Karnataka High Court
SAMUEL THYAGARAJA KUMAR - Appellant
Versus
K.SITARAMA ACHAR - Respondent
Decided On : 04-12-77
Execution First Appeals : 37 of 1976
Urban Land (Ceiling and Regulation) Act - Execution Sales - Sec. 27
Fact of the Case:
The judgment-debtors raised objections to the sale of mortgaged properties, citing the Urban Land (Ceiling and Regulation) Act, 1976. The objections were overruled by the Civil Judge, leading to the appeal.
Finding of the Court:
The court found that the Urban Land (Ceiling and Regulation) Act, specifically Sec. 27, did not apply to execution sales, as it was limited to transfers inter parties.
Issues: The main issue was whether Sec. 27 of the Urban Land (Ceiling and Regulation) Act applied to the execution sales of mortgaged properties.
Ratio Decidendi: The court held that Sec. 27 of the Act did not apply to execution sales, as its scope was limited to transfer inter parties, and did not include sales through court-issued sale certificates.
Final Decision: The appeal was dismissed, and the execution was directed to proceed.
( 1 ) THIS appeal by judgment-debtor No. l in a mortgage-decree is directed Against the order dt. 6th October 1976 made in Execution Case No. 63 of 1975 on the file of the Court of the Civil Judge, Mangalore, S. Kanara, overruling the appellant's objections for sale of the mortgaged properties.
( 2 ) RESPONDENTS 1 to 4 obtained a decree on the basis of three mortgages in OS. 63 of 1973 on the file of the Court cf the Civil Judge, Mangalore, s. Kanara. A preliminary decree was passed on the basis of a joint memo filed by the parties on 26-3-1974. Under the terms of the said decree, judgment-debtors were liable to pay to the decree-holders a sum of rs. 1,00, 000 with interest thereon at the rate of 6 per cent per appum from the date of suit till the date of payment besides costs cf the suit lime was allowed for payment till 26-9-1974. Judgment-debtors having iailed to pay the decretal amount, the decree-holders applied for a final decree, and a final decree was passed on 17-1-1975. Even after the final decree, the judgment-debtors did not pay the decretal debt. Consequently the decree-holders were compelled to sue out execution seeking sale of the mortgaged properties.
( 3 ) JUDGMENT-DEBTORS filed their objections separately raising a contention, inter-alia, that the first judgment-debtor is a debtor entitled to the benefits of the Karnataka Agricultural Debtors Relief Act, 1966. That objection, however, was not pressed at the hearing. Thereafter, judgment-debtor no. 1 obtained leave to raise a fresh ground of objection based on the Urban Land (Ceiling and Regulation) Act, 1976 (hereinafter called the 'act' ). The objection was that the mortgaged properties being situate within the limits of Mangalore Municipality, are properties to which the 'act' applied; that S. 27 of the Act contains a prohibition against transfer of any urban or urbanisable land without the previous permission in writing of the competent authority; and that such permission not having been obtained, the decree-holders were not entitled to bring the mortgaged properties to sale
( 4 ) THE learned Civil Judge heard the said objections and by a considered order overruled the same holding that S. 27 of the Act is inapplicable to execution sales.
( 5 ) AGGRIEVED by the said order, judgment-debtor No. 1 has preferred this appeal.
( 6 ) SRI M. Gopalakrishna, Shetty, learned Counsel for the appellant, pressed the same ground Of objection before us in this appeal. He submitted that S. 27 of the Act is not restricted to transfers inter-parties, but applies to and encompasses execution sales as well. The merit of this contention requires to be decided in this appeal.
( 7 ) IN order to understand the scope of the bar of transfers under S. 27 of the Act, it is necessary to refer to the preamble of the Act. The object of the Act as stated in the preamble is to "provide for the imposition of a ceiling on vacant land in urban agglomerations; for the acquisition of such land in excess of the ceiling limit, to regulate the construction of buildings on such land and for matters connected therewith, with a view to preventing the concentration of urban land in the hands of a few persons and speculation and profiteering therein and with a view o bringing about an equitable distribution of land in urban agglomerations to subserve the common good". The Act provides for fixation of ceiling limit and acquisition of land in excess cf such ceiling limit.
( 8 ) SEC. 27 of the Act is found under Chap. IV. The heading of the said chapter is " Regulation of Transfer and use of Urban Property ". Sec. 27, which is the material section, reads :" 27. (1) Notwithstanding anything contained in any other law cr the time being in force, but subject to the provisions of sub-sec (3) of the S. 5 and sub-sec (4) of S. 10, no person shall transfer by way of sale, mortgage, gift lease for a period erceeding ten years, or otherwise, any urban or urbamsable land with a building (whether
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.