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Bombay High Court

SD CORPORATION PVT LTDversusJOGENDRA JOTIBA BAGE AND 20 ORS

Decided
Disposal
DISPOSED OFF

Holding

The court allowed the applicant to withdraw Rs. 19,50,000, subject to an undertaking, as there was no stay and the occupants were held ineligible.

Summary

The applicant, S.D. Corporation Pvt Ltd, filed an interim application seeking permission to withdraw Rs. 19,50,000 from a total deposit of Rs. 46,50,000 held in court. The respondents, including several occupants, were held ineligible for rent, rendering the question of rent entitlement moot. The occupants have appealed the ineligibility order before the GRC, but no stay of the order is in effect. The court found no impediment to the withdrawal and, subject to an undertaking, allowed the applicant to withdraw the requested amount. The court also directed that if the occupants later succeed in their pending petitions, the withdrawn amount must be returned to them as directed by the GRC or this court.

Issues considered

  • What is the effect of the occupants' ineligibility on the applicant's right to withdraw part of the deposited amount?
  • Does the pending appeal before the GRC or the lack of a stay prevent the applicant from withdrawing the sum?
  • Is an undertaking sufficient to safeguard the interests of the occupants pending further litigation?

Subjects

  • interim relief
  • deposit withdrawal
  • eligibility of occupants
  • rent entitlement
  • stay of order
  • GRC
  • civil procedure

Judgment

                                                                                          66 Ia-1907-2023.doc




                                     IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                        ORDINARY ORIGINAL CIVIL JURISDICTION
                                          INTERIM APPLICATION NO. 1907 OF 2023
                                                                IN
                                              WRIT PETITION NO. 2297 OF 2022

                             S. D. Corporation Pvt Ltd                             ...Applicant

                                        Vs.

                             Jogendra Jotiba Bage
                             and 20 Ors.                                           ...Respondents

                                                            *****
                             Adv. Ajit Hon a/w Adv. Atharva Deshmukh i/by PNP and Associates -
                             Advocate for the Applicant
                             Mr. Jagdish G. Aradwad (Reddy) - for the Respondent No. 4-SRA
                             Ms. Vaishali Ugale – For Respondent/BMC
                             Adv. Vidnyan Daware – For Respondent Nos. 1 and 2.
                             Ms. Varsha Sawant – AGP for Respondent-State.
                                                            *****
                                               CORAM :         M. S. KARNIK AND
                                                               S. M. MODAK, JJ.

                                                 DATE     :      22nd JULY 2026

                             P. C. :-

                             1.      Heard learned counsel for the Applicant-S. D. Corporation Pvt

                             Ltd..

                             2.      This is an application for permitting the Applicant to withdraw

                             sum of Rs. 19,50,000/-, out of Rs. 46,50,000/- deposited by the
          Digitally signed
          by SEEMA
SEEMA KSHITIJ
        YELKAR
KSHITIJ Date:
YELKAR 2026.07.23
        14:37:17             Seema                                                                      1/3
          +0530
                                                               66 Ia-1907-2023.doc




Applicant in this Court.

3.      The Interim application is opposed by the learned counsel for

the Respondents. However, as a matter of record, the occupants have

been held to be ineligible, the question therefore of entitlement to rent

does not arise.

4.      Learned counsel for the Occupants submitted that an appeal

against the order of holding the occupants ineligible has been preferred

before the GRC and in some cases, the appeals are dismissed by the

GRC. The order of GRC is challenged in this Court by some

occupants. As of today, there is no stay operating.

5.      There is therefore no impediment in allowing the application. In

such view of the matter, for the reasons mentioned in the application,

we are inclined to allow the application in terms of prayer clause (a).

6.      Learned counsel for the Applicant-S. D. Corporation Pvt Ltd.

submits that in case the occupants succeeds in the petition which is

pending before the GRC or in the petition which is pending in this

Court, the amounts shall be brought back and paid over to the

occupants in compliance with the direction of the GRC or that of this

Court.

Seema                                                                        2/3
                                                              66 Ia-1907-2023.doc




7.      Let such an undertaking be filed in this Court within a period of

one week from today. Subject to aforesaid, the interim application is

allowed in terms of prayer clause (a).

8.      Accordingly, Interim Application is disposed of.



 (S. M. MODAK, J.)                               (M. S. KARNIK, J.)




Seema                                                                       3/3


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