IN THE HIGH COURT OF ALLAHABAD
SAURABH SHYAM SHAMSHERY, J.
Aman Kumar @ Aman Agrawal and Another - Petitioners
Versus
State of U.P. and Others - Respondents
Writ - C No. 36565 of 2022
Decided On : 23-01-2023
Fraud - Mutation of Names - Uttar Pradesh Municipalities Act, 1916, Section 147 - Summary of Acts and Sections: Act, 1916, Section 147, Section 160 - The court discussed the power of the authority to recall its own order obtained on fraud under Section 147 of the Act, 1916. It referred to the principles established in Smriti Madan Kansagra v. Perry Kansagra, 2021 SCC OnLine SC 909, and emphasized that fraud vitiates every solemn act and that an order obtained by fraud can be recalled by the authority. The court also highlighted the inherent power of the judiciary to set aside an order obtained by fraud and the principle that fraud unravels everything.
Fact of the Case:
The petitioners sought mutation of their names in place of their father in a property under Section 147 of the Uttar Pradesh Municipalities Act, 1916. The mutation was initially allowed based on a registered will in their favor, but subsequently, a will in favor of the private respondents was executed. The private respondents filed a recall application, alleging fraud by the petitioners.
Finding of the Court:
The court found that the petitioners had withheld material information and played fraud by not disclosing the subsequent will executed in favor of the private respondents. It held that the order based on fraud was rightly recalled, and therefore dismissed the writ petition.
Issues: The key issue before the court was whether the authority had the power to recall its own order passed under Section 147 of the Act, 1916, on the grounds of fraud committed by the petitioners.
Ratio Decidendi: The court relied on the principle that fraud vitiates every solemn act and the established legal principles in Smriti Madan Kansagra v. Perry Kansagra, emphasizing the authority's power to recall an order obtained by fraud. It concluded that the order based on fraud was rightly recalled, and there was no ground to interfere with the impugned order.
Final Decision: The writ petition was dismissed.
JUDGMENT :
1. Heard Shri. Praveen Kumar, learned counsel for the petitioners, Shri. Abhishek Krishna for respondent no.3 and Shri. A.P. Singh on behalf of respondent no.4.
2. Petitioners’ application for mutation of their names in place of their father in regard to property in question submitted under Section 147 of Uttar Pradesh Municipalities Act, 1916 (hereinafter called the ‘Act, 1916’) was allowed vide order dated 9.10.2019 on basis of a registered will dated 18.10.2008 in their favour executed by their father as well as despite publication of notice, no objection was filed on behalf of contesting private respondents.
3. Contesting respondents instead of filing an appeal as provided under Section 160 of the, Act, 1916 filed a recall application for recalling above referred order dated 9.10.2019 on ground that it was a case of misrepresentation as petitioners despite knowledge have not disclosed that subsequently a will dated 3.6.2014 was executed in favour of private respondents and therefore said application was allowed by impugned order dated 9.10.2019 and appeal thereof was dismissed by the other impugned order dated 5.9.2022.
4. Learned counsel for petitioners submitted that authority under Section 147 of the Act, 1916 has no power to review its own order and remedy available to the private respondents was to file an appeal under Section 160 of the Act, 1916 as provided under Section 147 (4) of the Act, 1916. Petitioner has not misled the authority as he had no knowledge about any subsequent Will and subsequently has availed appropriate remedy available to him to challenge the same by way of filing a civil suit.
5. Learned counsel for petitioners has placed reliance on a judgment passed by Division Bench of this Court in Smt. Sushila Devi Vs. Nagar Palika Parishad, Hathras & Anr., 2005 (3) AWC 2140, that “a close reading of Sub-section (4) of Section 147 shows that the amendment and alteration of the annual list is final and subject to the result of an appeal under Section 160 of the Act. Admittedly, the petitioner has not preferred an appeal under Section 160 of the Act, therefore, the order passed by the Tax Committee has attained finality and it will relate back to the date of the notice.”
6. Learned counsel for petitioners has also placed reliance on a judgment passed by Co-ordinate Bench of this Court in Abdul Hameed & Anr. Vs. Nagar Palika Parishad Bela Patapgarh & Ors., 2019 0 Supreme (All) 237 and relevant paragraph nos.24,25 and 26 are mentioned hereinafter :
25. The orders passed in Mutation Proceedings being summary in nature, writ petitions are usually not entertained, except for the exception carved out as referred to herein above.
26. Also, it is not that the petitioners are left remedyless in such matters. The petitioners can approach the competent Court of law for declaration of their rights on the basis of family settlement, if any, that was entered into between the parties in 1966.”
7. Per contra, learned counsel for respondent nos.3 and 4 have opposed aforesaid submissions and submitted that an order passed on basis of a fraud could be recalled by the authority who has passed the order. Claim of private respondents was based on their individual right i.e. a Will in their favour, therefore, it would fall within the purview of an application filed under Section 147 of the Act, 1916 for amendment and alteration of list. It was not mandatory to file a
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Fraud vitiates every solemn act, and an order obtained by fraud can be recalled by the authority. The judiciary possesses inherent power to set aside an order obtained by fraud, and fraud unravels ev....
The court affirmed that authorities possess inherent jurisdiction to revoke fraudulent orders even in the absence of specific statutory provisions for review.
Fraud vitiates all solemn acts and any instrument obtained through fraud is void.
The court affirmed the Board of Revenue's decision, ruling that the Naib Tehsildar acted within jurisdiction and the petitioner's claims were dismissed due to lack of grounds for recall.
The court affirmed that mutation proceedings are summary in nature and do not determine substantive rights, allowing for alternative remedies under the U.P. Revenue Code.
Fraud vitiates all judicial acts, and any judgment, decree, or order obtained by playing fraud on the court is a nullity.
The main legal point established in the judgment is that probate is not required for Wills made by Mohammedians or Indian Christians under Section 213 of the Indian Succession Act, 1925, and that mut....
The main legal point established in the judgment is that a judgment obtained by practicing fraud can be recalled, and the court has inherent power to recall its own order obtained by fraud.
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