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1951 Supreme(Mad) 314

(1953) 2 MLJ 678 (Mad)
IN THE HIGH COURT OF JUDICATURE AT MADRAS
Present : Mr. Justice Govinda Menon and Mr. Justice Panchapakesa Ayyar.
Case Number(s) : L.P.A.No.9 of 1948.
Judgement Date : Thursday 18th of October 1951
Kandaswami Mudali .....Appellant(s)
Versus
K.R. Narasimha Aiyar and others .....Respondent(s)

Advocates:
T.V. Balakrishnan for Appellant.
A. Srirangachari and P. Suryanarayana for Respondents.

Govinda Menon, J.-

This is an appeal against a judgment of Chandrasekhara Ayyar, J., confirming the decision of the lower Court by which that Court set aside a sale at the instance of the judgment-debtor-98th defendant in the suit. What happened was that, after the passing of a mortgage decree against various defendants the 98th defendant in O.S.No.194 of 1928 on the file of the Sub-Court of Coimbatore had to pay a certain sum of money to the decree-holder plaintiff and he was in possession of certain item of property. There was an agreement between the 98th defendant and the decree-holder that the property would not be sold because a certain sum of money was paid by the 98th defendant. The result was an adjustment and an agreement that the item of mortgaged property belonging to the 98th defendant would not be sold. In contravention of that agreement, a sale took place, and the proclaimed property was purchased by the present appellant. The respondent-98th defendant put in an application under Order 21, rule 90, Civil Procedure Code, as well as section 47 for setting aside the sale. The lower Court found in favour of the adjustment and also found that the purchaser was not aware of the agreement between the parties. Such being the case, when it had to choose between two innocent sufferers, the lower Court was of opinion that the person more affected, namely, the judgment-debtor, should be protected. The sale which had remained unconfirmed, was accordingly set aside. In appeal Chandra- sekhara Ayyar, J., agreed with the decision of the lower Court following the decision in Shaikh Maula Bux v. Raghubar Ganjhu1, where it has been held that the “conduct of the sale” means every step taken from the beginning to the end for the purpose of bringing the properties to sale. In those circumstances, the fact that the decree-holder and his assignee without bringing to the notice of the Court that there was an agreement between them and the 98th defendant not to sell the property brought the same to sale was enough to show that there was fraud in conducting the sale. On this reasoning the trial Court’s judgment was confirmed.

In appeal, it is contended before us, on the authority of Eramulla Sanjamma v. Anna Sayana2, Ramchhaibar Misr v. Bachu Bhagat3and Gauri v. Ude4that fraud on the publishing or conducting the sale does not include a fraud of the kind that had occurred in this case because the fraud must be in the actual process of publishing and proclaiming the sale or in steps taken subsequent to such proclamation. Mahmood, J., in Ramchhaibar Misr v. Bechu Bhagat3observes that the word “conducting” in section 311 of the old Code, equivalent to Order 21 rule 90, together with the word “conducted” in the old section 286 makes it clear that it would refer only to the action of the officer who makes the sale. Anything done antecedent to the order of sale has nothing to do with “conducting” the sale. Again, it is observed by him that the word “publishing” also refers only to what is done antecedent to the actual conduct of the sale but subsequent to the order directing the sale This is also the view taken in Gauri v. Ude4, as well as by Yahya Ali, J., in Eramulla Sanjamma v. Anna Sayana2. We are inclined to think that there isconsiderable force in the argument of learned counsel for the appellant that the more correct view is that adumbrated in Ramchhaibar Misr v. Bechu Bhagat3and the other two cases referred to above. Therefore it might be that the reasoning on which the learned Judge based his judgment may not appeal to us. But in this case the judgment-debtor himself was the applicant to set aside the sale, the same having been made within 30 days. As the application is one between the judgment-debtor on the one hand and the decree-holder’s representative, the auction purchaser on the other, the contest is one that falls within the provisions of section 47, Civil Procedure Code and, therefore, no separate suit would lie. If no separate


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