943. (2) (1931) L.R. 58 I.A. 259.
(3) (1912) L.R. 39 I.A. 197.
1187
by way of appeal against what is statedly an award as in’
The Special Officer, Salsette Building Sites v. Dossabhai
Bezonji (1), Manavikraman Tirumalpad v. The Collector of the
Nilgris (2) and Secretary of State for India in Council v.
Hindusthan Co-operative Insurance Society Limited (3) then
the decision is not a judgment, decree or order under either
the Code of Civil Procedure or the Letters Patent.
Now, Mr. Achhru Ram contests this last proposition, and
relies strongly on the decision in National Telephone
Company Limited v. Postmaster-General (4), as supporting his
position. There, the question arose on the construction of
certain provisions of the Telegraph (Arbitration)
Act, .1909. Section I thereof enacted that certain
differences between the Postmaster-General and any other
person should, if the parties agreed, be referred for
decision to the Railway and Canal Commission constituted
under an Act of 1888 ; and s. 2 provided that all enquiries
under the reference should be conducted by the Commission in
accordance with the Act of 1888. Pursuant to a reference
under these provisions, the Railway and Canal Commission had
determined certain disputes, and the question was whether
its decision was open to appeal. Under the Act of 1888, the
Commission was constituted a Court of record and an appeal
lay against its decision to the Court of Appeal except on
questions of fact and locus standi. It was held by the
House of Lords that as under the Act of 1888 the reference
to the Commission was to it as a Court, the reference under
the Telegraph (Arbitration) Act, 1909, to that tribunal must
also be held to be to it as a Court and not as a body of
arbitrators, and an appeal against its decision was
therefore competent. The position was thus stated by
Viscount Haldane L. C.:
" When a question is stated to be referred to an established
Court without more, it, iii my opinion, imports that the
ordinary incidents of the procedure of that Court are to
attach, and also that any general right of appeal from its
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decision likewise attaches."
(1) (1912) I.L.R. 37 Bom. 5o6.
(2) (1918) I.L.R. 41 Mad. 943.
(3) (1931) L.R. 58 I.A. 259.
(4) [1913] A.C. 546.
151
1188
It may be noted that it was the use of the word "
arbitration " in the title to the Act that furnished the
ground for the contention that the proceedings before the
Commission were of the nature of arbitration. But that
description, however, could not alter the true character of
the reference under the Act, which was in terms to the
Commission as a Court of record. In fact, there was no
element of arbitration in the -proceedings. It is true that
under that Act there could be a reference only by agreement
of parties. That, however, could not make any difference in
the character of the proceedings before the Commission, as a
statute can provide for the jurisdiction of the Court being
invoked as a Court on the agreement of parties, as for
example, on a case stated under Order 36 of the Code of
Civil Procedure. There is thus nothing in National
Telephone Company Limited v. Postmaster-General (1), which
can be said to conflict with the law as laid down in Rangoon
Botatoung Company v. The Collector, Rangoon. (2) that when
the reference is to a Court as arbitrator, its decision is
not open to appeal.
The distinction between the two classes of cases, where the
reference is to court as court and where the reference is to
it as arbitrator, was again pointed out by the Privy Council
in Secretary of State for India v. Chelikani Rama Rao (3).
There, the question arose with reference to certain
provisions of the Madras Forest Act, 1882. That Act
provides that claims to lands which are. sought to be
declared reserved forests by the Government are to be
enquired into by the Forest Settlement Officer, and an
appeal is provided against his decision to the District
Court. The point for decision was whether the decision of
the District Court was open to further appeal under the
provisions of the Code of Civil Procedure. The contention
was that the reference to the District Court under the Act
was to it not as a Court but as arbitrator, and that
therefore its decision was not open to appeal on the
-principle laid down in Rangoon Botatoung Company’s Case In
repelling this contention,
(1) [1913] A.C. 546. (2) (1912) L.R. 39 I.A. 197.
(3) (1916) L.R. 43 I.A, 192.
1189
Lord Shaw observed that under the Land Acquisition Act the
proceedings were ,from beginning to end ostensibly and
actually arbitration’ proceedings ", but that the
proceedings under the Forest Act were essentially different
in character. " The claim was " he said, " the assertion of
a legal right to possession of and property in land; and if
the ordinary Courts of the country are seized of a dispute
of that character, it would require, in the opinion of the
Board, a specific limitation to exclude the ordinary
incidents of litigation"
The principles being thus well-settled, we have to see in
the present case whether an appeal to the High Court under
s. 19(1)(f) of the Act comes before it as a Court or as
arbitrator. Under s. 19(1)(b), the reference is admittedly
to an arbitrator. He need not even be a Judge of a Court.
It is sufficient that he is qualified to be appointed a
Judge of the High Court. And under the law, no appeal would
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have lain to the High Court against the decision of such an
arbitrator. Thus, the provision for appeal to the High
Court under s. 19(1)(f) can only be construed as a reference
to it as an authority designated and not as a Court. The
fact that, in the present case, the reference was to a
District Judge would not affect the position. Then again,
the decision of the arbitrator appointed under s. 19(1)(b)
is expressly referred to in s. 19(1)(f) as an award. Now,
an appeal is essentially a continuation of the original
proceedings, and if the proceedings under s. 19(1)(b) are
arbitration proceedings, it is difficult to see how their
character can suffer a change, when they are brought up
before an appellate tribunal. The decisions in The Special
Officer, Salsette Building Sites v. Dossabhai Bezonji (1),
The Special Officer, Salsette Building Sites v. Dassabhai
Basanji Motiwala (2), Manavikraman Tirumalpad v. The
Collector of the Nilgris (3) and Secretary of State for
India in Council v. Hindusthan Co-operative Insurance
Society Limited (4) proceed all on the view that an appeal
against an award continues to be part of, and a
(1) (1912) I.L.R. 37 Bom. 506.
(2) (1913) 17 C.W.N. 421.
(3) (1918) I.L.R. 41 Mad. 943.
(5) (1931) L.R. 58 I.A. 259.
1190
further stage of the original arbitration proceedings. ln
our view, a proceeding which is at the inception an
arbitration proceeding must retain its character :as
arbitration, even when it is taken up in appeal, where that
is provided by the statute.
The question whether an appeal under s. 19(1)(f) is of the
nature of arbitration proceedings, and whether the decision
given therein is an award came up directly for consideration
in Kollegal Silk Filatures Ltd. v. Province of Madras (1)
before a Bench of the Madras High Court consisting of
Patanjali Sastri and Chandrasekhara Aiyar JJ. and it was
held by them that the word "arbitration" in s. 19(1)(g) of
the Act covered the entire proceedings from their com-
mencement before the arbitrator to their termination in the
High Court on appeal where an appeal had been preferred, and
the High Court in hearing and deciding the appeal acted
essentially as- an arbitration tribunal. We agree with this
decision that the appeal under s. 19(1) (f) is an
arbitration proceeding. We must therefore hold that the
decision of the High Court in the appeal under that
provision is not a judgment, decree or order either within
ss. 109 and I 10 of the Code of Civil Procedure or cl. 29 of
the Letters Patent of the Nagpur High Court, which
corresponds to cl. 39 of the Letters Patent of the Calcutta,
Madras and Bombay High Courts, and that, therefore, the
present appeals are incompetent.
Mr. Achbru Ram finally contended that even if no appeal lay
under ss. 109 and 110 of the Code of Civil Procedure or cl.
29 of the Letters Patent, it was, nevertheless within the
competence of this Court to grant leave to appeal, and that
this was a fit case for the grant of such leave. He argued
that the Privy Council had the power to grant leave to
appeal against the decision of the Nagpur High Court in the
appeal under s. 19(1) (f), that under s. 3(a)(ii) of the
Federal Court (En. largement of Jurisdiction) Act I of 1948
that power became vested in the Federal Court, and under
Art. 135 it has devolved on this Court, and that in the
exercise of that power we should grant leave to appeal
against
(1) I.L.R. [1948] Mad. 490.
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the decision now under challenge. it is sufficient answer to
this contention that the Federal Court had power under s.
3(a) (ii) to grant leave only when the proposed appeal was
against a judgment, and that, under the definition in s.
2(b), meant a judgment, decree or order of a High Court in a
civil case; and that on our conclusion that the decision in
the appeal under s. 19(1) (f) is not a judgment, decree or
order but an award, no order could have been passed granting
special leave under s. 3(a) (ii).
In the result, we dismiss both the appeals as incompetent.
The parties will bear their own costs in this Court.
Appeals dismissed.