THE HON'BLE THE CHIEF JUSTICE UJJAL BHUYAN
AND
THE HON'BLE SRI JUSTICE N. TUKARAMJI
WRIT APPEAL No.323 of 2023
JUDGMENT: (Per the Hon'ble the Chief Justice Ujjal Bhuyan)
Heard Mr. Sunil B.Ganu, learned Senior Counsel for
the appellant and Mr. Sravanth Shankar, learned counsel
for respondent No.2.
2. Appellant as the writ petitioner had filed the related writ petition assailing the proceedings of respondent No.1 - Union Bank of India, Badi Chowdi Branch, Hyderabad, in debit freezing the accounts of Munnurukapu (Kapu) Vidyarthi Vasathi Gruham Trust Board (briefly, 'the Trust' hereinafter) with effect from 13.01.2023.
3. It is seen from the materials on record that Mr. M.R.Venkat Rao, Chairman & Senior Trustee of the Trust had resigned from the post of the Chairmanship of the Trust with effect from 15.08.2022 on account of ill- 2 health and handed over the charge of Chairmanship to Senior Trustee Akula V.Pandu Ranga Rao. It further appears that emergent meeting of the Trust was held on 16.08.2022 whereby five trustees out of the total seven trustees of the Trust resolved to elect respondent No.2 as the Chairman of the Trust with immediate effect. As dispute arose between M.R.Venkat Rao and respondent No.2, ultimately the bank had resolved to debit freezing of the accounts of the Trust which led to filing of the related writ petition being W.P.No.2089 of 2023.
4. At the outset, we had put a query to the learned Senior Counsel for the appellant as to how the writ petition or the writ appeal is maintainable when the dispute is purely private within the realm of the Trust and therefore a civil action would be appropriate, not the writ remedy.
5. Learned Senior Counsel submits that having filed the writ petition, writ petitioner i.e., appellant has now suffered adverse order from the writ court.
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6. We find that by the order dated 01.03.2023, learned Single Judge while disposing of the writ petition issued the following direction:
Keeping the welfare of the Boarders and to protect the noble cause of establishing the Trust, this Court is inclined to issue following directions:-
1. 1st respondent shall permit Mr.Thota Raghunath Rao/2nd respondent herein to operate the bank accounts, the details of the said accounts as specifically mentioned in the letter dated 13.01.2023 of the petitioner Trust.
2. Mr. Thota Raghunath Rao/2nd respondent herein shall continue as Chairman of the petitioner Trust for all purposes.
3. Other Trustees shall cooperate with 2nd respondent in running the affairs of the petitioner Trust effectively.
4. Liberty is granted to Professor M.R.Venkat Rao and Mr.Akula V.Pandu Ranga Rao, to approach competent civil court in terms of Section 34 of the Trust Act, to resolve the internal disputes, if so advised. This order is subject to result of any orders to be passed by the competent civil Court in a petition to be filed under Section 34 of the Trust Act, by professor M.R.Venkat Rao, Mr. Akula V.Pandu Ranga Rao.
5. In view of the nature of the disputes, considering reputation of the Trustees, their age, elders and well 4 wishers of the petitioner Trust including counsel appeared for Prof.M.R.Venkat Rao and 2nd respondent shall mediate and resolve the disputes between the parties. They shall induce the parties to a settlement by initiating all necessary steps.
6. All the Trustees shall also initiate all necessary steps to resolve the issues among themselves amicably keeping interest of the petitioner Trust and welfare of the Boarders of the petitioner Trust in mind.
7. Trustees shall conduct meetings properly, prepare minutes accordingly by specifically mentioning the resolutions passed. They shall make necessary amendments to the Trust Deed if necessary and get it registered.
7. While learned counsel for respondent No.2 strenuously argued that learned Single Judge was justified in passing the aforesaid direction, we are of the view that when the writ petition itself ought not to have been entertained being a purely private dispute, issuance of such directions that too adverse to the writ petitioner was uncalled for. It is well settled that a litigant cannot be worse off by approaching the court.
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8. We accordingly set aside the order dated 01.03.2023 and dismiss W.P.No.2089 of 2023 by giving liberty to the parties to approach the competent civil court for redressal of their grievance.
9. Writ appeal is accordingly disposed of.
Miscellaneous applications pending, if any, shall stand closed. However, there shall be no order as to costs.
______________________________________ UJJAL BHUYAN, CJ ______________________________________ N. TUKARAMJI, J 16.03.2023 vs