Institute of Legal and Management Studies

The Supreme Court recently recalled an earlier order which recorded a settlement in a civil appeal, after the litigant subsequently told the Court that he had never engaged any advocate to settle the matter.

The Court also directed its Registry to conduct an inquiry into how the advocates could claim to have entered an appearance on behalf of the litigant. Based on the preliminary inquiry report by the Registry, the Court will decide on the further course of action, including the registration of an FIR.

The curious development happened before a bench comprising Justice PS Narasimha and Justice Joymalya Bagchi. A respondent in a civil appeal filed a miscellaneous application seeking the recall of a settlement recorded in the matter. He said that lawyers, who purportedly represented him in the matter, were never engaged by him and that the settlement was forged. The appeal was filed against a judgment of the Patna High Court

However, on December 13, 2024, the Court had recorded the appearance of the following advocates on behalf of the respondent:

1. Mr. Muneshwar Shaw, Sr. Adv.

2. Mr. Rattan Lal, Adv.

3. Mr. J.M. Khanna, AOR

4. Ms. Shefali Sethi Khanna, Adv.

The bench was informed by a counsel that JM Khanna AOR has left practice and was never engaged in the matter. Shefali Sethi Khanna told the bench that she had nothing to do with this case. The litigant was also present in court through video conferencing.

In this backdrop, the bench observed that a "detailed inquiry" in the matter was necessary. It directed the Secretary-General to nominate a Senior Officer to inquire into how and at whose instance it was made to appear as if the respondent counsels were engaged for consenting to the so-called settlement agreement dated 24.10.2024, leading to the consequential order passed on December 13, 2024.

The Court directed that the preliminary report be submitted within four weeks. "On the basis of the report, we will take further action, including directions to lodge an FIR and further investigation," it said.

The Court also recalled the settlement order dated December 13, 2024 and restored the civil appeal.

Last year, the Supreme Court had directed a CBI probe into the filing of a Special Leave Petition based on a forged vakaltnama, after the litigant told the Court that he had not engaged the lawyers. Following that, the CBI registered an FIR against 8 lawyers.