PUSHPA DEVI SARAF Vs. JAI NARAIN PARASRAM PURIA

JUDGEMENT

(1.) R. R. K. Trivedi, J. Aggrieved by the judgment and decree dated 23-10-1992 passed by learned 5th Additional District Judge, Kanpur Nagar, in Original Suit No. 537 of 1984, four defendants have preferred this appeal. By the impugned decree, the aforesaid suit seeking specific performance of the agreement to sell dated 12-6- 1984 has been decreed against defendants appellant Nos. 1 to 4 and defendant respondent No. 4 M/s. Kanpur Exports (Pvt.) Ltd. , hereinafter referred to as the Company (which was defendant No. 1 in the suit ). The subject-matter of dis pute was a house bearing municipal num ber 7/169, constructed over a freehold plot No. 22, measuring 2978 sq. yards, situate in block B, Scheme No. 7, Gutaiyya, Swaroop Nagar, Kanpur.

(2.) PLEADINGS of the parties and the facts of the case have already been men tioned in detail in the impugned judgment. However, certain facts which appear necessary to appreciate the most conten tious issues between the parties are being detailed hereunder:

(3.) AT this stage, it is also relevant to mention that the Company filed annual return under Section 159 of the Companies Act for the period ending 15-12-1980 iii the. Schedule annexed to this return showing fixed assets. , In this Schedule freehold land valuing Rs. 1,02,500 and building including additions valuing Rs. 1,20,000 has been shown; The address of the Company has been shqwn-7/169, Swaroop Nagar, Kanpur. In the an nual return of 1981 the value of the freehold land has been shown the same but the value of the building has been shown as Rs. 1,35,043. 00 showing additions to the extent of Rs. 15,043. 71 p. In 1982 the value of the freehold land has been shown the same but the value of the building has been shown as Rs. 1,55,018. 87 p. In 1983, the value of the freehold land has been shown as the same but the value of the building has been shown as Rs. 5,71,324. 37 p. , thus showing addition of Rs. 4,16,305. 50p. in that year alone. In 1984, a further addition of Rs. 55,466. 37p. has been shown. Thus, the value of the building became Rs. 6,26,790. 74p. The total value of the property in dispute as per records of the Company was thus Rs. 7,29,290. 74p. There is one more important aspect of the matter worth noticing at this stage, that the Company paid each appellant Nos. 1 and 2 an amount of Rs. 1,11,250. 00 (total amount Rs. 2,22,500. 00) on 5-10-1979, which was towards payment of considera tion of the sale-deed and expenses in curred in payment of stamp duty and registration charges in execution of the sale- deed dated 24-2-1979. The Company also created a charge on the property in dispute by way of equitable mortgage in favour of bank.