1932 Supreme(Cal) 4
CALCUTTA HIGH COURT
Fala Krista Pal & Ors. - Appellant
Versus
Jagannath Marwari & Ors. - Respondent
Decided On : 04-03-1932
Important Points
Subject
Civil Law - Property Law
Act Referred
Headnote
Order 34 Rule 6 - Recovery of Minimum Royalty - Sections 89 and 90, T. P. Act 1882 - Combined Decree - Personal Decree - English Mortgage - Possession of Property
Fact of the Case:
The plaintiff filed a suit for recovery of minimum royalty from the defendants. A decree was passed in 1925, and two years later, the plaintiff applied for a personal decree against all the defendants. The Subordinate Judge held the plaintiff entitled to a personal decree against defendants 1 to 6.
Finding of the Court:
The Court found that the decree was a combined decree under Rules 5 and 6 against defendant 1, and as against the other defendants, it provided all the reliefs the plaintiff was entitled to under the plaint. The Court concluded that the proceedings leading to the decree were misconceived and the decree itself could not stand.
Issues: The issues included the jurisdiction of the Subordinate Judge to make a personal decree, the liability of the defendants for the plaintiff's dues, and the possession of the defendants.
Ratio Decidendi: The Court held that the decree was a combined decree under Rules 5 and 6 against defendant 1, and as against the other defendants, it provided all the reliefs the plaintiff was entitled to under the plaint. The Court also discussed the liability of the defendants for the plaintiff's dues and the possession of the defendants.
Final Decision: The Court allowed the appeals, set aside the decree against the defendants other than defendant 1, and awarded costs to the appellants.
JUDGMENT
1. These two appeals have arisen out of a decree which purports to have been made under Order 34, Rule 6, Civil P.C. The suit was commenced by the plaintiff on 8th November 1924 against four sets of defendants namely, defendant 1 Ghose, defendant 2 Paul, defendants 3 to 5 the Bagris and defendant 6, the Bengal National Bank Ltd. The bank having subsequently gone into liquidation, the liquidators were brought in as defendant 6. On 24th February 1925 a firm carrying on business under the name and style of Khangarji Amrita Lal & Co. were added as defendant 7.
2. On 6th March 1919 defendant 1 had obtained a coal mining settlement in respect of coal lying under 366 bighas of land in mauzha Banbahal from the plaintiff and executed in his favour a kabuliyat stipulating to pay royalty at certain rates for the different kinds of coal to be taken and a minimum annual royalty of Rs. 5,000 that is to say at the rate of Rs. 400 a month from January to November and Rs. 600 in December and undertaking that if the royalty for each month was not paid within the 15th day thereof he would pay interest at the rate of Rs. 2 per cent per month till realization, and further stipulating that if the minimum royalty for two consecutive months be not paid within the third month the plaintiff would be competent to take khas possession of the colliery with all its appurtenances and creating a first charge on the leasehold lands machinery, stores, furniture etc., for the royalty and for all sorts of dues of the plaintiff. The suit was for recovery of minimum royalty from January 1923 to October 1924, both months inclusive, together with interest. The prayers were on the lines indicated in Order 34 of the Code. A more detailed reference will be made hereafter to the averments and prayers made in the plaint.
3. As regards the connexion of the other defendants with the subject-matter of the suit it would be sufficient to state the following: On 29th March 1923, defendant 1 executed a mortgage in favour of defendant 2 on receipt of Rs. 42,000 and assigned to the latter the leasehold together with the colliery and all its appurtenances, the deed being in the form of an English mortgage. On 4th April 1923 defendant 1 executed a further mortgage in similar terms in favour of defendants 3 to 5, assigning over the same properties, subject to the mortgage in favour of defendant 2, as security for Rs. 70,000 said to have been due to the said defendants on advances previously made by them. On 14th December 1923 defendant 2 assigned his mortgage debt and security to the Bengal National Bank Ltd., defendant 6. On 14th November 1924 a managing agency agreement was executed by defendant 1 in favour of defendant 7 and to this deed defendants 3 to 5 and 6 were parties.
4. On 28th April 1925 a solenama was filed as between the plaintiff and defendant 1 and on the same day, after examination of a witness who proved the charge-created by the kabuliyat executed by defendant 1 in plaintiff's favour and also said that defendant 1 had mortgaged the properties to the other defendants, a decree was passed on the solenama as between the plaintiff and defendant 1 and ex parte as against the other defendants. To the terms of this decree referenee will hereafter be made. The properties charged were sold in pursuance of this decree but fetched Rs. 1,525 only, a small part of the decretal dues.
5. About two years after, on 1st March 1928, the plaintiff applied under Order 34, B. 6, Civil P. C., for a personal decree against all the defendants for a sum of Rs. 14,843 which, he alleged, was due and unrealized on account of the decree of 28th April 1925. He asserted that defendant 1 was the original lessee and the other defendants were mortgagees in; possession and were, in fact, in possession by receipt of the usufructs of the colliery. To this prayer the defendants objected. The Subordinate Judge took evidence and eventually held that the plaintiff was entitled to such a decree as agai