DEO NARAIN SINGH Vs. AJODHIYA PRASAD

JUDGEMENT

(1.) These appeals arise out of two suits for pre-emption brought in the following circumstances: On the 1 of May 1923. Mt. Abharaji joined with one Ajudhia, her reversioner, in executing a sale-deed in favour of the Defendants Nos. 2 to 4 and the predecessors of the Defendants Nos, 3 to 7. The consideration shown in the sale-deed is a sum of Rs. 100. A suit to pre-empt the sale was brought by one Deo Narain Singh who alleged that the real consideration was only Rs. 25. He sought pre-emption of the sale on payment of this sum.

(2.) After this suit had been instituted the defendant-vendees obtained from Mt. Abharaji alone a deed which purported to be a deed of gift, the value of the property being expressed to be Rs. 400. The plaintiff Deo Narain Singh instituted another suit to challenge this transaction. He alleged, in the first place, that it was a fictitious transaction entered into for the purpose of defeating his right of pre emption in the other suit. He claimed in the alternative that, if the transaction was areal transaction, it was a transaction of sale and not of gift.

(3.) The trial Court found that the transaction was a gift and not a sale and, on this finding it dismissed the suit for preemption of the sale. This finding has been confirmed in appeal by the lower appellate Court. The point which is raised here in second appeal in both cases is that the plaintiff's right to claim preemption had not been defeated by reason of the transaction which was found by both Courts to be a gift, and the ground taken is that the interest which was transferred by the deed of gift was not an indefeasible interest. In this connexion Section 20 of the Pre- emption Act is referred to.