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1943 Supreme(Cal) 197

CALCUTTA HIGH COURT
Monomohan Das - Appellant
Versus
Parswanath Das Sarkar & Ors. - Respondent
Decided On : 02-07-1943

The main legal point established in the judgment is the legislative competence of the Provincial Legislature in enacting and amending Section 26G of the Ben Ten. Act, 1885, and the implications of the amendments for different types of mortgages.

Headnote:

ultra vires - Mortgage Dispute - Ben Ten. Act, 1885, Section 26G - Summary of Acts and Sections: The court discussed the validity of Section 26G of the Ben Ten. Act, 1885, and its amendments by Act 18 of 1940. The court analyzed the legislative competence of the Provincial Legislature and the repugnancy of the provisions of Section 26G to any law. The judgment also referenced previous cases and the effect of the amendments made in Section 26G by the Act of 1940.

Fact of the Case:

The case involved a dispute over joint possession of disputed lands granted to one party under Section 26G, Ben Ten. Act, 1885. The dispute arose from two mortgage bonds and the purchase of a share of the mortgaged property by one of the parties.

Finding of the Court:

The court found that the provisions of Section 26G relating to re-transfer of the mortgaged property are matters within the legislative competence of the Provincial Legislature. The court also held that the amendments made in Section 26G by the Act of 1940 have implications for mortgages entered into before and after the commencement of the Act.

Issues: The issues raised included the applicability of Section 26G to anomalous mortgages and the provision for granting partial recovery of possession to a co-mortgagor.

Ratio Decidendi: The court decided the rule on the ground that the provisions of Section 26G relating to re-transfer of the mortgaged property are within the legislative competence of the Provincial Legislature. The court also emphasized the implications of the amendments made in Section 26G by the Act of 1940 for different types of mortgages.

Final Decision: The rule was discharged, and no order as to costs was made. A certificate under Section 205(1), Government of India Act, 1935, was granted.

ORDER

1. This rule has been issued against an order in appeal of the Additional District Judge of Dacca, confirming an order of the Munsif of the Fourth Court, Munshiganj passed u/s 26G, Ben Ten. Act, 1885, granting to applicant 1 before him joint possession to the extent of eight annas share 6 in the disputed lands along with opposite party 2. The rule has been issued on the ground that Section 26G as amended by Act 18 of 1940 is ultra vires of the Provincial Legislatrue and has been obtained at the instance of the mortgagee. It is fairly clear that no question of ultra vires can arise in this matter for it cannot be contended that the subject matter of Section 263 as it stands after jamendment is not included in some or other (of the items in the Provincial List or the Concurrent List III of Schedule 7, Government of India Act. The form of the rule is therefore strictly speaking incorrect. The only question that can arise is whether any of the provisions of the amended section deal with matters in the Concurrent List in and are void as being repugnant to any existing Indian law or any law of the Indian Legislature. The Acts containing the provisions of the amended section have not been reserved for the consideration of the Governor. General and have not received his assent. The case arises out of two mortgage bonds entered into by applicant 1 and the husband of applicant 2 by the terms of which the mortgaged properties were given in possession to the mortgagees in lieu of interest. The original mortgagee was the father of opposite parties 1 and 2. The mortgagors were to pay up the mortgage money within a stipulated date, and on failure the properties were to remain in possession of the mortgagee; if dispossessed by the mortgagors the mortgagee was to get interest from the date of dispossession. There was also a term that if the entire mortgage money could not be realised out of the mortgaged properties, the mortgagee would be at liberty to cause the other properties of the mortgagors to be sold. Opposite party 2 has purchased the eight annas share of applicant 2. Accordingly joint possession with opposite party 2 has been ordered in respect of the remaining eight annas share in favour of applicant 1.

2. In this Court two points were urged, first a that Section 266 does not apply to the case of anomalous mortgages, those under consideration in the suit being of this character, and secondly, that Section 26G does not make provision for granting partial recovery of possession to a co-mortgagor, such as has been granted by the lower Courts. These contentions have no connection with the question of the repugnancy of the provisions of Section 26G to any law and are of no assistance to the petitioner. The learned Advocate-General appeared in support of the validity of the section and was, in the circumstances not able to be of much assistance to the Court beyond stating that he failed to see what difficulty there was in the question, and that clearly the provisions of the impugned section were covered by item 21 of the provincial list II, 'transfer of agricultural land,' being excluded so far as any 'contract relating to agricultural land' is concerned from item 10 of the concurrent list in, and were also covered by item 27 of the provincial list II 'money lending.' He further pointed out that whatever might be contended as to the validity of Section 26G in extinguishing debts due and secured by the mortgages therein referred to, there could be no question that the terms which -provide for return of the land to the mortgagor are certainly within item 21 of list II, and that in the present case we are only concerned with that question : it is not strictly necessary for us to decide the other question. We are of opinion that the latter branch of the contention of the learned Advocate-General is sound; we decide the rule expressly on the ground that the provisions of Section 26G relating to re-transfer of the mortgaged property are matt

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