IN THE HIGH COURT OF JUDICATURE AT MADRAS
S. SOUNTHAR, J.
M/s. MIOT Hospitals Educational Trust – Petitioner
Versus
Nil – Respondent
C.R.P. No. 2759 of 2022
Decided On : 18-10-2022
Indian Trust Act - Sections 34 & 37 - Seeking permission of the Court to sell un-utilized property - Sought to be sold and details of applications - Petitioner under Sections 34 & 37 Indian Trust Act, seeking permission of Court to sell un-utilized property of Trust described in the schedule to petition - Held, Petitioner is at liberty to file a better affidavit mentioning need for sale of Trust property, benefit for Trust by sale of property, details with regard to the fact, how sale proceeds will be applied to achieve the objectives of Trust - Civil Revision Petition is disposed of
ORDER :
Prayer: Civil Revision Petition is filed under Article 227 of the Constitution of India, the judgment and decree order dated 11.08.2022 passed by the learned trial Court in Trust O.P. No. 13 of 2022 before the District Sessions Court No. II, Kancheepuram, be set aside.
1. This Civil Revision Petition is filed, challenging the order passed by the Court below dismissing the petition filed by the revision petitioner under Sections 34 & 37 Indian Trust Act, seeking permission of the Court to sell the un-utilized property of the Trust described in the schedule to the petition.
2. Not being satisfied with the reasoning and information furnished by the petitioner in its petition seeking permission to sell the unutilized excess land, the Court below has dismissed the original petition. Aggrieved by the same, the petitioner Trust is before this Court.
3. The learned counsel for the petitioner submitted that the objectives of the Trust was mentioned in the Trust deed produced by the petitioner as Ex.P1 and hence, the reasoning given by the Court below that the petitioner failed to state the objectives of the Trust is erroneous.
4. The learned counsel for the petitioner further submitted that the reasoning given by the Court below that the petitioner failed to put forth the necessity to sell the Trust property and the purpose for which, the properties were sought to be sold and the details of the applications of the sale proceeds etc., are also erroneous.
5. In the light of the fact that the objectives of the Trust was already spelt out in the Trust deed and the sale proceeds obtained from sale of the Trust property would be applied in respect of any one of the numerous objectives enumerated in the Trust deed.
6. Further, the learned counsel for the petitioner submitted that even in cases were Indian Trust Act is not strictly applicable to the Private Trust, nevertheless the principles of Section 34 of the Indian Trust Act, are made applicable to the Private Religious and Charitable Trust and for the said proposition he relied on the judgment of In Re: Dhanalal Karnawat and Another, AIR 1975 Cal 67.
7. Further, the learned counsel for the petitioner submitted that as per the Trust deed produced as Ex.P1, the trustees of the petitioner's Trust have got power to alienate the Trust properties. But however, it is always open to them file a petition under Section 34 of the Indian Trust Act, seeking necessary advise, direction in the matters concerning the management and administration of the Trust property. In this regard, the learned counsel for the petitioner further relied on the judgment of the Mysore High Court in the case of In Re: D.V. Gundappa and Others, AIR 1951 Mys 6.
8. Further, the learned counsel for the petitioner taking me to the Full Bench decision of Sind High Court reported in AIR 1945 Sind 81, submitted that Section 34 of the Trust Act, is for the benefit and protection of the Trustee. When the Court gives a direction under the said Section, the Trustees are under the obligation to obey the same.
9. Finally, the learned counsel for the petitioner submitted that in any event if this Court comes to the conclusion that the materials placed by the petitioner before the Court below for seeking permission of the Court to alienate the Trust property are in sufficient the petitioner may be given an opportunity to lead further evidence and for that purpose the matter may be remanded back to the file of the Court below.
10. I have considered the submissions made by the learned counsel for the petitioner and perused the typed set of papers. In the petition filed by the petitioner seeking permission of this Court to permit the petitioner Trust to sell its unutilized excess land, the petitioner had stated that the land which was sought to be sold had been kept unutlitized from the date of purchase and the same needs to be utilized towards the objectives of the Trust. To meet the above said purpose, the Trust passed a resolution. The petit
Section 92 of the Code of Civil Procedure can be invoked for administration of Public Charitable Trusts, even without an alleged breach of trust.
The central legal point established in the judgment is that trustees must adhere to the specific provisions and restrictions outlined in the testator's will when managing and disposing of trust prope....
The court's decision was based on the Indian Trust Act 1882 and the conditions imposed were in line with the objectives of the trust.
The court affirmed that a lack of jurisdiction by the District Munsif does not invalidate sales made by trustees of a public charitable trust, particularly when the petitioner approaches the court wi....
The central legal point established in the judgment is that the Charity Commissioner must consider the interest, benefit, and protection of the trust when granting permission for property disposal, a....
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.