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2025 Supreme(Bom) 402

IN THE HIGH COURT OF JUDICATURE AT BOMBAY, BENCH AT AURANGABAD
ROHIT W. JOSHI, J.
Anil Chhabildas Chaudhari – Appellant
Versus
Sau. Mamata Sudhakar Sananse – Respondent 
Second Appeal No. 339 Of 2024
Decided On : 05-03-2025

Advocates:
Advocate Appeared:
Shri R. N. Dhorde, Senior Advocate, along with Shri Sanjay S. Dudhane, Advocate, instructed by Shri V. R. Dhorde, Advocate for the Appellant
Shri Rajendra Deshmukh, Senior Advocate instructed by Shri Praveen B. Gamot, Advocate for Respondent.

The burden of proving fraud lies with the party alleging it, and a power of attorney holder can testify if they have personal knowledge of the facts.

Headnote:

(A) Specific Relief Act, 1963 - Section 10 - Civil Procedure Code, 1908 - Section 100 - Second appeal against decree for specific performance of contract - Plaintiff sought specific performance for sale of shops after paying full consideration - Defendant claimed fraud and that agreement was fabricated - Courts found plaintiff's version credible based on documentary evidence and dismissed defendant's counterclaim. (Paras 1, 6, 32)

(B) Fraud - Burden of proof lies on the party alleging fraud - Defendant's claims of signing blank papers were found unsubstantiated and self-contradictory - Courts emphasized the need for clear pleadings in fraud cases. (Paras 24, 28)

(C) Power of Attorney - A power of attorney holder can testify on behalf of the principal if they have personal knowledge of the facts - The husband of the plaintiff was deemed a competent witness. (Paras 10, 12)

(D) Evidence - The execution of the sale deed was supported by documentary evidence, including bank transfers and witness testimonies - The defendant's claims of a loan transaction were rejected as implausible. (Paras 6, 20) (E) Final Decision: The second appeal is dismissed.

JUDGMENT :

1. The present second appeal is filed against judgment and decree dated 08.08.2022 passed by the learned Civil Judge Senior Division, Bhusaval in Special Civil Suit No. 24 of 2020 and judgment and decree dated 24.11.2023 passed by the learned District Judge -3, Bhusawal in Regular Civil Appeal No. 42 of 2022. The appellant in the appeal is the original defendant against whom decree for specific performance of contract is passed in the civil suit. Simultaneously, the counter claim of the defendant seeking declaration that the agreement in question was a false and fabricated document, was also rejected. As stated above, the appeal preferred by defendant is to be dismissed by the learned Appellate Court.

2. The present respondent had filed suit for specific performance of contract with respect to Shop Block Nos. G-14, G- 15, G-16 and G-19 ad-measuring 102.07 sq.mtrs. situated at Survey No. 147/01/01 in final plot No. 3-A/02 at Bhusaval. It is the case of the plaintiff that the defendant was in need of money for contesting election and in order to augment funds, he wanted to sell the suit shops immediately. According to the plaintiff, the defendant contacted one Tanaji Shantaram Patil, a property dealer, who was a friend of husband of the plaintiff. She claims that the said Tanaji Patil came with a proposal for purchase of the suit shops and accordingly, a meeting of plaintiff, her husband, Tanaji Patil and the defendant was held wherein the plaintiff agreed to purchase the suit shops for a total consideration of Rs. 60,70,000/-. The total sale consideration of Rs. 60,70,000/- came to be paid to the defendant on 19.10.2019 by online transfer under two transactions of Rs. 30,35,000/- each. The plaintiff claims that he had paid stamp duty of Rs. 3,64,200/- on the draft of the said deed, which was prepared by one Mr. B. G. Chavan, stamp vendor. The plaintiff also contends that the sale deed came to be executed by her and the defendant by putting their signatures and thumb impression. The husband of the plaintiff and broker Tanaji signed the sale deed as attesting witnesses and the sale deed was lodged for registration with the Sub-Registrar on 30.10.2019 along with registration fee of Rs. 31,400/-. The contention of the plaintiff is that despite having received the entire sale consideration and also having executed the sale deed as aforesaid, the defendant avoided to visit the office of Sub-Registrar for completing the formalities regarding registration of sale deed. The plaintiff has alleged that the defendant gave evasive replies whenever inquiries were made with respect to registration of sale deed. The plaintiff issued a letter dated 07.02.2020 calling upon the defendant to complete the formalities regarding registration of sale deed and to deliver physical possession of the suit shops. The plaintiff has stated that Sub- Registrar has also issued two communications to the defendant on 13.02.2020 and 09.06.2020, calling him to complete the registration formalities, however, the defendant did not do the needful. In the circumstances, the plaintiff filed suit for specific performance of contract. The prayer in the suit is for directions to the defendants to complete the formalities regarding registration of the sale deed executed by the defendant in favour of the plaintiff and for delivery of possession of the suit shops.

3. The defendant filed written statement and counter claim in the matter vide Exhibit 13 on 28.07.2020. The defendant has come up with a case that he was in need of money during the election period for his personal and household expenses. He claims that the broker Tanaji Patil and husband of the plaintiff had friendly relations with him and when the broker Tanaji Patil came to know about financial need of the defendant, he made an offer to the defendant to give him hand loan. He states that in such circumstances, taking unfair advantage of the fact that the defendant was busy with elections, the broker, Tan

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