V RAMESH Vs. SHAKTI CULTURAL ASSOCIATION

JUDGEMENT

(1.) THIS is defendants Regular first appeal challenging the judgment and decree passed by the Trial Court decreeing the suit of the plaintiff as prayed for.

(2.) FOR the purpose of convenience, the parties are referred to as they are referred to in the original suit.

(3.) THE plaintiff M/s.Sree Shakthi Cultural Association is a Society registered under the provisions of the Society Registration Act. The case of the plaintiff is, it is the absolute owner of the property bearing house list No.10C, Khatha No.140, situated at Pantharapalya village, Kengeri Hobli, Bangalore South Taluk, measuring east to west 80 feet and north to south 70 feet. The plaintiff Association purchased the said property under a registered sale deed dated 19.4.1998. The notification came to be issued on 2.6.1999 proposing to acquire the said property for Bangalore Mysore Infrastructure Corridor Project and final notification was issued on 12.3.2003. The defendants Sri.V.Ramesh, Ex -President of the plaintiff, Sri.B.S.Srinivasa Rao, Ex -Secretary of the plaintiff and Sri.M.Chandrashekar, Ex -Treasurer of the plaintiff proposed to put up construction by availing loan from the financial institutions on the said site though they were aware of the acquisition proceedings. They obtained sanctioned plan from the Bangalore City Corporation on 14.6.2004 for construction of a residential house over the said site. In the meantime, on 19.12.2005 notice was issued to the plaintiff Association by the Special Land Acquisition Officer and by NICE Company on 1.9.2005 proposing to take possession of the property. The notice dated 19.12.2005 issued by the Special Land Acquisition Officer was received on 21.12.2005. The Special Land Acquisition Officer requested the plaintiff not to put up unauthorized construction over the said property in violation of the preliminary and final notifications. Though the defendants were aware, if any building is constructed, it would be demolished, the defendants availed huge loan which was sanctioned on 24.9.2005. The defendants hurriedly put up construction though they were aware NICE Company would take possession of the property. The plaintiff s grievance is that the defendants decided to pay Rs.10,00,000/ - to the defendant No.4 Advocate being the Honorary Member of the plaintiff Association. A sum of Rs.8,50,000/ - was paid on 21.5.2009 and a sum of Rs.1,29,400/ - was paid on 10.7.2009. At the first instance, the defendant No.4 questioned the show -cause notice dated 29.5.2005 after a lapse of two years before sanctioning of the loan and construction of the building in W.P.No.5832/2006. Subsequently, the writ petition was withdrawn. Thereafter, the defendants filed suit in O.S.No.5935/2009 against the Land Acquisition Officer for permanent injunction restraining them from demolishing the structure put up on the schedule property. The defendants had not taken the approval of the General Body to pay the said amount. Therefore, the defendants are liable to pay the amount with interest at 24% p.a. A legal notice was issued calling upon the defendants to pay the amount. The defendants submitted their resignations on 21.3.2010 with an intention to avoid their liability. Therefore, the plaintiff has prayed for a decree for a sum of Rs.13,46,580/ - jointly and severally against the defendants with costs and future interest.