PAWAN KUMAR GUPTAversusROCHIRAM NAGDEO
- Citation
- 1999 INSC 195
- Decided
- 20 April 1999
- Disposal
- Appeal(s) allowed
- Bench
- K T THOMAS
Holding
The earlier judgment establishing the appellant as the true owner is final and bars re‑agitation under res judicata, and the sale deed is not a benami transaction; the burden of proving benami lies on the party alleging it.
Summary
The appellant, P.K. Gupta, purchased a shop‑godown from Narain Prasad and sued the tenant, R. Nagdeo, for eviction under the Madhya Pradesh Accommodation Act for default in rent. The tenant contended that the sale deed was a benami transaction, alleging that the appellant was merely a name‑lender for his father, Pyarelal, and therefore had no right to evict. The trial court and first appellate court held the appellant to be the true owner and dismissed the suit on the basis of rent deposit, a finding later affirmed in a second eviction suit. The High Court reversed, holding the sale deed void as a benami transaction and rejecting the applicability of res judicata. The Supreme Court held that the earlier finding of ownership was final and barred re‑agitation under res judicata, and that the sale deed was not a benami transaction because consideration was paid by the appellant; the burden of proving benami lies on the party alleging it. Consequently, the appeal was allowed and the trial court decree was restored.
Issues considered
- Whether the tenant can raise the benami transaction claim in the second eviction suit, i.e., whether res judicata bars re‑agitation of the appellant's title.
- Whether the sale deed executed in favour of the appellant constitutes a benami transaction under the Benami Transaction (Prohibition) Act, 1988.
- Who bears the burden of proof for establishing a benami transaction.
Legislation cited
- Benami Transaction (Prohibition) Act, 1988s. 2(a), s. 3(1)
- Code of Civil Procedure, 1908s. 11
- Indian Evidence Act, 1872s. 106, s. 9, s. 92
- Madhya Pradesh Accommodation Control Act, 1961s. 12(1)(a), s. 12(1)(f)
Subjects
Judgment
A
PA WAN KUMAR GUPTA
v.
ROCHIRAM NAGDEO
APRIL 20, 1999 B
[K.T. THOMAS AND D.P. MOHAPATRA, JJ.]
Code of Civil Procedure, I 908 :
S.I I-Bar ofresjudicata--Sale deed-Transfer ofsuit building-Default C
in payment of rent by tenant-Eviction suit-Tenant raising a plea that sale
was benami transaction-Trial Court holding the transferee to be real oHner-
Suit dismissed as arrears of rent deposited-Filing of another eviction sui(
on the ground of bonafide requirement-Tenant re-agitating the issue of
transferee's title to the suit building-Maintainability of-Held, the findings D
of the trial court in the first suit that transferee is the real owner had become
final-Tenant could have challenged the said finding in appeal-Transferee's
title cannot be re-agitated in subsequent suit as it is barred by res judicata-
Madhya Pradesh Accommodation Control Act, 196I-S. I2 (I) (a) & _(b)-
Benami Transaction (Prohibition) Act, I 988 S. 3
E
S. I I-Rule of Res judicata-App/icabi/ity of
Benami transaction (Prohibition) Act, I 988
S. 2(a)-Sale deed-Transfer of suit property-Sale consideration
provided by father of transferee-Held, such sale would not become a benami F
transaction.
S. 3(/)-Sa/e Deed-Transfer of suit property-Tenant's plea that sale
transaction was benami-Onus to prove-Held, lies on the person who alleges
the s'ale transaction to be benami-Evidence Act, I 872-S. I 06.
G
Words & Phrases
"Paid or Provided"-Meaning and interpretation of in the context of
S.2(a) of Benami Transaction (Prohibition) Act, 1988.
Respondent was the tenant of the suit binding belonging to one 'N'. By H
767
768 .
SUPREME COURT REPORTS [1999] 2 S.C.R .
A a sale deed, Ext. P.11, 'N' transferred his rights in the suit building to the
appellant. Appellant filed an eviction suit under S. 12(1) (a) of the Madhya
Pradesh Accommodation Act, 1961 against respondent on the ground of
default in payment of rent. Respondent contested the suit raising a plea that
the suit building was actually transferred in favour of father of appellant and
appellant being only a benami owner has no right to get eviction. The Trial
B Court, while holding that the appellant was the real owner, dismissed the suit
as the arrears of rent were deposited in the Court during the pendency of
the suit. Thereafter, appellant filed an eviction suit under S.12(1) (f) of the
Act on the ground of bonafide requirement of the building. Respondent
raised a plea that the sale in favour of appellant was hit under S. 3 of the
C Benami Transaction (Prohibition) Act, 1988. Appellant contended that the
respondent cannot raise the issue regarding benami transaction as it was
bared by resjudicata. The Trial Court while rejecting the plea regarding
. res judicata, granted Eviction order holding that appellant was the real owner
and his bona fide requirement was established. The said findings were
upheld buy first appellate court. However, on second appeal, the High Court,
D while upholding the findings regarding resjudicata, reversed the findings
1
of courts below holding that the sale transaction was void bein g hit by
Benami Act. Hence the present appeal.
On behalf of the appellant it was contended. that the plea of the
E respondent based on S.3 of the Benami Act was barred by res judicata ;
respondent has failed to show that Ext. P. 11 sale deed was of a benami
transaction; the High Court went wrong in fastening the appellant with the
burden of proof the prove that Ext. P. 11 was not of a benami transaction.
Allowing the appeal, this Court.
F
HELD : 1.1. The respondent-tenant cannot re-agitate the issue regarding
appellants title to the building as it is barred by resjudicata.[115-A-B-C-D)
1.2. The rules of res judicata incorporated in S. 11 of the Code of Civil
G Procedure prohibits the court from trying an issue which "has been directly
and substantially in issue in a former suit between the same parties", and
has been heard and finally decided by that court. In the instant case, the
finding made in the first suit that appellant was the real owner of the
building as per Ext. P. 11-sale deed became final. There was no bar in law
-
for the defendant to file an appeal against that judgment. If he does not
H choose to file the appeal, he cannot thereby avert the bar of res judicata in
P.K. GUPTA v. R. NAGDEO 769
~he subsequent suit. (774-A-B] A
1.3. If dismissal of the prior suit was on a ground affecting the
maintainability of the suit any finding in the judgment adverse to the defendant
would not operate as res judicata in a subsequent suit. But if dismissal of
the suit was on account of extinguishment of the cause of action or any other
similar cause a decision made in the suit on a vital issue involved therein B
would operate as res judicata in a subsequent suit between the same parties.
In the instant case, though the word "dismissed" has been employed in the
last paragraph of the judgment, dismissal of the suit was not on account of
any defect in the appellant's claim nor in the frame of the suit nor even on
any technical reas~n, but solely because the amount claimed by the appellant C
from the respondent has been deposited in the court during pendency of the
suit. As the appellant was permitted to withdraw that amount his grievance
in the suit would necessarily have been redressed fully.
[774-H; 775-A; 773-G)
Midnapur Zamindari Company v. Naresh Narayan Roy, AIR (1922) PC D
241, referred to.
Vearaswamy Mudali v. Palaniyappan and Ors., AIR (1924) Madras
626 and Murad Biswas v. Basti Manda!, AIR (1929) Cal 449, approved.
2. S. 2(a) of the Benami Transaction (Prohibition) Act, 1988 defines E
benami transaction as "any transaction in which property is transferred to
one person for a consideration paid or provided by another person". The word
"provided" in the said clause cannot be construed in relation to the source
or sources from which the real transferee made up funds for buying the sale
consideration. The words "paid or provided" are disjunctively employed in
the clause and each has to be tagged with the word "consideration". The F
correct interpretation would be to read it as "consideration paid or
consideration provided." If consideration was paid to the transferor then the
word 'provided' has no application as for the said sale. Only if the consideration
was not'paid in regard to a sale transaction the question of providing the
consideration would arise. The word 'provided' in S. 2(a) of Benami Act G
cannot be understood in a different sense. Any other interpretation is likely
to harm the interest of persons involved in genuine transactions, e.g.,
purchaser of land might have availed himself of loan facilities from banks
to make up purchase money. It could not be said that since the money was
provided by the bank it was benami transaction. Thus, in the instant case
even if appellant had availed himself of the help rendered by his father for H
770 SUPREME COURT REPORTS [1999] 2 S.C.R.
A making up the sale consideration that would not make the sale a benami
transaction so as to push it into the forbidden area envisaged in S. 3(1) of
the Benami Act. [777-C-D-E-F)
3. The High Court erred in holding that the appellant failed to prove
that the suit building was purchased by him on payment of sale price. The
B clear pleading of he appellant is that he purchased the suit property as per
Ext. P.11-sale deed. Burden of proof cannot be cast on the appellant to prove
that the transaction was consistent with/the apparent tenor of the document.
Ext. P. 11-sale deed contains the recital that sale consideration was paid by
the appellant to 'N', the transferor. There is no further burden of proof on
C appellant to substantiate that recitals in the document are true.
[775-H; 776-A]
When respondent asserted that the real transaction is not what is
apparently mentioned in Ext. P.11, the burden is on the respondent to establish
the transaction which he asserts to be the real one. [776-D)
D
R. Rajagopal Reddy v. Padmini Chandrasekharan, [1995] 2 SCC 630,
referred to.
CIVIL APPELLATE JURISDICTION : Civil Appeal No. 2369 of
1999.
E
From the Judgment and Order dated 22.8.97 of the Madhya Pradesh
High Court in S.A. No. 873of1996.
G.L. Sanghir and S.K. Gambhir for the Appellant.
S.S. Khanduja and B.K. Satija for the Respondent.
F
The Judgment of the Court was delivered by
THOMAS, J. Leave granted.
G The enviable position to which the tenant of a shop building has ·
ensconced himself as corollary to the judgment of the High Court (under
appeal now) is that he need not thenceforth be accountable to any landlord.
On the one side when the claim of appellant to be the landlord has been dis-
countenanced by the High Court, at the other side the person whom the
tenant proclaimed as his landlord has disclaimed the credential. If the judgment
H of the High Court remains in force the tenant stands elevated virtually to the
P.K. GUPTA v. R. NAGDEO [THOMAS, J.] 771
status of owner of the suit building. But appellant is not prepared to concede A
defeat and hence he has come up with this appeal by special leave.
Facts which led to the aforesaid position can be summarised thus:
Respondent was the tenant of the suit building (consisting of a shop room
and godown premises) which belonged to one Narain Prasad. As per a sale
deed executed on 23.1.1989 (Ext. P.11) Narain Prasad transferred his rights in B
the suit building to the appellant. On its footing appellant filed Civil Suit
No.75-A of 1990 for eviction of the respondent under Section 12(l)(a) of the
M.P. Accommodation Act, 1961 (for short "the Act") on the ground that
respondent has not paid rent to the appellant. That suit was contested by the
respondent raising the contention that the building was actually purchased C
by Pyarelal (father of the appellant) as per Ext. Pl I-sale deed and appellant
is only a name-lender therein, and hence appellant is not entitled to get the
eyiction order or the rent ·of the building. In that suit the court found that ·
appellant is the real owner of the building pursuant to Ext. P.l l-sale-deed and
that he was entitled to receive rent of the building. However, the suit was
dismissed as the respondent deposited the arrears of rent in court during D
pendency of that suit but appellant was permitted to withdraw the arrears of
rent so deposited by the respondent as per the judgment rendered in that suit.
Appellant filed the present suit (No. 304-A of 1994) under Section 12(1)
(f) of the Act for eviction of the respondent on the ground that appellant E
· requires the building bona fide for the purpose of starting a business of his
own. Respondent contested the suit and in the written statement he contended,
inter alia, that appellant is only benami to his father Pyarelal in Ext. P.11-sale
deed and the real transferee was Pyarelal. Respondent further contended that
the sale in favour of the appellant is void as it is forbidden under Section 3
of the Benami Transaction (Prohibition) Act, 1988, (for short the "the Benami F
Act").
One of the issues raised by the trial court in the present suit is whether
respondent is precluded from raising the issue regarding benami nature of Ext.
P.11-sale deed, due to the bar of res judicata. The trial court held that the
finding in the previous suit (No. 75-A of 1990) against the respondent would G
not operate as res judicata as the said suit was ultimately dismissed. The trial
court then proceeded to consider whether appellant is only a benamidar under
the aforesaid sale deed. The court concluded that appellant is the real transferee
under the sale deed and is entitled to institute the suit. It was further found
that appellant bona fide requires the building for his own business purpose. H
772 SUPREME COURT REPORTS [1999] 2 S.C.R.
A On the strength of such findings a decree was granted by the trial court for
.....:...
eviction of the respondent.
The District Court in the first appeal filed by the respondent upheld all
the findings arrived at by the trial court and dismissed the appeal. A second
appeal was preferred by the respondent before the High Court of Madhya
B Pradesh. During arguments learned single judge permitted the appellant to
raise the plea of res judicata while supporting the decree for eviction.
However, learned single judge of the High Court held that there is no
c
bar of res judicata for the respondent in raising the contention regarding the
title of the appellant over the building. Learned single judge reversed the
findings of the two courts regarding benami transaction and held that Ext. P.11
-
was executed in favour of Pyarelal and that transaction is hit by Section 3 of
the Benami Act and consequently the transaction is void. Learned single ~
"
judge dismissed the suit filed by the appellant.
•-
,---
D Shri G.L. Sanghi, learned senior counsel contended that the plea of the
respondent based on Section 3 of the Benami Act is barred by res judicata.
Alternatively he contended that respondent has failed to show that Ext. P.11
is a benami transaction. Learned senior counsel further contended that the
High Court went wrong in fastening the appellant with the burden of proof
to prove that Ext. P.11 is not a benami transaction. Even otherwise, appellant
E has proved that Ext. P.11 was executed in his favour and he is the real
transferee, according to the learned Senior Counsel. -
Shri S.S. Khandtija, learned counsel for the respondent supported every
finding of the High Court and further contended that even if the burden is
on the respondent to prove the benami nature of the transaction respondent
F
has succeeded in discharging the burden. Regarding the plea of res judicata
learned counsel submitted that it is not available to the appellant. Alternatively
he pleaded that even if ownership of the building is found with the appellant
he has not made out a ground for eviction under Section 12(1 )( f) of the Act. -
G The reasoning adopted by the learned single judge for rejecting the plea
of res judicata is the following:
........_
"Since the suit itself was dismissed, the appellant was not aggrieved
and he had no right of appeal. Under such circumstances there could
be no question of application of principles of res judicata. A
H successful defendant is not bound by any adverse finding against
P.K. GUPTA v. R. NAGDEO [THOMAS, J.] 773
him in a suit, for the reason, it cannot file an appeal against that A
finding. This principle is firmly in the saddle."
To reach the said conclusion learned single judge relied on the decisions
in Waris Khan & Ors. v. Admadullakhan & Ors., AIR (1952) Nagpur 238 and
Firm Manhaiya/al Mohan/al Somani v. Paramsukh, AIR (1956) Nagpur 273.
B
The earlier suit (75-A/90) was contested on the main issue that appellant
was only a benamidar and hence he has no right in the suit property. The main
plea of the respondent in that suit has been extracted in the judgment as
follows:
"The defendant has specifically qenied that the plaintiff has purchased C
the suit premises. His contention is that disputed premises has been
purchased by Pyarelal, father of the plaintiff in his name and it is a
benami transaction and on that basis the plaintiff has not acquired
any right."
- Issues No. I and 2 in that suit were formulated in the following words:. D
"I. Whether the plaintiff is owner of the suit premises?
2. Whether the defendant is tenant of plaintiff of disputed premises
@ Rs.2 l 0/- p.m.?"
E
The decision of the court in that suit, on the above issues, was this:
"I find that the plaintiff is the owner on the basis of sale-deed dated 23.1.1989
under section 2(b) of MP Accommodation Control Act; and when plaintiff is
owner of the suit premises the defendant is definitely his tenant." The court
in that suit then proceeded to consider the question of arrears of rent and
held that "the plaintiff is entitled to obtain Rs.1400/- from the defendant F
towards arrears of rent; this rent has been deposited by the defendant in CCD
which the plaintiff can withdraw." Of course in the last para of the _iudgment
the Court said that suit is "dismissed" and both parties were directed to bear
their own costs.
G
Though the word "dismissed" has been employed in the last paragraph
-:-- of the judgment a reading of it, as a whole, would show that the plaintiff had
won the suit. The court found against the plea of the defendant that plaintiff
was not the rightful owner of the building. Dismissal of the suit was not on
account of any defect in the plaintiffs claim nor in the frame of the suit nor
even on any technical reason, but solely because the amount claimed by the H
774 SUPREME COURT REPORTS [1999] 2 S.C.R.
A plaintiff from the defendant has been deposited by the defendant in the court
during pendency of the suit. As the plaintiff was permitted to withdraw that
-
amount his grievance in the suit would necessarily have been redressed fully.
The rule of res judicata incorporated in Section 11 of the Code of Civil
Procedure (CPC) prohibits the court from trying an issue which "has been
B directly and substantially in issue in issue in a former suit between the same
parties", and has been heard and finally decided by that court. It is the
decision on an issue, and not a mere finding on any incidental question to
reach such decision, which operates as res judicata. It is not correct to say
that the party has no right of appeal against such a decision on an issue
C though the suit was ultimately recorded as dismissed. The decree was not in
fact against the plaintiff in that first suit, but was in his favour as shown
above. There was no hurdle in law for the defendant to file an appeal against
the judgment and decree in that first suit as he still disputed those decisions
on such conte~d issues.
D The two decisions of the Nagpur High Court relied on by the learned
single judge (in the impugned judgment) have followed the rule set by the
Privy Council in an early decision in Midnapur Zamindari Companyv. Naresh
Narayan Roy, AIR ( 1922) PC 241. It seems that the legal principle formulated
-
by the Privy Council in the aforesaid decision regarding this facet of res
judicata has since been approved and followed by the courts in India as the
E correct position. The said rule was founded on the following facts: When a
zamindar sued for possession against the tenant the latter contested the suit
on two alternative ~rounds, one by claiming occupancy right and the other
by contending that the suit was premature. The court had recalled the plea
of the tenant regarding occupancy right, but dismissed the suit as premature.
F In the subsequent suit filed by the zamindar against the same tenant their
Lordships of the Privy Council .did not agree that the finding regarding
occupancy right in the first suit would operate as res judicata "for the tenant
having succeeded on the other plea, had no occasion to go further as to the
findings against him." The reason is that such adverse finding in the aforesaid
suit would only be obiter dicta.
G
However, the Madras High Court in Veeraswamy Mudali v. Palaniyappan
and Ors., AIR (1924) Madras 626 and the Calcutta High Court in Murad ~
Biswas v. Basti Manda/, AIR (l 929} Cal 449 distinguished the said principle
in cases where the first suit was dismissed due to want of valid notice to quit,
and findings on disputed issues on title were held sufficient to operate as res
H judicata in subsequent suit between the same parties.
P.K. GUPTA v. R. NAGDEO [THOMAS, J.] 775.
Thus the sound legal position is this: If dismissal of the prior suit was A
on a ground affecting the maintainability of the suit any finding in the
judgment adverse to the defendant would not operate as res judicata in a
subsequent suit. But if dismissal of the suit was on account of extinguishment
of the cause of action or any other similar cause a decision made in the suit
on a vital issue involved therein \\o'.OUld operate as res judicata in a subsequent B
suit between the same parties. It is f~r the defendant in such a suit to choose
whether the judgment should be appealed against or not. If he does not
choose to file the appeal he cannot thereby avert the bar of res judicata in
the subsequent suit.
In this case the po~ltlon is still stronger for the appellant. Dismissal of C
the first suit was only on account of what the respondent did during the
pendency of the suit i.e. depositing the arrears.ofrent claimed by the appellant.
The court permitted the plaintiff to withdraw that amount under deposit for
satisfying his claim. Such a decree cannot be equated with a case where the
suit was dismissed as not maintainable because any adverse finding in such D
a suit would only be obiter dicta. The finding made in OS 75-A/90 that
appellant was the real owner of the building as per Ext. P.11-sale deed became
final. lf the respondent disputed that finding he should have filed an appeal
in challenge of it.
We therefore agree with the plea of the appellant that there is bar of res E
-
judicata in re-agitating on the issue regarding appellant's title to the building.
Alternatively, assuming that the finding in the first suit would not
operate as res judicata, the contention of the respondent that Ext. P. l l is a
void transaction being hit by Section 3(1) of the Benami Act can now be
considered. The trial court and first appellate court concurrently found that F
it is not a benami transaction but the High Court interfered with the said
concurrent finding and held that the transaction is void. Learned single judge
of the High Court observed that finding of the first appellate court is contrary
to the pleadings of the plaintiff and that burden of proof had been wrongly
placed on the defendant, and that the conclusion was based on considerations G
which are not germane to the issue. According to the learned single judge
"it is clear from section l 06 of the Evidence Act that it was the respondent
to prove that the money was advanced by him because he had the special
knowledge of the transaction between him and his vendor". The High Court
held that appellant failed to prove that the suit building was purchased by
him on payment of sale price. H
776 SUPREME COURT REPORTS [1999] 2 S.C.R.
A All the above three premises adverted to by the High Court are
unsupportable. The clear pleading of the plaintiff is that he purchased the suit
property as per Ext. P. I I-sale deed. Burden of proof cannot be cast on the
plaintiff to prove that the transaction was consistent with the apparent tenor
of the document. Ext. P. I I-sale deed contains the recital that sale consideration
was paid by the plaintiff to Narain Prasad the transferor. Why should there
B be a further burden of proof to substantiate that recitals in the document are
true?. The party who wants to prove that the recitals are untrue must bear
the burden to prove it.
In this context reference to Sections 9 I and 92 of the Evidence Act will
C be useful. As per the former, in all cases in which any matter is required by
law to be reduced to the form of a document no evidence shall be given in
proof of the terms of such matter except the document itself. Section 92
forbids admission of any evidence for the purpose of contradicting, varying,
adding to, or subtracting from the terms of such document. One of the
exceptions to the said rule is that any fact which would invalidate the instrument
D can be proved by adducing other evidence.
In this case, Ext.P. I l is the document by which transfer of ownership
from Narain Prasad was effected. When any party proposes to show something
which is at variance with the terms of Ext.P.11 the burden of proof is on him.
When respondent asserted that the real transaction is not what is apparently
E mentioned in Ext.P. I I the burden is on the respondent to establish the
transaction which he asserts to be the real one.
We do understand that respondent made a bid to discharge his burden
by'examining Pyarelal (father of the appellant) and Narain Prasad (the executant
F of ~xt. P.11) as witnesses for the defendant. But it was a risky course of action
which he undertook and the risk proved to be costly for him as both witnesses
sto~d by the apparent terms of Ext.P. I 1 regarding consideration. In other
wor~s, both witnesses of the respondent stuck to the version that consideration
for the sale was paid by the appellant.
I
G i It is true that respondent adduced evidence to show that Ext.P.11 was
prec~ded by an agreement entered into between Pyarelal and Narain Prasad
for tli.e sale of the suit building. The High Court adverted to the said agreement.
But bven with that agreement the respondent has only succeeded in showing
-..
that Pyarelal had enough money and appellant was not having so much of
funds to pay the purchase money for Ext.P. I 1. Perhaps the said circumstance
H may lead to an inference that Pyarelal, the father of the appellant, gave money
P.K. GUPTA v. R. NAGDEO [THOMAS, J.] 777
to his son to pay the consideration for buying the property. A
Section 3(1) of the Benami Act contains the interdict that no person
shall enter into any benami transaction. The aforesaid prohibition has been
judicially pronounced as prospective only, (vide R. Rajagopal Reddy v. Padmini
Chandrasekharan, [1995] 2 SCC 630. As the Benami Act was passed on
5.9.1988 it would apply to Ext. P.11 which was executed subsequently. A B
contention was bolstered up in the High Court on behalf of the tenant that
since the sale consideration was provided by Pyarelal the sale deed would
be a benami transaction.
Section 2(a) of the Benami Act defines benami transaction as "any C
transaction in which property is transferred to one person for a consideration
paid or provided by another person." The word "provided" in the said clause
cannot be construed in relation to the source or sources from which the real
transferee made up funds for buying the sale consideration. The words "paid
or provided" are disjunctively employed in the clause and each has to be
tagged with the word "consideration". The correct interpretation would be to D
read it as "consideration paid or consideration provided". If consideration
was paid to the transferor then the word provided has no application as for
the said sale. Only if the consideration was not paid in regard to a sale
transaction the question of providing the consideration would arise. In some
cases of sale transaction ready payment of consideration might not have been
effected and then provision would be made for such consideration. The word E
"provided" in Section 2(a) of Benami Act cannot be understood in a different
sense. Any other interpretation is likely to harm the interest of persons
involved in genuine transactions, e.g., a purchaser of land might have availed
himself of loan facilities from banks to make up purchase money. Could it be
said that since the money was provided by the bank it was a benami p
transaction?.
We are, therefore, not inclined to accept the narrow construction of the
word "provided" in Section 2(a) of the Benami Act. So even if appellant had
availed himself of the help rendered by his father Pyarelal for making up the
sale consideration that would not make the sale deed a benami transaction G
so as to push it into the forbidden area envisaged in Section 3(1) of the
Benami Act.
Thus, looking from either angle the contention of the respondent that
appellant had no title to the suit property could not stand legal scrutiny. The
High Court erred grossly in adopting such a view which is in conflict with H
778 SUPREME COURT REPORTS (1999) 2 S.C.R.
A law and is in reversal of the concurrent findings of the two fact finding courts.
Shri S.S. Khanduja, learned counsel for the respondent lastly pleaded
that if ultimately the appellant is found to be the transferee under the Ext. P .11-
sale deed the. case may be remitted to the High Court for considering the
question whether appellant's claim for eviction on the ground that he needs
B the building for his own use is bona fide. Shri G.L. Sanghi, learned senior
counsel pointed out that there is concurrent finding by two courts on that
aspect. We have noticed that the High Court which admitted the second
appeal had formulated certain questions of law, and none of such questions
pertained to the finding regarding the bona fides of appellant's claim for
C eviction. Hence no purpose would be served by remanding the case to High
Court.
In the result, we allow this appeal and set aside the impugned judgment.
The decree passed by the trial court as confirmed by the first appellate court
will stand restored. We,-pass no order as to costs.
D
S.V.K.J. Appeal allowed.
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