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2002 Supreme(AP) 850

Andhra Pradesh High Court
Judges : V.V.S.RAO
Bhavanarishi Co-operative House building Society, Hyderabad - Appellant
Versus
Joint Collector, R.R.Dist, Hyderabad - Respondent
Decided On : 07-16-02

Headnote:

A. P. Co-operative societies Act, 1964 – A. P. Rights in Land and Pattadar Pass Books act, 1971 – Sections 5-A and 9 - A. P. (Telangana Area) inams Abolition Act, 1955 - Interlocutory application - General power of attorney - Seeking validation of sale transaction - Society is promoted for welfare of Backward Class weavers inter alia for providing house-sites - In furtherance of such an object, the Society purchased agricultural land under unregistered agreements of sale - Owners of land executed irrevocable general power of attorney in the name of the office bearers of the Society after receiving the entire sale consideration and delivered possession of land to Society - Petitioner purchased these lands having regard to the proceedings before inams Tribunal and Land Reforms tribunal under an unregistered sale agreement by paying sale consideration and also registered irrevocable general power of attorney - It was practice in vogue that whenever the Society purchased the land the Society also obtained irrevocable general power of attorney from owner so that house plots will be registered in favour of the members of society without any hitch – Held, An authority to sell goods is not irrevocable merely because the agent has made advances to his principal on the credit of the goods, unless the authority was given in order to secure such advances - Nor is appointment for five years of an agent to collect debts on commission an authority coupled with an interest - There is no illegality in the office-bearers of the society obtaining irrevocable power of attorney from vendors coupled with the agreements of sale, and acting on their behalf before the MRO and in the proceedings under Section 5-A of the ROR act - Submission of counsel for respondents 2 to 30 that petitioner-society played fraud is misconceived and devoid of any merits - The application was made before MRO on behalf of Bhagwan Rishi Co-operative house Building Society, and therefore, there was no concealment of any material fact - As already held by me, while considering point no. 3, till Government issued draft notification under Urban Areas development Act - Writ petition is allowed.

V. V. S. RAO, J.

( 1 ) THE petitioner is a Co-operative Society, registered under the A. P. Co-operative societies Act, 1964. The Society filed the instant writ petition questioning the order dated 5-3-2001, passed by the 1st respondent in Rc. No. D5/266/97. By the said order purportedly passed under Section 9 of the a. P. Rights in Land and Pattadar Pass Books act, 1971 (for short the ROR Act ), the 1st respondent cancelled the validation of two sale transactions in relation to the Society s land at the instance of the 2nd respondent. The writ petition was admitted on 27-4-2001 and by an order of even date passed in w. P. M. P. No. 10922 of 2001, this Court suspended the impugned order pending the writ petition. One Nawab Mehdi Khan filed an application being W. V. M. P. No. 26239 of 2001 praying this Court to implead him as respondent 31, which was ordered on 31-12-2001. Respondent 31 filed an application being WVMP No. 27280 of 2001 praying this Court to vacate the interim order passed on 27-4-2001. At this stage, the applications were heard at length and as the submissions for the purpose of interlocutory application and the main writ petition are the same, the writ petition itself is being disposed of with the consent of the learned counsel for the parties at the interlocutory stage. BACKGROUND FACTS:

( 2 ) THE Society is promoted for the welfare of the Backward Class weavers inter alia for providing house-sites. In furtherance of such an object, the Society purchased agricultural land admeasuring Ac. 41-14 guntas comprised in Sy. Nos. 159, 160 to 166 and another extent of Ac. 39-30 guntas comprised in Sy. Nos. 166, 167 and 168, situated at kapra village, Keesara Mandal, Ranga reddy District, under unregistered agreements of sale. The owners of the land executed irrevocable general power of attorney in the name of the office bearers of the Society after receiving the entire sale consideration and delivered possession of the land to the Society.

( 3 ) IN November/december, 1982, the inams Tribunal (Revenue Divisional Officer, chevella) granted occupancy rights under the provisions of the A. P. (Telangana Area) inams Abolition Act, 1955 (for short the inams Act ) and the name of the Society was recorded in the revenue records as occupant of the land. It is alleged that respondent 31 who was the Inamdar appears to have filed a memo withdrawing his claim of resumption when the matter was pending before the Inams Tribunal. The proceedings before the Inams Tribunal became final as no appeal was filed by respondent 31, and whereupon his name was replaced by the occupancy certificate holders. It appears that occupancy certificate holders also filed necessary declaration before the Land reforms Tribunal under the provisions of a. P. Land Reforms (Ceiling on Agricultural holdings) Act, 1973 where they were declared as non-surplus land holders.

( 4 ) THE petitioner purchased these lands having regard to the proceedings before the inams Tribunal and the Land Reforms tribunal under an unregistered sale agreement by paying the sale consideration and also registered irrevocable general power of attorney. It was the practice in vogue that whenever the Society purchased the land the Society also obtained irrevocable general power of attorney from the owner so that the house plots will be registered in favour of the members of the society without any hitch. Be it as it is, the petitioner s name was entered in the revenue records from 1991.

( 5 ) THE petitioner filed an application under Section 5-A of the ROR Act seeking validation of the sale transaction they entered into with the owners of the land, and obtained occupancy certificates under the Inams Act. The MRO by his proceedings dated 18-12-1991 passed orders for regularisation/validation of transfer of land in favour of the Society and mutation was also effected and ultimately the name of the petitioner was recorded as occupant. These proceedings were never challenged by unofficial r


















































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