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1969 Supreme(SC) 363

SUPREME COURT OF INDIA
J.C. SHAH, V. RAMASWAMI AND A.N. GROVER, JJ.
Sheolal and others, Appellants
Versus
Sultan and others, Respondents.
Civil Appeal No. 1115 of 1966, D/- 15-9-1969
Advocates appeared
M/s. Rameshwar Dial and A. D. Mathur, Advocates, for Appellants; Mr. K. S. Chawla, Advocate and M/s.L. K. Mehta and S. K. Mehta, Advocates of M/s. K. L. Mehta and Co., for Respondents Nos. 1 to 7.

Advocates:
A.D.MATHUR, K.L.Mehta, K.S.CHAWLA, Rameshwar Dayal, S.K.MEHTA

Headnote:

Redemption of Mortgages (Punjab) Act 2 of 1913 - Section 4, 12 , 5, 6 7, 8 and 9 (1) (a) - Indian Limitation Act 1908 - Article 14 - Land - Mortgaged deed - Possession - Owner of a piece of land measuring 30 bighas 12 biswas - By a deed dated mortgaged without possession a part of land measuring approximately 26 bighas with one mortgaged with possession the entire area of land to then sold his rights in 27 bighas and 1 biswas of land on to Buru and others - Who may be collectively called plaintiffs - Plaintiffs then applied on under Sec. 4 of the Redemption of Mortgages (Punjab) Act 2 of 1913 for redeeming mortgage in favour of Meda - This application was rejected - Thereafter plaintiffs instituted a suit in civil court for redemption of mortgage - Suit was resisted, inter alia, on ground that period of limitation prescribed - Plaintiffs had moved an application for redemption of mortgag - Whether he admits that petitioner is entitled to redeem - Whether he is willing to accept sum in deposit in full discharge of mortgage debt, and where mortgage is with possession – Held, appellant s contention that since no suit was filed within one year of date on which application of plaintiffs was rejected by Assistant Collector, order dismissing application was conclusive, and suit for redemption by plaintiffs was not maintainable - An order relegating mortgagor to a civil suit for obtaining an order of redemption even if it becomes final does not bar a suit for redemption, for it raises no cloud on title of mortgagor arising out of mortgage - Such an order is not one which is required to be set aside - Court, in that case pointed out, in Court judgment rightly, that Art. 14 of Sch. I to Limitation Act does not apply to a suit which does not seek to set aside order of an officer of Government - When Collector decides nothing against mortgagor and directs that matter be settled in a civil court, Collector s decision does not stand in way of suit for redemption - Appeal dismissed.

Judgment

SHAH, J. - Ram Sarup was the owner of a piece of land measuring 30 bighas 12 biswas. By a deed dated August 16, 1935, Ram Sarup mortgaged without possession a part of the land measuring approximately 26 bighas with one Medal Ram Sarup on November 27, 1941, mortgaged with possession the entire area of the land to Ananda. Ram Sarup then sold his rights in 27 bighas and 1 biswas of the land on May 14, 1943 to Buru and others - who may be collectively called the plaintiffs -for Rs. 6,000/-. The plaintiffs then applied on May 23, 1951, under Sec. 4 of the Redemption of Mortgages (Punjab) Act 2 of 1913 for redeeming the mortgage in favour of Meda. This application was rejected on June 29, 1951. Thereafter the plaintiffs instituted on August 20, 1960, a suit in the civil court for redemption of the mortgage. The suit was resisted, inter alia, on the ground that the period of limitation prescribed by Art. 14 of the Indian Limitation Act 1908, had expired. It was submitted that the plaintiffs had moved an application for redemption of mortgage under Sec. 4 of the Redemption of Mortgages (Punjab) Act 2 of 1913 but the same was dismissed on June 29, 1951, by the Assistant Collector and since no suit was filed within one year from that date, the suit for redemption of the first mortgage in favour of Meda was barred. The Trial Court dismissed the suit for redemption of the mortgage in favour of Meda, and granted a decree for redemption of the second mortgage dated November 27, 1941. The plaintiffs appealed to the District Court Gurgaon. The District Court allowed the appeal and ordered redemption of the land including the mortgage in favour of Meda. The decree passed by the District Court was confirmed in second appeal by the High Court of Punjab. With special leave, this appeal has been preferred by sons of Meda

2. The record of the proceedings before the Assistant Collector was, it was reported, destroyed before the suit was filed, and an extract from the register of redemption applications could be tendered in evidence. The last column of the extract contained the entry: "The application is rejected and should be consigned to the record room." An endorsement on the docket maintained by the Advocate who appeared in the case before the Assistant Collector showed an endorsement dated June 29, 1951: "Application rejected. The petitioner has today been ordered to file a civil suit." The Trial Court and the District Court held that the petition for redemption as not tried by the Assistant Collector; he rejected the petition holding that the application raised complicated questions of fact and law, and on that account was not triable in exercise of the summary jurisdiction prescribed under Act 2 of 1913. With this view the High Court agreed.

3. Counsel for the appellants contends that the order of the Assistant Collector rejecting the petition under Sec. 4 of the Punjab Act 2 of 1913 became final by virtue of Sec. 12 of the Act and the mortgagor could not sue to redeem the mortgage in favour of Meda after the expiry of one year from the date of the order.

4. The relevant provisions of the Redemption of Mortgages (Punjab) Act 2 of 1913 may first be noticed.

5. By Sec. 4 it is provided:

"The mortgagor or other person entitled to institute a suit for redemption may, at any time after the principal money becomes payable and before a suit for redemption is barred, present a petition to the Collector applying for an order directing that his mortgage be redeemed, and where the mortgage is with possession that he be put in possession of the mortgage property.

* * *

Sections 5, 6 and 7 deal with the procedure to be followed in the trial of applications under the Act.

Section 8 provides:

"where both parties appear when the petition is called on for hearing, the Collector shall enquire from the mortgagee whether he admits that the petitioner is entitled to redeem, whether he is willing to accept the sum in deposit in full discharge of the mortgage debt














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