High Court Of Delhi
STATE - Appellant
Versus
MAN SINGH - Respondent
Suit 117 of 1973
Decided On : 02/15/1974
TARA CHAND Saraf Will - Charitable Trust - Cy-Pres Doctrine - Application - Construction of Hospital for Women - Appointment of Official Trustee - Charitable Endowments Act 1890.
Fact of the Case:
Tara Chand Saraf, a Peshawar resident, created a will in 1927, expressing his desire to dedicate his self-acquired property for charitable purposes. He appointed six trustees to manage the estate and outlined specific charitable objectives, including constructing a musafir khana in Hardwar, reconstructing a Gurdwara in Peshawar, and establishing a hospital for women. However, due to changed circumstances, the trustees sought permission to sell the trust properties and utilize the funds for educational purposes.
Finding of the Court:
The court found that the original charitable objectives specified in the will were no longer feasible due to practical and legal constraints. The construction of a musafir khana and the reconstruction of the Gurdwara were deemed impracticable. The court acknowledged the testator's general charitable intention and applied the doctrine of cy-pres to determine the appropriate application of the trust funds.
Issues: 1. Whether the original charitable objectives specified in the will were still feasible and capable of being carried out. 2. Whether the doctrine of cy-pres could be applied to modify the charitable objectives in light of changed circumstances. 3. How the trust funds should be utilized in accordance with the testator's charitable intention and the doctrine of cy-pres.
Ratio Decidendi: 1. The court held that the construction of a musafir khana in Hardwar and the reconstruction of the Gurdwara in Peshawar were impracticable due to financial constraints and changed circumstances. 2. The court recognized the testator's general charitable intention and applied the doctrine of cy-pres to determine the appropriate application of the trust funds. The court emphasized that the primary rule in applying cy-pres is to observe the donor's intention as far as possible. 3. The court determined that the next charitable objective in the will, after the impracticable ones, was to establish a hospital for women. The court directed the trustees to utilize the trust funds to set up a ward or unit in an existing hospital in Delhi, dedicated to the treatment of women, as the closest possible implementation of the testator's intention.
Final Decision: The court advised the trustees to appoint the Official Trustee or settle a scheme under the Charitable Endowments Act 1890 to ensure the proper administration of the trust. The court declined to grant permission to sell the immovable properties in Amritsar as sought by the trustees. Copies of the order were directed to be sent to the Official Trustee and the Collector, Delhi, for their respective actions.
( 1 ) MANY years ago there lived in Peshawar a man named Tara Chand Saraf. It appears that he had a Jeweller s business. He had no children. On 20th December 1927 he made a will and had it registered. The original will is lost, or at any rate is not now traceable or procurable. Mr. Partap Singh, one of the present trustees of the trust created by that will, has made a statement before me to that effect. He says that he went to Peshawar in 1964 and tried to locate the original will, but was unseccessful. He also says that he was informed that the records pertaining to the will in the office of the Sub-Registrar, Peshawar, had been burnt. I have no reason to disbelieve him. As secondary evidence a printed copy of the will has been proved by this gentleman and marked Ex. P-l. No other copy is available.
( 2 ) THE will is in Urdu. A transliteration has been placed on record which I will use for quotation. First of all there is a recital in which the testator says:
"whereas by the grace of the Wahe-Guru (the Almighty) I am possessed of self-acquired property moveable and immoveable and whereas I have no issue and am desirous that no other persons should claim to be my relatives and raise disputes after my death, and whereas life is uncertain, I hereby make the following will to be acted upon after my death".
THEN after revoking two previous wills, the testator describes five immovable properties owned by him. Under the head movable property he refers to the entire cash as per the account books to be found at the shop or the jewellery mortagaged or the amounts owing to us on pronotes, hundies, mortage-deeds or bonds . He proceeds to name a committee of six trustees to manage and supervise his estate. He exhorts them to act according to his wishes recorded thereinafter.
( 3 ) NEXT the testator devises some of his immovable properties and makes certain bequests. He continues :
"the shop together with the Bala Khana situate in Bazar Karimpura should be maintained as such for charitable purposes by the appointed trustees and the rent recovered should be included in the income. The entire movable property aforesaid is dedicated for charitable purposes by me. An amount of Rs. 50. 000. 00 should be taken out of it and a building be constructed at Hardwar therewith, which should bear my name and the words tara Chand Saraf Arorbans Peshawari Musafir Khana. This building should have two portions: one for Guru Granth Sahib and the other for Idols of Krishan Maharaj and Radhika for which a Granthi Singh and a Pujari should be employed separately. The pilgrims from Peshawar who come there should be allowed to stay without being charged rent, and with a view to maintaining this place for over a sum of Rs. 50,000. 00 should be kept apart and the income thereform should be spent exclusively on the-same. Such amount as remains after paying the salaries of the sewadars and meeting the cost of repairs and other necessary expenses should be used for a daily langar where every person is provided free meals without any discrimination. Outside Asa Mai Gate, Peshawar city, there is a building of a Gurdwara. I have a desire to construct the same. If it remains unconstructed during my life-time it should be constructed and a board with the words tehal Karai Tara Chand Saraf Yaadgar Apni Pushtaine should be affixed thereon. "
AT this stage a few specific bequests are made, and in conclusion the testator enjoins :
"whatever amount out of the income from my property movable and immovable remains after accomplishing the aforesaid objects should be spent on the construction of a hospital for women on the ground floor of the Dharamsala of Bhai Beeba Singh where treatment should be provided to Hindu and Sikh women. Medicines should be supplied free of charge. The amount required for the construction of the building of the hospital should be taken out of my funds meant for charitable purposes. If the income permits it should be expended on the educ
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