PUNJAB & HARYANA HIGH COURT
Mehar Singh and Shamsher Bahadur JJ.
Balkishan Dass
Versus
Parmeshri Dass Deceased Substituted By Madhuri Sharan Sharma
First Appeal No. 43 of 1955,
Decided On : OCTOBER 1, 1962
TRUST - VALIDITY - ACCOUNTABILITY - ESTOPPEL - LOCUS STANDI - FINAL DECREE - APPEAL - ABATEMENT - Bahawalpur Durbar acquired certain lands belonging to the temple. The compensation moneys were received by the first defendant. The plaintiffs, two of the trustees, instituted a suit for rendition of accounts against the first and second defendants. The trial Court decreed the suit. The first defendant appealed. HELD: (1) The suit was not barred by Section 92 of the Code of Civil Procedure. (2) The testator was competent to create a trust. (3) The first and second defendants were estopped from raising the question of competency of the testator to create a trust. (4) The plaintiffs had locus standi to bring the suit. (5) The trial Court was justified in passing a final decree for accounts. (6) The appeal was partially allowed and the decree against the first defendant was reduced. (7) The appeal did not abate.
Fact of the Case:
Gosain Brij Mohan Dass, gaddi nashin of Mandir Shri Namdev Kalla Dhari Ji Maharaj, at Bahawalpur, then sixty years old, made a testamentary disposition with regard to movable arid immovable properties of three Mandirs in Bahawalpur city known as Mandir Kalla Dhari Ji Maharaj, Sanwal Shah Ji and Mandir Gopi Nath Ji, one Mandir known as Kalla Dhari in Multan city and one Mandir known as Mandir Kalla Dhari in Bindra Ban, Mathura district; argicultural lands and shops in Bahawalpur city; agricultural and residential lands in Multan; residential houses situated in Amrit-sar and movable property like ornaments, clothes and utensils relating to Thakar Ji Maharaj. The testator did not long survive the exe cution of his will and died a few days later.
Finding of the Court:
The suit was not barred by Section 92 of the Code of Civil Procedure. The testator was competent to create a trust. The first and second defendants were estopped from raising the question of competency of the testator to create a trust. The plaintiffs had locus standi to bring the suit. The trial Court was justified in passing a final decree for accounts. The appeal was partially allowed and the decree against the first defendant was reduced. The appeal did not abate.
Issues: 1. Whether the suit was barred by Section 92 of the Code of Civil Procedure? 2. Whether the testator was competent to create a trust? 3. Whether the first and second defendants were estopped from raising the question of competency of the testator to create a trust? 4. Whether the plaintiffs had locus standi to bring the suit? 5. Whether the trial Court was justified in passing a final decree for accounts? 6. Whether the appeal was partially allowed and the decree against the first defendant was reduced? 7. Whether the appeal abated?
Ratio Decidendi: 1. A suit under Section 92 of the Code of Civil Procedure presupposes three conditions and three alone; the first being that it must be a suit with regard to the existence of a public trust, secondly, it is based on the allegation that there is a breach of trust or the directions from the Court are necessary, and finally, that one of the nine reliefs mentiond in Sub-section (i) is asked for. 2. The property of a math, is held by the mohunt as spiritual head of the institution, but the property may by the usage and custom of the institution vest in trustees other than the spiritual head. 3. A trustee, who enters into possession of property ostensibly on trusts subsequently ascertained to be void cannot however retain the property for himself when the claim of the settlor and his heirs has become statute-barred. 4. When there are more trustees than one, all milst join in the execution of the trust except where the instrument of trust otherwise provides.
Final Decision: The appeal was partially allowed and the decree against the first defendant was reduced from Rs. 1,87,123/8/3 to Rs. 1,82,623/8/3. The costs of the appeal would fall on the parties proportionately. In all other respects the decree is upheld. The decree against the second defendant who has not appealed will remain undisturbed.
Shamsher Bahadur, J.
1. This appeal arises out of a suit instituted by the two plaintiffs Parmeshwari Das and Sant Ram as trustees in respect of property known as Mandir Shri Nanidev Kalla Dhari Ji Maharaj in Bahawal-pur State for rendition of accounts against their co-trustees Bal Kishan Das and Gosain Jamna Das, hereafter referred to as the first and second defendants. In this suit were also impleaded Bhiwani Das who is now dead and Sardul Singh, as defendants Nos. 3 and 4. The fourth defendant in effect supports the plaintiffs suit. The suit has been decreed by the learned Sub-ordinate Judge, Amritsar, and a final decree for recovery of a sum of Rs. 1,87,123/8/3 with full costs has been passed against the first defendant. As the Court did not consider the plaintiff-trustees to be fit enough to receive this sum the defendant has been directed to make a deposit of it in some bank. Interest on the decretal amount has to be charged at the rate of 4 1/2% per annum from the date of the suit till the date of realisation. The second defendant on the other hand has been asked to make restoration of certain articles which he brought from the Mandir at Bahawalpur and in default, to make a payment of Rs. 10,000/-. The second defendant appears to be content with the decree passed against him and has not preferred any appeal. The first defendant alone has come in appeal to this Court.
2. It may be pointed out that instead of the first plaintiff Parmeshwari Das and the third defendant Bhiwani Das who are now dead two new trustees have been appointed and they are implead-ed as respondents in this appeal.
3. By a will executed on 14th of May, 1938 and registered a week later on 21st of May, 1938 (Exhibit P. 3), Gosain Brij Mohan Das, gaddi nashin of Mandir Shri Namdev Kalla Dhari Ji Maharaj, at Bahawalpur, then sixty years old, made a testamentary disposition with regard to movable arid immovable properties of three Mandirs in Bahawalpur city known as Mandir Kalla Dhari Ji Maharaj, Sanwal Shah Ji and Mandir Gopi Nath Ji, one Mandir known as Kalla Dhari in Multan city and one Mandir known as Mandir Kalla Dhari in Bindra Ban, Mathura district; argicultural lands and shops in Bahawalpur city; agricultural and residential lands in Multan; residential houses situated in Amrit-sar and movable property like ornaments, clothes and utensils relating to Thakar Ji Maharaj. During his life-time the testator was to remain the exclusive owner of this property. In case the testator was unable to liquidate the debt due from him, Rai Sahib Bishan Das, Sub-Registrar, Parme-shwari Das, plaintiff No. 1, Sant Ram, plaintiff No. 2, Mool Chand and the second defendant Gosain Jamna Dass were appointed trustees to alienate any property to liquidate the liability. The trustees were also left the option of taking any other proceedings with the object of paying off the debt due from the testator. The properties were to vest in Shri Thakar Ji Maharaj of the Kalla Dhari Mandir, situated at Bahawalpur, who was to be regarded as the full owner of the property, and were to remain as waqf Dharmarth in perpetuity. The income of the property was to be spent in connection with the ceremonies and festivals relating to the said Shri Thakar Ji Mahafaj. The second defendant Gosain Jamna Dass was declared to be the successor as gaddi nashin of the testator but he was not given any right to alienate the property. The five persons named as trustees were directed not only to pay the debts but to take charge of the future management of the property left and owned by the testator. The income of the property was to be utilised for the benefit and improvement of the temples. Out of the five trustees, Rai Sahib Bishan Dass was to act as President during his lifetime and after his death the surviving trustees could appoint a President by a majority of votes. Likewise, the surviving trustees by a majority could appoint trustees in place of those who died or those who could not fulfil
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