High Court Of Orissa
L. MOHAPATRA
BISWANATH SAHU - Appellant
Versus
TRIBENI MOHAN - Respondent
Second Appeal 108 Of 1995
Decided On : 04/10/2003
Sale Deed - Property Dispute - Evidence Act, Section 43 of the Transfer of Property Act - 61, 62, 63, 67 of the Evidence Act - The court upheld the validity of the sale deed (Ext. 2) based on the provisions of Section 43 of the Transfer of Property Act, which allows a transfer to operate on any interest acquired by the transferor in the property during the subsistence of the contract of transfer. The court also found that consideration amount had been paid to the executant in the presence of the registering authority, and therefore, the sale deed was valid and binding on the parties involved.
Fact of the Case:
The plaintiff filed a suit for declaration of title, confirmation of possession, and recovery of possession of a property, alleging that the defendants trespassed and attempted to construct a house on the land. The defendants contested the suit, claiming that the sale deed executed in favor of the plaintiff was nominal and executed to defraud creditors.
Finding of the Court:
The court found that the sale deed executed in favor of the plaintiff was valid and upheld the plaintiff's title and possession of the property. The court also held that the defendants had not perfected title by adverse possession and that the sale deed executed by the defendant in favor of another party was not valid.
Issues: The main issues related to the legality and validity of the sale deeds executed by the parties, the question of adverse possession, and the applicability of the Limitation Act.
Ratio Decidendi: The court's decision was based on the validity of the sale deed, the absence of adverse possession by the defendants, and the applicability of Section 43 of the Transfer of Property Act in upholding the transfer of interest in the property.
Final Decision: The court dismissed the appeal, upholding the lower court's decision in favor of the plaintiff.
L. MOHAPATRA, J.
( 1 ) 1/b, 1/c and 1/d are the appellants before this Court against a confirming judgment. Plaintiff-respondent No. 1 having expired during pendency of the appeal, three of her legal heirs have been substituted in her place as respondents 1/a, 1/b and 1/c. Plaintiff had filed the suit for declaration of her title over the suit property, confirmation of possession and in the alternative for recovery of possession as well as for permanent injunction restraining the defendants from making any construction over the suit land or interfering with her possession in any manner whatsoever.
( 2 ) CASE of the plaintiff is that the suit land originally belonged to one Ratnakar Chhotaray, Gurudeb Chhotaray and Indramani Chhotaray. The original owners for their legal necessity sold the same in favour of one Amulyanath Mitra, father of defendant No. 3 under a registered sale deed dated 11-8-1947 and after such purchase Amulyanath Mitra took possession of the land. While in possession Amulyanath Mitra for legal necessity sold the land in favour of the plaintiff on 5-12-1957 under a registered sale deed and thereafter the plaintiff remained in possession of the same. Further case of the plaintiff is that 1962 settlement proceeding was initiated in the year 1952 and plaintiff being a lady and serving outside could not take steps to get her name recorded during settlement and name of Amulyanath Mitra, her vendor, stood recorded in the 1961 settlement. After purchasing the land the plaintiff had constructed a boundary wall and a shed therein and thereafter it was leased out to different companies by the plaintiff. During the current settlement plaintiff applied for getting her name recorded in the settlement record. During this period when daughter of the plaintiff visited the suit land she found that the original defendant No. 1, after trespassing into the land was trying to construct a house over the same and on being questioned he said that the land was purchased by him from defendant No. 3. On verification the plaintiff found that though defendant No. 3 as power of attorney holder had sold the land to the plaintiff on 5-12-1957, he having no right and title over the property, again sold the same in favour of defendant No. 1 on 27-6-1980. It was found that the defendant No. 1 had sold Ac. 0. 140 decimals of land from out of the suit land in favour of defendant No. 2 on 13-4-1983 and therefore the plaintiff having no other option filed the suit for the reliefs as indicated earlier.
( 3 ) DEFENDANTS 1/a to 1/e who are legal heirs of original defendant No. 1 as well as defendant No. 2 contested the suit by filing written statement. While denying the plaintiff's case it was contended that the father of the defendant No. 3 namely Amulyanath Mitra had purchased the land in question from the original recorded tenant on 11-8-1947 and became owner in possession of the same. Though the sale deed executed in favour of the plaintiff on 5-12-1957 is admitted in the written statement it was contended that the said sale deed was executed in order to defraud the creditors of Amulyanath Mitra and was a nominal one. This arrangement was made because Amulyanath Mitra and the plaintiff were known to each other from close quarters and Amulyanath Mitra had implicit faith on the plaintiff. This nominal sale deed was executed in order to avoid suspicion from outsiders though as a matter of fact, Amulyanath Mitra had no intention to sell the suit land at any point of time till his death in 1962. After his death in the year 1962 defendant No. 3 became the owner in possession of the disputed land. Statement of the defendant to the above is said to be acceptable on the ground that in the settlement of 1962 name of Amulyanath Mitra appeared in the record-of-rights. It is also contended in the written statement that due to want of money defendant No. 3 executed an agreement to sell the property in favour of defendant No. 1 on 2-1-1970 for a consideration
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