Kausik Case
Kausik Case
also the sale deed was bad; that there was no signature of plaintiff no.
2 in the sale deed; that the widow of brother Ambrish was not made a
party, as such, the suit was bad for non-joinder of the necessary party;
that the sale deed was not duly registered as per provisions of law; that
before registration no notice was issued to the vendor i.e. defendant no.
1; no explanation or details were given with regard to the delay of 26
years in getting the registration; that under section 85 of the
2
Registration Act, 1908 , the documents pending for two years were
liable to be destroyed, as such, the sale deed was not legal and proper;
that there was interpolation in the documents of sale; that he was bona
fide purchaser for value and had done so after verification of the title
from the revenue records as also having searched the records of the
Sub-Registrar; lastly, it was prayed that the suit be dismissed.
8. In the written statement of the respondent no. 2 (defendant no.
1) there was no specific denial of the execution of the Sale Deed on
02.12.1985 in favour of the appellant no. 1 and his brother. There was
also no specific or even general denial of not receiving the sale
consideration. No suit for cancellation of the said Sale Deed has ever
been filed nor any counter claim was filed by the defendants to the suit
filed by the appellants assailing the sale deed dated 02.12.1985.
9. On the basis of the pleadings, the Trial Court framed the following
issues:
“(i) Do plaintiffs prove that they are in possession and occupation of
the suit land?
(ii) Do plaintiffs prove that they are owners of the suit land by virtue
of registered Sale Deed dated 02/12/1985?
(iii) Do plaintiffs prove that the defendants were trying to take
possession of the suit land forcibly and unauthorizedly?
(iv) Do plaintiffs prove that the Deed of Conveyance dated
03/12/2010 registered at serial No. 9176 is void-ab-initio?
(v) Do plaintiffs prove that they are entitle for relief of permanent
injunction against the defendants as prayed in the suit?
(vi) Do plaintiffs prove that they are entitled for any other relief?
(vii) Does defendant No. 1 prove that the alleged Agreement to Sale
dated 02/12/1985 is void-abinitio?
(viii) Does defendant No. 1 prove that the plaintiffs' suit is barred by
limitation?
(ix) Does defendant No. 2 prove that the Sale Deed dated
02/12/1985 was not enforceable by law?
(x) Does defendant No. 2 prove that he is bona fide purchaser and
the possessor of suit land?
(xi) What order and decree?”
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10. The parties to the suit led evidence, both oral and documentary.
On behalf of the plaintiffs Kaushik Premkumar Mishra examined himself
as PW-1 and further examined Shri Mohan Joshi, Advocate as PW-2 and
Prashant Mishra as PW-3. They also filed documentary evidence which
included amongst others (i) sale deed dated 02.12.1985, (ii) certified
copy of 7/12 extract of suit property, (iii) mutation entry no. 668, (iv)
Form No. 1 of Register of Marriages for the year 2007 and (v)
Conveyance deed dated 03.12.2010.
11. Defendant no. 1 the vendor did not lead any evidence, either
oral or documentary. He failed to appear and enter the witness box
even to support his pleadings made in the written statements. There
was also no cross-examination of PW-1 on his behalf.
12. Defendant no. 2, the subsequent purchaser examined himself as
DW-1, and further examined Ranjeet Patil as DW-2, Parvez Patel as DW
-3, Sunit Patil as DW-4, Govind Rawaria as DW-5. He also filed
voluminous documents relating to revenue records, mutation entries,
search reports, copy of notices and various other documents relating to
his possession.
13. The Trial Court, after considering the evidence led by the parties,
dismissed the suit, vide judgment dated 24.02.2016. The Trial Court
recorded the following findings:
13.1 Issues Nos. 1, 2, 4, 5 and 6 were decided in negative, whereas
Issues nos. 7, 8, 9 and 10 in the affirmative, mainly for the reason that
the appellant no. 1 as also his brother were minors at the time of the
execution of the Sale Deed on 02.12.1985, as such could not have
entered into a contract being a minor and, therefore, the Sale Deed was
void.
14. The appellants preferred appeal before the District Judge which
was registered as Civil Appeal No. 28 of 2016. The District Judge, vide
th
judgment dated 7 March, 2019 allowed the appeal, set aside the
judgment of the Trial Court and decreed the suit. The first Appellate
Court framed the following points for determination in paragraph 14 of
the judgment and in the said table, it also recorded the outcome of the
said findings. The said table is reproduced below:
“14. Heard the Ld. Advocates for both the parties. Perused the
record and the proceedings. Following points arise for my
determination on which I have recorded my findings for the reasons
to follow:
S. No. Points Findings
1. Whether plaintiffs prove …In the affirmative.
that they are in
possession and
occupation of the suit
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property?
2. Whether plaintiffs prove …In the affirmative.
that they are owners of
the suit land by virtue of
registered sale deed
dated 02.12.1985?
3. Whether plaintiffs prove …In the affirmative.
that the defendants were
trying to take forcible
possession of suit
property unauthorizedly?
4. Whether plaintiffs prove …In the affirmative.
that the deed of
conveyance dated
03.12.2010 registered at
sr. no. 9176 is void-ab-
initio?
5. Whether plaintiffs prove …In the affirmative.
that they are entitled for
relief of permanent
injunction?
6. Whether plaintiffs prove …In the affirmative.
that they are entitled for
other reliefs?
7. Whether defendant no. 1 …In the negative.
proves that the alleged
agreement to sale dated
02.12.1985 is void ab-
initio?
8. Whether defendants …In the negative.
prove that the suit is
barred by Law of
Limitation?
9. Whether defendant no. 2 …In the negative.
proves that sale deed
dated 02.12.1985 was
not enforceable by law?
10. Whether defendant no. 2 …In the negative.
proves that he is bona
fide purchaser and in
possession of the suit
property?
11. Whether judgment and …In the affirmative.
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the appellant No. 1 was a minor, as such the sale deed was void, also
does not benefit the respondents inasmuch as on behalf of the brother
of the appellant No. 1, who was stated to be a minor in the sale deed,
was duly represented by his mother, natural guardian. As such the sale
would, in any case, be valid insofar as the brother of the appellant No.
1 was concerned.
20.14. The collusion of respondent Nos. 1 and 2 was writ large and
more than apparent from the conduct of the respondent No. 2; that he
did not cross-examine the appellant no. 1; he did not enter the witness
box; he did not lead any evidence and; he did not file any appeal
before the High Court.
20.15. Reliance was placed upon the judgment of this Court in the
case of Alka Bose v. Parmatma Devi3 wherein this Court had observed
that in India, an agreement of sale signed by the vendor alone and
possession delivered to the purchaser and accepted by the purchaser
has always been considered to be a valid contract.
20.16. Lastly, it was submitted that the respondent No. 1, the
subsequent purchaser was not a bona fide purchaser. The sale deed in
favour of respondent No. 1 has a clause that the property was being
sold on as is where is basis which clearly reflects that respondent no. 1
had knowledge of the sale deed in favour of appellant and about their
possession.
20.17. On such submissions, learned counsel for the appellants
submitted that the appeal deserves to be allowed, the impugned order
of the High Court deserves to be set aside and that of the first
Appellate Court be maintained.
21. Mr. Ranjit Kumar, learned senior counsel appearing for
respondent No. 2 made detailed submissions which we shall note a
little later. He, however, did not give any explanation whatsoever as to
why the respondent No. 2 did not cross-examine the appellant No. 1,
why the respondent No. 2 did not enter the witness box in support of
his pleadings stated in the written statement, why no evidence was led
by him and why no second appeal was preferred by respondent No. 2
against the judgment of the first Appellate Court decreeing the suit.
The submissions advanced on behalf of respondent no. 2 are
summarized hereunder:
21.1. Much emphasis has been laid on the fact that the sale deed in
favour of appellant was registered after 26 years.
21.2. With respect to the arguments relating to sale deed in favour
of respondent No. 1 mentioning on as is where is basis, the submission
is that as there was encroachment on the suit property by the local
tribal people as such this clause was inserted so that respondent No. 2
would not be saddled with any further liability of handing over a clear
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the age shown in the sale deed that he was 18 years was incorrect.
Under Section 11 of the Act, 1872 a minor is not competent to enter
into a contract and as the appellant No. 1 admitted that he was a minor
at the time of the sale deed, the said contract would be void ab initio.
Reliance was placed upon a judgment of this Court in the case of
6
Mathai Mathai v. Joseph Mary .
21.13. The burden of proof was on the plaintiff, who has based the
suit on the sale deed dated 02.12.1985 to prove the same to be a valid
sale. As the Trial Court recorded the finding that the appellants had
failed to establish their right, title and interest in the suit property,
there was shifting of the onus on the respondent No. 2 would not arise
and there was no necessity or requirement of the respondent No. 2 to
enter the witness box as the same would be of no consequence.
Reliance was placed upon the judgment of this Court in Smriti
Debbarma v. Prabha Ranjan Debbarma7.
21.14. Referring to section 114 of the Indian Evidence Act, 18728
regarding presumption of existence of certain facts by the Court, it was
submitted that although the said presumption is rebuttable but as the
appellant No. 1 in his cross-examination has made various admissions
which were sufficient to decide the fate of the suit against him, it was
not necessary for the respondent no. 2 to either cross-examine him ˜or
to enter the witness box. Reliance was placed upon the judgment of
this Court in the case of Kunda wd/o Mahadeo Supare v. Haribhau s/o
9
Husan Supare .
21.15. Appellant No. 1 also admits that serial numbers of the
stamps are not in continuation and that regular registration process of
the sale deed was not complete at the time when the sale deed of 2010
in favour of respondent No. 1 was registered.
21.16. Relying upon section 54 of the Transfer of Property Act,
10
1882 read with section 17 and 49 of the Registration Act, the
submission is that an unregistered sale deed could not have been
received in evidence as no title would pass on the basis of an
unregistered document relating to immovable property. As such the
respondent No. 2 continued to be the owner of the suit property holding
a valid title over the same. Reliance has been placed upon the following
judgments:
11
• Raghunath v. Kedar Nath ;
12
• Bondar Singh v. Nihal Singh ;
13
• Suraj Lamps and Industries Pvt. Ltd. v. State of Haryana ;
• S. Kaladevi v. V.R. Somasundaram14; and
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dismissed.
26. From the submissions advanced and the perusal of the material
on record, the following issues/questions arise for consideration in the
present appeal:
1) Whether the sale deed dated 02.12.1985 was executed by
Respondent No. 2?
2) Whether the sale consideration was paid with respect to sale deed
dated 02.12.1985?
3) Whether the sale deed dated 02.12.1985 was presented for
registration on 05.12.1985 or not?
4) Whether delayed registration of the sale deed dated 02.12.1985
would prove to be fatal?
5) Whether non-mutation would take away the right created by the
sale deed in favor of the vendees?
6) Whether respondent no. 2 had any right, title or interest left in
the suit property after 02.12.1985?
7) Whether the sale deed dated 02.12.1985 was void as the vendees
were alleged to be minors?
8) Whether the respondent no. 1 was a bona fide purchaser for value
by way of a subsequent sale deed dated 03.12.2010?
27. Having considered the submissions advanced by the counsels for
the parties our analysis on the issues stated above is as under. As the
issues/questions raised are interlinked, they have been taken up
together in our analysis.
28. At the outset, it may be relevant to refer to the certified/xerox
copy of the sale deed dated 2.12.1985, presented for registration on
5.12.1985, copies of which were filed by both the sides under the
direction of this Court. We have carefully perused the sale deed. The
following facts may be noticeable from the said perusal:
(i). The stamp paper had been purchased on 29.11.1985.
(ii). The document was prepared and executed on 02.12.1985
(iii). The document was presented before the Sub-Registrar on
5.12.1985. The total value of the stamp paper used was Rs 1,600/
-.
(iv). The document was presented by respondent no. 2, the vendor.
(v). The document bears the signature of Anees Ismail Khoja,
respondent no. 2, the witnesses and also contains the respective
endorsement by the Sub-Registrar.
(vi). The document was impounded for non-payment of proper
stamp duty. However, on 14.6.2011 the deficiency in stamp duty
of Rs. 2200/- along with penalty of Rs. 500/- and other statutory
payments of Rs. 700/- having been paid, it was finally registered
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31. The defendant no. 1 having not entered the witness box and not
having led any evidence, it was a mere presumption of the Trial Court
and the High Court to have recorded that defendant no. 1 denied
receiving any sale consideration.
32. Based upon the aforesaid two factual errors, the Trial Court and
the High Court wrongly shifted the burden on the plaintiff to prove
execution of the sale deed and also payment of the sale consideration.
The impugned judgment thus suffers from manifest error of law and
facts both.
33. The appeal deserves to be allowed on several other grounds
which we are dealing hereunder and hereinafter.
33.1. It is not disputed by respondent No. 2 that on 02.12.1985, he
had executed another sale deed with respect to the remaining portion
of survey No. 13/1 in favour of the collaterals of the appellants, namely,
Param Umakant Mishra and Sohardha Mishra. This sale deed in favour
of the collateral was presented for registration on the same date as the
sale deed of the appellant i.e. 05.12.1985 and was thereafter duly
registered. The respondent No. 2 has never challenged the said sale
deed in favour of the collaterals. It is thus apparent that the family
members and collaterals of the appellants purchased the entire survey
No. 13/1 measuring 3.40 Hectares from respondent No. 2 in equal
shares by two separate documents which were executed on the same
date and presented for registration on the same day. Despite the fact
that specific query was put to learned senior counsel for respondent no.
2 with regard to the above aspect, no answer was given. In the plaint
specific averment was made with regard to the sale deed in favour of
the collaterals. There is no specific denial in the written statement filed
by respondent No. 2 about the sale deed in favour of collaterals.
General denial has been made by placing strict proof of liability on the
plaintiff.
33.2. The respondent No. 2 apparently wants to take advantage of
certain minor aberrations and minor technicalities and is also taking up
self-conflicting pleas.
33.3. The sale deed is sought to be ignored and rejected on account
of a minor cutting/over writing with regard to the word ‘cash’ (Roch) by
‘cheque’. The fact remains that respondent No. 2 did not enter the
witness box to depose that he has not received any sale consideration
either by way of cash or by way of cheque and further to state that he
had not executed the sale deed and the signatures and thumb
impression on the sale deed are not his. He also did not come forward
to say that the signatures and thumb impression available in the Sub-
Registrar's office in the register taken at the time for registration also
did not bear his signatures.
33.4. Another aspect submitted on behalf of respondent was that
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the appellant No. 1 in his deposition has said that he had no proof of
the payment of the sale consideration, to assert that the appellant No.
1 admitted that he had not paid any sale consideration is not correct.
Appellant No. 1 was being examined sometime after 2013, i.e. after a
gap of 28 years from the date of the sale deed. He could not be
expected to remember such facts distinctly and as such he made a fair
statement that he did not have any document that could prove the
passing of the sale consideration. This would not, by itself, be
interpreted to hold that appellant admitted of not paying any sale
consideration.
33.5. The question of payment of sale consideration would arise only
and only if the vendor makes a specific statement in his pleadings as
also in his deposition in support of the pleading that he did not receive
any sale consideration either by way of cheque or by cash. There is no
such pleading and as the vendor did not enter the witness box, even if
there was any such pleading, there is no statement to prove such
pleading. Thus, the above argument being based on minor discrepancy
in the statement of the appellant, no benefit can be derived by the
respondents. The argument is accordingly rejected.
33.6. There is one more reason to reject this argument. Even if
assuming that no sale consideration was paid even though there was a
registered sale deed, it would be at the instance of the vendor to
challenge the said sale deed on the ground of no sale consideration
being paid. In the present case, there is no such challenge to the sale
deed for being declared as void or being cancelled on such ground.
Thus also, the said argument deserves to be rejected.
33.7. It has also been argued on behalf of the respondents that
appellant No. 1, in his deposition, stated that he did not remember as
to who had presented the document for registration. Such statement
would not be relevant at all inasmuch as the fact remains that the
document of sale was presented for registration on 05.12.1985, which
fact is not denied. Who presented the document is not relevant. It was
for the registering authority to examine and once the document is
registered, it is presumed that it was presented by the competent
person and necessary signatures of the vendor and vendee must have
been taken by the registering authority. From a perusal of the xerox
copy of the sale deed it is apparent that there is an endorsement by the
Sub-Registrar that the sale deed was presented by respondent no. 2,
the vendor (defendant no. 1 in the suit).
33.8. The submission with regard to delay of 26 years in getting the
document registered also does not extend any benefit to the
respondents. Non-registration of a document duly presented for
registration could be for many reasons. But once it is registered, there
is a presumption of correctness attached to it, that is to say that the
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Collector31
39. We observe that the cases relied upon by the Respondent No. 2
do not extend any kind of benefit in the facts of the present case as the
judgments above are clearly distinguishable on facts. Thus, to avoid
lending any further burden on the instant judgment, we are not dealing
with them on their individual facts.
40. In view of the discussions made above, the appeal deserves to
be allowed. The impugned judgment of the High Court is set aside and
that of the first Appellate Court decreeing suit of the appellant is
restored and maintained.
41. Facts of this case deserves that the suit should be decreed with
exemplary costs considering the conduct of the defendant-respondents,
which is quantified at Rs. 10,00,000/- (Rupees ten lakhs only) to be
paid to the appellants within eight weeks from today. The liability to
pay costs shall be borne equally by each of the two respondents. Proof
of payment of costs may be filed before this Court within ten weeks
from today.
42. Pending application(s), if any, is/are disposed of.
———
1
The Act, 1872
2
The Act, 1908
3
(2009) 2 SCC 582
4
(2008) 4 SCC 594, (relevant paras 13-16, 21)
5
(2020) 16 SCC 601 (para 7-10).
6
(2015) 5 SCC 622 (para 16-19).
7
2023 SCC OnLine SC 9 (para 35).
8
The Evidence Act
9
(2014) 5 Mah LJ 726 (para 8).
10
The TP Act
11
(1969) 1 SCC 497 (para 3);
12
(2003) 4 SCC 161 (para 5);
13
(2009) 7 SCC 363 (para 15-18);
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14
(2010) 5 SCC 401 [para 12,13,15]
15
SLP No. 15774 of 2023.
16
(2022) 7 SCC 1
17
TP Act
18
2020 SCC OnLine SC 86
19
(2022) 3 SCC 150
20
(2013) 12 SCC 776
21
(2007) 2 SCC 404
22
(2020) 16 SCC 601
23
(2015) 5 SCC 622
24
(2024) 2 SCR 650
25
(1969) 1 SCC 497
26
(2003) 4 SCC 161
27
(2009) 7 SCC 363
28
(2010) 5 SCC 401
29
SLP (C) No. 15774 of 2023 decided on 25.09.2023
30
(2015) 5 SCC 588
31
(2022) 7 SCC 1
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