Rajasthan High Court
Modi & Shinghal, JJ.
ThakarLal - Appellant
Versus
Nathu Lal - Respondents
D.B. Special Appeal No. 39 of 1960
Decided On : December 16, 1963
Where an auction-purchaser is dispossessed of the property after the sale has been confirmed in his favour at the instance of a third party on the ground that the judgment-debtor had no saleable interest therein, he should not and peed not be made to lose both the property and money he paid for it, and it should be open to him to recover such money by way of suit unless he has disentitled himself to such relief by any fraud or inequitable conduct on his part for instance where he persists in bidding in the knowledge that a suit has been filed disputing the title of the judgment-debtor, that the decree-holder will be thus deprived of the money which has been put into his pocket and thereby put to some disadvantage, still in a situation like this, we must choose the lesser evil, and the disadvantage to the auction-purchaser will be far greater than the disadvantage to the decree-holder who would have been only entitled to that money provided the property sold had belonged to the judgment-debtor which it did not, and, therefore, if such property had not been sold as it should not have been, lie would not have got anything out of that property. Surely, it was not open to the decree-holder to satisfy his decree by attachment and sale of the property of any other person than the judgment-debtor, and, therefore, in such a case, if the decree-holder is required to pay the auction-money back to the auction-purchaser, it cannot be said in all fairness that he is being subjected to any unjust treatment, or that he is being deprived of something to which he was really entitled. (Para 13)
Once the decree-holder is compelled by the court to refund the decretal amount recovered by him in the shape of the purchase price of the property sold to the auction-purchaser, that must operate as an automatic revival of the execution case with effect from the stage at which the money was paid to the decree-holder, and it should be open to the latter to take any further steps which may be necessary to realise his money from the judgment-debtor by any of the modes permissible to him at law. (Para 22)
2. The facts leading up to this appeal lie in a narrow compass. Mst. Rama respondent No. 1 obtained a money decree against Mst. Gulab. The former having died during the course of the present appeal, is now represented by Nathulal and others. The judgment-debtor Mst. Gulab also having died is represented in this appeal by respondents Nos. 5 to 7. Respondents Nos. 2 and 3 are certain other decree-holders against Mst. Gulab. Respondent No. 4 Ladulal is the alleged adopted son of Kesharlal, husband of Mst. Gulab. In execution of her decree against Mst. Gulab. Mst. Rama attached a Nohra alleging the same to belong to the latter. This property eventually came to be sold at a court sale and was knocked down in favour of the appellant auction-purchaser on the 30th April, 1948, for Rs. 8300/- Jhadshahi equivalent to Rs. 8818/12/- in Indian currency. On the auction-purchaser having deposited the purchase price, the sale was confirmed by the execution court on the 10th July, 1948, and a sale certificate was granted to him. This sale was admittedly conducted and made subject to a suit to which reference would be made presently. The sum of Rs. 8818/12/- was then ratably distributed between Mst. Rama and the other two decree-holders Ramchandra and Gulabchandra, respondents Nos. 3 to 4. But before the property was thus sold, Ladulal the alleged adopted son of Kesharlal (husband of the judgment-debtor Mst. Gulab) had instituted a suit on the 26th September, 1945, against Mst. Gulab (his adoptive mother) and the decree-holder Mst. Rama and the other two decree-holders for a declaration that he was the adopted son of Kesharilal and that the property in question was not liable to attachment and sale in execution of the decree of Mst. Rama against Mst. Gulab. After the sale had been knocked down and confirmed in favour of the appellant, he was also added as a party defendant in that suit. This suit was decreed in Ladulals favour on the 6th January, 1949, and it was held that he was the adopted son of Kesharilal and that the property in question was not liable to attachment and sale in execution of the decree of Mst. Rama against Mst. Gulab, as the latter had no right or title to it. On the same day, that is, the 6th January, 1949, the appellant applied to the executing court that the auction-money which was up to that time lying in court be not distributed among the decree-holders and that the same be refunded to him, inasmuch as the suit brought by Ladulal with respect to the property in question had been decided in his favour. This, however, proved to be of no avail, and the money realised by auction was, as already stated, ratably distributed among the various decree-holders on or about the 11th/12th January, 1949.
3. The judgment-debtor Mst. Gulab preferred an appeal against the judgment and decree of the trial court dated the 6th January, 1949, to this Court, and the same was dismissed on the 8th January, 1951. Respondent Ladulal then applied for being put in possession of the property and this was allowed to him by the executing court on the 1st April, 1951. This led to an application dated the 23rd April, 1951, by the auction-purchaser for return of the auction-money deposited by him as it had turned out that the judgment-debtor Mst. Gulab had no saleable interest in the property auctioned. The executing court rejected this application by its order dated the 9th September, 1
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