2000(8) Supreme 137
SUPREME COURT OF INDIA
(From Delhi High Court)
M. Jagannadha Rao & M.B. Shah, JJ.
Chiranjilal Srilal Goenka (dead) by LRs. -Appellants
versus
Jasjit Singh & Ors. -Respondents
Civil Appeal No. 723 of 1973
Decided on 1-12-2000
Counsel for the Parties :
For the Appearing Parties : Vinod Bobde, T.L.V. Iyer, G.L. Sanghi, Sr. Advocates, Gourab Banerjee, R.N. Karanjawala, Mrs. Nandini Gore, Hrishikesh Baruah, Mrs. Manik Karanjawala, C.V. Subba Rao, K.K. Dhawan, B.K. Prasad, V.K. Verma, Dilip Jahangyani, Mahesh Agarwal, Vivek Yadav, Ashwani Kumar, E.C. Agrawala, and B. Partha Sarthy, Advocates.
Reading Section 12 proviso (c) and Section 13 together it is apparent that adoption would not divest any person of any estate which is vested in him or her before the adoption. It also does not deprive the adoptive father or mother the power to dispose of his or her property by transfer, inter vivos or by Will. However, this power to dispose of the property would be subject to any agreement between the parties. Legislature has codified and crystalised the situation prevailing prior to the enactment of the Act that there was no implied contract on the part of the adoptive father or mother in consideration of the gift of his son by a natural father or mother that he or she would not dispose of property by transfer or by Will. However, in case of specific agreement to the contrary between the parties, the power to dispose of the property would be subject to the said agreement. (Paras 10 and 11)
In the instant case, presuming that such letter was written by Mangal Das Kedia to Chiranjilal at the time of giving Radheysham in adoption, there can be no doubt that it does not reflect any agreement between the parties. At the most it was only a unilateral offer giving child in adoption on certain expectations. The letter appears to be signed by number of persons and if really Chiranjilal had accepted it, then he would have placed his signatures on the said letter. There is nothing on record that he accepted the same as it was. Secondly, the letter at the most indicates that from that day, Radheshyam would be the adopted son of Chiranjilal and would inherit his property. However, it was made clear in that very letter that during the life time of Chiranjilal and his wife, they were the absolute owners of their properties. There is nothing to indicate in the said letter that it was a covenant or a contract restricting the powers of Chiranjilal or his wife to dispose of the property either by transfer or by Will. Nowhere, it is stated that during his life time, Chiranjilal will not be entitled to dispose of his property either by transfer or by Will. Hence, there is no positive or negative agreement limiting the rights of Chiranjilal to dispose of the property by executing the Will. Presuming that the aforesaid letter is an agreement, at the most it can be stated that from the said date Radheshyam would be son of Chiranjilal and would be entitled to inherit his properties. This also would not mean that there is any agreement that adoptive father has no right to dispose of his property. There is no such contract to leave residue in favour of Radheshyam. In this view of the matter, it cannot be said that by the said letter, there is any agreement limiting the rights of adoptive parents to dispose of their property by executing a will. Further it reliance is required to be placed on the letter for holding that if restrains Chiranjilal to dispose of the property by will, then it is required to be read as a document which limits the rights of Chiranjilal to deal with his property including the immoveable property. Therefore, it would require registration. (Paras 15, 16, 17 and 19)
(ii) Registration Act, 1908-Section 17(1)(b) and 49-Document requiring registration compulsorily-Adoption deed restricting rights of adoptive parents to dispose of their property-Required to be registered. (Paras 18 and 19)
JUDGMENT
Shah, J.-Aforesaid appeal is filed against the judgment and order passed by the High Court of Delhi in Civil Writ Petition No. 734 of 1971 filed by the deceased Chiranjilal Srilal Goenka of Bombay challenging the order No.19 of 1971 dated 8th February, 1971 passed by the Gold Control Administrator, New Delhi. Deceased appellant challenged confiscation of gold by the custom authorities under Gold Control orders by filing writ petition which was dismissed by the High Court. Against that order, the aforesaid appeal is filed, Pending appeal, appellant (Chiranjilal Srilal Goenka) died on 24th November, 1985. A dispute arose - as to who is the legal heir of the deceased. Firstly, one of the daughters, Sushila Bai N. Rungta claimed under a Will dated 29th Oct., 1982 and secondly, Radheshyam Goenka claimed as adopted son and thirdly, Smt. Raj Kumai R. Goenka wife of adopted son claimed independently. Keeping the question of right, title and interest in the property open, for continuing the proceedings, all the three were ordered to be brought on record by order dated 7.10.1991. It was also ordered that appeal be listed to consider the possibility of appointing an arbitrator by common consent or by orders of the Court for bringing about a settlement. Therefore, to settle the dispute as to who would be the legal heirs to the estate of Chiranjilal Srilal Goenka, this Court passed an order on 1.11.1991 appointing Mr. Justice V.S. Deshpande, retired Chief Justice of Bombay High Court, as arbitrator which is reproduced hereunder-
"By consent of parties Justice V.S. Deshpande, retired Chief Justice of the Bombay High Court is appointed as arbitrator to settle the dispute as to who would be the legal heirs to the estate of late Chiranjilal Srilal Goenka. The question as to statutory action under the Gold Control Act is left open and is made explicitly clear that it is not a part of the reference. Arbitrator will fix his terms of fees and should function in such a way that the award is made available within four months from now. Parties will be entitled to place the claims before the Arbitrator in regard to trust and other institutions but the same may not be finally dealt with by the arbitrator. Arbitration expenses shall be shared equally by the parties corresponding to the share of interest in the property."
2. For deciding the dispute, on 10th April, 1992 the Arbitrator framed issues as under -
(1) Does claimant No.1 prove execution of the Will dated 29th (28th) October, 1982, and prove the same to be the last and genuine Will of late Shri C.S.Goenka?
(2) If not, does she prove the execution of the Will dated 4.7.1978 and prove the same to be the last and genuine Will of late Shri C.S. Goenka?
(3) Does claimant No.2 prove that the late Shri C.S. Goenka duly adopted him on 26.1.1961?
(4) Is the copy of the document dated 26.1.1961 filed by claimant No.2 admissible in evidence?
(5) Is the said document genuine and brought into existence in the way claimed by claimant No. 2?
(6) If yes, then does the said document constitute an agreement between Mangalchand and late Shri. C.S. Goenka ?
(7) If yes, can the said agreement be said to be the one contemplated by Section 13 of the Hindu Adoption and Maintenance Act?
(8) If yes, then would the said agreement dated 26.1.1961 prevent the late C.S.Goenka from disposing of and dealing with the estate, according to his wishes by a Will?
(9) In view of finding on issues above, who are the legal heirs to the estate of the late Shri C.S.Goenka ?
3. For issue Nos. 1 and 2, it was pointed out that probate suit is pending in the Bombay High Court, wherein the learned Judge has expressed doubt whether arbitrator has jurisdiction to decide probate suit. Hence, IA No.3 of 1992 was filed before this Court to seek clarification. By judgment and order dated 18
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