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2002 Supreme(Del) 1807

High Court Of Delhi
ANIL BHASIN - Appellant
Versus
VIJAY KUMAR BHASIN - Respondent
L.P.A. 8243 of 2001
Decided On : 12/05/2002

Advocates Appeared:
Bharat Sharma, N.K.THANAI, N.L.Gupta, Vijay Kishan, VIKRAM JAITLEY

Headnote:Civil – amendment - Sections 2, 3 (2), 4 (3) and 7 of Benami Transactions (Prohibition) Act, 1988, Order 6 Rule 17 of Code of Civil Procedure, 1908 and Sections 81 and 82 of Indian Trusts Act – whether plaintiff entitled to make amendment in plaint by including certain immovable properties –defendant contended on averments made by plaintiff in application seeking amendment transaction amounts to benami transaction – legal proceedings prohibited in relation to such transaction – amendment sought hit by Act of 1988 – ingredients of Section 2 (a) duly satisfied –amendment proposed not allowed on account of legal bar arising from provisions of Act of 1988.

S. Mukerjee

( 1 ) AN interesting question has arisen regarding the interplay of the provisions of the Sections 2 (a), 3 (2) and 4 (3) of the Benami Transactions (Prohibition) Act, 1988 by which Sections 81 and 82 in Chapter IX of the Indian trusts Act, 1982, were deleted in the year 1988, while side by side with the enacting of the Benami Act.

( 2 ) THIS application (I. A. No. 8243/2001) has been preferred by the plaintiff under Order 6 Rule 17 of the Code of Civil Procedure, seeking leave to amend the plaint, by incorporating inter-alia, the following prayers: i. Plaintiff wishes to add sub-para to the existing para 3, which is as under:

"plaintiff respectfully submits that Smt. Raj Rani Bhasin had purchased certain immovable properties either in her name or in others name including the defendant No. 3. The properties purchased by her in others names were held in trust as trustee. The same were held in fiduciary capacity and for the sole benefit of Smt. Raj Rani Bhasin. The same also devolved upon the parties hereto and are liable to be partitioned. It is submitted that Smt. Raj Rani Bhasin purchased property No. 2-R, Second Floor, DCM building, 16, Barakhamba Road, New Delhi, in the name of defendant no. 3. She also purchased office bearing No. 1110, Ashoka Estate, barakhamba Road, New Delhi, in the name of defendant No. 3. She also purchased office bearing No. 1110, Ashoka Estate, Barakhamba Road, new Delhi, admeasuring 640 sq. feet in the name of defendant No. 3. It is submitted that the defendant No. 3 held the said property as trustee to Smt. Raj Rani Bhasin and for her benefit. The said property was purchased in the name of defendant No. 3 in fiduciary capacity and the same also devolved upon the parties hereto after the demise of Smt. Raj rani Bhasin, Smt. Raj Rani Bhasin also purchased three flats on second, third and fourth floors of DCM Building, Barakhamba Road, New delhi, a Farm House of Ansal Properties situated at Mehrauli-Gurgaon road, and plot No. 918-A, DLF City, Gurgaon from the sale proceeds of the property bearing No. E-205, Greater Kailash-II, New Delhi, and the fixed deposits which devolved upon her by virtue of Will dated 25th January, 1980, executed by late Shri Rajinder Kumar Bhasin. Smt. Raj Rani Bhasin sold the property No. E-205, Greater Kailash-II, New delhi for Rs. 50 lakhs. It is submitted that Smt. Raj Rani Bhasin also succeeded fixed deposits which were worth Rs. 10,30,000/- in the year 1994. The same were the self-acquired funds of late Shri Rajinder kumar Bhasin. The said fixed deposits matured in the year 1997 and were worth Rs. 14. 80 lakhs. Smt. Raj Rani Bhasin, after the maturity, invested in the fixed deposits a sum of Rs. 5,50,000 /- and balance of Rs. 9,30,0007- was utilised by her for purchase of properties. The said properties were purchased by her either in her own name or in the name of defendant No. 3, who held the said property in trust, as trustee to her. Needless to say, the said properties were purchased for her benefit and the same are also liable to be partitioned between the parties hereto. "ii. That the plaintiff also wishes to add the aforesaid immovable properties in para 4 at the end of list of the existing list of immovable properties.

( 3 ) THE objection of the defendant is that the averments sought to be included by amendment, are hit by the Benami Transactions (Prohibition) Act 1988, and as such cannot be allowed. Reliance is placed upon the decision of the Hon ble himachal High Court in the case reported as Dr. Om Prakash Rawal v. Mr. Justice amrit Lai Bahri, AIR 1994 HP 27, wherein it has been inter alia held as under:

"19. The next question is about the plea of Benami nature as also of the adverse possession. Sub-section (2) of Section 4 of the Act says that no defence, based on any right, in respect of any property, held Benami, whether against the person in whose name the property is held or against any other person, shall be allowed in any suit, claim or actio






















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