KALPANA KOTHARI Vs. SUDHA YADAV

JUDGEMENT

(1.) Special leave granted.

(2.) Having regard to the nature of the orders under challenge and the stage of the proceedings, we consider it inappropriate to refer to or delve in great detail with the allegation and claims on either side, in this judgment. But, it becomes necessary to deal with the background of the disputes between parties on a bird's eye view.

(3.) One Shri Laxmi Narain Yadav (since dead) was running a hotel business in tourist bunglow on Mirza Ismail Road at Jaipur, which belonged to him exclusively and absolutely. It was said to have been constructed on agricultural land without obtaining proper sanction and the proceedings were also said to have been initiated against him, in accordance with law. On 13-2-1980, Laxmi Narain Yadav died leaving behind him a son Shri Vijay Krishna Yadav (a law graduate) and his wife Smt. Ashok Kumari and in a family settlement arrived at thereafter, the entire land and building admeasuring 5354 sq. yds. (4478 sq. meters) of the Tourist Hotel as such fell to the share of the son Shri Vijay Krishna Yadav. Thereafter, he made a notional division of the property into three shares measuring 1184 sq. meters, 1587 sq. meters and 1707 sq. meters in favour of himself, his wife Smt. Sudha Yadav and son Prashant Yadav. On 31-1-1987, a partnership by name M/s. Sumeru Enterprises was entered into between Shri Yadav, his wife, M/s. Padmini Enterprises Pvt. Ltd. and one Smt. Kalpna Kothari, besides admitting the minor Prashant Yadav to the benefits of partnership, with share in profits at 11%, 12%, 32.5%, 32.5% and 12% with share in losses at 14%, 15%, 35.5%, 35.5% and nil respectively among them. The property of the Tourist Hotel was brought into as the stock of the Firm and valuing the same at 61% the respective shares was credited into the Capital Account of the Firm as Rs. 17,00.000/-,Rs. 22,00,000/- and Rs. 22,00,000/- respectively in the names of Shri Yadav, his wife Smt. Sudha Yadav and their minor son Prashant Yadav. The rest of the capital was said to be required to be arranged by the other partners M/s. Padmini Enterprises Pvt. Ltd. and Smt. Kalpana Kothari. For purposes of the partnership business, the land was got converted from agricultural use to commercial use on payment of the required conversion charges by the Firm and a registered lease-deed was entered into between the State represented by the Governor of Rajasthan and the Firm M/s. Sumeru Enterprises on 3-3-1989. The building plans were said to have been got approved from the Jaipur Development Authority in July 1991 and thereafter on 5-10-1991, all the partners of M/s. Sumeru Enterprises seem to have entered into an agreement with M/s. Parasnath Builders Pvt. Ltd. as per the terms of which, among other things, the builders were appointed as Agent and Manager, not only to execute the constructions but also to enter into negotiations for sale of the apartments (shops, offices, etc.) on such terms and conditions and at such rate or prices as prevalent in the market with the intending purchasers. All the partners also were said to have executed a Power of Attorney dated 2-11-1991 duly registered in favour of M/s. Parasnath Builders Pvt. Ltd.