SUPREME COURT OF INDIA
MAHAJAN, S.R. DAS AND BHAGWATI, JJ.
Lal Bhagwant Singh, Appellant
Versus
Sri Kishen Das, Respondent.
Appeals Nos. 101 to 103 of 1951.
21st January 1953
Advocates appeared
Shri B. I. Bishan Singh, Advocate, instructed by Shri C. P. Lal, Agent, for Appellant; Shri M. C. Setalvad, Attorney-General for India (Shri Nazim Uddin Saddique, Advocate, with him), instructed by Shri Rajinder Narain, Agent, for Respondent.
-as envisaged by this Section contemplates that where the property has been received by a party in pursuance of a decree or order in his favour, which decree or order is subsequently reversed or varied in appeal or revision in other proceedings, the judgment or order to make restitution to the other party for what he had lost and this obligation it is the duty of the Court to enforce, unless it is shown that restitution would be clearly contrary to real justice of the case - Bhagwant Singh v. Sri Kishan Das, AIR 1953 SC 136; Binayak Swain v. Ramesh Chandra, AIR 1966 SC 948; Mahijibhai Mohabhai Barot v. Manibhai Patel, AIR 1965 SC 1477=(1965) 2 SCR 436.
-where it appears to the Court to be in consonance with the real and substantial justice of the case
-so long as the decree of the lower Court is not reversed or set aside, the right to restitution does not arise
-right to restitution under this Section does not arise
Judgement
MAHAJAN J. : Shortly stated, the facts giving rise to these three appeals are these:
On 4-7-1933 Rai Bahadur Lala Hari Kishen Das obtained from the Court of the Civil Judge Sitapur, a final compromise decree in the sum of Rs. 3,88,300-2-6 with pendente lite and future interest and costs, on the foot of two simple mortgages executed in his favour in 1928 and 1931 by Thakur Raghuraj Singh. It was provided in the compromise that Raghuraj Singh would within a week sell to Hari Kishen Das at agreed prices some villages out of the mortgaged property selected by him and sufficient to satisfy the decree. He reserved to himself the right to get back the sold villages after five years and before the expiry of fifteen years on payment of the stipulated prices. The computation of the price of the sold lands was to be made in the manner laid down in cl. (6).
2. Hari Kishen Das made a selection of eight villages, and deeds of sale and relinquishment in respect of them were duly prepared and executed on 4-7-1933. Before they could be presented for registration, the parties received information that a notification for assumption by the Court of Wards of the management of the talukdar s estate had been issued and that it was likely to render the conveyances ineffectual. In view of the impending notification the sale transaction fell through and a refund was obtained of the amount spent on the stamp papers. On 20-1-1934 the Court of Wards, decided that it would not take the estate under its supervision. Hari Kishen Das then revived his demand against the judgment-debtor for the completion of the sale deeds but the judgment-debtor did not pay any heed to his request with the result that on 26-5-1934 he made an application for execution of the compromise decree. To the execution of this decree a number of objections were raised by Raghuraj Singh. Before the disposal of these objections the U. P. Agriculturists Relief Act (27 of 1934). and the U. P. Encumbered Estates Act (25 of 1934) came into operation. Under the provisions of Act 27 of 1934, the judgment-debtor became entitled to the amendment of the decree by reduction of interest, and for payment of the decretal sum in instalments. Under the other Act, a landlord debtor whose property was encumbered could apply to the Court for the administration of his estate for liquidation of his debts. Raghuraj Singh was not slow in seeking the aid of these laws to reduce the amount of his indebtedness and to save his property. He made applications under both the Acts. In the application under the Relief Act he prayed for the scaling down of the amount of the decree and for instalments. In the application under S. 4, Encumbered Estates Act, he asked for liquidation of his debts by the Civil Judge.
3. On 11-1-1936 the Civil Judge of Sitapur altered the decretal amount of Rs. 3,88,300-2-6 to Rs. 3,76,790-4-3 exclusive of costs and future interest and directed Raghuraj Singh to pay the money in twelve equal annual instalments payable in the month of December of each year, the first instalment being payable, in December 1936, and also provided that in the case of default in payment of three instalments, the whole amount then due would become immediately payable. Against this order, Hari Krishen Das filed an application in revision to the Chief Court and was successful in having the amended decree set aside on 15-2-1938.
4. In the proceedings commenced under the Encumbered Estates Act on 29-10-1936 Raghuraj Singh obtained an order under S. 6 of the Act but this order was eventually quashed by the Board of Revenue on 13-8-1938 and the debtor s application under S. 4 was dismissed.
5. Having succeeded in his application in revision in the Chief Court, Hari-Kishen Das revived the proceedings in execution of the compromise decree and called upon Raghuraj Singh to execute a sale deed in respect of the selected villages in his favour. On his failure to comply with this demand, the Court executed a deed of sale
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