1927 Supreme(Nagpur) 157
HIGH COURT OF NAGPUR
Findlay
S R VAIDYA – Appellant
Versus
ABDUL SAMAD AND ANR – Respondent
Decided on : 12-08-1927
Misleading particulars in a sale proclamation that cause substantial injury to a party can lead to a successful appeal.
Headnote:
Omission - Sale Proclamation - The court found that the omission of the decree-holder to file a verified statement required under Order 21, Rule 66 Civil, P.C., was not an illegality but an irregularity. However, the court held that the sale proclamation's misleading particulars regarding the encumbrance on the village caused substantial injury to the appellant, leading to the appeal's success.
Fact of the Case:
The court found that the omission of the decree-holder to file a verified statement required under Order 21, Rule 66 Civil, P.C., was not an illegality but an irregularity. However, the sale proclamation's misleading particulars regarding the encumbrance on the village caused substantial injury to the appellant, leading to the appeal's success.
Finding of the Court:
The court found that the sale proclamation's misleading particulars regarding the encumbrance on the village caused substantial injury to the appellant, leading to the appeal's success.
Issues: The issues revolved around the omission of the decree-holder to file a verified statement, the misleading particulars in the sale proclamation, and the substantial injury caused to the appellant.
Ratio Decidendi: The court held that the omission of the decree-holder to file a verified statement was an irregularity, but the misleading particulars in the sale proclamation caused substantial injury to the appellant, leading to the appeal's success.
Final Decision: The appeal succeeded, and the lower court's order was reversed. Both parties were held to be to some extent to blame for the result, and they were ordered to bear their own costs in this Court and in the Court below.
Findlay—The facts of this case are so far clear from the lower Court's. order. Various grounds have been put forth in the petition of appeal, but only two have in reality been pressed. The first of these is that the omission of the decree-holder to file a verified statement required under Order 21, Rule 66 Civil, P.C., amounted to an illegality which vitiated the sale. I do not think the said omission can properly be described as an illegality. It was, at the most, an irregularity and it was incumbent on the appellant to show that he was prejudiced substantially by the said irregularity : Nasir-un-Nissa v. Ghafur-ud-Din,1905 28 ILR(All) 244.
2. Ground 2 of the petition of appeal does not admit of discussion. The matter was set at rest by the order of Kotval, O.J.C., dated 18th September 1926, in Civil Revision No. 299 of 1926. What, however, does seem to me fatal in the circumstances of the case to the order of the lower Court is the fact that, in the sale proclamation, mauza Isapur was expressly mentioned as subject to a mortgage of Rs. 30,000. Now, admittedly the facts are that the mortgage in question, which dates from the year 1922, was not only of mouza Isapur tout of another village Gangnala as well. It is no doubt true that the mortgagee is entitled to enforce his debt against any other village, but the fact still remains that, if one village is described as subject to a mortgage of a certain amount, while, in reality another village is also included in the mortgage, the price obtained at such an auction-sale for the first village will inevitably be less, if it is shown as solely subject to the mortgage in question. It is true that, even so, it was incumbent on the appellant to show that he suffered substantial loss by reason of the wrong description in question, but in a case like the present it is hot easy to see what specific evidence of substantial loss parties in the position of the appellant could in ordinary circumstances produce. In view of the rental collections of the village, which amount to about Rs. 2,000 per year, the price obtained seems prima facie a highly inadequate one, even if allowance is made for the encumbrance on the property. It is true that the judgment-debtor did not prove his allegation that only Rs. 9,500 was due on the mortgage, but equally so it is not clear that Rs. 30,000 could have been due on the date of the sale.
3. Even allowing for the fact of the encumbrance and for the further fact that the sir and khudkasht lands were not to pass under the sale, the only reasonable inference to my mind, on the scanty evidence on record, is that there must have been a substantial reduction, in the price obtained owing to the fact that mauza Isapur was shown as solely subject to the mortgage of Rs. 0,000 in question. It follows, therefore, that, in the circumstances of the present case, the reasonable presumption is that substantial injury, must have been caused to the appellant by the sale of the village. In the case of so large and valuable a village, it. was highly important and indeed compulsory that all essential particulars should have been given. Not only was this not done but the particulars given, of the encumbrance on the village were misleading to a degree, and it matters not whether the mistake occurred intentionally or otherwise.
4. In argument it has been suggested on behalf of the respondents that a peculiar duty lay on the judgment-debtor of attending and assisting the Court as regards the correctness or otherwise of the particulars included in the proclamation. I have been referred to the decision of Mahadeo Singh v. Dhobi Singh, 1924 AIR(Pat) 111, but thefacts of that case were somewhat dissimilar, and in the present case it is perfectly obvious that the decree-holder did riot fully comply with the duty which rested on him of giving along with the judgment-debtor, if necessary, the particulars required under Rule 66, Sub-rule (2), Order 21, Civil P.C. The finding, I may add,