RANGAMMAL Vs. UNION OF INDIA

JUDGEMENT

(1.) PLAINTIFFS Nos. 3 to 6 in O. S. No. 26 of 1956, on the file of the Subordinate Judges Court, Erode, are the appellants before us. They along with four others brought the suit, out of which this appeal arises, for a declaration that the properties described as items Nos. 1 to 13 and 14 to 21 in the plaint schedule should not be either sold or could be sold if at all only subject to a charge in favour of the 6th plaintiff for realisation of income-tax arrears due from their elder brother, Ramaswami, and for a permanent injunction restraining the Union of India and the Collector of Coimbatore from bringing these properties to sale for realisation of the income-tax arrears due.

(2.) THE facts are the following. One Palaniappa Mudaliar was doing hardware business in Erode from 1920. He prospered in the business and purchased many properties including all the properties now in suit. He died in 1937, leaving his widow, the 3rd plaintiff, and eight children. THE first plaintiff was the fourth son of Palaniappa and his sons are the 7th and 8th plaintiffs. It is said that the first two sons of Palaniappa were majors at the time of his death in 1934, and they started a lorry business, yarn business, tapioca business and also did contract work under military authorities and they also started a wirenail business. It is the contention of the plaintiffs that these businesses started by the brothers after the death of Palaniappa were their independent businesses and were not joint family businesses. However, it is admitted that throughout this period the business in hardware started by Palaniappa was being continued. On August 31, 1948, the income-tax authorities assessed the joint family to income-tax for the assessment years and in 1944-45, 1945-46 and 1946-47 and in September, 1948, they completed the assessment for the year 1947-48. All the businesses were treated by the income-tax authorities as joint family businesses and the status of the assessee was taken as undivided Hindu family. After bringing to sale some of the joint family properties and realising a portion of the arrears of income-tax, about a lakh of rupees still remained due and the income-tax authorities took steps to attach and bring to sale the suit items Nos. 1 to 13 and 14 to 21 for the realisation of the arrears. At this stage the present suit was brought by the plaintiffs for the relief above mentioned. In 1948, the plaintiffs filed O. S. No. 92 of 1948, on the file of the Subordinate Judge of Coimbatore against their major brothers for partition of the joint family estate. A preliminary decree was passed in that case on November 29, 1948, and by the final decree passed on April 12, 1949, items Nos. 1 to 13 of the present plaint were allotted to minor plaintiffs 4 to 6 and also plaintiffs 1 and 2 who were then minors. In addition by the final decree a sum of Rs. 4,000 was directed to be provided for the marriage expenses of the 6th plaintiff and a charge was given on all the properties items Nos. 1 to 21 for payment of this marriage provision.