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2024 Supreme(Online)(Mad) 46331

IN THE HIGH COURT OF JUDICATURE AT MADRAS
MRS. JUSTICE J.NISHA BANU, J
M/s. G.V.Govindaswami Naidu Charities, Rep. By its Managing Trustee Sumathi Krishna Prasad – Appellant
Versus
M/s.Rajalakshmi Gengusamy Charities, Rep. by its trustees G.Rajalakshmi – Respondent
C.R.P.No.424 of 2022|C.M.P.No.10050 of 2023



Advocates:
For the Appellants/Petitioners: Mr.Anirudh Krishnan, M/s.Sarvabhauman Associates
For RR 1 & 2 : Mr.T.R.Rajagopalan
For RR 3 to 5 : Mr.R.Vidhya Shankar
For R-6 : No Appearance

A suit cannot be instituted under Section 92 of the CPC for personal disputes over a charitable trust; it must be for vindicating public interests.

Headnote:(A) Code of Civil Procedure, 1908 - Section 92 - Charitable Trust - Plaintiffs filed a Civil Revision Petition to challenge the rejection of leave to institute a suit under Section 92 - Court found that the suit was not maintainable as it was a private dispute not affecting public interest - The learned District Judge concluded that no cause of action existed for the relief sought and the application was misconstrued under Section 92 CPC. (Paras 2, 4, 36)

(B) Section 92 CPC discusses the maintainability of suits against public charitable trusts - It clarifies that suits for declaring title to property by the trust cannot be maintained under this section, as it doesn't deal with private interests. (Paras 26, 36)

Facts of the case:
Plaintiffs, trustees of a charitable trust sought leave to file a suit alleging mismanagement and plotting by co-trustees. The prior managing trustee participated in conducted transactions which plaintiffs later challenged as fraudulent. (Paras 2, 4, 21)

Findings of Court:
The court found that the plaintiffs' claims were personal grievances masquerading as issues of public interest, and hence did not justify a suit under Section 92 CPC.

Result: Civil Revision Petition dismissed.

Table of Content
1. civil revision petition context and objectives. (Para 1 , 2)
2. background of the case and the rejection of the leave sought. (Para 3 , 4)
3. establishment of trust and its objectives. (Para 6 , 7)
4. arguments on maintainability of the suit under section 92. (Para 25 , 27)
5. court’s reasoning confirming rejection of the application. (Para 34 , 36)
6. dismissal of the civil revision petition. (Para 41 , 44)

ORDER

This Revision is filed by the plaintiffs in O.S C.F.R. No. 932 of 2021 challenging the fair and decretal order dated 17.09.2021 passed by the learned Principal Sessions Judge, Tiruppur, in IA No 115/2021 in the said suit. The said IA was filed seeking the leave of the court to institute a suit under Sec 92 of the Code of Civil Procedure (CPC), 1908.

2. The proposed suit O.S.CFR No.932 of 2021, for which leave of the Court was sought, intended to seek the following reliefs.

a) Framing a scheme for administration of G. V. Govindaswami Naidu Charities in modification of the Trust Deed dated 11.02.1956 registered as Doc No. 853 of 1956 and Supplemental Deed of Trust dated 07.03.2011 registered as Doc. No. 3 of 201 on the file of Sub Registrar, Udumalpet.

b) To remove Defendant 3 & 4 as Trustees of G.V. Govindaswami Naidu Charity and to appoint new trustees in their place.

c) Appoint any other new trustees who are competent and who have experience in administration of educational institutions.

d) Directing enquiry into the mismanagement of the Trust allegedly by the Plaintiff and pass consequential orders vesting the property owned by the Trust and its restoration from Defendants 1 to 5 or any other person having control of the properties of G.V. Govindaswami Naidu Charities.

e) Declaring the first plaintiff's title to the suit property and to order and direct the defendants to deliver possession thereof to the first plaintiff and to declare that all the instruments consisting of lease deeds dated 09.12.1999 and registered as Doc. No. 3045 and 3046 of 1999 and the sale deed dated 21.06.1993 registered as Doc. No. 1668 of 1993 and the Transfer Deeds dated 20.12.2005 registered as Doc. No. 3523 and 3524 of 2006 and cancellation of Settlement Deed dated 11.04.2008 registered as Doc. No. 2661 of 2008 and Rectification Ded dated 13.09.2017 registered as Document No. 6923 of 2017 are al as sham, nominal, void and illegal documents executed by the second defendant by which no right or title has been transferred to the first defendant Trust and further holding that these instruments are not for the benefit or in the interest of the first plaintiff Trust and its beneficiaries.

f) Appoint a Receiver to take charge of GVG Auditorium and maintain and preserve the same till the termination of the legal proceedings and entrust the same to the lawful owners thereof.

g) Granting permanent injunction to restrain the defendants, their men, servants and agents from encumbering or alienating the suit property and any part thereof.

h) Declare that the Lok Adalath award in OS No.125 of 2018 dated 19.09.2018 on the file of Sub Court Udumalpet, is vitiated by fraud and collusion and consequently void, illegal and does not affect the title of the Sri GVG Visalakshmi College for women established by G.V. Govindaswami Naidu Charities to the said property, and to set aside the same.

3. The learned District Judge after hearing both sides in I.A.No.115/2021 had passed a detailed order dated 17.09.2021 rejecting the leave sought for under Sec 92 of CPC, which is now challenged before this Court in this Civil Revision Petition.

4. The order dated 17.09.2021 passed in I.A.No.115 of 2021 concluded that a Trust as Plaintiff filing a suit, is not maintainable; no cause of action arose for framing a scheme, removal of trustees and induction of new trustees; Mrs.Sumathi Krishna Prasad was herself Managing Trustee since 2011 and she, questioning the transactions in 2020, is to espouse personal cause and it is a dispute between two Trusts and its trustees a

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