ISHWAR DASS MALHOTRA Vs. DHANWANT SINGH

JUDGEMENT

(1.) The appellant, Ishwar Das Malhotra, filed a suit for recovery of Rs. 17.500.00 based on the mortgage of two properties. Dhanwant Singh, defendant No. 1 (respondent No. 1 herein) was the person stated to have taken loans from the plaintiff-appellant on the basis of these mortgages while defendants-respondents Nos. 2 to 5 were the persons who had allegedly purchased the mortgaged properties subsequently. The suit of Malhotra was decreed but only against defendant No. I, Dhanwant Singh, and his suit as against defendants Nos. 2 to 5 was dismissed with costs. It was held that Dhanwant Singh was not competent to mortgage one property and as regards the other property no mortgage was enforceable. Malhotra was also awarded interest at the rate of 6% per annum and not at 7% per annum as claimed by him. Aggrieved, Malhotra has appealed to (his court.

(2.) The two mortgaged properties are .'(1) house No. J-6/87 Rajouri Garden, New Delhi, and (2) house No. j-7/24, Rajouri Garden, New Delhi. At the relevant time property No. J-6/87 was a plot of land and was owned by Dhanwant Singh who, by asale deed dated 11-3-1966, sold the same to Smt. Indrawati, respondent-defendant No. 2. The sale deed was registered on 17-3-1966. Smt. Indrawati constructed a single storeyed house thereon and sold the same to respondents-defendants Nos. 3 and 4, namely, Smt. Basant Kaur and Smt. Harbans Kaur, respectively by a sale deed dated 10-10-1966. Incidentally, it may be noted, during the pendency of the present appeal Smt. Basant Kaur died and her legal heirs were brought on record. Reference to Smt. Basant Kaur would therefore, mean reference to her legal representatives.

(3.) Property No. J-7/24, at that time was asingle store) ed house and " was owned by Smt. Indrawati. She sold this house along with the plot to Dhanwant Singh on 11-3-1966, and the sale deed was also registered on the same date. Dhanwant Singh, in turn, sold this property to Harjeet Singh Dhanjal, respondent-defendant No. 5 by a sale deed dated 5-6-1975.