Bombay High Court
ANAND SUDHIR SANGHVIversusKISHOR GOPALDAS SANGHVI AND ORS
- Decided
- Disposal
- Dismissed
Holding
The petitioners are not persons having interest or beneficiaries under the Trusts Act, and the Joint Charity Commissioner’s order rejecting their Section 41E application is upheld.
Summary
The petitioners, descendants of the settlor of the Sanghvi Jagmohandas Bhagwandas Trust, filed an application under Section 41E of the Maharashtra Public Trusts Act, 1950 seeking injunctions to protect trust property from alleged misuse by the respondents. The Joint Charity Commissioner rejected the application, holding that the petitioners were not "persons having interest" or beneficiaries under the Act. The petitioners appealed via a writ petition under Article 227, arguing that the Commissioner erred in treating the locus question as a pure question of law and that they were entitled to relief as beneficiaries. The High Court examined the definitions of "person having interest" (Section 2(10)) and "beneficiary" (Section 2(2A)), noting that these terms are inclusive but require a demonstrable entitlement to the trust’s benefits, not merely lineage. Relying on precedent, the Court held that the locus question is a mixed question of law and fact, but the petitioners failed to prove they were beneficiaries, so the Commissioner’s order stands. Consequently, the writ petition was dismissed.
Issues considered
- The question whether the determination of locus (whether petitioners are persons having interest) under Section 41E is a pure question of law or a mixed question of law and fact.
- Whether the petitioners qualify as "persons having interest" or "beneficiaries" under Section 2(10) and Section 2(2A) of the Maharashtra Public Trusts Act, 1950.
- Whether the order of the Joint Charity Commissioner rejecting the petition under Section 41E can be set aside.
Legislation cited
Subjects
- Article 227
- Maharashtra Public Trusts Act
- Section 41E
- person having interest
- beneficiary
- locus standi
- charitable trust
- injunction
- joint charity commissioner
- mixed question of law and fact
Judgment
Digitally
signed by
SAINATH
-WP-7780-2025.DOC
SAINATH SANJAY
SANJAY BODKHE
BODKHE Date:
2026.08.11
21:01:09
+0530
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
CIVIL APPELLATE JURISDICTION
WRIT PETITION NO. 7780 OF 2025
1. C.A. Anand Sudhir Sanghvi
Age: 40, Occ. Business
Residing at B-33, Mandhana
Manor, Mogal Lane, Matunga West,
Mumbai – 400 016.
(M) – 9167098055
Email ID: [email protected]
2) Sudhir Vinayak Sanghvi
Age: 71, Occ. Business,
Residing at B-33, Mandhana
Manor, Mogal Lane, Matunga West,
Mumbai – 400 016.
(M) – 9773782202
Email ID: [email protected]
3) Ajit Nandlal Singh
Age: 42, Occ. Business
Residing at 9, Manbhau Chawl,
T.H. Kania Marg, Matunga West,
Mumbai – 400 016
(M) – 9619656868
Email ID: [email protected] ...Petitioners
Versus
1) Kishor Gopaldas Sanghvi
Age- Adult, Occupation – NA
Address – 1201, Sanghvi Majestic CHS Ltd,
Manmala Tank Road, Matunga (W),
Mumbai – 400 016
(M) – 9322994353
Email ID: NA
2) Satish Gopaldas Sanghvi
ARS/SAINATH 1/33
-WP-7780-2025.DOC
Age- Adult, Occupation – Business
Address – Bungalow No. ASD/40,
Shrihari, Ashwin Nagar, CIDCO,
Nashik – 422 009, Maharashtra,
(M) - 9422253056
Email ID: [email protected]
3) Devang Kishor Sanghvi
Age- 56, Occupation – Business
Address – Flat No. 1202, 12th Floor,
Sanghvi Majestic CHS, Manmala Tank
Road, Matunga West, Mumbai – 400 016
(M) – 9892505128, Email ID: NA
4) Prashant Kishor Sanghvi
Age- 53, Occupation – Business
Address – Flat No. 1401, 14th Floor,
Sanghvi Majestic CHS, Manmala Tank
Road, Matunga West, Mumbai – 400 016
(M) – 9221424659, Email ID: NA
5) Hemangi S Sanghvi
Age- 73, Occupation – Housewife,
Residing at Bungalow No. ASD/40,
Shrihari, Ashwin Nagar,
CIDCO, Nashik – 422 009.
(M) – NA, Email ID: NA
6) Praful G Sanghvi
Age – 80, Occupation – Doctor,
Address: CC/o Satish G Sanghvi
Bungalow No. ASD/40, Shrihari,
Ashwin Nagar, CIDCO,
Nashik – 422 009.
(M) – NA, Email ID: NA
7) Kashyap B Sanghvi
Age – Adult, Occupation – Business
Residing at : 1103, Sanghvi Majestic
CHS Ltd, Manmala Tank Road,
Matunga West, Mumbai – 400 016
(M) – 9820398114, Email ID- NA.
8) Hansa K Sanghvi
ARS/SAINATH 2/33
-WP-7780-2025.DOC
Age -84, Occupation – Housewife
Address – 1402, Sanghvi Majestic
CHS Ltd, Manmala Tank Road,
Matunga West, Mumbai – 400 016
(M) – NA, Email ID -NA.
9) Vipul G Sanghvi
Age – 48, Occupation – Business,
Address – Nisarg Bungalow, 140/A,
Iskon Ground, Palitana Sugar Mill Lane,
Bhavnagar – 364001.
(M)- NA, Email ID- NA.
10) Pratima D Laiwala,
Age – Adult, Occupation – Housewife,
Residing at Dwarka, 4th Floor,
57, Tagore Road, Santa Cruz West,
Mumbai – 400 054.
(M) – NA, Email ID – NA.
11) The Sanghvi Majestic CHS Ltd,
A society registered under the Maharashtra
Cooperative Societies Act, 1960,
through its Chairman, having its
address at Manmala Tank Road, Matunga
West, Mumbai – 400 016.
(M) – NA, Email ID – NA.
12) Sanghvi Jagmohandas Bhagwandas Trust,
Bearing P.T.R. No. E-3158 (Mumbai),
A Public Trust registered under the provisions
of the Bombay Public Trusts Act,
1950, through its Managing Trustee Kishor G
Sanghvi having its address at Govardhan Baug,
Manmala Tank Road, Matunga (W),
Mumbai – 400 016
Email ID: [email protected]
13) The Chief Officer of M.B.R.R.
Board, Griha Nirman Bhavan, Kala
Nagar, Bandra East, Mumbai – 400 051.
14) Arvind G Sanghvi
Age – Adult, Occ.- Retired,
ARS/SAINATH 3/33
-WP-7780-2025.DOC
L’Avenir-3, Flat No. 4, 2nd Floor,
108, Pappammal Koli Street,
Vaithikuppam, Puducherry – 605001.
15) Purvi A Sanghvi,
Age – Adult, Occ.- Business,
L’Avenir – 3 Flat No. 4, 2nd Floor,
108, Pappammal Koli Street,
Vaithikuppam, Puducherry – 605001.
Mob – 9344291785
16) Sumeet A Sanghvi
Age – Adult, Occ.- Business,
C/0 Arvind G Sanghvi,
L’Avenir – 3 Flat No. 4, 2nd Floor,
108, Pappammal Koli Street,
Vaithikuppam, Puducherry – 605001.
17) Suresh Anant Gambhir,
Age – Adult, Occupation – NA,
Address – 2301, Shreeji Heights,
T.H. Kataria Marg,
Opp. Ganga Vihar Hotel, Mahim,
Mumbai – 400 016.
(M) – 9867255070.
18) The Ld Charity Commissioner
Maharashtra State, Mumbai, Office
of the Charity Commissioner,
2nd Floor, C/o Sasmira Institute
Studies & Research, Sasmira Road,
Worli, Mumbai – 400 030.
19) The State of Maharashtra
Through the Government Pleader
High Court, Appellate Side Civil.
…Respondents
Mr. Prathamesh Kamat, with Kayush Zaiwalla, i/b Suresh Kamble,
Shashank Thatte and Yuvaraj Takale, for the Petitioners.
Mr. Girish Godbole, Senior Advocate, i/b Aditya Joshi & Niharika
Chandurkar, for Respondent No.1.
Ms. Savina Crasto, AGP, AGP, for the Respondent-State.
ARS/SAINATH 4/33
-WP-7780-2025.DOC
CORAM : N. J. JAMADAR, J.
RESERVED ON : 22nd JULY 2026
PRONOUNCED ON : 11th AUGUST 2026
JUDGMENT:
1. Rule. Rule made returnable forthwith and, with the consent of
the learned Counsel for the parties, heard finally.
2. By this Petition under Article 227 of the Constitution of India, the
Petitioners take exception to an order passed by the learned Joint
Charity Commissioner, Mumbai, whereby the Application, being
Application No. 26 of 2022, filed by the Petitioners seeking injunctive
reliefs in respect of Sanghvi Jagmohandas Bhagwandas Trust, under the
provisions of Section 41E of the Maharashtra Public Trusts Act, 1950
(“the Trusts Act, 1950”), came to be rejected on the ground that the
Petitioners-Applicants were not the persons having interest in the Trust.
3. The background facts leading to this Petition can be stated in
brief as under:
3.1 Late Gopaldas Bhagwandas Sanghvi, the great grandfather of
Petitioner No.2, had settled the Trust under the Indenture of Trust
dated 8th December 1965, in the memory of his elder brother,
Jagmohandas Sanghvi, under the name and style of “Sanghvi
Jagmohandas Bhagwandas Trust”. The Trust came to be registered as a
public charitable trust under the provisions of the Trusts Act, 1950, on
ARS/SAINATH 5/33
-WP-7780-2025.DOC
24th December 1965. Advancement of education, health and social
works were the objects of the Trust. A first board of trustees, comprising
Respondent No.1, Vinayak Sanghvi, Rasiklal Sanghvi and Gulabben
Sanghvi was constituted by the settlor. The surviving trustees were
empowered to fill in the vacancies in the office of the trustees; the
number of which shall not be less than two and more than seven.
3.2 The Petitioners preferred an Application under Section 41E of the
Trusts Act, 1950, alleging, inter alia, that Petitioner No.1 is the son of
Petitioner No.2. Late Vinayak, father of Petitioner No.2, was one of the
first trustees. Petitioner No.3 resides in the vicinity of the trust property.
The Petitioners are thus the “persons having interest”, within the
meaning of Section 2(10) of the Trusts Act, 1950. The Petitioners
asserted that they were also entitled to take the benefits as per the
objects of the Trust enumerated in the Indenture of Trust.
3.3 Respondent Nos. 1 and 2 were the persons whose names
appeared as the trustees in the Schedule I of the Trust. Respondent
Nos. 3 and 4 were subsequently inducted as the trustees of the Trust.
The Petitioners professed to file the Application seeking injunctive
reliefs for protecting the trust property as there was imminent danger of
the wasting, damaging and improper alienation of the trust property.
3.4 Respondent Nos. 3 to 10 were stated to be the near relatives of
Respondent Nos. 1 and 2. Respondent Nos. 3 to 10 had allegedly taken
ARS/SAINATH 6/33
-WP-7780-2025.DOC
undue benefits, and caused loss and damage to the property of the
trust. Certain allegations were made in regard to the transactions
between the Trust and Respondent No.12- a cooperative housing society
of the occupants of the property developed on behalf of the Trust.
Attributing the acts of commission and omission to the Respondents, the
Petitioners sought certain prohibitory and mandatory injunctions
against the Respondents.
3.5 Respondent Nos. 1 to 4 appeared and filed Application (Exhibit
“89”) seeking rejection of the main Application under Section 41E of the
Trusts Act, 1950, questioning the locus standi of the Petitioners to file
such Application. It was, inter alia, contended that, in an Application
under Section 36 of the Trusts Act, 1950, being Application No. 1 of
2024, Petitioner Nos. 1 and 2 herein had sought impleadment by filing
an Application (Exhibit “7”) and the said Application was rejected by
the learned Joint Charity Commissioner observing that the Petitioners
were not persons having interest in the Trust, nor were Petitioner Nos. 1
and 2, the beneficiaries of the Trust. Even otherwise, the Petitioners
were neither the ‘persons having interest’ in the Trust nor the
‘beneficiaries’ of the Trust.
3.6 The Petitioners resisted the Application by filing a Reply (Exhibit
“90”).
ARS/SAINATH 7/33
-WP-7780-2025.DOC
3.7 In the wake of the pleadings and material on record, the learned
Joint Charity Commissioner framed two points for determination,
namely, whether the issue as to the tenability of the main application
under Section 41E of the Trusts Act is a pure question of law, and
whether the Petitioners proved that they were the persons having
interest in the Trust or were the beneficiaries of the Trust.
3.8 Answering the first point in the affirmative and the second in the
negative, the learned Joint Charity Commissioner rejected the main
Application. The learned Joint Charity Commissioner was of the view
that the Petitioners failed to plead and demonstrate as to how the
Petitioners were the persons having interest in the Trust or the
beneficiaries thereof. The claim of the Petitioners that they were
entitled to avail the services of a pathology laboratory run by the Trust
would not render them the beneficiaries of the Trust.
3.9 Being aggrieved, the Petitioners-Applicants have preferred this
Petition.
3.10 An Affidavit in Reply has been filed on behalf of the Respondents.
4. I have heard Mr. Prathamesh Kamat, the learned Counsel for the
Petitioners, and Mr. Girish Godbole, the learned Senior Advocate, for
Respondent No.1, at some length. With the assistance of the learned
Counsel for the parties, I have perused the material on record.
ARS/SAINATH 8/33
-WP-7780-2025.DOC
5. Mr. Kamat, the learned Counsel for the petitioners, took a slew of
exceptions to the impugned order. First and foremost, Mr. Kamat would
urge, that the learned Joint Charity Commissioner committed a grave
error in law in holding that the question as to whether the petitioners
were the “persons having interest” in or the “beneficiaries” of, the Trust
is a pure question of law and could be determined without recording
evidence. In the very nature of the inquiry that is required to be
conducted to determine that aspect, Mr. Kamat would urge, the
question can be said to be firmly rooted in facts. At best, it could be a
mixed question of law and fact. Secondly, the learned Joint Charity
Commissioner, on the one hand, observed that, the question of locus of
the petitioners was a pure question of law and, on the other hand, non-
suited the petitioners by observing that, the petitioners failed to
produce any evidence to prove; at least prima facie, that they were the
persons having interest in, or the beneficiaries of, the Trust. Thirdly, the
learned Joint Charity Commissioner also recorded that, the question
whether a particular person has an interest in the Trust is one of fact
and must be decided with reference to the circumstances of each case.
Thus, the impugned order suffers from manifest contradictory findings.
6. Mr. Kamat next urged that, the petitioners had filed an
application under Section 41E of the Trusts Act, 1950 and furnished all
the particulars as mandated under Rule 25AA of the Maharashtra Public
ARS/SAINATH 9/33
-WP-7780-2025.DOC
Trust Rules, 1951 (“Trust Rules, 1951”). The learned Joint Charity
Commissioner completely misread the averments in the application
under Section 41E of the Trusts Act, 1950 to return a factually incorrect
finding that, the petitioners had nowhere pleaded that they were the
beneficiaries as per the objects of the Trust.
7. Mr. Kamat further submitted that, the aspect of locus to seek
relief in order to protect the Trust property or the larger public interest,
has received a liberal construction. Under the indenture of Trust, all the
persons were entitled to the benefits of the activities for securing health.
It was not absolutely necessary for the petitioners to actually avail the
benefits as per the objects of the Trust. The pivotal question was
whether the petitioners were entitled to receive the benefits as per the
objects of the Trust. The learned Joint Charity Commissioner, thus,
completely misdirected himself in holding that, the petitioners were
neither the persons having interest in the Trust nor the persons entitled
to receive the benefits as per the objects of the Trust.
8. To lend support to the aforesaid submissions, Mr. Kamat placed
strong reliance on the judgments of this Court in the cases of Shree
Khambhati Modh Vanik Samaj Vs. State of Maharashtra & ors.1, Ashok
1 2023 SCC OnLine Bom 2725
ARS/SAINATH 10/33
-WP-7780-2025.DOC
Shreekrishna Beharay vs. Joint Charity Commissioner & anr. 2, and
Mataprasad Durgaprasad Rai & ors. Vs. Girish Mulji Vora & anr3.
9. Per contra, Mr. Godbole, the learned Senior Advocate for the
Respondent No.1, supported the impugned order. Mr. Godbole
submitted that, the learned Joint Charity Commissioner has correctly
appreciated the question as to whether the petitioners can be said to be
the persons having interest in, or the beneficiaries of, the Trust. Mr.
Godbole submitted that, the mere fact that the Petitioner Nos.1 and 2
are the descendants of one of the trustees of the Trust, does not confer
the status of “persons having interest” upon the petitioners. The learned
Joint Charity Commissioner was, thus, well within his rights in
discarding the claim of the petitioners on the said count, which is, in
essence, the substratum of the claim of the Petitioner Nos.1 and 2.
10. Mr. Godbole strenuously submitted that, the Petitioner Nos. 1 and
2 disguised as the “persons having interest” or “beneficiaries” are
pursuing a private cause against the respondents. The Petitioner Nos.1
and 2 have left no stone unturned in putting hindrances in the
development of the trust property. Apart from instituting the
proceedings before the other forums, the Petitioner Nos.1 and 2 tried to
intervene in the application under Section 36 of the Trusts Act, 1950,
which turned out to be abortive. Having failed in their endeavors, the
2 2025 SCC OnLine Bom 3993
3 2020 SCC OnLine Bom 3369
ARS/SAINATH 11/33
-WP-7780-2025.DOC
Petitioner Nos.1 and 2 have filed the application under Section 41E of
the Trusts Act, 1950. This litigative streak of the Petitioner Nos. 1 and 2,
with an oblique motive of putting hindrances in the affairs of the Trust,
ought to enter the judicial determination.
11. To lend support to the submission that, the mere fact that a
person is a descendant of the settlor or trustee, does not clothe such
person with the character of ‘a person having interest’ in the Trust, or a
‘beneficiary’, Mr. Godbole placed reliance on the judgment of a learned
Single Judge in the case of Maganlal Himatram Barfiwala & ors. Vs.
Mridangraj Hiralal Suchak4.
12. Refuting the submissions on behalf of the petitioners that, in any
event, they were the beneficiaries as per the objects of the Trust, Mr.
Godbole submitted that, in accordance with the object of the Trust
under the Indenture of the Trust, the promotion of the health facilities
was meant for poor and needy persons. It is not the case of the
petitioners that, they have ever availed the facilities nor the petitioners
have asserted that their financial condition is not sound and they are
otherwise required to avail the benefits of the facilities provided by the
Trust. In the absence of such a clear assertion in the application, the
bald claim that, the petitioners are entitled to receive the benefits as per
the objects of the Trust, is not sufficient to hold that, the petitioners
4 2019 SCC OnLine Bom 336
ARS/SAINATH 12/33
-WP-7780-2025.DOC
were the beneficiaries. Thus, no fault can be found with the impugned
order, urged Mr. Godbole.
13. In the light of the aforesaid pleadings and submissions, the core
controversy revolves around two questions. First, whether the learned
Joint Charity Commissioner was justified in holding that, the question
of locus of the petitioners to file an application under Section 41E of the
Trusts Act, 1950 was a pure question of law ? Second, whether, in the
facts of the case at hand, the application under Section 41E of the
Trusts Act, 1950 could have been dismissed at the threshold on the
ground that, the petitioners were not the persons having interest in the
Trust and, thus, not entitled to maintain such an application ?
14. Before adverting to explore answers to the aforesaid questions, it
may be advantageous to note the relevant provisions of the Trusts Act,
1950 and the Rules framed thereunder. Section 41E of the Trusts Act,
1950 empowers the Charity Commissioner to act in protection of the
charities. The relevant part of Section 41E of the Trusts Act, 1950, reads
as under :-
“41E.Power to act for protection of Charities
(1) Where it is brought to the notice of the Charity
Commissioner either by the Deputy or Assistant Charity
Commissioner through his report or by an application by
ARS/SAINATH 13/33
-WP-7780-2025.DOC
at least two persons having interest supported by
affidavit:
(a) that any trust property is in danger of
being wasted, damaged or improperly alienated
by any trustee or any other person, or
(b) that the trustee or such person threatens or
intends to remove or dispose of that property,
the Charity Commissioner may by order grant a
temporary injunction or make such other order
for the purpose of staying and preventing the
wasting, damaging, alienation, sale, removal or
disposition of such property, on such terms as to
the duration of injunction, keeping an account,
giving security, production of the property or
otherwise as he thinks fit.”
15. A bare perusal reading of the aforesaid section would indicate
that, if it is brought to the notice of the Charity Commissioner that there
is a danger of waste, damage, alienation, sale, removal or disposition of
the property of the Trust, either by any Trustee or any other person, the
Charity Commissioner in exercise of parens patriae jurisdiction has been
empowered to grant temporary injunction or make such order to stay
ARS/SAINATH 14/33
-WP-7780-2025.DOC
and prevent such waste, damage, alienation, removal or disposition of
the Trust property.
16. Two modes of initiation of action under Section 41E of the Trusts
Act, 1950 are specified in the opening part of sub-section (1) of Section
41E. First, on the basis of the reports by the Deputy or Assistant Charity
Commissioner. Second, by an application by at least two persons having
interest in the Trust. The legislature thus considered it appropriate to
provide that, the action under Section 41E of the Trusts Act, 1950 for
protection of charities can be on the basis of the information provided
by the Authorities under the Trusts Act, 1950, or on an application by
two or more persons having interest. It is quiet conceivable that,
unbeknownst to the Authorities under the Trusts Act, 1950 or
surreptitiously the trustee or any other person may by act or omission,
jeopardize the trust property and thereby threaten to defeat the object
of the Trust. To address such a situation, the legislature has conferred
locus on two or more persons having interest to move the Charity
Commissioner seeking injunctive or other orders.
17. That brings to the fore the question as to who can be said to be a
person having interest in the Trust. The expression, ‘person having
interest’ finds place in a number of provisions of the Trusts Act, 1950,
especially in regard to the initiation of the proceedings before the
ARS/SAINATH 15/33
-WP-7780-2025.DOC
Charity Commissioner. Thus, Section 2(10) of the Trusts Act, 1950
defines, “person having interest”, as under :-
“S.2(10) “person having interest includes” includes -
(a) in the case of a temple, person who is entitled to
attend at or is in the habit of attending the performance
of worship or service in the temple, or who is entitled to
partake or is in that habit of partaking in the
distribution of gifts thereof,
(b) in the case of a math, a disciple of the math or a
person of the religious persuasion to which the math
belongs,
(c) in the case of a Waqf, a person who is entitled to
receive any pecuniary or other benefit from the Waqf
and includes a person who has right to worship or to
perform any religious rite in a mosque, idgah,
imambara, dargah, maqbara or other religious
institution connected with the Waqf or to participate in
any religious or charitable institution under the Waqf,
(d) in the case of a society registered under the Societies
Registration Act, 1860, any member of such society, and
(e) in the case of any other public trust any trustee or
beneficiary.”
ARS/SAINATH 16/33
-WP-7780-2025.DOC
18. Evidently, if a Trust does not fall within the specified classes
covered by clauses (a) to (d) of Section 2(10), such Trust would be
governed by clause (e) for which, ‘person having interest’ means any
trustee or beneficiary.
19. Sub-section (2A) of Section 2, which was inserted by
Maharashtra Act No. 55 of 2017 w.e.f. 10th October, 2017, defines
“beneficiary” as under :-
“(2A) “beneficiary” means any person entitled to
any of the benefit as per the objects of the trust
explained in the trust deed or the scheme made as per
this Act and constitution of the trust and no other
person”
20. In the case of Shree Khambhati Modh Vanik Samaj (supra), this
Court had an occasion to consider the import of the provisions
contained in Section 2(10) and Section 2(2A) which defined the
expressions, “person having interest” and “beneficiary”, respectively.
The observations in Paragraph Nos. 31 to 35 of the said judgment are as
follows :-
“31. The object of conferment of locus on “person having
interest” becomes clear if the nature of the authority of the
trustees is appreciated. As noted above, the property of the
trust vests in the trustees for the benefit of beneficiary or for
ARS/SAINATH 17/33
-WP-7780-2025.DOC
the discharge of the object of the trust. It is quite conceivable
that the trustees may discharge their duties in furtherance of
the object of the trust or in derogation thereof. In a given
case, the trustees may not be available or may have become
defunct or rendered themselves disabled or even might be
acting against the interest of the trust. Therefore, the persons
who have an abiding interest in the affairs of the trust have
been conferred the locus to seek remedies and participate in
the proceeding, so that the object of the trust and, ultimately,
public interest are not defeated.
32. Evidently, under sub section 2(10) of the Act, the
definition, “the person having interest” is inclusive. It would
be contextually relevant to note that the word, “includes” in
section 2(10) came to be substituted for the word, “means”
by Bombay 28 of 1953. It is trite, the use of the word,
“includes” in a definition gives the term an expansive
meaning. In contrast the legislature uses the word, “means”
to give a precise and definite meaning. In substituting the
word, “includes” for “means”, the legislative intention of
expanding the scope of the term, “person having interest”
becomes explicitly clear. An inclusive definition, as is trite,
covers in its fold the matters which are not specifically
enumerated in the said definition.
33. A profitable reference in this context can be made
to a Division Bench judgment in the case of Digambar
Pralhad Jot and Others vs. Satyanarayan Biharilal
Zunzumwala and Others (AIR 1978 Bom 196). The Division
Bench adverted to the legislative change brought by
substituting the word, “includes” for the word “means” and
emphasized that the definition of the phrase, “the person
ARS/SAINATH 18/33
-WP-7780-2025.DOC
having interest” is not exhaustive. The observations of the
Division Bench read as under:-
7] …. ……. Initially in this definition clause in
place of the word 'includes' the word 'means' was
used by the Legislature. The word 'includes' was
substituted by Bombay Act No. 28 of 1953. It is
well settled that the word 'include' in the
interpretation clause is intended to be
enumerative and not exhaustive. It has an
extending force and it does not limit the meaning
of the term to the substance of the definition.
When it is intended to exhaust the signification of
the words interpreted, the word 'means' is used: --
See Chandrabhagabai Ashtekar v. State oil
Bombay (1958 Nag LJ J72).
(emphasis supplied)
34. The import of the phrase, “person having interest”
came up for consideration before the Supreme Court in the
case of Shree Gollaleshwar Dev and Ors. vs. Gangawwa
Shantayya Math and Ors. (1985) 4 SCC 393. The correctness
of the view of the Full Bench decision of Karnataka High
Court that, the expression “person having interest in the
trust” occurring in section 2(10) and section 50 of the Trust
Act, 1950 does not include the trustees when they institute
the suit in their capacities as trustees for vindicating their
private rights, was challenged before the Supreme Court.
After adverting to the provisions of section 2(10) and 2(18),
which defines “a trustee”, and section 50 of the Act, 1950,
the Supreme Court did not approve the view of the Full
Bench of the Karnataka High Court. It was, inter alia,
observed as under :-
ARS/SAINATH 19/33
-WP-7780-2025.DOC
12] … …… The definition of the words “person
having interest" in section 2(10) of the Bombay
Public Trust Act, as amended in 1953 was made
inclusive to set at rest all doubts and difficulties as
to the meaning of these words, which were
intended and meant to be used in a generic sense
so as to include not only the trustees but also the
beneficiaries and other persons interested in the
trust. The definition of the expression person
having interest in section 2(10) is wide enough to
include not merely the beneficiaries of a temple,
math, Waqf etc. but also the trustees. Therefore
appellants Nos. 2 and 3 who undoubtedly are
members of the founder’s family i.e. beneficiaries,
are entitled to attend at performance of worship or
service in the Distribution of offering to the also
entitled to partake in the distribution of offering to
the deity and thus answer the description "person
having inter" as defined in Section 2 (10) of the
Act.
(emphasis supplied)
35. In the case at hand we are primarily concerned
with clause (e) of section 2(10) of the Act under which
“person having interest” includes, “any trustee or
beneficiary”. As noted above, the definition of “beneficiary”
came to be inserted by Amendment Act, 2017. Interestingly,
the legislature has used the word, “means” while defining,
“beneficiary”. Thus, the “beneficiary” means, any person
entitled to any of the benefits as per the object of the trust
explained in the trust deed or the scheme made as per the
ARS/SAINATH 20/33
-WP-7780-2025.DOC
said Act and constitution of the trust. What makes the
legislative intent abundantly clear is the use of the
expression, “and no other person”. This implies that the
legislature made a conscious effort to exclude a person other
than the one who is entitled to obtain any benefit under the
objects of the trust, from the definition of “beneficiary”.
There is no scope to expand the meaning of the term,
“beneficiary” under section 2(2A). The legislative intent that
the term “beneficiary” is restricted to that class of persons
who are entitled to obtain benefit under the trust is
underscored by the exclusionary clause “and no other
person”. It is in the backdrop of these provisions, the import
of the term, “person having interest” deserves to be
construed. To qualify as “person having interest”, under
clause (e) of section 2(10) in the class of beneficiary, the
person must derive benefit under the trust.”
21. Having noticed what signifies, “person having interest” or
“beneficiary”, it would be appropriate to consider the question whether
the learned Joint Charity Commissioner was justified in holding that,
the question of locus could be determined as a pure question of law. The
learned Joint Charity Commissioner has, after referring to the
provisions contained in Rule 7 of the Trust Rules, 1951, which provides
for the conduct of inquiries including, an inquiry under Section 41E(3)
of the Trusts Act, 1950, as far as possible in the Greater Bombay region
in accordance with the procedure prescribed for the trial of suits under
the Presidency Small Cause Courts Act, 1882, and, elsewhere under the
ARS/SAINATH 21/33
-WP-7780-2025.DOC
provisions of Provincial Small Cause Courts Act, 1887, held that, the
provisions contained in the Code of Civil Procedure, 1908 (“Code,
1908”) including, under Order VII Rule 11 of the Code, 1908, were
attracted to the inquiry under Section 41E of the Trusts Act, 1950. Thus,
applying the test for determination of an application for rejection of the
plaint, the learned Joint Charity Commissioner proceeded to decide the
question of locus as a pure question of law. Whether the aforesaid
approach of the learned Joint Charity Commissioner, is sustainable ?
22. In the context of the definition of ‘person having interest’ under
Section 2(10) r/w Section 2(2A) of the Trusts Act, 1950, if a person
invokes the jurisdiction of the Charity Commissioner under Section 41E
of the Trusts Act, 1950 on the premise that, he is the trustee of the
Trust, the controversy may assume the character of an objective inquiry
in the sense that, if such person who is not a trustee, he cannot claim to
be a person having interest in the Trust. However, where two or more
persons also approach the Charity Commissioner with a case that they
are the beneficiaries of the Trust, in the considered view of this Court,
the controversy assumes a different complexion. Whether a person is
indeed a beneficiary of the Trust, though capable of determination on
the basis of the averments in the application, yet, cannot be said to be a
pure question of law. What is question of law need not detain the Court.
ARS/SAINATH 22/33
-WP-7780-2025.DOC
The distinction between the pure question of law and a mixed question
of law and fact is well marked.
23. The question of law arises when the conclusion can be arrived at
on the application of the rules and the principles of law to certain
proved facts and circumstances. Ordinarily, the question of law signifies
a question that can be decided by applying the principles of law to the
given facts without determining the factual controversy.
24. In the case of Shakuntala Chandrakant Shreshti V/s. Prabhakar
Maruti Garvali and Anr.5, the Supreme Court observed that a question of
law would arise when the same is not dependent upon the examination
of evidence, which may not require any fresh investigation of fact.
25. In a majority of the cases, whether a person is entitled to receive
benefit as per the objects of the Trust would hinge upon the facts. A
minimal investigation into facts to ascertain whether the claim of
entitlement of such person to the benefits as per the objects of the Trust,
may be warranted. Indeed, a bald assertion in the application that, the
applicants are the beneficiaries as per the objects of the Trust, by itself,
is not sufficient. Whether there are particulars indicating the nature of
the interest or the benefit which the applicants are entitled to receive as
per the objects of the Trust, is required to be spelled out as mandated by
clause (e) of Rule 25AA(1) of the Rules, 1951. The said Rule enjoins the
applicant to furnish particulars as to the nature of the applicant’s
5 (2007) 11 SCC 668
ARS/SAINATH 23/33
-WP-7780-2025.DOC
interest in the Trust. Therefore, it cannot be laid down as an absolute
proposition of law that, the question whether the applicants are persons
having interest in the Trust is a pure question of law; more often than
not, the question would be a mixed question of law and fact and, at
times, heavily rooted in facts. Therefore, the finding of the learned Joint
Charity Commissioner that, the question of locus of the petitioners was
a pure question of law, cannot be sustained.
26. This takes me to the question as to whether the material on
record sustains the claim of the petitioners that, they are the persons
having interest in the Trust. Since the learned Joint Charity
Commissioner proceeded to decide the issue of locus, at the threshold,
the averments in the application were required to be taken as they
stand on the principle of demurrer. In the application, after furnishing
the particulars of the circumstances in which the Trust in question came
to be formed, the petitioners have asserted that, the Petitioner No.1 is
the son of Petitioner No.2. The father of Petitioner No.2 late Vinayak
was one of the first trustees of the Trust. The Petitioner Nos.1 and 2 are
the descendants of late Gopaldas Sanghavi, the settlor of the Trust. The
Petitioner No.3 is a businessman and resides in the vicinity of the Trust
property at Matunga. The petitioners were competent and entitled to
take the benefits as per the objects of the Trust enumerated in the
indenture of the Trust. The petitioners had a bonafide interest in the
ARS/SAINATH 24/33
-WP-7780-2025.DOC
Trust and their main object was to protect the property of the Trust from
the respondents. They did not have an interest which was adverse to the
Trust.
27. Evidently, the petitioners did not claim that any of them was a
trustee of the Trust. Consequently, their qualification of being the
persons having interest would turn upon their character as the
beneficiaries of the Trust.
28. The learned Joint Charity Commissioner was of the view that, the
fact that the Petitioner Nos.1 and 2 were the descendants of the settler
or an erstwhile trustee was of no avail to the petitioners. This view of
the learned Joint Charity Commissioner appears to be rather
impeccable. The settlor has settled the Trust for the advancement of the
charitable objects, namely, education, health and societal matters. The
mere fact that, the petitioners happened to be either the descendants of
the settler or one of the first trustees of the Trust, by itself, was not of
any relevance.
29. Reliance placed by Mr. Godbole on the judgment of a learned
Single Judge of this Court in the case of Maganlal Himatram Barfiwala
(supra), appears to be well founded. In the said case, the learned Joint
Charity Commissioner had reckoned that the respondents therein was a
‘person having interest’ in the Trust on the ground that he was a
member of Shri. Halai Lohana Mahajan Community and grandson of
ARS/SAINATH 25/33
-WP-7780-2025.DOC
the settlor. A learned Single Judge of this Court found the said
reasoning ex facie perverse. The observations in Paragraph Nos.67 and
68 of the said judgment are material and, hence, extracted below :-
“67. A perusal of the impugned order passed by the learned
Joint Charity Commissioner clearly indicates that the learned
Joint Charity Commissioner has considered the respondent as
a person having interest in the trust under section 2(10) of
the MPT Act as well as the beneficiary under section 2(2-A)
of the MPT Act on the ground that he is a member of Shri
Halai Lohana Mahajan community and the grandson of the
settlor. In my view, this finding of the learned Joint Charity
Commissioner is ex-facie perverse and contrary to the
definition of “person having interest” under section 2(10)(e)
of the MPT Act and also the definition of “beneficiary”
defined under section 2(2-A) of the MPT Act. The finding of
the learned Joint Charity Commissioner that considering the
close relationship between the settlor and the respondent as
well as he being a member of Shri Halai Lohana Mahajan
community, the respondent was a person having interest as
required under section 41-D of the MPT Act is also ex-facie
perverse and contrary to section 41-D of the MPT Act. In my
view, in view of the definition of section 2(2-A) of the MPT
Act, the definition of “person having interest” under section
2(10)(e) has to be given a restricted meaning. In my view,
even if a person is a member of the community, he does not
automatically become a beneficiary defined under section
2(2-A) of the MPT Act.
68. A perusal of the statement of objects and reasons of
2017 Act clearly indicates that after considering the fact that
the proceedings under various provisions of the MPT Act
ARS/SAINATH 26/33
-WP-7780-2025.DOC
remained pending for inordinate long period resulting in
hindrance in advancement of the public religious and
charitable objects, various amendments were proposed.
Insofar as section 41-D is concerned, in my view, the
definition 'beneficiary' has to be given narrow and restrictive
meaning. It is thus clear that the legislative intent to insert
the definition of 'beneficiary” under section 2-A of the MPT
Act is to restrict the interference with the management of the
public trust only by the persons having interest in the trust
including the trustee and beneficiary and more particularly
the beneficiary defined under section 2(2-A) of the MPT Act
inserted by 2017 Amendment and no other person.”
30. In the light of the aforesaid enunciation of law, the petitioners
cannot be permitted to draw any mileage from the fact that they are the
descendants of the settler or the successor in interest of one of the first
trustees of the Trust, appointed by the settler. To sustain an action under
Section 41E, the petitioners were required to demonstrate that, they
were the beneficiaries within the meaning of Section 2(2A) of the Trusts
Act, 1950.
31. Mr. Kamat, the learned Counsel for the petitioners, made a
painstaking effort to demonstrate that, if the averments in the
application are read in conjunction with the objects of the Trust as
specified in the Indenture of the Trust, the status of the petitioners as
the beneficiaries thereunder, becomes absolutely clear. Emphasis was
laid by Mr. Kamat on the object of the advancement of health, which
reads as under :-
ARS/SAINATH 27/33
-WP-7780-2025.DOC
“(2) For Health :-
(ka) For starting Dispensaries or Hospitals of any kind
and for running the same or helping to run the same or for
giving grants to _____.
32. Though in the Application it was not specifically averred that the
Petitioners were entitled to receive the benefit of the health related
services/medical facilities provided by the Trust, a submission was
sought to be canvassed that the Trust runs a pathology laboratory and
the Petitioners were entitled to avail the services of said pathology
laboratory and, therefore, they were the beneficiaries within the
meaning of Section 2 (2A) of the Trusts Act, 1950. From the perusal of
the order passed by the learned Charity Commissioner on an
Application for intervention in Miscellaneous Application No.
CC/01/2024, it becomes clear that, that was also the precise submission
canvassed before the learned Joint Charity Commissioner to
demonstrate the interest of Petitioner Nos. 1 and 2 in the Trust. The
learned Charity Commissioner was of the view that the mere fact that
Petitioner Nos. 1 and 2-proposed interveners therein might in the future
visit the pathology laboratory to get some medical tests done would not
make them beneficiary of the Trust.
33. It is true, the actual availment of the benefit as per the objects of
the Trust as specified in the Trust Deed is not a sine qua non. In Section
ARS/SAINATH 28/33
-WP-7780-2025.DOC
2(2A), the legislature has thus advisedly used the expression, “person
entitled to any of the benefit”.
34. Thus, the person who claims to be a person having interest need
not necessarily actually avail the benefit as of the date seeking relief
from the Charity Commissioner. The test is, whether such person is
entitled to receive any of the benefits as per the objects of the Trust. The
imminent possibility of availing the benefit may clothe the person with
the character of a beneficiary of the Trust. However, a mere theoretical
probability of availing the said benefit may not be sufficient as that
would expand the scope of “beneficiary” too widely. The intendment of
the Legislature in using the expression “and no other person” would
then become redundant. It is a well-recognized principle of
interpretation of statute that no word in the statute can be construed to
be a surplusage and such interpretation ought to be adopted as does not
render any word used by the Legislature redundant. The use of the
word, “means” coupled with the negative expression, “and no other
person” restricts the meaning of the word “beneficiary” to the class of
persons who are entitled to any of the benefits as per the object of the
Trust. Therefore, too expansive a construction of the term beneficiary
under Section 2(2A) may not be in consonance with the legislative
intendment.
ARS/SAINATH 29/33
-WP-7780-2025.DOC
35. The submission of Mr. Godbole that there are no averments in the
Application that the Applicants/Petitioners were required to avail the
benefit of the medical services offered by the Trust, is required to be
appreciated in the light of the intention of the settlor, the objects of the
Trust and the status of the Petitioners; especially Petitioner Nos. 1 and
2. The intent of the settlor was to promote charities by providing
educational, health related and other societal development services to
the deserving persons. The objects of the Trust, if considered in
juxtaposition with the intention of the settlor, make it explicitly clear
that the facilities were to be made available to the persons who could
not afford the same for want of resources or other constraints. The
status of the members of the settlor’s family in a Public Charitable Trust,
in contradistinction to a Private Trust, is ordinarily that of a benefactor
rather than a beneficiary.
36. From the aforesaid standpoint, the absence of the averments in
the Application regarding the necessity of the services for the Petitioners
and the imminent possibility of availment of those services cannot be
said to be immaterial or inconsequential. The learned Joint Charity
Commissioner was, therefore, justified in construing the averments in
the Application to hold that the mere possibility of the availing of
services at the pathology laboratory run by the Trust may not confer the
character of beneficiary upon the Petitioners.
ARS/SAINATH 30/33
-WP-7780-2025.DOC
37. The situation which thus, emerges is that, on the meaningful
reading of the averments in the application under Section 41E of the
Trusts Act, 1950, it becomes clear that the Petitioners did not satisfy the
test of being the beneficiaries as per the objects of the Trust. Instead,
the claim of the Petitioners, especially the Petitioner Nos.1 and 2,
stemmed from their perceived interest in the Trust’s property on the
basis of their status as the successors in interest of the settlor and one of
the first trustees. The assertion of the rights had its genesis in the
creation of the trust. In view of the mode of succession provided in the
Trust, without reserving any hereditary right in the members of the
settler’s family, or, for that matter, the successors of the trustees in the
first board of trustees, the essential qualification to be the person having
interest’ in the Trust, would only be in accordance with the scheme
envisaged by Section 2(10) read with Section 2(2A) of the Trusts Act,
1950. Since the Petitioners failed to make out that case in the
application, the finding of the learned Joint Charity Commissioner that
the Petitioners lacked the locus, appears to be unquestionable.
38. The fact that the learned Joint Charity Commissioner determined
the said issue by holding that, it could be determined as a pure question
of law, though questionable, yet does not detract materially from the
ultimate finding rendered by the learned Joint Charity Commissioner. It
is trite, if the ultimate finding is justifiable, this court in exercise of its
ARS/SAINATH 31/33
-WP-7780-2025.DOC
corrective writ jurisdiction need not interfere with such finding. A
profitable reference in this context can be made to the decision of the
Supreme Court in the case of Garment Craft V/s. Prakash Chand Goel6,
wherein the Supreme Court enunciated the approach to be adopted by
the High Courts where the ultimate order is justified, though it may
suffer from some legal flaw. The following observations are instructive,
and, hence, extracted below :
“15…….The High Court exercising supervisory
jurisdiction does not act as a court of first appeal to
reappreciate, reweigh the evidence or facts upon
which the determination under challenge is based.
Supervisory jurisdiction is not to correct every error
of fact or even a legal flaw when the final finding is
justified or can be supported. The High Court is not
to substitute its own decision on facts and
conclusion, for that of the inferior court or tribunal. 7
The jurisdiction exercised is in the nature of
correctional jurisdiction to set right grave dereliction
of duty or flagrant abuse, violation of fundamental
principles of law or justice. The power under Article
227 is exercised sparingly in appropriate cases, like
when there is no evidence at all to justify, or the
finding is so perverse that no reasonable person can
possibly come to such a conclusion that the court or
tribunal has come to. It is axiomatic that such
discretionary relief must be exercised to ensure there
is no miscarriage of justice”. (emphasis supplied)
6 (2002) 4 SCC 181
7 Celina Coelho Pereira V/s. Ulhas Mahabaleshwar Kholkar, (2010) 1 SCC 217
ARS/SAINATH 32/33
-WP-7780-2025.DOC
39. The conspectus of aforesaid consideration is that the impugned
order does not warrant interference in exercise of the supervisory
jurisdiction. The Writ Petition, therefore, deserves to be dismissed.
40. Hence, the following order:
:ORDER:
(i) The Petition stands dismissed.
(ii) Rule discharged.
(iii) No costs.
[N. J. JAMADAR, J.]
ARS/SAINATH 33/33
Checking your session…