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2022 Supreme(Bom) 1660

IN THE HIGH COURT OF JUDICATURE AT BOMBAY, BENCH AT AURANGABAD
S.G. Dige, J.
Siddhavinayak, S/o. Kashinathappa Bondre - Appellant
Versus
Janardhan S/o. Dattuappa Bondre – Respondents
First Appeal No.270 Of 2020
Decided On : 06-10-2022

Advocates Appeared:
For the Appellant : Ms. Pradnya Talekar.
For the Respondents: Mr. S.S. Thombre.

The main legal point established in the judgment is that while proper procedure must be followed for appointing trustees, the court will consider the effectiveness and capability of the appointed trustees in reaching a decision.

Headnote:

Remand Order - Appointment of First Body of Trustees - Bombay Public Trusts Act - Section 50-A(1) - Summary: The court addressed the issue of remand order passed by the District Judge regarding the appointment of the first body of trustees for a public charitable trust under the Bombay Public Trusts Act. The court found that while the order for framing the scheme was proper, the Assistant Charity Commissioner did not follow proper procedure for appointing the first body of trustees. The court highlighted the efforts taken by the ACC to appoint suitable and capable persons and ultimately allowed the appeal, quashing the remand order and directing the ACC to seek consent from the Vice Chancellor for inclusion in the body of trustees.

Fact of the Case:

The case involved a public charitable trust seeking the appointment of trustees and formulation of a new scheme under Section 50-A(1) of the Bombay Public Trusts Act. The Assistant Charity Commissioner appointed the first body of trustees, but the District Judge remanded the matter due to the lack of consent letters and biodatas of the proposed trustees.

Finding of the Court:

The court found that the order for framing the scheme was proper, but the Assistant Charity Commissioner did not follow proper procedure for appointing the first body of trustees. However, the court noted that the first body of trustees had effectively administered the trust, leading to a significant increase in trust income, and therefore allowed the appeal, quashing the remand order.

Issues: The main issue was whether the remand order in respect of the appointment of the first board of trustees was proper, specifically regarding the obtaining of consent letters and biodatas of the proposed trustees.

Ratio Decidendi: The court held that while the order for framing the scheme was proper, the Assistant Charity Commissioner did not follow proper procedure for appointing the first body of trustees. However, the court emphasized the efforts taken by the ACC to appoint suitable and capable persons and noted the effective administration by the first body of trustees.

Final Decision: The appeal was allowed, the remand order was quashed and set aside, and the ACC was directed to seek consent from the Vice Chancellor for inclusion in the body of trustees.

JUDGMENT :

1. The issue involved in this appeal is remand order passed by the District Judge-3, Jalna [for short ‘the learned District Judge’] in Civil Misc. Application No. 82 of 2015, directing the Assistant Charity Commissioner, Jalna [for short ‘the ACC’] to appoint first body of trustees by obtaining biodatas and consent letter of the suitable persons within a period of three months.

Brief facts of the case are as under:

2. Shri Anandi Atmanand Saraswati @ Rangnath Maharaj Vishranti Math is a public charitable trust [for short ‘said trust’]. An application seeking formulation of new scheme was filed in the year 1997 under Section 50-A (1) of the Bombay Public Trusts Act [for short ‘BPT Act’], which came to be decided by the ACC, Jalna on 20.06.2000. The said scheme was challenged before the District Court, Jalna, the learned District Court was pleased to remand the matter for fresh disposal. Thereafter, the ACC decided the said enquiry application vide judgment and order dated 11th March, 2015, by holding that it was necessary to frame scheme for the said trust and appointed the first body of trustees along with framing of the scheme. The said judgment of the ACC was challenged by filing two separate Civil Misc. Applications under Section 72 of the BPT Act before the learned District Judge, Jalna. The learned District Judge has decided both Civil Misc. Applications by common judgment and order. He rejected the Civil Misc. Application No. 78 of 2015, the same has not been challenged by any party. In Civil Misc. Application No.82 of 2015, the District Judge has held that framing of new scheme for the said trust was necessary and the ACC has rightly framed the scheme, however, held that consents and bio-datas of the proposed trustees were not sought prior to their appointments, hence, remanded the matter to the ACC for appointment of first body of trustees. The said order is under challenge.

3. It is the contention of the learned counsel for the appellant that the said trust in question is a very old religious and charitable trust, having more than 500 acres of land, however, had fallen prey to mismanagement and inefficiency owing to absence of a proper scheme to meet present day requirements as also the maladministration by the then trustees. The trust was administered based on a vahivatpatra registered sometime in 1914. The application was filed under Section 50-A (1) of the BPT Act for framing the scheme and for appointment of trustees. Accordingly, the ACC has considered all the facts and appointed the appellant as trustee. The ACC has rightly framed the scheme. The biodatas and consent letters were obtained prior to their appointments as trustees. The Vice Chancellor and Naib Tahsildar were made part of the first body of trustees as Ex-officio members and they were made members by virtue of the post so as to bring in neutrality and transparency in the management of the affairs of the trust, thus there was no question of taking consent of individual persons holding the office. But this fact was not considered by the District Judge. The Naib Tahsildar attends every meeting of the trust. The interviews of other members of the trustees were taken by the ACC and thereafter they have been selected to be part of the first body of the said trust. The ACC has framed the scheme and appointed the trustees of the said trust by taking extensive efforts. Mere on letter of Vice Chancellor, the matter is remanded back for appointment of fresh trustees without any reasonable ground, which is not proper, hence, requested to allow appeal. The learned counsel relied on the judgment in the case of Vasantrao Vishwanathrao Mane and others Vs. Apparao Baibanna Sidore and others reported in 2008 [3] Mh.L.J. 242.

4. It is the contention of the learned counsel for respondent nos. 2 and 3 that while framing the scheme and appointing the first body of the said trust, no proper enquiry was made by the ACC. No paper publication was made in news paper. Cre

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