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2009 Supreme(SC) 1422

Supreme Court of India
THE HONOURABLE MR. JUSTICE S.B. SINHA & THE HONOURABLE MR. JUSTICE DEEPAK VERMA
Appaji Gowda
Versus
Vokkaligara Sangha & Others
CIVIL APPEAL NO. 5170 OF 2009 (Arising out of Special Leave Petition (Civil) No.21661 of 2006)
Decided on : 07-08-2009

Appearing Advocates:
For the Appellant:K.K. Venugopal, Sr. Advocate, Mrs. Rajani K. Prasad, C.V. Kumar, T.V. Ratnam, Deshraj, Advocates.
For the Respondents:Harish Salve, A.K. Ganguli, K. Lakshminarayana, Sr. Advocates, Lakshminarayan, G.V. Chandrashekar, N.K. Verma, Ms. Anjana Chandrashekar, E.C. Vidhya Sagar, Advocates.

Headnote:Code of Civil Procedure, 1908 - Order 23, Rules 3-A - Compromise of suit filed by trust-Claim rejected in terms of Order VII rule 11(b) of CPC for non-payment of Court-fee-While decrees of Civil Courts which have attained finality should not be interfered with lightly, challenge to such compromise decrees by an aggrieved devotee, who was not party to suit, cannot be rejected, where fraud/collusion on part of officer of a statutory Board is made out-Appellant is a Member of Executive Committee of Respondent Trust-Any action which, according to its members are illegal, can be subject matter of challenge before an appropriate form-In a given case, an appeal would also be maintainable at the instance of an Executive Members of Trust-However, as suit filed by respondent has been dismissed for non-payment of Court-fee, Court need not go into such questions-In the event a case is made out as regards mal-administration of Trust or otherwise appropriate remedies can be available. (Paras 23, 29 to 32)

       (2007) 7 SCC 482; (2008) 14 SCC 642 - Relied upon.

Judgment :-

S.B. Sinha, J.


Leave granted.


1. The effect of creation of a Trust by the Executor of a Testamentary Disposition vis-`-vis the rights of the heirs and legal representatives of the author of the Will is the question involved in this appeal.


2. It arises out of a judgment and order passed by the high Court of Karnataka at Bangalore in Regular First Appeal No. 965 of 2004 dismissing the appeal preferred by the appellant from the judgment and order dated 26th March, 2004 passed by the Additional City Civil Judge, Bangalore.


3. One Rangammja, was the owner of a huge chunk of land bearing Survey Nos.8, 9, 10, 13, 14 and 15 of Village Sajjepalya and Survey Nos.43 and 44 of Village Malagala measuring 96 acres and 35 guntas. On or about 15th March, 1962, she executed a registered Will appointing her nephew Puttaswamy as the executor and administrator thereof. The said Puttaswamy was also given the right to utilize the property for perpetuating the memory of her husband Krishnappa. He was also given the authority to appoint his successor.


The relevant recitals in the said Will are as under:-


"I am the widow of Late Shri Krishnappa, son of kempanna, who died on 18.12.1907. Under a Registered Partition Deed dated 18.11.1905, several properties came to the share of my deceased husband Krishnappa and he was in possession and enjoyment of the properties that fell to his share in the said partition deed as the absolute owner thereof till his death. I have no children, male or female, and after the death of my husband on 18.12.1907, I became a limited owner of all the properties that fell to my husbands share and which he left behind at the time of his death. As a limited owner of these properties, I was in possession and enjoyment of them till the year 1956. By reason of the provisions of the Hindu Succession Act, 1956 (Central Act 30 of 1956), I became the full and absolute owner of the properties that fell to the share of my husband under the Partition Deed dated 18.11.1905 and which he left behind him on his death. Since 1956, I have been in possession and enjoyment of those properties as the full and absolute owner thereof. I am thus entitled to make a Will in respect of the properties I am owning and enjoying.


...... ......


(c) I hereby devise and bequeath that all the landed property owned by me except the house bequeathed in (a) supra, shall be sold by the Executor appointed under this WILL. He shall invest or deal with the sale amounts in a proper manner and, if invested from the realizations of either rent or interest of the said amounts, he shall perpetuate the name and memory of my deceased husband."


4. The Will specified the lands which were required to be sold to fulfill the object thereof.


5. Rangamma expired on 27th February, 1966.


6. Puttaswamy pursuant to or in furtherance of the said Will, on or about 19th October, 1978 executed a Trust Deed in favour of Vokkaligara Sangha, respondent No.1, wherein it was inter alia stipulated:-


"(2) The Donor has all along considered himself and acted as TRUSTEE of these lands and he is anxious to make use of these lands and the yield therefrom or the money that may be derived in the event of these lands being taken by competent authority for a public purpose for the sole purpose for furthering the objective of the former owner by utilizing the schedule property in the cause of education and spread of knowledge.


xxx xxx xxx


(4) The Donor has therefore offered to the Sangha the schedule property in Trust and for the fulfillment of the Donors in Trust and for the fulfillment of the Donors cherished objective of serving the cause of education and spread of knowledge.


xxx xxx xxx


(6) Under these circumstances and with the object of making adequate arrangements for the proper preservation and management of the schedule property and for its utilization for the realization and fulfillment of the objective (b) (7) of the Donor, the Donor has created this trust and has executed


































































































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