STATE OF ORISSA vs SIBARAM BARAL

The Supreme Court held that the High Court exceeded its jurisdiction by directing the appellant to deposit the entire decretal amount and costs of Rs. 7,500/- as a condition for setting aside an ex parte decree. The Court emphasized that under Order 41 Rule 1(3) CPC, the appellate court has discretion to impose conditions based on the facts of the case, but the High Court's order was not justified as there was no appeal against the trial court's order which had set aside the ex parte decree with a nominal cost. Consequently, the Court restored the trial court's order and allowed the appeal without costs.