The Kerala High Court has strongly criticized the Naduvil Grama Panchayat for engaging in a third round of litigation over an amount of ₹50,000. The Division Bench, comprising Chief Justice Nitin Jamdar and Justice S. Manu, expressed concerns over the misuse of public funds for unnecessary legal proceedings.
Court's Observations on Misuse of Public Funds
The court emphasized the need for responsible decision-making in utilizing public funds, stating:
"Considering the fact that the costs of the litigation are being paid out of public funds, the Grama Panchayat should have been circumspect as to where to stop the litigation. Merely because further revenues are open, it does not mean the Panchayat should keep prosecuting regardless of the amount involved and the costs of litigation."
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Background of the Case
The case originated when a resident of Naduvil Grama Panchayat applied for the renovation of his residential building under the people's planning programme for the year 2017-2018. Initially, he was included in the beneficiary list published by the Grama Sabha and began renovation. However, he later discovered that he was removed from the list illegally and replaced by another individual.
Feeling aggrieved, he filed a complaint before the Ombudsman for Local Self Government Institutions. The Ombudsman, upon reviewing the case, ruled in favor of the complainant and directed the Panchayat to reinstate him as a beneficiary and grant him the entitled benefits.
Legal Proceedings
Despite the Ombudsman’s order, the Panchayat chose to challenge the decision through multiple rounds of litigation:
- First Round: The Ombudsman ruled in favor of the complainant, directing the Panchayat to provide him the benefits.
- Second Round: The Panchayat filed a writ petition in the Kerala High Court, which was dismissed. The court upheld the Ombudsman’s directive and ordered the Panchayat to comply.
- Third Round: The Panchayat then filed a writ appeal against the single judge’s decision, bringing the case to the Division Bench of the Kerala High Court.
High Court’s Final Verdict
The High Court firmly rejected the Panchayat’s appeal, pointing out that pursuing legal action unnecessarily, despite multiple rulings against it, was a misuse of public resources. The judgment noted that the Panchayat’s actions reflected poor decision-making and an irresponsible approach toward litigation.
In the concluding remarks, the court held:
"We find no reason to interfere with the impugned judgment. The appeal is disposed of."
Key Takeaways
- The Naduvil Grama Panchayat engaged in three rounds of litigation over ₹50,000.
- The High Court criticized the Panchayat for misusing public funds in legal battles.
- The Ombudsman’s original order, favoring the complainant, was upheld at all judicial levels.
- The court emphasized that public authorities must exercise discretion when pursuing legal proceedings using taxpayer money.
This judgment serves as a critical reminder for local governing bodies to act responsibly while utilizing public resources for legal matters. Unnecessary litigation not only burdens the judiciary but also wastes taxpayer money that could be used for development and welfare initiatives.
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As such, the writ appeal was disposed of.
Counsel for Appellant Panchayat: Advocates T.R.Harikumar, Arjun Raghavan
Counsel for Respondents: Advocate Ramesh P
Case Title: Naduvil Grama Panchayat V Ombudsman For Local Self Government Institutions
Case No: WA NO. 533 OF 2025
