Gram Panchayat Of Village Naulakha vs Ujagar Singh And Ors

The Supreme Court held that the Full Bench decision in Gram Panchayat, Village Bathoi Kalan, Patiala v. Jagar Ram, AIR 1991 P&H 159, which required a Panchayat to file a separate suit to challenge a collusive decree, is incorrect and contrary to Section 44 of the Indian Evidence Act. The Court established that a party can demonstrate that a judgment was obtained by collusion without needing a separate suit. The appeal by the Gram Panchayat was allowed, overturning the High Court's decision and affirming the Collector's finding of collusion.