SATYANARAYANA RAJU, OFFG. C. J.

( 1 ) THIS appeal arises out of the order made by the Chief Judge, City Civil Court, Hyderabad, in 1 A. No. 447 of 1963, filed by the plaintiffs in O. S. No. of 1963, under Order 40 Rule 1 of the Code of Civil Procedure, for the appointment of a Receiver and a Commissioner to manage and administer the affairs of H. E. H. The Nizam s Charitable Trust and also for interim suspension of the trustees pending suit.

( 2 ) THE suit was filed by Sri Syed Massod Hussian and Sri Ram Singh Verma under Section 92 of the Code of Civil Procedure, after obtaining the sanction of the Advocate General. The defendants are: (1) Sri V. P. Menon, (2) Sri Shavax A. Lal; (3) Sir Ahmed Sayeed Khan, Nawab of Chattari; (4) Prince Mukarram Jah Bahadur; (5) Khan Bahadur C. B. Taraoporewala; and (6) Sri K. N. Anantharaman, I. C. S. It will be convenient to refer to the parties as they are arrayed in the suit.

( 3 ) DEFENDANTS 1 to 4 and 6 are the trustees of the Nizam s Charitable Trust, of whom the 6th defendant is the nominee of the Government of Andhra Pradesh. The 5th defendant is the Secretary of the Trust Board.

( 4 ) THE plaintiff s case, as stated in the plaint is that the 5th defendant, who is the Secretary of the Trust, is in the habit of concluding transactions involving several lakhs of rupees in respect of both purchase and sale of shares without the knowledge, consent or approval of the trustee: that, without confining himself to his legitimate duties as an employee of the trust, he has taken over the control and management of the Trust and is transacting all the important affairs of the Trust and that this is due to the dereliction of duty and negligence on the part of the trustees. It is averred that the 5th defendant has usurped the functions of the trustees and that the trustees have abdicated their functions and duties by merely ratifying the actions of the Secretary without applying their minds. it is also stated that H. E. H. the Nizam has created more than thirty Trusts, involving crores of rupees, most of them being private truste in favour of his sons and relatives, and that in almost all those trusts, the 2nd defendant,. a friend of the 5th defendant , has also been made a trustee. It is further averred that the 5th defendant was appointed Secretary to all the private trusts and that the administration of all these trusts is practically left in his hands. On the basis of the allegations of breaches of trust and neglect of duty made by them, the plaintiffs prayed for the removal of defendants 1 and 2 from the offices of trustees; for appointing two new trustees in their place; and for a direction to the trustees to remove the 5th defendant from his office of Secretary.

( 5 ) IN the plaint submitted to the Advocate General for sanction, there were six defendants. By the date of the institution of the suit, Nawab Zain Yar Jung Bahadur, one of the original trustees, who was shown as the 1st defendant in the draft plaint, had died, and so only five defendants were impleaded as parties.

( 6 ) IN their application, I. A. No. 441 of 1963, for amendment of the plaint, the plaintiffs prayed that Sri K. N. Anantaraman, who was appointed as a trustee by the settlor pursuant to the nomination made by the Government of Andhra Pradesh, might be impleaded as the 6th defendant. The petition for amendment elaborated the nature of the interest which the two plaintiffs claimed in the Trust. It was also stated that the Government of Andhra Pradesh filed a charge sheet against the Secretary of the Trust to the effect that he "has also duped the Trust in misusing the funds of the Trust and in the wrongful disposal of the Rights of the TELCO shares, thus creating a huge financial loss to the Trust, asd that "for this gross negligent conduct in the affairs of the Trust by the Secretary, the Trustee are equally responsible. "

( 7 ) THE courter affidavit filed by the 2nd defendant to the amendment petition, no objection was t