BHAGBAN SAHU Vs. DASARATHI SAHU

JUDGEMENT

(1.) These Civil Revisions are against the order dated 5-5-1952 of Sri P. C. De, Subordinate Judge of Berhampur, in O. S. No. 23 of 1943, directing the receivers to realise, by summary procedure, the unpaid balance consideration of Rs. 3,75,000/- in respect of sale-deeds dated 14-11-1947 in favour of the petitioners (National Agencies at Cuttack and Berhampur) for a consideration of Rs. 6,00,000/-. The subject matters of the aforesaid conveyances dated 14-11-1947 are Aska Sugar Works and Distillery at Aska and Paramananda Saw Mills at Russelkonda.

(2.) The parties to the Partition Suit No. 23/ 1943 are the members of the Berhampur Sahu family well known in the locality as an aristrocratic and rich family. It is to be mentioned that the family are involved in heavy debts and there are quite a number of creditors including judgment-creditors. On the basis of a petition for appointment of receiver in respect of the properties involved in the partition suit, by the order of the High Court dated 21-12-1944, the two defendants (defendant No. 1 Damodar Sahu and defendant No. 19 Dasarathi Sahu) were appointed as receivers. Defendant No. 1 was placed in charge of the management of the aforesaid two important items of properties, that is, the Sugar Distillery at Aska and Paramananda Saw Mills at Russelkonda. The receivers, during the course of their management of the properties of the Sahu family, were earnestly attempting to discover ways and means for discharging the outstanding debts of the members of the family and the debts binding on the family, as a whole. Defendant No. 1 was carrying on negotiations for selling of the aforesaid two mills in his charge and the negotiations advanced a good deal with the present petitioners, National Agencies of Cuttack, the consideration money having been fixed for a sum of Rs. 6,00,000/, that is to say, Rs. 4,00,000/- for the Aska Sugar Distillery and Rs. 2,00,000/-for the Saw Mills at Russelkonda. As a result of these negotiations, on 17-5-1947, 3 draft agreements were filed for approval of the Court in the partition suit between the National Agencies on the one side and the plaintiff and defendants 19 to 22 in respect of one agreement, and defendants 12 to 14 in respect of another and other defendants in respect of the third on the other. On that very day, the Court accorded permission for sale on the terms embodied in the aforesaid draft agreements and approved the terms. The fair copies of agreements were filed on 7-8-1947, and the agreements were approved. The Court, however, ordered :

(3.) A preliminary decree in the partition suit having been passed in terms of the compromise between the parties on 23-4-1951, the Court subsequently appointed 5 receivers to take charge of the management of the assets of the family. These five receivers have filed the present petition out of which these Civil Revisions arise for realisation of the balance consideration money by summary procedure. There is no dispute that the outstanding balance of the consideration in respect of the six sale-deeds is Rs. 3,75,000/-. The purchasers have not put forth any substantial plea in respect of their aforesaid liability. The only plea, put forth and seriously contended before the Court below and before us, is that the liability cannot be enforced by means of summary procedure, but is enforceable only by virtue of a separate suit to be brought by the receivers. The main question to be determined, therefore, is whether it is competent for the Subordinate Judge of Berhampur to take summary proceedings in O. S. No. 23/43 for realisation of the aforesaid balance consideration, or that the Court has got to direct the receivers to file a separate suit on the termination of which alone the money is realisable.