Citation : 2022 Latest Caselaw 5406 Kant
Judgement Date : 25 March, 2022
1
R
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 25th DAY OF MARCH 2022
BEFORE
THE HON'BLE MR.JUSTICE N.S.SANJAY GOWDA
R.S.A. No.5 OF 2017(DEC/INJ)
C/w. R.S.A. No.6 OF 2017 (POS)
In R.S.A. No.5/2017:
BETWEEN:
SMT.P.C.PADMAMBA,
AGED ABOUT 76 YEARS,
W/O LATE Y.CHIKKANNA,
RESIDING AT No.298,
3 'B' MAIN ROAD,
SUBHASH NAGAR, MYSURU.
... APPELLANT
(BY SRI. KRISHNAMURTHY.G. HASYAGAR, ADVOCATE)
AND:
1. CHANNAVEERAMMA R.,
AGED ABOUT 63YEARS,
D/O LATE RUDRAIAH,
WORKING AS ASSISTANT MISTRESS,
2. MISS.R.BAGIRATHAMMA,
AGED ABOUT 61 YEARS,
D/O LATE RUDRAIAH,
BOTH ARE RESIDENTS OF
D.No.42, RAJENDRANAGARA,
MYSURU - 570 007. ... RESPONDENTS
(SERVICE OF NOTICE TO R-1 AND R-2 IS HELD SUFFICIENT
VIDE ORDER DATED:19.12.2019)
2
THIS APPEAL IS FILED UNDER SECTION 100 OF CPC,
AGAINST THE JUDGMENT AND DECREE DATED 29.08.2016
PASSED IN R.A. No.976/2009 ON THE FILE OF THE VII
ADDITIONAL DISTRICT JUDGE, MYSURU, ALLOWING THE
APPEAL AND MODIFYING THE JUDGMENT AND DECREE
DATED:25.10.1999 PASSED IN O.S. No.1114/1989 ON THE
FILE OF THE III ADDITIONAL I CIVIL JUDGE, JR.DN., MYSORE.
In R.S.A. No.6/2017:
BETWEEN:
SMT.P.C.PADMAMBA,
AGED ABOUT 76 YEARS,
W/O LATE Y.CHIKKANNA,
RESIDING AT No.298,
3 'B' MAIN ROAD,
SUBHASH NAGAR,
MYSURU-570 001.
... APPELLANT
(BY SRI. KRISHNAMURTHY.G. HASYAGAR, ADVOCATE)
AND:
1. CHANNAVEERAMMA.R.,
AGED ABOUT 63YEARS,
D/O LATE RUDRAIAH,
WORKING AS ASSISTANT MISTRESS,
2. MISS.R.BAGIRATHAMMA,
AGED ABOUT 61 YEARS,
D/O LATE RUDRAIAH,
BOTH ARE RESIDENTS OF
D.No.42, RAJENDRANAGARA,
NGO COLONY,
MYSURU - 570 007.
3. THE KARNATAKA HOUSING BOARD,
9TH MAIN, SWIMMING POOL ROAD,
SARASWATHIPURAM
3
MYSURU - 570 001.
REPRESENTED BY ITS
EXECUTIVE ENGINEER. ... RESPONDENTS
(SERVICE OF NOTICE TO R-1 AND R-2 IS HELD SUFFICIENT
VIDE ORDER DATED:19.12.2019;
BY SMT. PUSHPAKANTHA, ADVOCATE FOR R-3)
THIS APPEAL IS FILED UNDER SECTION 100 OF CPC,
AGAINST THE JUDGMENT AND DECREE DATED:29.08.2016
PASSED IN R.A. No.983/2010 [OLD No.887/2010] ON THE
FILE OF THE VII ADDITIONAL DISTRICT JUDGE, MYSURU,
ALLOWING THE APPEAL AND MODIFYING THE JUDGMENT AND
DECREE DATED 06.09.2010 PASSED IN O.S. No.461/1999 ON
THE FILE OF THE IV ADDITIONAL SENIOR CIVIL JUDGE,
MYSURU.
THESE APPEALS HAVING BEEN HEARD AND RESERVED
FOR JUDGMENT ON 08.02.2022, COMING ON FOR
PRONOUNCEMENT THIS DAY, THE COURT DELIVERED THE
FOLLOWING:
JUDGMENT
1. The facts leading to the filing of these appeals are
as follows:
2. On 15.02.1982, R.Chennaveeramma and
R.Bhagirathamma--daughters of C.Rudraiah filed a suit
seeking for a decree of injunction to restrain Y.Chikkanna
from interfering with their possession over the house
property bearing Door No.42, situated at N.G.O's Colony,
Rajendra Nagar, Mysuru.
3. It was stated that the suit house property had been
allotted to their father Rudraiah on 01.02.1967 and all the
municipal records stood in his name. It was stated that
Rudraiah had passed away on 06.01.1982 and during his
lifetime, he had executed a registered Will dated
20.11.1973 (registered on 23.11.1973) bequeathing the
house in their favour and they had thus succeeded to the
property. They stated that they were in continuous
possession and enjoyment of the house property and as
the defendant was contending that he had purchased the
suit property and had come near the suit property and
tried to interfere with their possession, they were
constrained to file the suit.
4. This suit was resisted by Chikkanna stating that
Rudraiah had been allotted with the site by the Karnataka
Housing Board under a Hire-Purchase Agreement, but he
was not in a position to pay the installments and in
addition, he had decided to leave Mysuru and return to
his native place and he had therefore decided to sell the
suit house in favour of the defendant. He stated that
Rudraiah had executed a sale deed on 03.05.1979 in his
favour for a total sale consideration of Rs.22,000/-.
5. According to him, as per the terms of the sale deed,
he had paid a sum of Rs.3,612=77 to the Karnataka
Housing Board on behalf of Rudraiah, which was the
entire balance due to the Board. He stated that he had
also paid a sum of Rs.6,800/- to Rudraiah in the presence
of the witnesses and Rudraiah had agreed to receive the
balance consideration at the time of the registration of
the sale deed.
6. Chikkanna, however, stated that since Rudraiah
failed to ensure registration of the sale deed, he had
presented the document for registration, but the Sub-
Registrarhad refused to register the sale deed and he was
therefore constrained to prefer an appeal to the District
Registrar, who by an order dated 23.06.1981, directed
the registration of the said sale deed and accordingly, the
sale deed was registered on 27.06.1981.
7. Chikkanna also stated that thereafter, he had issued
a legal notice on 09.08.1981 to Rudraiah calling upon him
to receive the balance sale consideration of Rs.11,587=23
and to hand-over the vacant possession to him andto
secure the necessary documents from the Karnataka
Housing Board. He stated that after obtaining the sale
deed, he had got the Khata registered in his name, and
he was entitled to be in possession of the house property.
8. He stated that Rudraiah had died on 06.01.1982 and
that his daughters who were not residing with him in the
suit house, subsequently, in connivance with Rudraiah's
son, began to stake a claim that they were the legatees
under the registered Will dated 20.11.1973 (registered on
23.11.1973). Chikkanna stated that he was not admitting
the genuineness, execution and validity of the Will and
the plaintiffs were put to strict proof of the same. It was
also stated that even if the Will was duly proved, the
plaintiffs could not have derived any title under the will,
since Rudraiah had himself sold the property during his
lifetime. He also stated that in the light of a registered
deed of conveyance executed in his favour, the execution
of the Will or the payment of taxes was of no
consequence.
9. It was also stated that after the Khata was
registered in his name, he had applied to the Karnataka
Housing Board for execution of the requisite documents in
his favour and the said claim was still pending and he had
also learnt that the plaintiffs had approached this Court
by way of a writ petition and had obtained a stay order.
He, therefore, sought for dismissal of the suit.
10. It is to be stated here that during the pendency of
the suit, the plaintiffs made an application for amendment
of the plaint under Order VI Rule 17 of the Code of Civil
Procedure, 1908 in I.A. No.5 on 24.06.1988 seeking to
incorporate the prayer of the declaration that they were
the owners of the suit property and for a declaration that
the alleged sale deed dated 03.05.1979 said to have been
executed by their father was null and void. This
application was rejected by the Trial, as against which,
the plaintiffs preferred a Civil Revision Petition No.2687 of
1994 to this Court, which came to be allowed on
23.02.1999.
11. It may be pertinent to state here that while allowing
the amendment, this Court did not state that the
amendment would be effective only from the date of the
order and that it would not relate back to the filing of the
suit. Thus, by way of the amendment, at the time of
institution of the suit itself, the plaintiffs are deemed to
have sought for a declaration that they were the owners
of the suit property and that the sale deed obtained by
the defendant from Rudraiah dated 03.05.1979 was null
and void. The defendant filed an additional written
statement denying the entitlement of the plaintiffs to
make the said claim.
12. The Trial Court after considering the evidence
adduced before it concluded that the plaintiffs had proved
that they were in possession of the suit property and their
possession was interfered with by the defendant. The
Trial Court, however, held that the plaintiffs had been
unable to prove that the sale deed dated 03.05.1979
executed by Rudraiah in favour of the defendant was void
and was not binding on them. The Trial Court,
accordingly, decreed the suit in part and while refusing
the prayer of the plaintiffs for a declaration that they
were the owners and the sale deed was null and void, it
proceeded to grant them a decree restraining the
defendant from interfering with their possession. Liberty
was, however, reserved to evict them in accordance with
law. The plaintiffs, being aggrieved, preferred an appeal.
13. At that stage, pursuant to the liberty granted by the
Trial Court to evict the plaintiffs in accordance with law,
Chikkanna proceeded to file O.S. No.461 of 1999 seeking
for possession. The Trial Court, in this suit, after contest,
concluded that Chikkanna had established that he was the
owner of the suit property and was therefore entitled for
possession. The Trial Court also held that the suit was not
barred by limitation. The Trial court, accordingly, decreed
the suit filed by Chikkanna for possession.
14. As against the refusal to declare that they were the
owners of the house property and that the sale deed
obtained by Chikkanna was null and void in O.S. No.1114
of 1989, Chennaveeramma and Bhagirathamma had
already preferred R.A. No.976 of 2009 and was pending
before the Appellate Court.
15. As against the decree for possession, granted in
favour of Chikkanna in O.S. No.461 of 1999,
Chennaveeramma and Bhagirathamma preferred R.A.
No.983 of 2010.
16. The Appellate Court consolidated both the appeals
and after hearing, by a common judgment, concluded
that the dismissal of the suit seeking for declaration was
not justified and it proceeded to decree the suit filed by
Chennaveeramma and Bhagirathamma in its entirety and
declared them to be the owners in possession of the suit
property. It also declared that the sale deed obtained by
Chikkanna pursuant to the order of the District Registrar,
Mysuru, in R.A. No.3/1979-80 was null and void.
17. The Appellate Court also set aside the decree of
possession granted in favour of Chikkanna and dismissed
his suit filed by him for recovering possession from
Chennaveeramma and Bhagirathamma.
18. It is against this common judgment and decree,
these two second appeals have been preferred.
19. R.S.A. No.5 of 2017 arises out of O.S. No.1114 of
1989 filed by the daughters of Rudraiah, while R.S.A.
No.6 of 2017 arises out of O.S.No.461 of 1999 which was
filed by Chikkanna.
20. Sri.Krishnamurthy G.Hasyagar, learned counsel
appearing for the appellant, put forth the following
contentions:
(a) Once the sale deed had been registered and the
registration was not challenged by Rudraiah, the
sale deed could not have been invalidated by the
Appellate Court.
(b) Since the daughters of Rudraiah had challenged the
order directing the sale deed to be registered by
filing a writ petition but had thereafter chosen to
withdraw same, they had also accepted the
conveyance and as a necessary consequence, the
suit filed for declaration that the sale deed was null
and void, could not be maintained.
(c) The prayer for cancellation of the sale deed, which
had been registered on 27.06.1981, was made in
the suit only by way of an amendment(I.A.
No.5)and that tooin the year 1988 and this prayer
was thus clearly time-barred. He submitted that,
even if the amendment was allowed in the year
1999, the very claim having been made beyond the
prescribed period and being time-barred, could not
have been entertained.
(d) The non-payment of the balance sale consideration
did not, in any way, invalidate the sale deed since
the sale deed had been duly registered in
accordance with law.
(e) The judgment of the Appellate Court was vitiated
since the application filed for production of
additional evidence was not decided along with the
appeal.
(f) He relied upon the following decisions:
Sl.No. Case Law For the proposition (i) State of Rajasthan That the application for
vs. T.N.Sahani and additional evidence should others, [(2001) 10 have been decided along SCC 619] with the appeal.
(T.N.Sahani);
(ii) Sri.Venkatakrishna That the consideration of
Bhat vs. State of the application under
Karnataka and Order XLI Rule 27 CPC
others, [Writ before hearing the appeal
Petition would be improper.
No.12605/2011
(GM-CPC) D.D.
27.03.2013]
(Sri.Venkatakrishna
Bhat);
(iii) Dahiben vs. That once the document
Arvindbhai is executed and thereafter
Kalyanji Bhanusali registered, the sale would (D) through L.Rs. be complete, and the title and others, would pass to the [(2020) 16 SCC transferee under the 366] (Dahiben); transaction and non-
payment of a part of the sale price would not affect the validity of the sale.
(iv) Devikarani Roerich That the failure of the vs. M/s.K.T. executant to appear Plantations Pvt. before the registering Ltd. [ILR 1994 officer could be KAR 1788] constructively treated as (Devikarani denial of execution.
Roerich);
21. I have considered the submissions of the learned
counsel and have also perused the entire records
including the original Trial Court records.
22. The following facts are not in serious dispute and
are admitted by Chikkanna:
a] Chikkanna claimed that Rudraiah, the owner of
the suit property, had executed a sale deed conveying the
suit property in his favour on 03.05.1979 for a sum of
Rs.22,000/- and he had paid a sum of Rs.6,800/- to
Rudraiah as advance and Rudraiah had agreed to receive
the balance sale consideration at the time of registration
of the sale deed.
b] Rudraiah, the executant, did not come forward
to get the sale deed registered and hence Chikkanna
presented the sale deed for registration on 04.09.1979.
On the sale deed being presented, in view of the non-
appearance of Rudraiah, the Sub-Registrar issued a
summons to Rudraiah whereupon Rudraiah appeared
before the Sub-Registrar on 18.09.1979. On enquiry by
the Sub-Registrar, Rudraiah admitted the execution of the
document but refused to sign the endorsement and
refused to give a statement. The Sub-Registrar,
therefore, on 25.09.1979, took the view that the attitude
of Rudraiah Tanta mounted to denial of execution and
refused to register the sale deed under Section 35 of the
Registration Act, 1908 (read with Rule XI of the Rules).
c] As against the refusal to register, Chikkanna
made an application under Section 73 of the Registration
Act to the District Registrar. An Order was passed on this
application on 13.03.1981 but thereafter Chikkanna had
filed a review petition and requested for restoration of the
case. The District Registrar acceded to the said request
and restored the case and fixed the matter for hearing on
26.05.1981.
d] Rudraiah, in these proceedings, remained absent
and was placed exparte. Chikkanna examined the two
attestors to the sale deed--the scribe of the sale deed
apart from examining himself. He stated that Rudraiah
had signed the document and had also received
Rs.6,800/- towards the sale consideration. The attestors
also stated that Rudraiah had signed the document and
received Rs.6,800/- towards sale consideration. The
District Registrar, thereafter, by his order dated
23.06.1981, took the view that Rudraiah had executed
the sale deed and in the exercise of the powers vested in
him under Section 75(1) of the Registration Act, ordered
for registration of the sale deed.
e] The sale deed was then re-presented before the
Sub-Registrar on 27.06.1981 and the sale deed was
registered on the same day.
f] Thus, the admitted case of Chikkanna was that
the sale deed which had been signed by Rudraiah was
presented for execution by Chikkanna and thereafter
Rudraiah was summoned by the Sub-Registrar and
Rudraiah appeared and admitted the execution of the sale
deed but refused to sign the endorsement and to give a
statement, and the Sub-Registrar, therefore, refused to
register the document on the ground of denial of
execution.
g] Thereafter, Chikkanna approached the District
Registrar against the refusal of registration and the
District Registrar after conducting an enquiry (in the
absence of Rudraiah, who was placed exparté) ordered
the Sub-Registrar to register the document and
accordingly the sale deed was registered.
23. The Appellate Court has taken the view that as on
the day the sale deed was registered, Rudraiah did not
possess title to convey the same to Chikkanna. It has
been noticed that the title as on that day was with the
Karnataka Housing Board and Rudraiah was in fact yet to
pay the amount due to the Board. The Appellate Court
has also found that, as per the sale deed executed by the
Housing Board to the daughters of Rudraiah, it is they
who are stated to have paid the outstanding amounts due
to the Housing Board and after the completion of the
lease-cum-sale period, resulting in the Housing Board
conveying title to them, and it was thus the daughters of
Rudraiah who had acquired the title from the Housing
Board.
24. It is not in dispute that Rudraiah was yet to acquire
absolute title over the house property when he had
executed the title and thus, this view of the Appellate
Court that the title could not have passed to Chikkanna
on the basis of such a sale deed, cannot be found fault
with.
25. It is, no doubt, true that after the death of
Chikkanna, the Housing Board had executed a sale deed
in favour of Rudraiah's daughters by virtue of them being
his legal heirs and an argument was thus made that the
conveyance would enure to Chikkanna by virtue of
Section 43 of the Transfer of Property Act, 1882.
26. It will have to be stated here that Chikkanna cannot
seek benefit available under Section 43 because under
Section 43 of the Transfer of Property Act1, it is only if a
person fraudulently or erroneously represents that he is
authorised to transfer the immovable property and
transfers it for consideration, the purchaser would get the
benefit of any interest that the transferor may acquire
subsequently.
27. Admittedly, in the present case, Chikkanna himself
pleaded in his written statement that Rudraiah had been
allotted the house by the Housing Board and he was
unable to pay the installments and that was the reason
for him to sell the house. Thus, the fact that Rudraiah had
yet to acquire title over the house property by paying the
balance due to the Housing Board was known to
Chikkanna and was accepted by him. It, therefore, follows
Section 43. Transfer by unauthorised person who subsequently acquires interest in property transferred.--Where a person fraudulently or erroneously represents that he is authorised to transfer certain immovable property and professes to transfer such property for consideration, such transfer shall, at the option of the transferee, operate on any interest which the transferor may acquire in such property at any time during which the contract of transfer subsists.
Nothing in this section shall impair the right of transferees in good faith for consideration without notice of the existence of the said option.
that it was not the case of Chikkanna that a fraudulent or
erroneous representation had been made by Rudraiah to
him at the time of transfer.
28. In fact, the sale deed dated 03.05.1979 itself
contains a recital that Rudraiah was allotted the house by
the Housing Board under a lease-cum-sale basis and he
was selling the land for his personal needs, one of which
was to clear the dues to the Housing Board which was to
the tune of Rs.5,000/-.
29. There is also a further recital in the sale deed that
Chikkanna had paid a sum of Rs.6,800/- as advance to
Rudraiah and this was required to be utilised by Rudraiah
to repay the outstanding dues to the Housing Board and
thereafter register the sale deed. Thus, one of the
essential conditions of the sale deed was that Rudraiah
was required to repay the outstanding dues to the
Housing Board and thereafter register the sale deed and,
at the time of registration, he would be receiving the
balance sale consideration of Rs.15,200/-.
30. Chikkanna, in his examination-in-chief, has stated
that he had paid a sum of Rs.3,612=77 to the Housing
Board on 20.08.1979 in the name of Rudraiah and he
produced the receipt for making the said payment. This
indicates that Rudraiah had not repaid the outstanding
dues to the Housing Board to entitle him to a transfer of
title from the Housing Board.
31. It is thus clear that it was not the case of Chikkanna
that a fraudulent or erroneous representation had been
made by Rudraiah that he was authorised to transfer the
immovable property. On the other hand, it was
represented to Chikkanna that the house had been
allotted to Rudraiah under a Lease-cum-sale agreement
and there were still outstanding sums liable to be paid to
the Housing Board and thereby the title was still with the
Housing Board.
32. The intent behind enacting Section 43 of the
Transfer of Property Act is to essentially protect the
interests of the transferee when the transferor misleads
him and transfers the property knowing fully well that he
had no authority to transfer. To ensure that the transferor
does not get any benefit by virtue of a subsequent
acquisition of rights over the transfer and with a view to
keep him bound by his earlier contract with the
transferee, Section 43 has been enacted. Section 43
ensures that the transferee will acquire rights over the
subject matter of the transfer, even though he had not
acquired any rights at the time of transfer, upon the
transferor acquiring an interest after the subject matter of
transfer. Since, admittedly, Rudraiah did not mislead
Chikkanna regarding his entitlement over the house
property, the benefit available under Section 43 of the
Transfer of Property Act would not be available to
Chikkanna.
33. The Appellate Court was therefore justified in
concluding that Rudraiah had no title to convey the house
on 03.05.1979 and the basis of Chikkanna's claim of
acquiring title was itself untenable, notwithstanding the
registration of the sale deed.
34. Though the view of the Appellate Court is legal and
proper and requires affirmation, in my view, the rather
crucial and important role of the buyer and seller in the
matter of registration of a sale deed in respect of an
immovable property, would also have to be expounded in
detail.
35. Section 55 of the Transfer of Property Act
enumerates the right and liabilities of the Buyer and
Seller in cases where there is no specific agreement in
that regard. Under Section 55(1)(d) of the Transfer of
Property Act2, a seller, on payment or tender of the
Section 55. Rights and liabilities of buyer and seller.--In the absence of a contract to the contrary, the buyer and the seller of immoveable property respectively are subject to the liabilities, and have the rights, mentioned in the rules next following, or such of them as are applicable to the property sold:
amount due in respect of the price, is bound to execute a
proper conveyance of the property when the buyer
tenders it to him for execution at a proper time and place.
36. Thus, in law, the deed of conveyance is required to
be executed by the seller as and when the payment of the
amount due in respect of the price is made or tendered to
him and when the document is tendered to him for
execution. In other words, the law does not require the
buyer to execute the deed of conveyance and it is only
the seller who is required to execute the deed of
conveyance.
37. The liability of the seller does not, however, come to
end on the mere execution of the deed of conveyance
after the receipt of the sale price, because the transfer of
(1) The seller is bound--
xxxx
(d) on payment or tender of the amount due in respect of the price, to execute a proper conveyance of the property when the buyer tenders it to him for execution at a proper time and place;
an immovable property can be achieved only by way of a
registered instrument.
38. The registration of a document under the
Registration Act, 1908 envisages three stages. The first
stage is the time of presentation of a document, which is
governed by the provisions of Part IV of the said Act. The
second stage is the place of registration, which is
governed by the provisions of Part V of the said Act and
the third stage is the presenting of documents for
registration, which is governed by the provisions of Part
VI of the said Act. While Section 32(a) of the Registration
Act3, stipulates the persons who can present the
Section 32. Persons to present documents for registration.--Except in the cases mentioned in sections31, 88 and 89, every document to be registered under this Act, whether such registration be compulsoryor optional, shall be presented at the proper registration- office,--
(a) by some person executing or claiming under the same, or, in the case of a copy of a decree ororder, claiming under the decree or order, or
(b) by the representative or assign of such a person, or
(c) by the agent of such a person, representative or assign, duly authorised by power-of-attorney executed and authenticated in manner hereinafter mentioned.
documents and states that the person executing the
document or claiming under the same can present the
document. Section 34 provides for the enquiry to be
conducted by the registering officer, before registration of
the document. The said Section categorically states that
no document shall be registered unless the persons
executing the document (or representatives, assign or
agents, with which we are not concerned in this case)
appear before the Registering Officer within the time
allowed for presentation under Sections 23, 24, 25 and 26
of the Act. Thus, though S. 32 of the Act provides for
presentation of a document by the person executing the
document or claiming under the same, under S. 34 of the
Act, personal appearance of the persons executing the
document before the registering officer is a must4.
Section 34. Enquiry before registration by registering officer.--(1) Subject to the provisions contained in this Part and in sections 41, 43, 45, 69, 75, 77, 88 and 89, no document shall be registered under this Act, unless the persons executing such document, or their representatives, assigns or agents authorised asaforesaid, appear before the registering officer within the time allowed for presentation under sections 23,24, 25 and 26:
39. The only exceptions to this personal appearance of
the executant is in the case of registration of Wills
(Section 41), Deposit of wills (Section 43), Proceedings
on the death of depositor of wills (Section 45), Power of
Inspector-General to superintend registration offices
(Section 69), Order by Registrar to register (Section 75),
Direction of the Court to register (Section 77),
Registration of Documents executed by Government
Officers (Section 88) and Copies of certain orders, which
Provided that, if owing to urgent necessity or unavoidable accident all such persons do not so appear,the Registrar, in cases where the delay in appearing does not exceed four months, may direct that onpayment of a fine not exceeding ten times the amount of the proper registration fee, in addition to the fine,if any, payable under section 25, the document may be registered.
(2) Appearances under sub-section (1) may be simultaneous or at different times.
(3) The registering officer shall thereupon--
(a) enquire whether or not such document was executed by the persons by whom it purports tohave been executed;
(b) satisfy himself as to the identity of the persons appearing before him and alleging that theyhave executed the document; and
(c) in the case of any person appearing as a representative, assign or agent, satisfy himself of theright of such person so to appear.
(4) Any application for a direction under the proviso to sub-section (1) may be lodged with a Sub-Registrar, who shall forthwith forward it to the Registrar to whom he is subordinate.
(5) Nothing in this section applies to copies of decrees or orders.
are required to be sent to the Registering Officers for
filing (Section 89). It can be discerned from these
exceptions that in those specified instances, the persons
presenting the documents are under no legal obligation to
execute or admit the execution of the documents.
40. On the personal appearance of the executant, the
registering officer is required to enquire upon three
aspects. Firstly, whether the document is executed by the
persons by whom it purports to have been executed.
Secondly, whether the registering officer is satisfied about
the identity of the persons who have appeared before him
and claim that they have executed the document. Thirdly,
if the presentation is by a representative, assign or agent,
he is required to satisfy himself that such a person has a
right to appear.
41. In the case on hand, the document was not
presented by a representative, assign or agent and hence
the third aspect envisaged under Section 34 of the
Registration Act would not be applicable.
42. Thus, under Section 34 of the Registration Act, the
Registering Officer, on the personal appearance of the
person executing the document before him, firstly, is
required to enquire whether the document was indeed
executed by the person who asserts that he has executed
the document and secondly, he is required to satisfy
himself as to the identity of the person who has appeared
before him. The enquiry, thus, contemplated under
Section 34 is limited only to these two aspects and for
conducting such an enquiry, unquestionably, the personal
appearance of the person executing the document is an
absolute must.
43. If a person executing the document does not
personally appear before the registering officer, then,
obviously, the Registering Officer cannot conduct the
prescribed enquiry regarding "admission of execution"
and "the identity", and he cannot therefore proceed to the
next step i.e., the registration of the document.
44. Section 35(1)(a) of the Registration Act5 then deals
with the next step in the process of registration. It states
that if all the persons executing the document appear
personally before the registering officer and if he is
satisfied with their identity and that they are the persons
35. Procedure on admission and denial of execution respectively.--(1) (a) If all the persons executing the document appear personally before the registering officer and are personally known to him, or if he be otherwise satisfied that they are the person they represent themselves to be, and if they all admit the execution of the document, or
(b) if in the case of any person appearing by a representative, assign or agent, such representative, assign or agent admits the execution, or
(c) if the person executing the document is dead, and his representative or assign appears before the registering officer and admits the execution, the registering officer shall register the document as directed in sections 58 to 61 inclusive.
(2) The registering officer may, in order to satisfy himself that the persons appearing before him are the persons they represent themselves to be, or for any other purpose contemplated by this Act, examine any one present in his office.
(3) (a) If any person by whom the document purports to be executed denies its execution, or
(b) if any such person appears to the registering officer to be a minor, an idiot or a lunatic, or
(c) if any person by whom the document purports to be executed is dead, and his representative or assign denies its execution, the registering officer shall refuse to register the document as to the person so denying, appearing or dead:
Provided that, where such officer is a Registrar, he shall follow the procedure prescribed in Part XII:
Provided further that the State Government may, by notification in the Official Gazette, declare that any Sub-Registrar named in the notification shall, in respect of documents the execution of which is denied, be deemed to be a Registrar for the purposes of this sub-section and of Part XII.
who have executed the document and they also admit the
execution of the document, he is obliged to register the
document as directed in Sections 58 to 61of the
Registration Act.
45. Once again, the statute pointedly emphasizes the
personal appearance of the executant before the
registering officer and satisfying the registering officer of
his identity followed by an admission of the execution of
the document presented for registration.
46. Thus, a combined reading of Section 34 and Section
35 of the Registration Act leaves no room for any doubt
that a document cannot be registered unless the
executant personally appears and thereafter establishes
his identity to the registering officer and finally admits the
execution of the document before the registering officer.
47. It may also be noted here that Section 35(1)(b) of
the Registration Act covers the situation where the person
appearing for registration is the representative or assign
or agent of the person executing the document, in which
case, the admission of the execution is to be made by
those persons, subject to them satisfying the registering
officer of their identity and their right to appear on behalf
of the executant.
48. Section 35(1)(c) of the Registration Act deals with a
situation where the executant is dead in which event a
provision is made for the representative or the assign of
the dead to appear and admit the execution of the
document.
49. The underlying objective of Sections 34 and 35 of
the Registration Act is plain and unambiguous, which is,
that the executant of a document is bound to appear
personally. Obviously, this personal appearance can only
be voluntary as the admission of execution has to be
voluntary.
50. Section 35(2) of the Registration Act empowers the
Registering officer to examine anyone present in his office
to satisfy himself as to the identity of the persons who
have appeared before him and represent to him that they
are the persons whom they claim to be. This sub-section
also states that he may examine anyone present for any
other purpose provided under the Act.
51. Section 35(3) of the Registration Act provides for
the registering officer to refuse registration (a) if the
person executing the document denies its education or
(b) if the person appearing before him is a minor, lunatic
or an idiot, or (c) if the person appearing before him is
the representative, assign of the executant, who is dead
who appears and denies its execution.
52. A combined reading of Sections 34 and 35 of the
Registration Act would therefore clearly indicate that the
personal appearance of the executant and his admission
of execution is the most vital part of the registration. The
only power conferred on the registering officer when the
document is presented for registration is to enquire
whether the document has been executed and to enquire
and satisfy himself regarding the identity of the person
appearing before him.
53. Of course, this power stands enlarged in case the
presentation of the document is by a representative,
assign or agent, whereby a registering officer can enquire
regarding the right of such persons to appear, with which
however, we are not concerned in this case.
54. It is to be noticed here that if a person executing
the document does not appear before the registering
officer to present the document and admits its execution,
the Registering officer cannot be held to have the power
to summon the executant to satisfy himself as to whether
the document was indeed executed by the executant or
not. The fact that Section 35(2) specifies that the
registering officer is empowered to examine anyone
present in his office to satisfy himself regarding the
identity of the person who has appeared before him to
present the document is a clear pointer to the fact that
only a limited power of ensuring and satisfying himself
about the identity of the person appearing before him and
presenting the document has been conferred on the
Registering Officer.
55. If, however, it is to be held that the Registering
Officer has the power to summon an executant and
enquire from him as to whether he had in fact executed
the document or not, that would essentially mean that
the registering officer was being clothed with the power to
enforce the registration of a document in the same
manner as is available to a Civil Court. That is, obviously,
impermissible and amounts to conferring the powers of a
Civil Court to enforce a contract on the registering officer.
56. It is, no doubt, true that the person presenting the
document for registration or claiming under any
document, may request the Registering officer to secure
the presence of any person whose presence is necessary
or testimony is necessary for the registration of the
document under Section 36 of the Registration Act.
However, this power cannot be held to mean that power
is available to summon an executant to appear before
him in order to conduct an enquiry and determine
whether the document has been executed or not.
57. It is to be stated here that the power conferred on
the registering officer under the Registration Act is
fundamentally to enable him to satisfy himself about the
identity of the person who has presented the document
and enquire with him as to whether he has executed the
document so presented by him. This limited power to
enquire into certain specified things cannot be enlarged to
bring within its ambit the power to enquire and determine
whether the document was executed by the executant by
examining the witnesses, scribe etc.
58. It is to be kept in mind that an executant of a
document is required to voluntarily appear and admit
execution of the document. This voluntary act is a
reflection of the acceptance of a concluded contract. The
requirement of appearing voluntarily to accept the
conclusion of a contract cannot be substituted by use of
"power to summon" available in a Registering officer to
force the appearance of an executant to ascertain the
execution and admission of the document i.e., the record
of the conclusion of the contract.
59. If, for example, the executant appears on being
summoned and denies the execution of the document and
the registering officer thereafter goes on to hold an
enquiry and determines that the document was executed
and is therefore required to be registered, he would be
basically granting a decree of specific performance, which
is wholly beyond his jurisdiction.
60. It is always to be kept in mind that the whole object
of getting a document registered, especially a sale deed
of an immovable property which is a compulsorily
registrable document, is to ensure that there is a record
of a concluded contract between a seller and a buyer.
61. If a seller, for instance, admits the execution of the
document but states that he is yet to be paid the entire
consideration or that there is some other term of the
contract which is yet to be fulfilled or that he is having
second thoughts about concluding the transaction, the
registering officer using his powers available under
Section 36 of the Registration Act cannot conduct an
enquiry and determine whether there is a concluded
contract. A registering officer on the mere admission of
execution of the sale deed by an executant who has been
summoned cannot order its registration.
62. The registration of a sale deed is the final act
required for transfer of ownership of an immovable
property and this final act is not a mere formality that can
be left to the discretion of the registering officer. A
registering officer has a limited role to play in the
registration of the document and conferring judicial
powers on him would lead to serious and disastrous
consequences, especially in this age and time when prices
of immovable properties have seen an exponential
increase.
63. In a case relating to the sale of an immovable
property, such as this very case, if a purchaser presents a
signed deed of conveyance for registration and thereafter
demands the Registering Officer to summon the
executant to conduct an enquiry regarding the execution
of the document, that would virtually amount to the
creation of a scenario where the office of the Registering
Officer is converted into a Civil Court, which is clearly
impermissible and fraught with danger.
64. Indeed, if this position were to be accepted to be
the true legal position, in a case where the executant
does not appear despite the summons, the Registering
officer can nevertheless proceed to hold an enquiry
regarding the execution of the document and record a
finding that the document has been executed and ought
to be registered. This would most definitely be beyond the
scope of the powers of the Registering Officer.
65. It is also to be noted here that in this case, the
Registering Officer has actually recorded a finding that
Rudraiah had admitted execution but was evading the
registration of the document by refusing to sign the
endorsement and to make a statement. This finding is
fundamentally an inference based on Rudraiah's non-
appearance voluntarily and his refusal to sign the
endorsement on being summoned. It is not clear as to
what was the enquiry conducted by the Sub-Registrar on
the appearance of Rudraiah and in whose presence an
enquiry was conducted. In fact, to accept only the order
of the registering officer as proof regarding admission of
execution of a person who has been summoned by him,
would not only be a risky proposition but would also be
susceptible to various kinds of malpractices. The question
as to whether the statement of the executant, who had
been summoned, was voluntary or was under compulsion
cannot be left to the discretion and judgment of the
Registering Officer. These kinds of anomalous situations
which are likely to arise if an executant is allowed to be
summoned to enquire into the admission of execution of
the document, indicate the dangers that may visit the
registration of a document and which could be easily
exploited by unscrupulous persons in connivance with
registering officers, which is to be avoided at all costs.
66. The net result of this discussion is that, in the case
of a sale of an immovable property, even if a purchaser
were to present the document for registration in the
absence of the executant (seller), the registering officer
does not possess the power to summon the executant in
order to satisfy himself as to whether the executant
(seller)had executed the document and whether he
admits the execution of the document. In the event, an
executant does not appear personally and voluntarily to
present and admit execution of the sale deed, the only
option available to the buyer would be to approach the
Civil Court and seek for enforcement of the contract of
sale of the immovable property.
67. In this case, though the registering officer refused
to register the sale deed on the ground of denial of
execution, the District Registrar, on an application made
to him under Section 73 of the Registration Act, has
proceeded to issue a notice to Rudraiah and since
according to the District Registrar, Rudraiah did not
appear, he has proceeded to place Rudraiah exparté. The
District Registrar has thereafter gone on to hold a trial by
examining the witnesses to the sale deed, the scribe of
the sale deed and the purchaser, and has gone on to
record a finding that Rudraiah had indeed executed the
sale deed and the sale deed was therefore required to be
registered. Thus, the District Registrar has virtually acted
like a Civil Court and enforced the contract by rendering a
judicial decision regarding the execution of the sale deed
and its consequential necessity of registration.
68. As already held above, under Section 35(1) of the
Registration Act, only if a person appears personally and
admits execution of a document, the registering officer
can register the document. If an executant appears
before the registering officer and denies the execution of
the document, under Section 35(3)(a)of the Registration
Act, he is legally obliged to refuse to register the
document. In both such cases, however, the voluntary
and personal appearance of the executant is an absolute
must.
69. It is only if an executant appears voluntarily and
personally and denies the execution of the document,
would the remedy contemplated under Section 73of the
Registration Act be available.
70. If an executant does not appear voluntarily to either
admit or deny execution of the document, the remedy
available under Section 73 of the Registration Act would
not be available.
71. If an executant is summoned by the registering
officer and on being summoned, the executant denies the
execution of the document and the officer refuses to
register the document, the remedy provided under
Section 73 of the Registration Act would not be available.
72. The consequences of permitting a contrary course of
action would be quite dangerous, as could be seen in this
very case.
73. Admittedly, Chikkanna--the purchaser was yet to
pay the agreed balance sale consideration of Rs.15,200/-
though he claimed that a sale deed had been executed by
Rudraiah. In fact, Chikkanna even after the registration of
the sale, pursuant to the order of the Registrar, issued a
legal notice calling upon Rudraiah to receive the balance
sale consideration and hand over possession. Thus,
though the purchaser himself admitted that the sale
transaction was yet to be concluded, at least in terms of
receipt of the sale consideration, by the intervention of
the order of the District Registrar, the sale transaction
has been concluded and the sale deed has been
registered.
74. This essentially means that the Registrar has
enforced a contract which had only been partly performed
and some of the admitted terms of the contract were yet
to be fulfilled. Furthermore, a sale deed executed by a
person, who had no title over the property as on the date
of the presentation of the sale deed, has been ordered to
be registered, thereby purporting to convey the title to
the buyer. This is, in fact, a power which is not available
or conferred on a Civil Court even under the provisions of
the Specific Relief Act. This is, thus obviously, beyond the
purview of the Registration Act itself and the resultant
registration of a document would have to be necessarily a
complete nullity in the eye of law.
75. Since, the registration of the sale deed was a
complete nullity in law, the same can have no significance
at all and would also confer no rights. In fact, such a null
and void act, even if validated by consent of parties would
not transform it into a legal act. It is settled law that an
act, which is nullity, does not have to be impugned by
way of a suit.
76. A few other situations may also be considered in this
context:
77. In a given case, if an executant appears either
voluntarily or on being summoned and states that he has
executed the document on the promise that he would be
paid the balance sale consideration and that he is yet to
be paid the balance sale consideration, the question
would arise whether the registering officer possesses the
power to conduct an enquiry and determine whether any
money was still due to the seller and thereafter, order it
to be paid by the buyer.
78. Carrying this analogy further, suppose, thereafter
on such determination, the buyer refuses to pay, can the
registration of the document be refused on that score,
despite the fact that execution of the document was
admitted.
79. As a corollary, suppose in a case where the seller
appears and admits execution of the document but
refuses to sign the endorsement on the ground that some
money is still due to him and the registering officer holds
an enquiry and determines that certain sums are due to
the seller and calls upon the buyer to pay the outstanding
sum and the buyer refuses to pay the sum so ordered,
whether the registering officer can refuse the registration
on this ground despite the admission of the execution of
the document.
80. These illustrations are being made only to highlight
the implied limitations of the powers conferred on the
registering officer and the District Registrar in the matter
relating to registration of sale deeds of immovable
properties, when the seller does not appear voluntarily to
admit the execution of the sale deed and the
consequential complications that may arise in myriad
ways.
81. It will therefore have to be held that if an executant
does not appear voluntarily and does not admit execution
of a sale deed relating to an immovable property, the
registering officer cannot summon the executant to
ascertain whether the sale deed was indeed executed or
not. In fact, in such cases, it would be a case of an invalid
presentation of the sale deed and such an invalidly
presented sale deed cannot be ordered to be registered.
82. By the same analogy, the remedy contemplated
under Section 73 of the Registration Act to the Registrar
would be unavailable and even if such a remedy is
invoked, the Registrar cannot hold an enquiry to
determine whether the executant admitted the execution
of the sale deed and order its registration.
83. The judgment of the Apex Court in Dahibhen's
case relied upon by the learned counsel for the appellant,
to contend that once the sale deed is registered, the sale
would be complete and the title would pass on to the
transferee cannot really apply to the facts and
circumstances of the present case.
84. In that case, the executant i.e., the seller had
admittedly appeared before the registering officer
voluntarily and had also executed the sale deed
notwithstanding the fact that a part of the sale
consideration was yet to be paid and had been promised
to be paid through cheques, which subsequently turned
out to be bogus cheques. In the context of that case and
having regard to the fact that the sale of an immoveable
property can be made even on payment of a part of the
sale price with the promise to pay the remaining at a later
date, the Hon'ble Supreme Court held that the
registration of the sale deed would complete the
conveyance and non-payment of the sale consideration
would not invalidate the sale.
85. In fact, the Hon'ble Apex Court has held that to
constitute a "sale", the parties must intend to transfer the
ownership of the property, on the agreement to pay the
price either in praesenti, or in future. The intention is to
be gathered from the recitals of the sale deed, the
conduct of the parties, and the evidence on record. As
noticed above, in the present case, the evidence on
record clearly indicates that Rudraiah was to be paid
Rs.15,200/- as on the date it was presented for
registration. It is, therefore, clear that as the terms of
the sale were not adhered to and Rudraiah by his absence
indicated his unwillingness to sell his house and yet the
sale deed has been compulsorily ordered to be registered
by the Registrar, would go against the dicta laid down in
that judgment. The aforesaid decision would therefore not
assist the appellant.
86. The decision relied upon by the learned counsel in
Devikarani Roerich would also be of no consequence
since the said decision only states that the non-
appearance of a person could be constructively treated as
the denial of execution. In the instant case, on being
summoned, Rudraiah did appear before the Registering
officer and is stated to have admitted the execution but
he however refused to sign the endorsement that was
required to be made as per Section 58 of the Registration
Act. It is thus clear that the aforesaid decision would have
no bearing on this case.
87. The argument of the learned counsel that the suit
was barred by limitation since an amendment was
granted only in the year 1999 and therefore, the suit was
to be dismissed as being time-barred, cannot also be
accepted.
88. It has to be stated here that the application in I.A.
No.5 seeking for amendment had been rejected by an
order dated 27.06.1994 by the Trial Court. This Court,
however, in Civil Revision Petition No.2687 of 1994set
aside the said order and allowed the application for
amendment. This order granting amendment did not
specify that the amendment would be effective only from
the date of the order. As a consequence, the amendment
would relate back to the filing of the suit and since the
suit had been filed within three years of the registration
of the sale deed, the suit would be within time.
89. Furthermore, in view of the fact that the
amendment was granted after hearing the appellant and
the appellant has accepted the said order, the plea of
limitation cannot be raised by the appellant.
90. The argument that the plaintiffs had filed a writ
petition challenging the order of compulsory registration
but had withdrawn it and therefore, the registration of the
document had become final, cannot also be accepted.
91. As already held above, the registration of the sale
deed in this case is a nullity in the eye of law and
therefore requirement of there being a challenge to it,
would not arise at all. Further, even if a challenge had
been made and was withdrawn, that withdrawal of the
challenge would not transform an act that was a nullity
into a valid and legal act which binds the petitioners. The
challenge in the writ petition was to the order of the
Registrar directing registration and since it has been held
that the registration done pursuant to the said order was
a nullity, the withdrawal of the writ petition would be of
no consequence.
92. The final argument of the learned counsel for the
appellant that the application for production of additional
evidence could not be considered prior to the disposal of
the appeal cannot also be accepted. The plaintiffs by the
said application had merely produced the sale deed
executed in their favour by the Housing Board and the tax
paid receipts in respect of the said property and also
certain other related municipal records. These documents
were in no way necessary for the pronouncement of the
judgment by the Appellate Court and they merely were
proof of certain subsequent events, which did not have a
real bearing on the decision of the Appellate Court. It is
only if these documents were the reasons for allowing the
appeal, the argument advanced by the learned counsel
would be of some relevance.
93. As stated above, the Appellate Court has allowed
the appeal solely on the ground that the outstanding dues
to the Housing Board had also not been paid by Rudraiah,
thus he had no title to the property when the sale deed
was executed and also that the balance consideration had
not been paid to Rudraiah.
94. For all the reasons stated above, in my view, no
question of law, much less, a substantial question of law
arises for consideration in these appeals. The appeals are
accordingly dismissed.
Sd/-
JUDGE
CT:SN RK/-
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