State Consumer Commission can stay order of district commissions: HC

The Kerala High Court has held that the State Consumer Dispute Redressal Commission has the inherent power to stay an order of district commissions, subject to the condition that the appeal is duly filed after depositing the statutory amount as provided under the Consumer Protection Act.

Justice C.S. Dias made the ruling recently while disposing of a petition by a dentist challenging the issue of arrest warrant against her by the Kottayam Consumer Disputes Redressal Commission despite filing an appeal before the State Commission.

The petitioner pointed out that a non-bailable arrest warrant was issued against her on a petition filed by the consumer seeking to execute the district commission’s order awarding a compensation of ₹5 lakh, despite she filing an appeal before the State Commission. The petitioner said that she was precluded from filing a stay petition along with the appeal, as there is no provision in the Act to stay the operation and execution of the order.

The court, while citing a Supreme Court judgment, ruled that “notwithstanding the absence of a specific provision to stay the operation of an order passed by the district or State Commission, the State Commission has the inherent power to stay the operation of the order subject to the condition that the appeal is duly filed after depositing the statutory amount.”

The court, allowing the petitioner to file a stay petition, asked the State Consumer Commission to decide the question whether the provisions of the old Act or the new Act would apply regarding the deposit of the amount. The court also deferred execution of the arrest warrant for 60 days.