- 1 - HC-KAR NC: 2025:KHC:34587 WP No. 23725 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 3RD DAY OF SEPTEMBER, 2025 BEFORE THE HON'BLE MR. JUSTICE M.NAGAPRASANNA WRIT PETITION NO. 23725 OF 2025 (GM-CPC) BETWEEN: SRI. DINESH H.R., S/O RAJAPPA, AGED ABOUT 47 YEARS, R/A NO.122/1, GOPAL CIRCLE, KUSHAL NAGAR HOBLI, SOMWARPET TALUK, KODAGU 571226. …PETITIONER (BY SRI. NAGENDRA NAIK R, ADVOCATE) AND: 1. SRI. H.K. SATISH, S/O KITTAPPA GOWDA, AGED ABOUT 46 YEARS, R/A 1ST CROSS, VIJAYANAGAR, Digitally signed by NAGAVENI Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2025:KHC:34587 WP No. 23725 of 2025 HOSAMANE CIRCLE, CHIKMAGALUR 577101. 2. SMT. LALITHA H.S, W/O SUNDARA, AGED ABOUT 40 YEARS, R/A NO.12, GUMMANAHALLI VILLAGE, MULLUSOGE POST, KUSHAL NAGARA HOBLI, SOMWARPETE TALUK, KODAGU 571226. …RESPONDENTS (BY SRI. K.N.PHANINDRA, SENIOR COUNSEL FOR SMT. LEELA P DEVADIGA, ADVOCATE) THIS WRIT PETITION IS FILED UNDER ARTICLE 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE ORDER DATED 09.07.2025 PASSED BY THE HONBLE PRINCIPAL DISTRICT AND SESSIONS JUDGE, CHIKMAGALUR, IN REVIEW PETITION NO. 1/2025 AS PER ANNEXURE-A AND ETC. THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: - 3 - HC-KAR NC: 2025:KHC:34587 WP No. 23725 of 2025 CORAM: HON'BLE MR. JUSTICE M.NAGAPRASANNA ORAL ORDER Petitioner is before this Court calling in question an order of the concerned Court dated 9.7.2025 rejecting Review Petition in R.P.No.1/2025 seeking recall of a compromise that was entered into in O.S.No.44/2021. 2. Heard Sri.Nagendra Naik R, learned counsel appearing for the petitioner, Sri.K.N.Phanindra, learned Senior Counsel appearing for the respondents and have perused the material on record. 3. Facts in brief germane are as follows: (a) A Memorandum of Understanding is said to have been entered into between Excellent Solar and the respondent No.1 in implementing a particular project drawing up certain terms and conditions. The dispute arose between the two which led the respondent No.1 to institute a money recovery suit in Commercial O.S.No.44/2021 before the concerned Court - 4 - HC-KAR NC: 2025:KHC:34587 WP No. 23725 of 2025 seeking recovery of Rs.2,36,33,593/-. In the said suit, a compromise is entered into between the parties on 12.03.2022. On 12.03.2022, the compromise is noted and the matter is referred to Lok Adalat, finally, the issue gets culminated before the Lok Adalat recording, the compromise and closing the proceedings. This happens in the year 2022. Petitioner does not honor the compromise or partially honors the compromise by paying Rs.20,00,000/-, the first chunk, that was agreed on. Therefore, the respondent No.1 institutes the execution proceedings. In the execution proceedings, an arrest warrant is issued in the year 2023. The petitioner then approaches this Court in W.P.No.10908/2024. The Coordinate Bench disposes the petition by the following order: "5. In that view of the matter, it is suffice for this Court to direct the Executing Court to dispose of the execution case as expeditiously as possible and to continue the interim order till the disposal of the execution case. 6. Accordingly, the following order is passed: ORDER a) The writ petition is disposed of. b) The Executing Court is directed to dispose of Com.Ex.No.131/2023, in accordance with law, and as expeditiously as possible, not later than six months from the date of receipt of copy of this order. - 5 - HC-KAR NC: 2025:KHC:34587 WP No. 23725 of 2025 c) Parties shall co-operate for the early disposal of the matter. d) It is made clear that the interim order granted by this Court shall continue to operate till the disposal of the execution case. e) If the petitioner-Judgment Debtor fails to proceed with the matter before the Executing Court and seeks for adjournment, the interim order granted by this Court shall stand vacated. In view of disposal of writ petition, all pending I.As., if any, are disposed of accordingly. " (b) The petitioner then files an application before the concerned Court under Order XXIII Rule 3 of the Code of Civil Procedure alleging that the compromise entered into was a fraud or out of coercion and therefore, the compromise order of the year 2022 should be recalled, having filed the said application three years after the compromise. 4. Therefore, it becomes germane to notice the compromise entered into between the parties reads as follows: “ಾನ ಪಾನ ಾ ಮತು ಸತ ಾಾೕಶರ ಾಾಲಯ ಕಮಗಳರು ಾ ಜ ಅಸಲು #ಾಾ ಸಂ%ೆ : 44/2021 ಾ (ೕ. )ೆ*.+ೆ. ಸ,ೕಶ -ರುzÀÞ ಪ,ಾಯರು (ೕ.)ೆ*.ಆ/. ೇ0 ಮತು ಇೊ3ಬ5ರು - 6 - HC-KAR NC: 2025:KHC:34587 WP No. 23725 of 2025 6-7 ಪ8ಾ ಸಂ9:ೆ ಆ#ೇಶ 23 ೇ ;ಯಮ 3 ರ ಅ<ಯ= ಉಭಯ ಪ@Aಾರರು +ೆಳBನಂ:ೆ ಮನ- ಾ<+ೊಂ<ರು:ಾCೆ. 1. ಾಯು ಈ Eೕ=ನ #ಾೆಯನು3 ಪ,ಾಯವರ -ರುದH ತನAೆ ಬರIೇ+ಾBದJ ಹಣ ರೂ. 2,36,33,593/- (ಎರಡು +ೋO ಮೂವ:ಾ ಆರು ಲ@ದ ಮೂವ:ಾಮೂರು Pಾ-ರದ ಐದುನೂರ :ೊಂಭ:ಾ ಮೂರು ರೂRಾS) ಗಳ ವಸೂ ಾ,ಯ ಸಲುಾB ಸ=6ರುವTದು ಆBರುತ#ೆ. 2. #ಾೆAೆ ಸಂಬಂಧಪಟWಂ:ೆ 9:ೈYಗಳZ )ಾಗೂ 9[ಯರ ಸಲ)ೆ ಮತು ಸೂಚೆಯಂ:ೆ Cಾ ಒಪ^ಂದವನು3 ಾ<+ೊಂ<ರುವTದು ಆBರುತ#ೆ. 3. ಉಭಯ ಪ@Aಾರರು ಾ<+ೊಂಡ Cಾ ಒಪ^ಂದದಂ:ೆ 1ೇ ಪ,ಾಯು ಾAೆ ರೂ. 1,90,00,000/- (ಒಂದು +ೋO :ೊಂಭತು ಲ@) ಗಳನು3 ;ೕಡುವಂ:ೆಯೂ ಸದ[ ಹಣವನು3 ಾಯು 1ೇ ಪ,ಾಯವ[ಂದ ಪ_ೆದು+ೊಳZ`ವಂ:ೆಯು ,ೕಾaನಾBರುತ#ೆ. 4. 1ೇ ಪ,ಾಯು ಾAೆ ;ೕಡIೇ+ಾದ ಹಣ ರೂ. 1,90,00,000/- (ಒಂದು +ೋO :ೊಂಭತು ಲ@) ಗಳ Rೈ8 ಇಂದು ಅಂದCೆ ಾಂಕ. 18.02.2022 ರಂದು ರೂ. 20,00,000/- (ಇಪ^ತು ಲ@)ಗಳನು3 <.<. ಸಂ%ೆ 022620 ರ Då8bc Iಾಂd, ಕುೆಂಪT ನಗರ, Eೖಸೂರು ಇವರ ಮೂಲಕ Rಾವ,6ದುJ ಉeದ ಹಣವನು3 ಾಂಕ: 25.02.2022 +ೆ ರೂ. 20,00,000/- (ಇಪ^ತು ಲ@)ಗಳನು3 <.<. ಮೂಲಕಾB Rಾವ,6ಲು ಸಮf,6ದುJ ಉeದ Iಾ8 ಹಣ ರೂ. 1,50,00,000/- ( ಒಂದು +ೋO ಐವತು ಲ@)ಗಳನು3 ಾ*a ,ಂಗಳ 18 ೇ :ಾ[ೕRÄ ರೂ. 55,00,000/- ('ಐವ:ೆgದು ಲ@)ಗಳನು3 <.<. ಮೂಲಕ ನಂತರ ಏi7 ,ಂಗಳ 18 ೇ :ಾ[ೕಖು ರೂ. 55,00,000/- (ಐವ:ೆgದು ಲ@)ಗಳನು3 <.<. ಮೂಲಕ ;ೕಡಲು ಒi^ದುJ ಅA,ಮಾB gÀÆ 40,00,000/- (ನಲವತು ಲ@) ಗಳನು3 ನಗzÀÄ ರೂಪದ= ¢£ÁAPÀ: 18.05.2022 +ೆ Rಾವ,ಸಲು ಸಮ, ಸೂ6ದುJ ಇದ+ೆ ಾಯು ಕೂಡ ಒi^ರು:ಾCೆ. 5. ಒಂದು ೇkೆ 1ೇ ಪ,ಾಯು ಾAೆ :ಾವT ;ಗತಾB :ಾವT ;ೕಡIೇ+ಾದ ಹಣವನು3 Rಾವ,ಸಲು -ಫಲCಾದ ಪ@ದ= ಾಯು #ಾಖ=6ರುವ #ಾವ ಹಣ ರೂ. 2,36,33,593 ಗಳ= 1ೇ ಪ,ಾಯು Rಾವ,6ರುವ ಹಣವನು3 ಕkೆದು Iಾ8 ಹಣ+ೆ 1ೇ ಪ,ಾಯ -ರುದH ಅಮ¯ÁÓ[ ಅ aಯನು3 (+ಾನೂನು ಕಮ) ಸ=6 :ೆAೆದು+ೊಳ`ಲು ಹಕುಳ`ವCಾBರು:ಾCೆಂದು ಉಭಯ ಪ@Aಾರರು ಕೂ< ಾ<+ೊಂಡ Cಾ ೕ ಒಪ^ಂದ ಪತ. - 7 - HC-KAR NC: 2025:KHC:34587 WP No. 23725 of 2025 6. ಾಯು ಪ,ಾಯರವರ -ರುದH ಾನ )ೆಚುmವ[ 6-7 ಾಾೕಶರು ಮತು nೆ.ಎಂ.ಎo.6 ಾಯಲಯ ಸಕ ೇಶಪTರ ಇ= ಅಸಲು #ಾಾ ಸಂ%ೆ 88/2021 ರ= ಒಂದು pಾಶqತ ಪ,ಬಂಧ+ಾrೆಯ #ಾೆಯನು3 #ಾಖ=6ದುJ ಸದ[ #ಾೆಯನು3 9ಂದ+ೆ ಪ_ೆಯುವ )ೊsೆAಾ[+ೆ ಾಯ#ೆJ ಆBರುತ#ೆ, 7. ಈ ಾ ಮತು 1ೇ ಪ,ಾಯ ನಡುೆ ಈ ವವ)ಾರ ಮತು -ಾದವನು3 )ೊರತುಪ<6 IೇCೆ ಾವT#ೇ ವಸು -ಷಯವT ಹಣ+ಾ6ನ ವವ)ಾರ+ೆ ಸಂಬಂಧಪಟWಂ:ೆ ಇರುವTಲ. ಈ ಸಂಬಂಧ ಇ#ೇ ವಸು -ಷಯ+ೆ ಸಂಬಂu6ದಂ:ೆ ಮುಂ#ೆ ಾವT#ೇ #ಾೆ ಹೂಡುವಂ,ಲ. 8. ಈ Cಾ ಒಪ^ಂದ ಪತ+ೆ IೇCೆ ಾರ#ೆJೕ ಆಗ=ೕ ಾವT#ೇ [ೕ, ಒತಡ ಅಥಾ ಬಲವಂತ ಇರುವTಲ ಎಂದು ಒi^ ರುಜು ಾ<ರುವTದು ಆBರುತ#ೆ. ಆದುದ[ಂದ ಈ Aೌರಾ;qತ ಾಾಲಯವT ಾxೕ#ೆJೕಶ ಮತು ಾಯಸಮfತ:ೆಯ ಪyವaದ= ಉಭಯ ಪ@Aಾರರು ಅ aಯ= +ೋ[ರುವಂ:ೆ ಆ#ೇ(6 <Qæ ಾಡಲು ಮನ- ಾ<ರು:ಾCೆ.” 5. Noticing the said compromise, the concerned Court directs drawing up of a decree as the compromise was posted before the Lok Adalat and settled before the Lok Adalat. The decree so directed to be drawn is as under: “INSTITUTED COM. O.S. ON: 22.10.2021 CLAIM: The Plaintiff prays for a Judgment and Decree in his favour and against the Defendants for recovery of a sum of Rs.2,36,33,593-00 from the Defendant No.1 with interest at 2% per month, from the date of the suit and till realization of the amount, in the end of justice and equity. This Commercial suit is coming for final disposal on the 12th day of March 2022 before Lok Adalath, before Smt. Shubha Gowdar, B.A., LL.B., Prl. District and Sessions Judge and Judicial Conciliator, Chikkamagaluru and Sri. K.H. Mallikarjuna, Advocate Conciliator, Chikkamagaluru in the presence of Sri. C.K. Jagadeesha Advocate for the - 8 - HC-KAR NC: 2025:KHC:34587 WP No. 23725 of 2025 Plaintiff and Defendant No.1 is C. Nagaraju and Defendant No.2 is dismissed. This case is compromised before Lok-Adalath which is held on 12.03.2022. 6-7 ಪ8ಾ ಸಂ9:ೆ ಆ#ೇಶ 23 ೇ ;ಯಮ 3 ರ ಅ<ಯ= ಉಭಯ ಪ@Aಾರರು ಈ +ೆಳBನಂ:ೆ ಒಪ^ಂದ ಾ<+ೊಂ<ರು:ಾCೆಃ 1. ಾಯ ಈ Eೕ=ನ #ಾೆಯನು3 ಪ,ಾಯವರ -ರುದH ತನAೆ ಬರIೇ+ಾBದJ ಹಣ ರೂ.2,36,33,593/- (ಎರಡು +ೋO ಮೂವತು ಆರು ಲ@ದ ಮೂವತು ಮೂರು Pಾ-ರದ ಐದು ನೂರ :ೊಂಭತು ಮೂರು ರೂRಾS) ಗಳ ವಸು ಾ,ಯ ಸಲುಾB ಸ=6ರುವTದು ಆBರುತ#ೆ. 2. #ಾೆAೆ ಸಂಬಂಧಪಟWಂ:ೆ 9:ೈYಗಳZ )ಾಗೂ 9[ಯರ ಸಲ)ೆ ಮತು ಸೂಚೆಯಂ:ೆ ಾ< gÁf ಒಪ^ಂಥವನು3 ಾ<+ೊಂ<ರುವTದು ಆBರುತ#ೆ. 3. ಉಭಯ ಪ@Aಾರರು ಾ<+ೊಂಡ Cಾ ಒಪ^ಂದದಂ:ೆ 1 ೇ ಪ,ಾಯು ಾAೆ ರೂ.1,90,00,000/- (ಒಂದು +ೋO :ೊಂಭತು ಲ@ ) ಗಳನು3 ;ೕಡುವಂ:ೆಯೂ ಸದ[ ಹಣವನು3 ಾಯು 1ೇ ಪ,ಾಯವ[ಂದ ಪ_ೆದು+ೊಳ`ವಂ:ೆಯು ,ೕಾaನಾBರುತ#ೆ. 4. 1ೇ ಪ,ಾಯು ಾAೆ ;ೕಡIೇ+ಾದ ಹಣ ರೂ.1,90,00,000/- (ಒಂದು +ೋO :ೊಂಭತು ಲ@) ಗಳ Rೈ8 ಇಂದು ಅಂದCೆ ಾಂಕಃ 18.02.2022 ರಂದು ರೂ.20,00,000/- (ಇಪ^ತು ಲ@) ಗಳನು3 <.<. ಸಂ%ೆ 022620 ರ ಆå8bc Iಾಂd, ಕುೆಂಪT ನಗರ, Eೖಸೂರು ಇವರ ಮೂಲಕ Rಾವ,6ದುJ ಉeದ ಹಣವನು3 ಾಂಕಃ 25.02.2022 +ೆ ರೂ.20,00,000/- (ಇಪ^ತು ಲ@) ಗಳನು3 <.<. ಮೂಲಕಾB Rಾವ,ಸಲು ಸಮf,6ದುJ ಉeದ Iಾ8 ಹಣ ರೂ.1,50,00,000/- (ಒಂದು +ೋO ಐವತು ಲ@) ಗಳನು3 ಾ*a ,ಂಗಳ 18 ೇ :ಾ[ೕಖು ರೂ.55,00,000/- (ಐವ:ೆgದು ಲ@) ಗಳನು3 <.<. ಮೂಲಕ ನಂತರ ಏi7 ನಂತರ 18 ೇ :ಾ[ೕಖು ರೂ.55,00,000/- (ಐವ:ೆgದು ಲ@) ಗಳನು3 <.<. ಮೂಲಕ ;ೕಡಲು ಒi^ದುJ ಅಂ,ಮಾB ರೂ.40,00,000/- (ನಲವತು ಲ@) ಗಳನು3 ನಗದು ರೂಪದ= ಾಂಕಃ 18.05.2022 +ೆ Rಾವ,ಸಲು ಸಮf, ಸೂ6ದುJ ಇದ+ೆ - ಾಯು ಕೂಡ ಒi^ರು:ಾCೆ. 5. ಒಂದು ೇkೆ 1 ೇ ಪ,ಾಯು ಾAೆ :ಾವT ;ಗತಾB :ಾವT ;ೕಡIೇ+ಾದ ಹಣವನು3 Rಾವ,ಸಲು -ಫಲCಾದ ಪ@ದ= ಾಯು #ಾಖ=6ರುವ #ಾವ ಹಣ ರೂ.2,36,33,593/- ಗಳ= 1 ೇ ಪ,ಾಯು Rಾವ,6ರುವ ಹಣವನು3 ಕkೆದು Iಾ8 ಹಣ+ೆ 1 ೇ ಪ,ಾಯ -ರುದH ಅಮ¯ÁÓ[ ಅ aಯನು3 (+ಾನೂನು ಕಮ) ಸ=6 - 9 - HC-KAR NC: 2025:KHC:34587 WP No. 23725 of 2025 :ೆAೆದು+ೊಳ`ಲು ಪಕುಳ`ವCಾBರು:ಾCೆಂದು ಉಭಯ ಪ@Aಾರರು ಕೂ< ಾ<+ೊಂಡ Cಾ ೕ ಒಪ^ಂದ ಪತ. 6. ಾಯು ಪ,ಾಯರವರ -ರುದH ಾನ )ೆಚುmವ[ 6-7 ಾಾuೕಶರು ಮತು nೆ.ಎಂ.ಎo.6 ಾಾಲಯ ಸಕ ೇಶಪTರ ಇ= ಅಸ= #ಾಾ ಸಂ%ೆ 88/2021ರ= ಒಂದು pಾಶqತ ಪ,ಬಂಧ+ಾrೆಯ #ಾೆಯನು3 #ಾಖ=6ದುJ ಸದ[ #ಾೆಯನು3 9ಂದ+ೆ ಪ_ೆಯುವ )ೊsೆAಾ[+ೆ ಾಯ#ೆJ ಆBರುತ#ೆ. 7. ಈ ಾ ಮತು 1 ೇ ಪ,ಾಯ ನಡುೆ ಈ ವವ)ಾರ ಮತು -ಾದವನು3 )ೊರತುಪ<6 IೇCೆ ಾವT#ೇ ವಸು -ಷಯವT ಹಣ+ಾ6ನ ವವ)ಾರ+ೆ ಸಂಬಂಧಪಟWಂ:ೆ ಇರುವTಲ. ಈ ಸಂಬಂಧ ಇ#ೇ ವಸು -ಷಯ+ೆ ಸಂಬಂu6ದಂ:ೆ ಮುಂ#ೆ ಾವT#ೇ #ಾೆ ಹೂಡವಂ,ಲ. 8. ಈ Cಾ ಒಪ^ಂದ ಪತ+ೆ IೇCೆ ಾರ#ೆJೕ ಆಗ=ೕ ಾವT#ೇ [ೕ, ಒತಡ ಅಥಾ ಬಲವಂತ ಇರುವTಲ ಎಂದು ಒi^ರುಜು ಾ<ರುವTದು ಆBರುತ#ೆ. It is ordered and decreed that joint settlement memo is filed by consent and agreement of both the parties, the matter is settled. And no amount is due from the defendants in view of settlement. Given under my hand and the seal of this Court, this 12th day of March Decree signed on: 19.03.2022, Sd/- sd/- 19/03/2022 Prl. District Judge & Advocate Conciliator Judicial Conciliator, Chikkamagaluru.” Chikkamagaluru 6. Petitioner at no point in time sought to project that it was a fraud or coercion, while signing on the documents, with the eyes wide open. Circumstances may have been manifold but the petitioner has signed on the dotted lines of the - 10 - HC-KAR NC: 2025:KHC:34587 WP No. 23725 of 2025 compromise, so as the learned counsel representing the petitioner. Three years thereafter when the arrest warrant was sought to be issued in the execution proceedings or now when the attachment warrant is sought to be issued, is before the Court contending that the recall application should have been allowed as the plea projected by the petitioner would require evidence. 7. In the light of the compromise entered into between the parties and signed by the parties, the signatory who is wanting to breach the compromise, cannot be seen to contend that it was a fraud long after the said settlement. The Petitioner has participated in the proceedings that have progressed in the execution and has partially complied the compromise, by paying Rs.20 lakhs in terms of the compromise. If it were to be a fraud according to the learned counsel appearing for the petitioner, the petitioner ought not to have partially complied with the compromise and then projected plea of fraud prima facie in order to get over the remaining payment, that to three years later. - 11 - HC-KAR NC: 2025:KHC:34587 WP No. 23725 of 2025 Therefore, finding no merit to entertain the petition or any warrant to interfere with the order that is passed, the petition stands rejected. Ordered accordingly. Sd/- (M.NAGAPRASANNA) JUDGE CBC List No.: 1 Sl No.: 40