Published on: 28 September 2023 at 09:30 IST
Court: Supreme Court of India
Citation: Gurpreet Singh v. Union of India (2006)
Honourable Supreme Court of India has held that Order XXI Rule 1 of the Code of Civil Procedure, 1908 prescribes three modes for paying money under an Execution of a Decree, namely :
(a) by deposit of money in the court which is to execute the decree, which deposit can be through postal money order or through bank;
(b) by making payment to the decree holder by postal money order or through bank or any other mode wherein payment is evidenced in writing; or
(c) as the court which made the decree directs. It is held that when money is paid under a decree, the interest, if any, shall cease to run either from the date of direct payment.
15. Order 21 Rule 1 provides the modes of paying money under a decree. It stipulates that all monies payable under a decree shall be paid:
(a) by deposit into the court whose duty it is to execute the decree, or
(b) out of court, to the decree-holder in the manner provided, or
(c) otherwise, as the court which made the decree directs.
Sub-rule (2) provides that where a payment is made by deposit into the court or as directed in the decree, the judgment-debtor shall give notice thereof to the decree-holder either through the court or directly to him by registered post acknowledgment due.
On any amount paid by way of deposit into the court or as directed under the decree, interest, if any, shall cease to run from the date of the service of the notice referred to in sub-rule (2). Thus, Order 21 Rule 1 after its amendment in the year 1976 also contemplates the deposit of the decree amount into court and the giving of notice thereof to the decree-holder and provides further for cessation of interest from the date of notice to the decree-holder of such deposit.
Drafted By Abhijit Mishra