Judgement

Appeal (No. 54 of 1930) from an order of the High Court in its appellate jurisdiction (July 15, 1929)

Law Rep. 58 Ind. App. 215 ( 1930- 1931) Nawab Bahadur of Murshidabad v. Karnani Industrial

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reversing an order of Lort-Williams J.

The appellant as Nawab Bahadur of Murshidabad had succeeded to the benefit of a settlement of immovable properties contained in an indenture of 1891, which was confirmed by Act XV. of 1891, to which it is scheduled. The respondent bank, in execution of money decrees which it had obtained against the appellant, applied to the High Court to appoint a receiver of the rents, issues and profits of properties included in the settlement.

Lort-Williams J. dismissed the application, but upon appeal a receiver was appointed by Rankin C.J. and C. C. Ghose J.

The material terms of the indenture appear from the judgment of the Judicial Committee.

1931. Feb. 13. Dunne K.C. and Dube for the appellant. E. B. Raikes K.C, and M. R. Jardine for the respondents.

March 16. The judgment of their Lordships was delivered by

LORD MACMILLAN. By an order dated July 15, 1929, the High Court of Judicature at Fort William in Bengal, allowing an appeal from an order of Lort-Williams J., appointed a receiver of the rents, issues and profits of certain properties in Calcutta in execution of several decrees obtained against the present appellant by the respondent bank. The sole question is whether it was competent to make this appointment in view of the terms of the Moorshedabad Act (XV. of 1891), which has reference to these properties.

The purpose of that Act was to confirm and give effect to an indenture between the Secretary of State and the then Nawab Bahadoor of Moorshedabad, dated March 12, 1891. The indenture, which is duly confirmed by the Act and scheduled thereto, narrates at great length the circumstances which led up to it. It appears that the then Nawab Bahadoor, the appellants predecessor, who was the eldest son of the late Nawab Nazim of Bengal, Behar and Orissa, had agreed to relinquish the latter title with its appurtenant rights in consideration of his receiving the titles of Nawab Bahadoor of Moorshedabad and Amir-ul-Omrah, carrying with them the precedence, rank, dignity and privileges of the premier noble of Bengal, Behar and Orissa and also in consideration of provision being made for the maintenance and support of the older of these titles for the time being and for the maintenance of the honour and dignity of his station.

On these and other recitals the Secretary of State covenanted " for the due maintenance and support of the said titles of Nawab Bahadoor of Moorshedabad and Amir-ul-Omrah and the position and station thereto attaching and of the honour and dignity thereof " to pay to the Nawab Bahadoor and his lineal heirs male in perpetuity an annual sum of Rs.2,30,000 by monthly instalments of Rs. 19,166-10-8, and further agreed and declared that the immovable properties mentioned in the schedules to the indenture (which include the properties of the rents of which the High Court has] appointed a receiver) should " henceforth and forever be held and enjoyed by the said Nawab Bahadoor and such one among his lineal heirs male as may be successively entitled to hold the said titles in perpetuity with and subject to the incidents, powers, limitations and conditions as to inalienability and otherwise " thereafter in the indenture contained.

The first of these conditions is in the following terms " First. The said Nawab Bahadoor shall not nor shall any of his successors in the said titles sell, mortgage, devise or alienate the said properties respectively or any of them otherwise than by lease or demise for a term not exceeding 21 years and

Law Rep. 58 Ind. App. 215 ( 1930- 1931) Nawab Bahadur of Murshidabad v. Karnani Industrial

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under a rent without bonus or salamee."

The indenture also provided as follows " In case the said Nawab Bahadoor or any of his lineal heirs male successors to the title