2025 Supreme(Online)(Mad) 79787
IN THE HIGH COURT OF JUDICATURE AT MADRAS
Dr.ANITA SUMANTH, MR.JUSTICE N.SENTHILKUMAR, JJ
R.Manoj Kumar – Appellant
Versus
A.Sridevi – Respondent
O.S.A.Nos. 259|239|240|241 of 2025
For the Appellants/Petitioners: Mr.S.Parthasarathy, Senior Counsel for Mr.R.Lakshmi Narasimhan
For the Respondents: Mr.R.Thiagarajan, (for R1 to R4)
The court emphasizes the necessity of transparency in managing trust properties and upholds the appointment of receivers to secure compliance with judicial directives.
Headnote:(A) Code of Civil Procedure - Order XXXVI Rule 9 - Legal principles concerning interim injunctions and the appointment of receivers - Judicial discretion in administering trust properties - Court shall exercise its powers to appoint receivers to secure management and operations of trusts pending litigation - Transparency in financial dealings and adherence to court orders are imperative. (Paras 1-3, 6, 14)
(B) Appeals - Scope of appellate review - The court retains the authority to remand cases back to the trial court for evaluation of additional evidence or documents submitted post-judgment based on procedural propriety. (Paras 11-14)
Facts of the case:
The appellant and several defendants are involved in a dispute regarding a trust’s management and property ownership, with allegations of mismanagement and financial improprieties alleged against the appellant. Multiple applications and appeals were filed challenging orders concerning the appointment of a receiver and other interim measures.
Findings of Court:
The court upheld the appointment of an advocate receiver and specified financial reporting obligations, emphasizing the need for compliance with its orders by the trustees.
Issues: The central questions involve the legality of the appointments made by the appellant and the alleged mismanagement of trust assets.
Ratio Decidendi: The court’s decision reaffirms the authority to appoint receivers to ensure proper administration of trust assets and highlights the need for transparency and compliance with court directives.
Result: Appeals remanded for consideration of additional documents with directives for compliance with management protocols.
| Table of Content |
|---|
| 1. factual basis of the suit and applications for injunctions. (Para 2 , 3) |
| 2. parties' contentions and procedural history. (Para 4 , 5 , 10 , 11) |
| 3. court's analysis on documents and role of the advocate receiver. (Para 6 , 8 , 9 , 12 , 13) |
| 4. clarification of order regarding financial conduct by trustees. (Para 14 , 15) |
COMMON JUDGMENT
(Delivered by Dr. ANITA SUMANTH.,J)
C.S.No. 96 of 2025 has been filed by four plaintiffs, wherein the present appellant is arrayed as D1 along with nine others. The 9th defendant in the suit is the Rajiv School of Excellence Educational Trust run by Rajiv Gandhi Educational Trust . The prayers in suit are as follows:-
“41. The Plaintiffs therefore pray for a judgment and decree as the Defendants as under:
a) Grant a preliminary decree for Partition and separate possession of the movable and immovable properties as described in the Plaint schedules viz., Schedule A and Schedule B – for Plaintiffs' share of 4/9 in 1/3rd share of the Estate of Nageswari @ Geetha in respect of the properties owned and possessed by her at the time of her demise towards the Branch of Sathyavathi.
b) For a declaration that the Settlement deed executed by the 1st Defendant as Power of Attorney Agent of Late. Nageswari @ Geetha dated 23.3.2022 and registered as D.No. 850 of 2022 SRO Theagaraya Nagar, is illegal, invalid and nonest in the eyes of law and consequently not binding on the Estate of Nageswari @ Geetha.
c) For the relief of Declaration that the Defendant holding office in the 9th Defendant pursuant to an alleged testamentary disposition is illegal, invalid, non-est and consequently appoint any other Class – II Legal heirs in his place.
d) Grant a Decree for Permanent Injunction restraining the Defendants their men, agents, servant or any other person or persons claiming through them from any manner alienating in the plaint schedule “A” and “B” hereunder by was of Sale, Mortgage, Lease, Joint development or otherwise.
e) Grant a Decree of permanent Injunction restraining the Defendants their men, agents, servants, anyone other person / persons claiming through them from any manner altering the Management of 9th Defendant and or from drawing or operating the bank account of the 9th Defendant held in the name of the 9th Defendant Trust run at No.5/516, Sakthi Sairam Street, Alapakkam, Porur, Chennai – 600 116 except in accordance with law.
f) Grant further or other reliefs;
g) Costs of the suit.”
2. Inter alia, O.A.Nos. 441 to 444 of 2025 had been filed by the plaintiffs seeking the following reliefs:-
Prayer in O.A.No.441 of 2025 : The application has been filed to grant an order of interim injunction restraining the respondents, their men, agents or anyone claiming through them from in any manner alienating or dealing with the suit properties morefully set out in the schedule appended to the Judges Summons by way of Sale lease, mortgage, joint development settlement, gift or any other deed, pending consideration of the suit.
Prayer in O.A.No.442 of 2025 : The application has been filed to grant an order of interim mandatory injunction directing the 1st respondent to deposit the original documents of title, morefully set out in the schedule appended to the Judges Summons, relating to the suit properties to the credit of the suit, pending consideration of the suit.
Prayer in O.A.No. 443 of 2025 : The application has been filed to grant an order to appoint the applicants as party receivers to collect rents and manage and administer the suit properties morefully set out in the schedule appended to the Judges Summons, pending consideration of the suit.
Prayer in O.A.No. 444 of 2025 : The application has been filed to grant an order of interim injunction restraining the 1st respondent from holding office in the 9th respondent, pending consideration of the suit.
3. Those applications had come to be heard by the learned Single Judge, who by order dated 07.07.2025 substantially accepted the prayer of the plaintiffs, ord