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2019 Supreme(Bom) 859

IN THE HIGH COURT OF JUDICATURE AT BOMBAY, BENCH AT NAGPUR
M.G. GIRATKAR, J.
Totaram Dasuji Rathod - Appellant
Versus
Atmaram Kisansing Rathod - Respondent
First Appeal No. 971 of 2018
Decided On : 17-07-2019

Advocates Appeared:
R.L. Khapre, Adv., R.G. Kavimandan, Adv., A. Shelat, Adv., N.H. Joshi, Adv.

Headnote:

Maharashtra Public Trusts Act – Section 41-D – Removal from Trust – This is an appeal against the judgment and order passed by the learned Joint Charity Commissioner, Amravati in Application by which the application is partly allowed – Non-applicant (appellants) Nos.1, 6, 12 and 13 are removed from the Trust permanently for committing default under Section 41-D (1)(a), (c) and (d) of Maharashtra Public Trusts Act. – Held, It is very clear that action under Section 41D of BPT Act is a very harsh action. – The trustees are removed from the Trust and, therefore, charges against the trustees are to be proved very strictly (beyond reasonable doubt). – Keeping in mind the ratio laid down in the aforesaid authority, court have to see as to whether the charges levelled against the appellants are proved beyond reasonable doubt. – In para 23 of the impugned order itself, it is observed that though the accounts and audit report were submitted at belated stage, nothing is on record to show that there was any misappropriation by the appellants. – The other charges are in respect of misappropriation of the property of Trust i.e. in respect of plot No.8 and agricultural land of the Trust. – It is pertinent to note that the respondent No.1 was elected in the year 2004 as a Treasurer. – He has made general allegations. – He was well aware about the transaction or income of the property etc. – But, he has not adduced any evidence to show that particular amount was misappropriated by the appellants. – He has made allegations that the properties are in the name of wife of appellant No.1, but the property register i.e. PTR shows that those properties are included in the name of Trust. – Now it is very clear that plot No.8 and agricultural land are the properties of the Trust shown in the PTR. – Therefore, there is no misappropriation of those properties. – Respondent No.1 has not stated a single word about any particular amount misappropriated by the appellants. – It is pertinent to note that in the impugned order itself, in paras 12, 13 and 23, learned Joint Charity Commissioner has observed that appellant No.1 has not committed any misappropriation. – Though he has not submitted the record/audit etc. in time, nothing is on record to show that he has committed any fraud/misappropriation etc. – Therefore, at this stage, it is very clear that the charges framed against the appellants are not proved beyond reasonable doubt and, therefore, they cannot be removed from the Trust. – Hence, the following order. – Appeal Allowed.

JUDGMENT :

M.G. Giratkar, J.

1. Heard finally with the consent of the learned Counsel appearing on behalf of the respective parties.

2. This is an appeal against the judgment and order dated 17th July, 2018 passed by the learned Joint Charity Commissioner, Amravati in Application No. 10 of 2004 by which the application is partly allowed. Non-applicant (appellants) Nos.1, 6, 12 and 13 are removed from the Trust permanently for committing default under Section 41-D (1)(a), (c) and (d) of Maharashtra Public Trusts Act.

3. Respondent No.1 was elected as a Treasurer in the year 2004. Thereafter, respondent No.1 found some illegalities committed by the non-applicants by misusing their powers. He also found some misappropriation of the funds and wrongfully removed/disposed of the property of the Trust. The appellant (non-applicant No.1) being the Secretary of the Trust failed to call meeting for 13 years in spite of valid election dated 06.02.2004. Being the Secretary, it was his duty to submit audit report etc. to the Charity Commissioner but he did not submit any audit report for a long period. Respondent No.1 filed an application under Section 41-D for removal of the appellants and others from the Trust namely Vasantrao Naik Shikshan Sanstha, Palasgaon Nago (Naik), District Buldana.

4. The appellants and others appeared and filed their written statements. The charge was framed by the Joint Charity Commissioner vide Exh.106. The applicant (respondent No.1) adduced his evidence. Thereafter, case was posted for the evidence of appellants but failed to adduce the evidence. After hearing submission of both sides, learned Joint Charity Commissioner, Amravati passed the impugned judgment.

5. Heard Shri R.L. Khapre with Shri R.G. Kavimandan, learned Counsel appearing on behalf of the appellants, Shri A. Shelat, learned Counsel appearing on behalf of respondent No.1 and Shri N.H. Joshi, learned Assistant Government Pleader appearing on behalf of respondent No.3.

6. Shri Khapre, learned Counsel for the appellants has pointed out the impugned judgment and submitted that nowhere in the judgment or in the evidence of respondent No.1 it shows that the respondent No.1 has committed any misappropriation of the property. The immovable property is registered in the name of Trust. The entries of the immovable property are taken in the PTR. Learned Counsel has submitted that there was no opportunity to the appellant to adduce the evidence. Application was moved to adduce the evidence, but it was rejected.

7. Shri Kavimandan, learned Counsel has further submitted that the removal of trustees as per the provisions of Section 41-D of the BPT Act is very harsh action. Therefore, the strict proof is necessary. He has pointed out the decisions in the cases of Vajubhai Patel and another .v. Charity Commissioner, Maharashtra State and others, (1990) 2 BCR 702 ; Shri Mukund Waman Thatte .v. Shri Sudhir Parshuram Chitale and others, (2012) 3 AllMR 604; and Shri Dhanraj Natthuji Kale and others .v. Shri Govindrao Laxmanrao Choudhary and others, (2012) 7 AllMR 294.

8. Shri Khapre, learned Counsel has submitted that the proceedings under Section 41-D of BPT Act is a quasi criminal in nature and, therefore, strict proof is necessary. He has submitted that in view of the cited judgments, strict proof is required to prove the charges as contemplated under Section 41-D of the BPT Act. At last, he has submitted that the charges are not proved beyond reasonable doubt. Therefore, impugned judgment is liable to be quashed and set aside.

9. Shri Shelat, learned Counsel for the respondents has pointed out the judgment of Assistant Charity Commissioner and submitted that in those proceedings, the respondent No.1 objected for the registration of property in PTR. Therefore, intention of respondent No.1 is to be seen. Being the Secretary, it was his duty to include immovable property in the PTR. Till filing of application by respondent No.1, the immovable property was not included in th

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