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2013 Supreme(Del) 2300

DELHI HIGH COURT
S.Muralidhar, J.
D.K.Modi - Appellant
Versus
V.K.Modi & Ors. - Resopndent
CS (OS) No. 974 of 2007
Decided On : 11-09-2013

Dr. A.M. Singhvi , Mr. Sanjay Jain, Senior Advocates with Mr. Saurabh Kripal, Ms. Jayashree Shukla, Mr. Abhinav Dasgupta , Mr. Nilesh, Advocates for Appellant.
Mr. T.K. Ganju, Senior Advocate with Mr. Vijay Gupta, Ms. Geeta Goel, Mr. Chetan Swrup, Mr. Amit Paliwal, Advocates for D-2IMRL.
Mr. Ravi Kumar Aggarwal with Ms. Singdha Pandey, Advocates for D-3 to 6. Ms. Archana Lakhotia, Advocate for D-1.

Headnote:

Civil Procedure Code, 1908 - Order 6 Rule 17 - Amendment - Injunction - Declaration of title - Suit for declaration and permanent injunction and specific performance of agreement to sell - Genesis of the case - A letter written by D2 to D3 seeking execution of a sale deed in relation to the suit property - Plaintiff claimed - Registration of property in favour of D2 was malafide and with an intent of helping D1 and 2 to avoid the obligations under the MOU - Amendment application by plaintiff has been filed nearly four years after the filing of the suit - There is no valid explanation for this delay - Prayer for declaratory relief of title - Title to the suit property occupied by the Plaintiff can in terms of the MOU be transferred only to a company managed by the Plaintiff and not to the Plaintiff - Position of company which the Plaintiff will get to manage remains unclear - Price has to be fixed by a valuer and the company concerned must have the resources to pay the value so determined for the suit property - Held, even if the amendments sought were to be allowed, does not disclose any cause of action for the Plaintiff to seek the reliefs as prayed for even in the amended plaint - Application is dismissed.

JUDGMENT :

S. Muralidhar, J.

IA No. 7474 of 2011 (filed by Plaintiff u/O VI R 17 CPC)

1. By this order the Court disposes of IA No. 7474 of 2011 filed by the Plaintiff under Order VI Rule 17 of the Code of Civil Procedure 1908 (‘CPC’). The Court also proceeds to pass a consequential order in the main suit itself.

2. The above suit has been filed by Dr. D.K. Modi against Mr. V.K. Modi, son of late Mr. Rai Bahadur Gujar Mal Modi, Defendant No. 1, Modi Rubber Limited (‘MRL’), Defendant No. 2 through its Managing Director, Mrs. Ritu Kapur, Mrs. Preetika Swarup, Mrs.Neetika Jaipuria and Mrs. Ambika Kapur, Defendant Nos. 3 to 6 respectively for the following reliefs:

“(a) Pass a decree of declaration in favour of the Plaintiff and against the Defendants declaring that the Defendant Nos. 1 to 2 have been left with no right, title or interest in the property bearing No. 15, Friends Colony (West), New Delhi having total area of 2800 sq. yds;

(b) Declare that the Plaintiff has exclusive right, title and interest in the suit property bearing address 15, Friends Colony (West), New Delhi having total area of 2800 sq. yds;

(c) Pass a decree of permanent injunction against the Defendant Nos. 1 and 2 restraining them from acting contrary to the terms of the MOU dated 24th January 1989 and claiming any right, title or interest in the property bearing address 15, Friends Colony (West), New Delhi having total area of 2800 sq. yds contrary to the terms of MOU dated 24th January 1989;

(d) Pass a decree of permanent injunction against the Defendant Nos. 3 to 6 restraining them from transferring any right, title or interest in property bearing address 15, Friends Colony (West), New Delhi in favour of Defendant No. 1 and 2 or any third party having total area of 2800 sq. yds.”

3.The suit as originally filed states that the Memorandum of Understanding (‘MOU’) was executed on 24th January 1989 amongst the various members of the Modi Family comprising of Dr. K.N. Modi, Mr. M.K. Modi, Mr. Y.K. Modi and Dr. D.K. Modi (the Plaintiff herein) who constituted Group A, and Mr. K.K. Modi, Mr. S.K. Modi, Mr. B.K. Modi, Mr. V.K. Modi and Mr. U.K. Modi who constituted Group B. Dr. D.K. Modi is the son of Late Mr. K.N. Modi who headed Group A. Dr. K.N. Modi expired on 27th May 2005.

4. Defendant No.1, Mr. V.K. Modi, is the son of Late Mr. Rai Bahadur Seth Gujar Mal Modi. Defendant No. 2 is MRL having its registered office at 4-7C, DDA Shopping Center, New Friends Colony, New Delhi 110 025. Defendant Nos. 3 to 6 are the legal heirs of Late Mr. Arun Kumar Kapur, who was the owner of the property bearing No. 15, Friends Colony (West), New Delhi admeasuring 2800 sq. yds (‘suit property’). Defendant No. 3 is the wife, and Defendant Nos. 4 to 6 are the daughters of late Mr. Arun Kumar Kapur.

5. Late Mr. Arun Kumar Kapur, by an agreement dated 4th February 1984, agreed to sell the suit property to MRL for a total sale consideration of Rs. 55 lakhs, out of which a sum of Rs. 48 lakhs had been paid prior to the execution of the said agreement to sell. It is stated in para 6 of the un-amended plaint that at the time of the execution of the agreement to sell, the suit property was under the tenancy and possession of Dr. K.N. Modi, father of the Plaintiff.

6. According to the Plaintiff, under a family settlement of the Modi Family, the suit property fell to the share of Dr. K.N. Modi and the Plaintiff and that the suit property is in their exclusive possession without any objection, claim or hindrance from any of the Defendants.

7. It is stated that Mr. Arun Kumar Kapur executed a General Power of Attorney (‘GPA’) dated 6th February 1984 in favour of Mr. Ashok Kumar, Chartered Accountant of MRL giving him all the powers to deal with the suit property. It is further stated that a boundary wall has also been constructed, which physically separates the property No. 15, Friends Colony (West), New Delhi measuring 2860 sq. yds. from the property No. 15 (1), Friends Colony (West), New Delhi which











































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