Lord Porter.-

This is an appeal from a judgment and decree of the High Court of Judicature at Madras dated 2nd January 1915, which reversed the judgment and decree of the Court of the Subordinate Judge of Ellore dated 9th September 1942.

[2] The question for determination is whether an exchange deed in respect of certain properties entered into on 11th February 1934, between appellant 1 and respondent 1, who are brothers, is valid and binding upon respondents 2 and 3, who are minors and sons of respondent 1. The suit was brought on 9th February 1937, by respondents 2 and 3 against respondent 1 and appellant 1 to set aside the exchange deed.

[3] The trial Court held that the agreement was in the nature of a family arrangement and was binding on the minor respondents but the High Court reversed this finding.

[4] The parties to this appeal belong to the village of Pedapulleru and are all members of the same family. Their relationship is shown in the sub-joined pedigree.

[5] Bapiraju had a son Tammiraju and five grandsons, Narayana Raju respondent 1, Ramakrishna Raju appellant 1, Ramachandra Raju, Venkatapathi Raju and Balarama Raju who all constituted a Hindu joint family. Bapiraju managed the family affairs till his death which occurred in 1923. In this he was assisted latterly by Narayana Raju the eldest of his grandsons, his son Tammiraju having predeceased him. Narayana Raju has two sons, respondents 2 and 3, who are, as has been stated, minors and Ramakrishna Raju has a son, appellant 2 who is or was at all material times also a minor. After the death of Bapiraju in 1923, Narayana Raju, respondent 1, as the eldest male member, assumed management of the affairs of the family and continued to act in that capacity until 1926 when he went on pilgrimage for three months. From that time onwards, the family affairs were mainly in the hands of appellant 1 who acted as manager, respondent 1 concerning himself with the cultivation of the family lands near his village.

[6] About September 1933, as a result of family dissensions the brothers decided to become separate and to divide the family properties. Because he was acting as manager and in consequence of his knowledge of the family affairs the division was entrusted to appellant 1, though he may have had some slight assistance from respondent 1.

[7] The family owned considerable movable and immovable properties consisting of about 480 acres of dry and wet lands and outstandings to the value of Rs. 3,25,000. In preparation for the division of these properties the brothers began to prepare inventories of the outstandings due to and the debts owing to others by the family. Lists of the immovable properties and of the cattle were also prepared. The lands are situated in the villages Peda Pulleru, China Pulleru, Cherukuvada, Yenamadurru, Sisali, Undi, Vandram, Kalla and others. The lands in Peda Pulleru are near the residences of the family; the lands in China Pulleru are at a short distance from the village while the other lands are within a distance of about 12 to 13 miles. The liabilities amounted to about Rs. 18,000. On 26th January 1934, after this preparatory step had been taken, a complete division of movable and immovable properties was made. Lists showing the division of all out standings which were not disclosed in the income-tax returns were prepared separately. The outstandings shown in the income-tax returns and the immovable properties were entered in a deed of partition executed on the same day. The lists of items not included in the income-tax returns together with those shown in the deed of partition represented a complete division of all the family properties among the brothers. A preliminary division of that portion of the property which had not been included in the income-tax returns was made on 15th November 1933, in order to conceal its existence from the income-tax authorities, but when the final division was made in January fresh lists were prepared which included all th