Citation : 2022 Latest Caselaw 6418 Tel
Judgement Date : 5 December, 2022
THE HONOURABLE SMT. JUSTICE P.SREE SUDHA
APPEAL SUIT No.393 of 2014
JUDGMENT:
A.S.No.393 of 2014 is filed against the Judgment of
the trial Court in O.S.No.1211 of 2006 dated 25.09.2013.
2. Plaintiff filed suit for cancellation of the registered sale
deed dated 20.04.2006 and for mandatory injunction. Plaintiff is
examined as P.W.1 and he also examined P.Ws.2 to 4 and
marked Exs.A1 to A5. Defendants examined as D.Ws.1 & 2 and
marked Exs.B1 to B5 on their behalf. The trial Court
considering the entire evidence on record and the arguments of
both sides dismissed the suit. Aggrieved by the said Judgment,
this appeal is preferred and the appellant contended that the
trial Court misinterpreted provisions of law and not considered
the document filed in support of the case and also not
appreciated the crucial point arising out of the dispute in
question. He filed suit for cancellation of sale deed on the
ground of non-receipt of the sale consideration and filed
document to show that the remaining sale consideration was
not received by him even after execution of the sale deed, but
the trial Court without considering the same dismissed the suit. The defendant No.1 undervalued the document to avoid stamp
duty and took advantage of the same. The trial Court has not
observed that there will be difference between market value and
the Government value of the property, the first defendant has
paid the Government value i.e, value shown in the document.
The trial Court erred in observing that even in the case of non-
receipt of payment of sale consideration the remedy is recovery
of money and he cannot file suit for cancellation of the
document. Appellant also stated that he gave legal notice, but
defendant No.1 did not give any reply. The defendant No.1
played fraud upon him in getting sale deed registered without
paying sale consideration. In the cross-examination the
defendant No.1 stated that he does not know contents of the
document and it is prepared by the document writer. He further
stated that market value and the Government value are one and
the same and he paid the suit amount. It clearly shows that he
awaded the payment of balance sale consideration and tried to
take advantage of his wrong. Therefore, requested the Court to
set aside the Judgment.
3. O.S.No.1211 of 2006 is filed against the defendant No.1
and the Joint Sub - Registrar i.e, defendant No.2 for
cancellation of the registered sale deed dated 20.04.2006 and
for injunction. Plaintiff stated that he is absolute owner and
possessor of the agricultural land admeasuring Acs.2 - 28 gts in
Sy.No.62 and Acs.2 - 28 gts in Sy.No.72 total measuring an
extent of Acs.5 - 16 gts at Gudur Village, Kandukur Mandal,
R.R.District (from hereinafter called as Suit Schedule Property).
He further stated that as his mother executed the registered gift
deed vide document No.13/2005 dated 03.01.2005 in his
favour, from then onwards his name is entered in the revenue
records as pattedar and possessor vide ROR proceedings
No.B/103/2005 dated 19.03.2005 issued by the M.R.O,
Kandukur Mandal, R.R.District. Since then he is in peaceful
possession and enjoyment of the property.
4. The defendant No.1 entered into an agreement with him
in October, 2005 agreeing to purchase the property for total sale
consideration of Rs.41,85,000/- at the rate of Rs.7,75,000/- per
acre and paid Rs.10,00,000/- each on two occasions i.e,
Rs.20,00,000/- towards part payment/earnest money. The
defendant No.1 agreed to pay the balance sale consideration to
the plaintiff within 4 months from the date of Agreement of Sale
and after receipt of the said sale consideration, plaintiff has to
execute the registered sale deed in favour of defendant No.1.
Plaintiff further stated that defendant No.1 agreed to pay the
balance sale consideration before the defendant No.2 i.e, Joint
Sub-Registrar, R.R.District at Moosapet, as he brought the
same and shown to the plaintiff, he informed to the plaintiff that
as soon as the sale deed was registered, the same will be paid to
him and for the purpose of safety he kept the same in his car.
Believing his words, plaintiff accepted for registration and
informed to the defendant No.2 as he received the sale
consideration, but after the registration on the pretext of getting
money from the car which is parked on the roadside in front of
the office of the defendant No.2, the defendant No.1 left office
and ran away in his car without paying sale consideration and
thus he played fraud upon him in getting sale deed registered
without paying balance sale consideration with a malafide
intention to cheat and defraud him. Immediately he informed
the same to the defendant No.2 in writing by way of protest
letter. On his representation defendant No.2 kept the registered
sale deed document pending vide No.P/605/2006 dated
20.04.2006. The defendant No.2 also informed that the said
document will be delivered to defendant No.1 only on confirming
of the payment of balance sale consideration, as such he gave
legal notice on 22.04.2006 with a direction to pay the balance
sale consideration within 3 days from the date of receipt of the
notice. In spite of receiving the legal notice, he has neither paid
the agreed sale consideration nor given any reply, as such he
filed suit for cancellation of pending registered sale deed and
also for mandatory injunction.
5. It seems during pendency of the suit, defendant No.1 filed
an appeal before the D.R.O and he gave direction for release of
document, accordingly, original document was given to the
defendant No.1. As such, in I.A.No.1955 of 2010 dated
28.10.2010 the word pending was deleted and the document
number was corrected as document No.2415 of 2010 by way of
amendment.
6. In the Written Statement filed by the defendant No.1, he
stated that plaintiff is a chronic litigant and is in habit of
creating litigations and he filed suit only to harass and gain
wrongfully. He sold the property only after receiving total agreed
sale consideration and thus he has no locus standi to file suit,
as such suit itself is not maintainable. The plaintiff has made
the Joint Sub-Registrar - I as defendant No.2 and he is no way
concerned with the suit schedule property or with the
cancellation of the pending registered sale deed, he has no
jurisdiction to keep the document pending, but only on the false
complaint he kept document pending. Initially he has given a
number as 9364/2003 to the document in question, but later
he kept it pending without any reason. In fact, the second
defendant after verifying the entire document, asked the
executant whether he received the sale consideration, also
satisfying with the contents of the sale deed, after obtaining
signatures of the witnesses and also signatures and thumb
impressions of the plaintiff he gave the said registered number.
Defendant No.1 has not disputed the ownership of the plaintiff
or the gift deed executed by his mother in his name and the
ROR proceedings in the name of the plaintiff. The plaintiff
admitted in his plaint that he informed to defendant No.2 that
he received the entire sale consideration and thus he cannot go
back and say that he has not received the sale consideration. He
denied the said facts as alleged by the plaintiff in the plaint.
Plaintiff has not even signed on the sale deed stating that only
after receiving the entire sale consideration, he will sign on the
document and thus he paid the entire sale consideration in the
presence of the witnesses and then only he signed on the sale
deed and admitted the receipt of entire sale consideration and
affixed his thumb impressions on the document and also in the
books of the Joint Registrar in the presence of witnesses and
the Sub Registrar. Even when the second defendant questioned
him regarding the balance sale consideration, he clearly
admitted that he received the entire sale consideration, but
created a false story, he has not given any complaint and not
initiated criminal proceedings against him. After execution of
the registered sale deed, he demanded more amount as the
prices are increased in that area, when defendant No.1 refused
to oblige his request, he filed an application before defendant
No.2. Plaintiff has no cause of action to the suit. Therefore,
requested the Court to dismiss the suit.
7. P.W.1 reiterated the facts of plaint in his evidence, but
during cross - examination he stated that one Shankaraiah is
the mediator while dealing with the suit transaction. One
Santhosh and Mahender also signed on the sale deed. When he
was questioned regarding the date of agreement of sale, he
stated that he has no idea, he has not mentioned about the
agreement of sale in the registered sale deed, only after going
through the contents of the registered sale deed he signed and
Sub-Registrar executed the document and he has not filed the
agreement of sale either in the Court or anywhere. He also
stated that registered sale deed was executed between
3 to 4 P.M on 20.04.2006, by that time first defendant had left
the registrar office in his car, he cannot say the number of the
car, but the make of the car was Scarpio. He gave complaint to
defendant No.2 at 4:05 P.M. He further stated that he went to
the police station, but he did not give any complaint as
defendant No.1 telephoned to him that he will pay the amount
on the next day. Even afterwards, he has not given any
complaint before the police against defendant No.1. Ex.A1 is
scribed by one Srinivas, he knows the contents of Ex.A1, but he
has not mentioned anything regarding the agreement of sale or
balance sale consideration either in Ex.A1 or under Ex.A2. He
also admitted that after execution of the registered sale deed
endorsement was made in the Passbook regarding registration.
Basing on his complaint second defendant kept the registered
document pending. The District Registrar asked for clarification
from the Government Pleader, High Court on 15.09.2009.
20 days after the registration i.e, 20.04.2006 he filed suit. He
admitted that defendant No.1 filed an appeal before D.R.O. He
also filed counter before the District Registrar. The District
Registrar also examined two attesting witnesses of the registered
sale deed and passed order vide No.11/E/2008 dated
22.03.2010 and released the document in favour of defendant
No.1. He further admitted that he has not pleaded fraud under
Ex.A1 or any other document except in the plaint for the first
time. It was also suggested by him that due to increase of
prices, he demanded more money but defendant failed to pay
the same, he filed the present suit but he denied it.
8. Plaintiff also examined one G.Narsimha Reddy as P.W.2
who accompanied him to the office of the Joint Sub-Registrar on
20.04.2006. Though, he supported the version of plaintiff in the
Chief - Examination regarding non-payment of the sale
consideration by defendant No.1 after the execution of the sale
deed and filing of application before defendant No.1 by P.W.1, in
the cross - examination he clearly admitted that he was not
present at the time of negotiation of the sale prior to
20.04.2006. He along with plaintiff and three other persons
went to the registrar office, but he did not go inside the office
and stayed outside only. P.W.1 informed him that defendant
No.1 has not paid the amount at about 3 or 4 P.M. He along
with other three persons went to Balanagar Police Station, but
they have not given any complaint to the police. P.W.1 gave
complaint to the Sub-Registrar, but Sub - Registrar has not
given any acknowledgment to the plaintiff. He simply put round
mark with red ink in the register.
9. P.W.3 also accompanied plaintiff and P.W.2 to the office of
the Joint Sub - Registrar on 20.04.2006. The chief affidavit filed
by the P.W.2 and 3 are almost similar. In the cross-examination
he has admitted that his wife Sridevi is the own sister of plaintiff
and thus he is the brother - in - law of plaintiff. He stated that
agreement of sale was executed in the month of October and he
cannot say the date on which it was entered in between the
parties. He signed as witness in both receipt and agreement. He
has not signed as witness in the registered sale deed. He did not
sign on the complaint given by the plaintiff which is given to the
registrar. He did not know the name of scribe of the complaint.
Complaint is typed by one and it is in English. He further
admitted that they have not given any police complaint.
10. P.W.4 is the alleged Mediator J.Shankaraiah, he stated
that father of the plaintiff sold Acs.10 - 00 gts of land to his wife
and to his sister - in - law. He did not do any mediation
between plaintiff and the first defendant and he did not receive
Rs.2,00,000/- as commission from plaintiff or car as gift from
the first defendant. He stated that he has not signed as witness
in the agreement of sale along with Bal Reddy. It was suggested
to him that the first defendant gave Ac.1 - 00 gts of land in
Sy.No.8 for deposing in favour of the defendant No.1, but he
denied it. He also stated that he has not attended for the
registration of the sale deed. He further stated that all
registrations of lands in their village will be done at
Maheshwaram Register's Office but not at Moosapet.
11. Defendant No.1 was examined as D.W.1. He stated that
plaintiff offered to sell the suit schedule property for
Rs.8,10,000/-. He paid the total sale consideration and it was
registered in his name on 20.04.2006. He stated that plaintiff
also filed appeal before the Revenue Divisional Officer, Ranga
Reddy East Division vide appeal No.A2/3024/2010 and the
same was dismissed by order dated 03.03.2012 and later the
land was mutated in his name under Exs.B1 to B3 and he has
also filed Pahanies for the year 2010-11 and 2011-12 under
Exs.B4 and B5. In the cross - examination he admitted that
there is reference under Ex.A5 sale deed that he obtained
receipt for Rs.8,10,000/-. It was also suggested to him that he
came to know about pendency of partition suit between plaintiff
and his brothers in Maheshwaram Sub-Registrar's office, as
such he kept registration before Moosapet registrar office which
is at distance of 50 kms but he denied it. He also admitted that
he received legal notice dated 22.04.2006 issued by the plaintiff
but, he has not given any reply. He further stated that he has
not given any complaint to the police stating that plaintiff is
making illegal claim for the balance of amount. It was suggested
to him that even now plaintiff is in physical possession of plaint
schedule property and he is cultivating the same but, he denied
it. He also admitted that before purchase of the land, he did not
survey the land.
12. D.W.2/Mahender supported the version of D.W.1 and
stated that he is one of the attesting witness to the registered
sale deed. In the cross - examination he stated that he is having
acquaintance with defendant No.1 for the last 8 or 9 years.
When he went to Sub - Registrar office on personal work, first
defendant asked him to sign on the registered sale deed as
witness, but he did not know the contents of the sale deed.
Again he stated that contents of Ex.A5 were read over to him
and then only he signed on it. He also stated that one Santhosh
also signed along with him, but he has no acquaintance with
him. He further stated that plaintiff informed him that
Rs.1,00,000/- paid as advance and received balance sale
consideration. He also stated that he was residing in his
ancestral house and the first defendant has not obtained any
receipt from the plaintiff in the registrar office.
13. Basing on the above evidence, it is for the Court to decide
whether Judgment of the trial Court was on proper appreciation
of the facts or not.
14. There is no dispute regarding the fact that plaintiff is the
absolute owner and possessor of the suit schedule property, as
he received it from his mother. He also filed gift settlement deed
dated 03.01.2005 executed by his mother in his favour. The
case of the plaintiff is that defendant No.1 had entered into
agreement of sale with him in October, 2005 for purchasing the
suit schedule property for total sale consideration of
Rs.41,85,000/- @ Rs.7,75,000/- per acre and paid
Rs.10,00,000/- each on two occasions and thus he received
Rs.20,00,000/- as part payment and defendant No.1 agreed to
pay the balance sale consideration to him within 4 months from
the date of agreement of sale and then he has to execute the
registered sale deed. Both of them went to office of defendant
No.2 at Moosapet. Defendant No.1 brought the amount, shown
to him and kept it in his car for the purpose of safety and
informed that he will hand over the same after the registration
of the sale deed. Believing his version, plaintiff informed to
defendant No.2 that he received the sale consideration and thus
defendant No.2 registered the sale deed. Later defendant No.1
fled away in his car without paying balance sale consideration
and immediately he gave complaint to defendant No.2. Plaintiff
has not filed the agreement of sale and receipt for
Rs.20,00,000/- before the Court and he has not stated any
reason why he could not file them. Though, he stated the month
and year of execution of the agreement of sale, the date of
execution was not mentioned. P.W.3 is the brother - in - law. He
stated that he signed on the agreement of sale and receipt
executed between the parties, but the said receipt was also not
filed. Though, he stated that Rs.10,00,000/- was paid on two
occasions but, whether it is paid in cash or by Cheque was not
mentioned clearly. He clearly stated that the balance sale
consideration has to be paid within 4 months from the date of
execution of agreement of sale but the date of agreement of sale
is not stated anywhere. As the plaintiff filed suit for cancellation
of the sale deed on the ground that defendant did not pay
balance sale consideration, it is for him to file the agreement of
sale and receipts passed by him after receiving the part
payment of Rs.20,00,000/- merely because he has given
complaint to the defendant No.2 under Ex.A1 on the same day
or he has issued legal notice under Ex.A2 on 22.04.2006 and it
was received by defendant No.1 under Ex.A3 along with the
certified copy of the sale deed under Ex.A5 and certified copy of
the pahanies under Ex.A4, it cannot be said that he proved his
case. Though, plaintiff stated that P.W.4 is the mediator
between both the parties for the suit transaction, P.W.4 did not
support his conversion and clearly stated that he never
mediated between both the parties. P.W.2 deposed that he was
outside the registrar office and P.W.3 is his brother - in - law
and he did not know about the transactions done prior to
20.04.2006. As per the documents under Ex.A5, sale deed was
executed by plaintiff in favour of defendant on 20.04.2006 for
an amount of Rs.8,10,000/-. It was clearly mentioned in the
sale deed that he received entire sale consideration by way of
cash and thus defendant No.2 executed sale deed after
confirming the market value of the land on 20.04.2006 was
Rs.1,50,000/- per acre and accordingly same amount was also
paid.
15. No doubt, plaintiff gave complaint to the defendant No.2
immediately after execution of the sale deed on the same day.
When an appeal was preferred by defendant No.1 before the
District Registrar, he passed an order vide proceeding No.
11/E/2008 in which it was clearly observed that civil suit filed
by the plaintiff in O.S.No.100 of 2006, later it was numbered as
O.S.No.1211 of 2006. The defendant No.2 has given the
document No.9364 of 2006 and it was executed on 19.04.2006.
But when plaintiff gave complaint, he gave pending
No.P/605/2006. As defendant No.1 gave complaint to the
District Registrar he issued notice to defendant No.2 and also to
the plaintiff. The defendant No.2 in letter dated 04.08.2008
informed about the complaint made by the plaintiff. When they
came to know about filing of the suit by the plaintiff, the District
Registrar observed that it is for the Court to decide the issue as
it is pending before the Court and allowed the appeal with a
direction to the defendant No.1 to receive the document from
the Joint Sub - Registrar, RO, R.R.District within 30 days.
Accordingly, the registered sale deed was released in his favour.
Regarding the jurisdiction aspect District Registrar observed
that in view of Government Orders creating new registration
district viz Ranga Reddy East, in whose jurisdiction S.R.
Maheshwaram falls, the District Registrar, R.R.District East,
transmitted the appeal to him on 15.05.2008. Plaintiff has not
raised any objection regarding jurisdiction. The objection
regarding jurisdiction is to be taken up only at the earliest point
of time, as he failed to do so, at the first appeal stage it need not
be dealt with. In view of execution of Ex.A5 in favour of
defendant No.1, Pattedar Passbook and Title deeds were issued
in his favour and he also filed pahanies under Exs.B4 and B5.
As the plaintiff failed to prove before the Court regarding
execution of agreement of sale and regarding the payment of
Rs.20,00,000/- by defendant No.1 prior to the registration of
sale deed. He has not filed any market value certificate to show
that the value of the land was Rs.7,75,000/- per acre as on the
date of agreement of sale and thus they entered into an
agreement for Rs.41,85,000/- and the registered sale deed was
also executed by him before defendant No.2 in favour of
defendant No.1 the trial Court rightly held that he is not entitled
for cancellation of the sale deed and dismissed the suit. The
Judgment of the trial Court suffers from no infirmity and needs
no interference.
In the result, appeal is dismissed confirming the
Judgment of the trial Court in O.S.No.1211 of 2006 dated
25.09.2013.
Miscellaneous petitions pending, if any, shall stand
closed.
_________________________
JUSTICE P.SREE SUDHA
DATED: 05.12.2022
tri
THE HONOURABLE SMT. JUSTICE P.SREE SUDHA
APPEAL SUIT No. 393 of 2014
DATED: 05 .12 .2022
TRI
Publish Your Article
Campus Ambassador
Media Partner
Campus Buzz
LatestLaws.com presents: Lexidem Offline Internship Program, 2026
LatestLaws.com presents 'Lexidem Online Internship, 2026', Apply Now!