Bhandari, C.J. - (1.) The short point for decision in the present case is whether the civil Courts at Jullundur have jurisdiction to entertain a suit brought by a displaced person from Pakistan against the Government of the Punjab (India) in respect of a cause of action which arose wholly within the territories of Pakistan.
(2.) The appellant in this case is a displaced person from Pakistan. He was convicted for haying contravened the provisions of a certain Ordinance in a part of the United Punjab which is now a part of Pakistan and certain articles belonging to him were confiscated to the Crown. He was acquitted on appeal on 9-8-1947 and the goods which were confiscated to the Crown were ordered to be restored to him. When the country was partitioned on 15-8-1947 the appellant migrated to India and took up his residence in Jullundur. On 7-5-1951 he brought an action against the Punjab (India) Government in the Court of a Subordinate Judge at Jullundur for the recovery of a sum of Rs. 900/- on account of the price of those goods. The Punjab Government raised a preliminary objection that the Courts in Jullundur had no jurisdiction to deal with this case and this objection was upheld both by the trial Court and the Senior Subordinate Judge. When the second appeal came up for hearing before this Court, a learned Single Judge expressed the view that it is inequitable that although a person displaced from Pakistan may have a perfectly legitimate claim against the Government of this country, we should not be able to enforce that claim because the cause of action had arisen in a part of the country which is now a part of Pakistan. As this appears to be an unsatisfactory state of affairs, he has referred this case to a Division Bench for decision.
(3.) The suit out of which this appeal has arisen was instituted under Section 4, Displaced Persons (Institution of Suits) Act, 1948. The relevant portion of this section runs as follows: "A displaced person may institute a suit in Court within the local limits of whose jurisdiction he or the defendant or any of the defendants, where there are more than one at the time of the commencement of the suit, actually and voluntarily resides, or carries on business, or personally works for gain, if - (i) the defendant, or where there are more than one, each of the defendants, actually and voluntarily resides or carries on business, or personally works for gain in India and is not a displaced person; (ii) the cause of action, wholly or in part, arises or has arisen in a place now situate within the territories of Pakistan; (iii) the Court in which the suit is instituted is otherwise competent to try it; and (iv) the suit does not relate to immovable property.";