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IN THE HIGH COURT OF JUDICATURE AT MADRAS
Mrs. Justice R. Hemalatha, J
R.Narayanan – Appellant
Versus
N.Chandra – Respondent
JUDGMENT :
R.Hemalatha, J.
The appellant is the first defendant in O.S.No.1166 of 2013, on the file of the XVII Assistant City Civil Court, Chennai. The first respondent / plaintiff filed the suit for the following reliefs :
(a)declaration that the General Power of Attorney deed dated 23.07.2010 (Ex.A2) executed by the plaintiff is null and void.
(b)declaration that the registered Mortgage Deed dated 07.09.2011 for a sum of Rs.20,00,000/- is null and void.
(c)permanent injunction restraining the first defendant, his men and agents from disturbing the peaceful possession and enjoyment of the suit property.
(d)permanent injunction restraining the defendants or their men and agents from alienating or encumbering the suit property.
(e)to order costs of the suit.
2. For the sake of convenience, the parties are referred to as per their rank in the trial court and at appropriate places, their rank in the present second appeal would also be indicated.
3. The case of the plaintiff in a nutshell is as follows :
The plaintiff is the owner of the suit property in Survey Number 123 (part), Plot No.211, TNHB Colony, Velachery, Chennai, measuring 489 sq.ft. She borrowed a sum of Rs.1,00,000/- from the firs
The burden of proof lies with the plaintiff to establish fraud in the execution of registered documents, which carry a presumption of validity.
The main legal point established in the judgment is that the Power of Attorney was executed as a security for a loan and the sale deed was executed without consideration, making it void.
A mortgage must be registered to be valid; an unregistered mortgage deed does not affect property rights.
The court established that the General Power of Attorney was fictitious and the sale deed executed under it was null and void, emphasizing the burden of proof lies with the defendants under Section 8....
A sale deed executed after the cancellation of a power of attorney is invalid under the Power of Attorney Act, reinforcing the principle that authority must exist for legitimate transfer of property ....
The court affirmed the validity of a sale deed executed by an agent holding a power of attorney, finding no grounds for alleging misuse of authority when the primary agreements were not duly referenc....
The execution of a registered mortgage deed must be proven, and past consideration is valid; failure to testify can lead to adverse inferences against the party withholding evidence.
The appellate court reaffirmed that the execution of a mortgage deed is valid with past consideration, and the burden of proof rests with the parties to provide evidence for their claims.
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