Fraud I

As per settled proposition of law, mere mentioning and using of word ‘fraud’/’fraudulent’ is not sufficient to satisfy test of ‘fraud’.

Hon’ble Justice Vivian Bose, Bishundeo Narain v. Seogeni Rai, (1951) SCR 548: “Now if there is one rule which is better established than any other, it is – in cases of fraud, undue influence and coercion, parties pleading it must set forth full particulars. There can be no departure from them in evidence. General allegations are insufficient even to amount to an averment of fraud of which any Court ought to take notice however strong language in which they are couched may be, and same applies to undue influence and coercion.”

Similar view has been expressed in Ladli Parshad Jaiswal v. Karnal Distillery Co. Ltd., (1964) 1 SCR 270; Union of India v. K.C Sharma & Company, (2020) 15 SCC 209.

Hon’ble Justice M.R. Shah, Electrosteel Castings Limited v. UV Asset Reconstruction Company Limited, [Civil Appeal No. 6669 of 2021].