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Supreme Court of India

CRYSTAL DEVELOPERS ETC. ETC.versusSMT. ASHA LATA GHOSH (DEAD) THROUGH LRS. AND ORS., ETC. ETC.

Citation
2004 INSC 576
Decided
5 October 2004

Holding

Revocation of probate is prospective and does not invalidate bona‑fide intermediate acts of the executor; the sale to Crystal Developers was valid, making them bona‑fide purchasers, and the subsequent transfers are binding on the heirs.

Summary

Balai Chand Ghosh, who had three wives and nine children, executed a will bequeathing a suit property to his son Arindam (the third wife's son) and appointed him executor. During the testator's lifetime, sale agreements were executed by Arindam as a constituted attorney, and the testator received part of the consideration, indicating his consent. After the testator's death, probate was granted but later revoked on the ground of non‑citation of two step‑sisters, not fraud. The lower courts held that the sale to Crystal Developers and subsequent transfers were void, deeming the developers not bona fide purchasers. The Supreme Court examined the statutory provisions and held that revocation of probate operates only prospectively and does not invalidate bona‑fide intermediate acts of the executor; the sale to Crystal Developers was valid, they were bona‑fide purchasers, and the subsequent alienations bind the intestate heirs. Consequently, the partition suit was dismissed and the lower courts' orders set aside.

Issues considered

  • The effect of revocation of a grant of probate on dispositions made during its pendency.
  • Whether the disposition to the developers was founded on fraud or collusion between the executor and the developers.
  • Whether Crystal Developers (defendant No.14) was a bona‑fide purchaser for value without notice.
  • Whether the subsequent alienation by Crystal Developers to defendants No.15‑20 is valid and binding on the intestate heirs.

Legislation cited

Subjects

probatewillexecutorbona fide purchaserrevocation of probatepartition suitIndian Succession ActTransfer of Property ActSection 41fraudcollusion

Judgment

                       CRYSTAL DEVELOPERS ETC. ETC.                                    A
                                           v.
        SMT. ASHA LATA GHOSH (DEAD) THROUGH LRS. AND ORS.,
                            ETC. ETC.

--                               OCTOBER 5, 2004
                                                                                       B
                     [ASHOK BHAN AND S.H. KAPADIA, JJ.]


           Indian Succession Act, 1925; Ss. 2(/), 2(h), 63, 2Jl, 212, 213, 214, 218,
     219, 220, 221, 227, 235, 263, 273, 278, 297, 307 and 332:
                                                                                       c
             Testator bequeathing property in dispute to his son from third wife
      ignoring other legal heirs-Grant of probate/Letter of Administration-Suit
     for partition of the property filed by other legal heirs-Agreements to sell the
     property in dispute entered into between the testator and vendee-Execution
      thereof by the executor-son after death of his father/testator-Revocation of D
      probate on ground of non-citation-Sale transactions-Validity of-Held:
      Agreement to sell the property executed and certain amount as part
      consideration received by testator himself during his life time-Testator had
      strained relations with his second wife and sons but had cordial relations with
      his third wife and son-Testator bequeathed his properties to his son from
     third wife out of love and affection, and appointed the son as constituted E
     attorney for negotiations and selling of the property-No abnormality found
      in testator appointing one of his sons as constituted attorney-Trial Court
     failed to take into account the proved preponderatory circumstances but was
      influenced by unconsequential matters in holding the will as not genuine-
      Grant of Probate establishes the genuineness of the will-Grantee entitled to F
     convey the title-If propounder did not take appropriate steps by mistake to
     notify his heirs_ before obtaining probate, third party/purchaser, if acted
      bonafidely, not answerable to the mistake committed by the grantee-Since
      Vendees invested huge amount to free the suit premises from requisition,
     acquisition and other encumbrances, they were .bound to expedite the 3ale
     after grant of probate-Since partition suit filed by other legal heirs, sons G
     from second wife of the testator, and the suit premises got demolished and a
     new building constructed thereon, it shows that other legal heirs also had
     knowledge of these events-They knowingly allowed the executor of the will
     to represent himselfas owner of the suit property-Hence, Vendee is bonafide
                                           31                                          H
    32                        SUPREME COURT REPORTS [2004] SUPP. 5 S.C.R.
                                                                                       ..-..~
A purchaser for value-Indian Evidence Act, 1872-Section 68.
           Effect of affidavit and counter affidavit on the genuineness of the will-
    Held: Initially mother of the executor alleged the will as forged in terms of
    affidavit filed by her at an interim stage of the proceedings, she rectified the
    earlier statement by supporting the genuineness of contents and signatures of
B   testator on the will by filing another affidavit-'{hese evidence not shaken-
    Hence, alleged suspicious circumstances stand cleared.
                                                                                         '(
          Revocation of grant-Circumstances-Held: Liable to be revoked if
    obtained fraudulently-Probate Court revoked the grant on ground of non-
    citation-Since the executor of the will deposed that he could not cite his two
c   step sisters due to mis-conception and not on account offraud, Courts below
    erred in concluding that the probate was obtained by the executor fraudulently.

          Constitution of India, I950; Article I36-Scope of-Discussed.

          Transfer of Property Act-Section 41-Applicability of-Discussed.
D
          Words and Phrases: 'Executor' and' administrator-Distinction between

         A partition suit was filed by the legal heirs, sons of the deceased/
  testator, claiming their share in the properties. The deceased had three
  wives (One of whom died during his life time) and nine children. He was
E living along with his third wife (defendant No.I) and son (defendant No.2)
  since he. was having strained relations with his second wife and other
  children. Defendant No.2 contested the suit relying on several documentary
  evidence including the registered Will made by his father during his life
  time, bequeathing the disputed properties in his favour. The disputed
F property was transferred by defendant No.2 in favour of the appellant/
  Vendee (defendant No.I4 in the suit). Subsequently the property was
  transferred by the appellant in favour of defendant Nos. I5 to 20. Trial
  Court decreed the suit holding that defendant No.I4 was not bona.fide
  purchaser since the agreements (Ex.A/I and ExA/2) for sale of the disputed
  properties were executed by defendant No.2 as constituted attorney when
G his. father, owner of the property was alive; that the probate was obtained
  by defendant No.2 without service of the citations on his step sisters; that
  the suit for specific performance filed by the Vendee was settled in haste
  as the transfer deed (Ex.A/8) was executed by defendant No.2 even without
  receiving the total consideration amount from the vendee; and that the
                                                                                        ...
H property was further sold to defendant Nos. I5 to 20·even after revocation
  ,I

,,.                               CRYSTAL DEVELOPERS v. A.L GHOSH                        33
  • >-.
                of the grant of probate. The order of the Trial Court was affirmed by the      A
                High Court. Hence the present appeals.

                      It was contended by the appellants that although Ex.All and Ex. Al
                2 were executed by defendant No.2 as constituted attorney of the deceased,
                certain amount was received by the deceased from defendant No.14 as
                evidenced by receipts Ex.A/3 and Ex/A/4, which establish that the deceased B
                during his life time had intended to sell the suit property. Thus, Ex.All
                was binding on him as also on his heirs; that since Ex.A/8 was executed
      ,,~




                pursuant to the agreements for sale of the properties, Ex.All, Ex.A/2 and
                the probate, it was binding on the estate of the deceased; that it was not
                open to the plaintiffs/other legal heirs to impugn transfor deed, Ex.A/8,
                as fictitious or fraudulent as they had acquiesced and allowed the suit
                                                                                               c
                property to be freed from encumbrances by the vendees; that Ex.A/8 was
                entered into only after thorough search of the title deeds and the
                documents, including the probate; that defendant No.14 had paid the
                balance consideration amount to defendant No.2 who was the executor
                under the will; that in terms of the order of the Court defendant No.2 was D
                brought on record as the executor under the will on demise of his father,
                the testator; that the second wife of the deceased was aware of defendant
       _,,
                No.2 being appointed as an executor; that the probate Court has revoked
                the grant only on the ground of non-citation which was admitted by PWl
                in his evidence; that the revocation cannot annul the impugned disposition
                                                                                             E
                which was effected during the period when probate was in existence; that
                in the absence. of allegation of fraud or collusion against defendant No.14,
                both the Courts below erred in holding that defendant No.14 was not at
                arms length to defendant No.2, since fraud and collusion have to be alleged
  ·~            and proved; and that defendant No.14 had completed the sale only after
                the grant of probate. Thus, defendant No.14 was a bona fide purchaser F
                and since defendants Nos.15 to 20 had derived title from defendant No.14,
                they are also protected.

                      It was submitted by the respondents that defendant Nos. 14 to 20
                were not entitled to rely upon the probate or the will in support of their
                case in view of the concession made by them before the Division Bench of       G
                the High Court; that probate granted without will being proved in
                accordance with Section 63 of the Indian Succession Act and Section 68
                of the Evidence Act is void ab initio; that the impugned will was surrounded
                by suspicious circumstances and that the onus was on defendant No.2 or
      _.....,   defendant No.14 to remove or explain t_hose circumstances; that the
                                                                                               H
         34                       SUPREME COURT REPORTS J2004) SUPP. 5 S.C.R.                  (
                                                                                          "'" ~~
     A consent decree was a collusive decree entered into with the intention to
         defeat the rights of the plaintiffs/other heirs in the partition suit; that
         defendant No.14 or defendant Nos. 15 to 20 cannot claim protection for
         the transfer, which originated from fraud.; that suit for specific
         performance was filed by defendant No.14 to complete the sale at the
         earliest; that the total price/consideration amount payable was higher but
     B   defendant No.2 transferred the property for lesser amount; ancl that by
         surreptitious method, defendant No.14 in connivance with defendant No.2
         as constituted attorney executed Ex.A/2 after death of the owner of the
         property.

     c Civil Allowing Civil Appeal Nos. 6258 and 6259 of 2000 and disposing of
             Appeal Nos. 6871-6873 of 2003 as having become infructuous, the
         Court

                HELD: 1.1. Sections 211, 212 and 213 of the Indian Succession Act
         bring out a dichotomy between an executor and an administrator. They
     D   indicate that the property shall vest in the executor by virtue of the will
..       whereas the property will vest in the administrator by virtue of the grant
         of the letters of administration by the Court. These sections indicate that
         an executor is the creature of the will whereas an administrator derives
         all his rights from the grant of letters of administration by the Court. In
         the case of letters of administration, intermediate acts of the grantee are
     E   not protected whereas in the case of probate, all such acts are treated as
         valid. [54-B; 55-A)

                 1.2. Under Section 263 of the Act, grant of probate of letters of
                                                                                               )c
         administration is liable to be revoked on any of five grounds mention~d
         therein. One of the grounds is failure on the part of the grantee to exhibit/
     F                                                                                         l
         file an inventory or statement of account. Similarly, the probate or letter           ;.

         of administration is liable to be revoked if the grant is obtained
         fraudulently. If the grant is not ab initio void in the case of non-filing of
         inventory or statement of account then equally it cannot be ab·initio void,
         if it is obtained fraudulently. If the intermediate act of the executor is not
     G   for the purpose of administration of the estate or if the act is performed
         in breach of trust then such act(s) is not protected. However, acts which
         are in consonance with the testator's intention and which are compatible            -~
                                                                                               ~




         with the administration of the estate are protected. Therefore, on reading
         Sections 211, 227 along with Section 263 of the Act, it is clear that
         revocation of the grant shall operate prospectively and such revocation          ....__
     H
                         CRYSTAL DEVELOPERS v. A.L GHOSH                         35
       shall not invalidate the bona fide intermediate acts performed by t"e           A
       grantee during the pendency of the probate. (55-G, H; 56-A, Bl

             1.3. Section 273 of the Act refers to conclusiveness of the probate a~
       to the representative title. It establishes the factum of the.will and the legal
       character of the executor and all the property of the deceased testator from
       the date of the death of the testator, as long as the grant stands. Under B


...    Section 41 of the Evidence Act, the grant operates as judgment in rem and
       can be set aside on the ground of fraud or collusion provided it is pleaded
       and proved by the party so alleging. It is, therefore, not a pure question
       of law. Hence, the revocation will not operate retrospectively so as to .
       obliterate all intermediate acts of the executor performed during the C
       existence of the probate, however, ifthe intermediate acts are incompatible
       with the administration of the estate, they will not be protected. That the
       conclusiveness under Section 273 is of validity and contents of the will.
                                                                          [57-B, C, DJ

             Lady Dinbai Dinshaw Petit and Ors. v. The Dominion ofIndia and Anr.,      D
       AIR (1951) Bombay 72; S. Parthasaithy Aiyar v. M Subbaraya Gramany
       and Anr., AIR (1924) Madras 67; Mt. Azimunnisa Begum v. Sirdar Ali Khan
       and Ors., AIR (1927) Bombay 387; Cherichi v. Jttianam and Ors., AIR (2001)
       Kerala 184; Sheonath Singh v. Madan/al, AIR (1959) Raj. 243; Mrs. Hem
       Nolini Judah v. Mrs. Jsolyne Sarojbashini Bose and Ors. AIR (1962) SC 1471;
       Komollochun Dutt and Ors. v. Nilruttun Mundie 4 ILR Cal.360; Akshay             E
       Kumar Pal v. Nanda/al Das, ILR (1946) 1 Cal. 432 and Valerine Basil Pais
       (dead) by Lrs. v. Gilbert William James Pais and Anr., (1993) 2 Kar. LJ 301,
       referred to.

             1.4. The finding of the Trial Court is perverse since it is clear that
       the probate was revoked only on account of non-citation and despite this        F
       evidence, the Trial Court holds that the probate was revoked on the
       ground of forgery and fraud apart from non-citation. Hence, finding of
       the Trial Court is unsustainable for want of evidence. [60-F, G, HJ

             2.1. The testator had married thrice. His first wife pre-deceased him.
       When he made the will he had two wives and nine children. He was strong         G
       willed person who was conscious of his legal rights and had considerable
       properties. During his life time itself, he asserted his legal rights qua the
       tenants and used to litigate on every issue. He collected rent from the

 ...   tenants. He filed eviction and rent collection suits against the tenants. He
       sued his second wife by filing numerous cases. He was at one point of time      H
    36 .                      SUPREME COURT REPORTS (2004] SUPP. 5 S.C.R.

A living with his second wife and her sons in one of the properties. However,
    his second wife and her sons started disobeying him; they were ungrateful
    to him; he was ill-treated by them and that thereafter he has been living
    with his third wife and her son. In the circumstances, there was no question
    of defendant No.2, executor of the will influencing his father/testator in
B   the making of the will bequeathing the suit premises to him.
                                                     (62-G, H; 63-A; 64-B-C-D)

          2.2. The evidence shows th.at during the life time of the testator,
    agreements for sale of the properties, Ex.All and Ex.A/2, came to be
    executed. That although Ex.All and Ex.A/2 were executed by defendant
C   No.2 as the constituted attorney of the deceased/testator, certain amount
    was received by the testator himself from defendant No.14/vendee, which
    is uncontroverted evidence, and which indicates that the testator was
    aware of Ex.All and that he intended to sell the suit premises to defendant
    No.14. Further, he lived for almost three years after making the will. He
    found defendant No.2 to be obedient. He loved defendant Nos. 1 and 2.
D   These basic tell-tale circumstances have not been considered by the Courts
    below. Both the Courts below have drawn inferences from circumstances
    with dead uniformity and without realistic diversity. The basic error
    committed by the Courts below is that it has examined the alleged
    suspicious circumstances de hors the tell-tale circumstances duly
E   established by evidence and the contents of the will. In the light of the
    above circumstances, the factors relied upon by the Courts below are not
    relevant particularly in the context of deciding the question whether the
    testator had approved the impugned disposition in favour of defendant
    No.2. [64-E, F, G, H; 65-A)

F        Surendra Nath Chatterji v. Jahnavi Charan Mukherji, AIR (1929) Cal.
    484 and Smt. Indu Bala Bose and Ors. v. Manindra Chandra Bose and Anr.,
    AIR (1982) SC 133, referred to.

           3.1. The Trial Court has placed reliance on the affidavit of defendant
    No. l, third wife of the testator, in which she has alleged that the will was
G   forged; and that it was outcome of undue influence exercised by defendant
    No.2 on his father. However, the said affidavit has been filed by her at an
    interim stage and it is not put in evidence. Subsequently, she filed another
    affidavit whereby she confirms the signature of her husband, the testator
    on the power of attorney in favour of defendant No.2. She also confirms
    the sale by defendant No.2 in favour of defendant No.14. Defendant No.2
H   in his evidence has explained that the first affidavit was filed by his mother




        ..
                  CRYSTAL DEVELOPERS v. A.L GHOSH                         37
under misconception and subsequently on going through the papers she            A
had rectified her earlier position. This evidence has not been shaken.
Therefore, the alleged suspicious circumstance stood cleared. (65-B, C, DI

      3.2. The execution of power of attorney by the testator was found to
be abnormal by the Trial Court. He was 90 years of age. Negotiation for
sale is a tedious and laborious task. Though he was hale and hearty but         B
to negotiate and sell the property was difficult for an old man. Hence, there
could be no abnormality in the son being appointed as constituted attorney,
particularly when under the will he was the legatee. The Trial Court has
come to the conclusion that the power of attorney was not produced in
evidence by him and consequently execution of Ex.A/I by constituted             C
attorney was to defraud the testator and his heirs. However, the Trial
Court has failed to consider the evidence of defendant No.2 stating that a
part of sale consideration was received by the testator. (65-D, E, Fl

      3.3 Another circumstance which the Trial Court takes into account
is that defendant No.2 has received payments of Rs.9.54 lacs whereas under      D
the agreement (Ex.A/I) he was entitled to receive Rs.15 lacks. However,
no suggestion was put to him in cross-examination on this point. In the
absence of allegations the Trial Court could not have proceeded on the
circumstance to hold that property was sold at a lesser price. In fact, there
was no such plea taken by the plaintiffs/legal heirs. (65-G, H; 66-A, BJ

      Surendra Nath Chatterji v. Jahnavi Charan Mukherji, AIR (1929) Cal.
484, referred to.

    3.4. The Trial Court placed reliance on revocation of probate.
According to the Trial Court the will was forged. However, this finding
was without evidence. [66-C]                                                    F
      Naresh Chandra Ghosh and Ors. v. Archit Vanijya and Viniyog Ltd and
Ors., (1998) 2 Cal. L.J. 344, distinguished.

      4. The findings of the Courts below are not based on evidence. The
Trial Court has failed to take into account the proved preponderatory G
circumstances and it was influenced by inconsequential matters in holding
that the will was not genuine. It is reiterated that revocation of the probate
operates prospectively; that such revocation does not obliterate bona fide
transactions entered into by the executor during the pendency of the
probate. The findings of the Courts below are perfunctory. High Court' H
    38                       SUPREME COURT REPORTS [2004] SUPP. S S.C.R.

A has given a finding that in 1982 defendant No.2 got impleaded in a suit
    without disclosing the conv!'!yance. No particulars of the order of
    impleadment h~ve been given. However, it has been found that order dated
    21.8.1982 passed by Additional District Judge in Misc. Case No.3/80 in
    which the testator was a party as a shebait and the subject matter of the     .'
B   case was quite different. Further, Ex.A/8 in the present case concerning
    the suit premises was not relevant in the Misc. case as the subject matter
    of the two cases was different. That in any event the order was not put to
    defendant No.2 in cross-examination. In th~ circumstances, the High Court     \.
    erred in holding that defendant No.2 had deliberately withheld the
    disclosure of the conveyance and the probate. (66-F, G; 67-B, C, D, E]
c          5. The High Court has also given a finding that defendant No.2 had
    obtained the probate fraudulently without service of citation on his mother
    and two step sisters. There is no evidence. On the contrary, the Probate
    Court had rejected the application for revocation made by another son
    of the testator on the ground .of forgery and fraud. High Court erred in
D   disbelieving defendant No.2 when he deposed that his two step sisters were
    not cited as they were not the legatees. This was due to misconception and
    not on account of fraud. Lastly, the High Court has observed that the will
    is lying in the state of derelict without being probated. After revocation,
    defendant No.2 applied for revival of proceedings; that order of revival
E   was passed and it was challenged by one of the sons of the testator.
    Therefore, these circumstances indicate the strained relationship between
    the parties, their propensity to litigate at every stage have not been
    considered by the Courts below. Hence, the findings of the Courts below
    are based on conjectures and suspicion and that relevant circumstances
    have not been taken into account. [67-F, H; 68-A, BJ
         ..              '
F
          6. The grant of probate establishes the genuineness of the will and
   the person in whose favour the probate is granted is entitled to convey
   the title arising out of the will probated by the Court. It may happen that
   the propounder did not take appropriate steps, by mistake, to notify the
   other heirs before obtaining probate. But the third party who acts bona
G fide and deals with ttie grantee cannot be made answerable to the fraud
   o_r mist~kes committed by the propounder. (68-E, F]

           Valerine Basil Pais (dead) by Lrs. v. Gilbert William James Pais and
    Anr., (1993) 2 Kar. L.J. 301, referred to.
H/
                   CRYSTAL DEVELOPERS v. A.L GHOSH                        39
       7. Without allegation of collusion against developers, both the Courts   A
erred in holding, without evidence, that Ex.A/8 was collusive as it was got
executed expeditiously. The evidence shows the propensity of the family
to litigate on every issue. Appellant, the developers had invested hug(l
amount not only in the payment of consideration but also by way of costs
incurred to free the suit premises from requisition, acquisition and other      B
encumbrances including eviction of tenants. Under these circumstances,
after the probate, the developers were bound to expedite the sale. Even
according to the Division Bench of the High Court, defendant No.2 was
not reliable. In the circumstances, without evidence, the Courts below
erred on the basis of expedition of sale that Ex.A/8 was fictitious and based
on collusion between defendant No.2 and defendant No.14. [70-C, D, El           C

       8. The second wife of the testator was aware of the will. However,
 she did not apply for letters of administration. She did not challenge the
 will. The plaint was amended. The developers demolished the old building
 and constructed a multi-storied building. They got freed the property from
 all encumbrances. In the circumstances, it cannot be said that the other D
 heirs of testator had no knowledge of these events. Hence, the test laid
 down by the High Court in the case of Naresh Chandra Ghosh and Ors. v.
 Archit Vanijya & Viniyog Ltd and Ors. in the matter of applicability of
 Section 41 of the Transfer of Property Act is squarely applicable to the
 facts of the present case. The intestate heirs of the testator allowed E
defendant No.2 to represent to the developers that he was the owner of
the suit premises. It is established by the conduct of the inaction on the
 part of the intestate heirs of the testator. Hence, defendant No.14 was bona
fide purchaser for value. [71-B, C, D, E]

      Gurbaksh Singh v. Nikka Singh and Anr., AIR (1963) SC 1917, relied        F
on.

      Seshumull M Shah v. Sayed Abdul Rashid and Ors. AIR (1991) Kar.273
and Naresh Chandra Ghosh and Ors. v. Archit Vanijya & Viniyog Ltd. and
Ors., (1998) 2 Cal. L.J. 344, approved.
                                                                                G
      9. Under the will, the suit premises have been bequeathed by the
testator to defendant No.2, his son from the third wife who is also
appointed as an executor. Therefore, there is nothing to suggest that Ex.A/
8 was incompatible with the administration of the estate of the testator.
In the circumstances, defendant No.14 was a bona fide purchaser for value       H
    40                       SUPREME COURT REPORTS [2004) SUPP. 5 S.C.R.
                                                                                    ,, ,,..
A and the alienation effected by defendant No.14 in favour of defendants
    No.15 to 20 was valid. Before the Trial Court, defendant No.14 and
    defendant Nos. 15 to 20 had asked for stay of the partition suit pending
    decision by the Probate Court. It was objected to by the plaintiffs. The
    objection of the plaintiffs was upheld and the matter was decided against
    the defendants. Besides, before the Trial Court, it was the plaintiffs who
B   had relied upon the alleged suspicious circumstances surrounding the    will.
    In the circumstances, defendants No.14 to 20 cannot be prevented from
                                                                                         ~;
    relying on the probate and the will. [71-G; 72-D, E)

        G.F.F. Foulkes and Ors. v. A.S. Suppan Chettiar and Anr., AIR (1951)
    Madras 296, referred to.
c
           10.1. Generally, this Court does not interfere with the concurrent
    findings recorded by the Courts below in civil appeals by way of special
    leave under Article 136 of the Constitution of India. However, in cases
    where the Courts below have given findings on documents and m1 the basis
D   of assumption and inferences founded on facts and circumstances, which
    in themselves offer no direct or positive support for the conclusion reached,
    it is incumbent duty of the Court to review such inferential process. In             /


    such cases, the right of this Court to review such inferential process cannot        "
    be denied. It is well settled that inferences have to be drawn from a given
    set of facts and circumstances with realistic diversity and not with dead
E   unifo(mity. [72-F, GJ
                                                                             ..
                                                                             ,

          10.2.In the instant case, the concurrent findings recorded by the
    Courts below are interfered with. The judgment and decree of both the
    Courts below are set aside and the suit for partition stands dismissed.
    Interim order, if any, against the appellants stands vacated. [72-H; 73-A)
F
            CIVIL APPELLATE JURISDICTION : Civil Appeal No. 6258 of                      :.._

    2000.

         From the iudgment and Order dated 7.9.2000 of the Calcutta High
G   Court in A.No. 47 of 2000.

                                       WITH

            C.A. Nos. 6259/2000 and 6871-6873 of 2003.


H
          Shanti Bhushan, Ranjit Kumar, Hiren Dasan, Mrs. Sarla Chandra,
    Srikanto Roy and Sanjay K. Pathak for the Appellants.
                                                                                     ~·
                                                                                     '
                                                                                         i
                                                                                             .
            CRYSTAL DEVELOPERS v. A.L GHOSH [KAPADIA, J.)                  41
     Mukul Rohtagi, R.K. Shukla, Ms. Sandhya Goswami, Bijan Kumar                 A
Ghosh, Dhruv Mehta, Sakya Singha Chaudhuri, Mohit Chaudhry, Ms.
Sawhney, D.P. Mukherjee, Ms. Nandini Mukherjee, S.K. Bhattacharya, Uijwal
Banerjee, H.K. Puri and H.C. Kharbanda for the Respondents.

      The Judgment of the Court was delivered by
                                                                                  B
      KAPADIA, J.

      CIVIL APPEALS N0.6258-6259 OF 2000

      These civil appeals, by grant of special leave, are directed against the
judgment and order dated 4.9.7000 passed by the High Court of Calcutta in         C
First Appeal Nos. 46 and 47 of 2000 confirming the judgment and decree
passed by the Court of 9th Sub Judge, Alipore, Calcutta in Title Suit No.89
of 1981, whereby the suit for partition stood decreed. It may be clarified that
Civil Appeal No.6258 of2000 has been preferred by Crystal Developers who
were original defendant no.14 in title suit no.89/81 whereas Civil Appeal         D
No.6259 of 2000 has been filed by Archit Vanijya & Viniyog Pvt. Ltd. and
Ors., original defendants no.15 to 20 in the said suit no.89/81.

      Since common questions of law and fact arise in the said Civil Appeals,
the same were heard together and are disposed of by this judgment.

      The facts giving rise to these appeals are as follows:                      E

      One Balai Chand Ghosh (since deceased) had three wives. His first
wife was Jamuna, from whom he had two sons, Naresh and Paresh. Ninnala
was the second wife of Balai Chand Ghosh, from whom there were four sons
and two daughters, namely, Jogesh, Ramesh, Bhabesh and Suresh. The names          F
of the two daughters were Parul and Manju. Mamta was the third wife who
had only one issue, Arindam.

      On 21.9.1981, the above partition suit no.89/81 was filed in the Court
of 9th Sub Judge, Alipore (hereinafter for the sake of brevity referred to as
"the trial Court"). It was filed by Naresh, Jogesh, Ramesh, Bhabesh, Parul        G
and Manju as legal heirs of Balai Chand, who had died on 16.8.1980. Balai
Chand Ghosh left behind him considerable properties, one of which was the
suit premises situate at 9/4, Middleton Row, Calcutta-16. Mamta, the third
wife of Balai Chand wa? defendant no.1 and her son Arindam was defendant
no.2 in the said suit. Nirmala, the second wife of Balai Chand was the third
defendant. Paresh, the son from the first wife, was defendant no.4. Suresh,       H
    42                        . SUPREME COURT REPORTS [2004] SUPP. 5 S.C.R.

A son of Balai Chand from the second wjfe, was the 5th defendant. Therefore,
    the parties to the suit claimed l/l lth undivided share each in the suit premises.
    The suit premises were wholly tenanted on 21st September, 1981 when the
    partition suit no.89 of 1981 was filed. In the said suit, a written statement was
    filed on 9.5.1983 by defendants no. I and 2, namely, Mamta and her son
    Arindam. In the said written statement, Arindam set up the registered will
B   made by Balai Chand on 25.I2. I977. He relied on the probate dated 3l.7.I93I;
    consent decree dated 3.8.198 I in suit no.310 of I 98 I as also the conveyance
    (Ex.A/8) dated 4.8. I 98 I in favour of Crystal Developers, defendant no.14. In
    the written statement, defendant no.2 also relied on the order dated 2 I .8. I 982
    passed by the Court of 5th Addi. District Judge, Alipore in Miscellaneous
C   Case No.3/80 to show that Nirmala had knowledge of the registered will of
    Balai Chand and of the appointment of defendant no.2 as the executor under
    the said will. In I 993, the plaint was amended and defendant no.14 was
    brought on record. It is alleged that on inspection of assessment record of the
    municipality on 22.6. I 993 and 22.8. I 993, the plaintiffs came to know of the
    impugned transfer. According to the amended plaint, Mamta {defendant no. I)
D   and Arindam (defendant no.2) had sold, in collusion with each other, the suit
    premises to defendant no. I4 to prevent the plaintiffs from claiming the same;
    that prior to the transfer, defendants no. I and 2 did not serve notice to the
    other heirs of Balai Chand; that the plaintiffs were not aware of the agreement
    for sale dated I2.3.1979 (Ex.All), the supplemental agreement for sale dated
E   21. 7 .1980 (Ex.A/2), the conveyance dated 4.8.1981 (Ex.A/8); that defendants
    no.I and 2 never acquired any indefeasible title and consequently Ex.A/I,
    Ex.A/2 and Ex.A/8 were null and void and not binding on the other heirs of
    Balai Chand. The plaintiffs, accordingly, prayed for a preliminary decree for
    partition of the suit premises after declaring the plaintiffs l/l lth share in the
    suit premises.
F
           In the written statement, defendant no.14 - Crystal Developers (the
    appellant in C.A. No.6258/2000) alleged that the present partition suit was
    filed to circumvent Ex.All and Ex.A/2, executed during the life time of Balai
    Chand; that pursuant to the consent decree dated 3.8.1981 in suit no.310/81,
    defendant no.2 had executed Ex.A/8 in favour of defendant no.14 on payment
G   of full consideration; that pursuant to Ex.A/8, defendant no.14 got freed the
    suit premises from requisition, acquisition and other encumbrances (including
    tenants); that pursuant to Ex.A/8, defendant no.14 got the building plan
    sanctioned by Calcutta Municipal Corporation; that the old building was got
    demolished and new multi-storey building was constructed; that Ex.A/8 was
H   executed only after defendant no.2 got the probate on 31. 7.1981; that the
             CRYSTAL DEVELOPERS v. A.L GHOSH [KAPADIA, J.]                  43

aforestated developments were known to the heirs of Balai Chand who               A
acquiesced to the development of the property between 21.9.1981 (when the
partition suit was filed) and 22.6.1993 (when defendant no.14 was brought
on record). It was submitted that probate dated 31.7.1981 was revoked on
9.7.1987 not on the ground of alleged fraud but for non service of citation
on Parul and Manju, the daughters of Balai Chand and consequently Ex.A/
I, Ex.A/2 and Ex.A/8 were binding on the estate cf 'Jalai Chand. In the           B
written statement, defendant no.14 claimed that they were bona fide purchasers
for value wi.thout notice of any defect in obtaining of pi·obate by defendant
no.2.

      The written statement filed by defendants no.15 to 20, the vendees          C
from defendant no.14, is on the same lines as that of defendant no.14 and
therefore, it is not necessary to repeat the averments contained therein.

      On the above pleadings, the trial Court framed 14 issues. However, we
are concerned with issues no.8, 9, 11 and 12 as framed by the trial Court:

       (i)   Did defendants no. I and 2 acquire indefeasible title and absolute
                                                                                  D
             right in the suit premises?
       (ii) Whether Ex.A/8 executed by defendant no.2 in favour of
            defendant no.14 on the basis of probate dated 31.7.1981 was null
            and void in view of the subsequent revocation of the grant by the     E
            Probate Court vide order dated 9.7.1987?
       (iii) Whether Ex.A/8 executed by defendants no. I and 2 in favour of
             defendant no.14 was valid, legal and binding on the plaintiffs?
             and

       (iv) Whether defendants no.15-20 were bona fide purchasers for value       p
            without notice?

       Answering the above issues; the trial Court held that defendant no.14
was not a bona fide purchaser. In support of the said findings, the trial Court
relied upon the following circumstances. Firstly, that Ex.A/I and Ex.A/2
were executed by defendant no.2 as constituted attorney ofBalai Chand. That       G
no reason was given as to why Ex.A/I and Ex.A/2 were got executed by
defendant no.2 when Balai Chand was alive. Secondly, in the said suit no.310/
81, defendant no.2 alone was the sole defendant even though on the date
(21.4. I 931) of filing of the suit for specific performance, probate had not
been granted. Thirdly, that the probate was obtained without service of the
citation on Parul and Manju, the two daughters ofNirmala. Fourthly, according     H
    44                        SUPREME COURT REPORTS [2004) SUPP. 5 S.C.R.

A to the trial Court, the hastiness .with which the said suit no.310/81 was settled
    indicated that consent decree was obtained without looking into the probate.
    According to the trial Cpurt, defendant n?.14 had knowledge of the grant of
    probate even before issuance of its certified copy by the Registry as defendant
    no.2 and defendant no.14 had common attorneys. Fifthly, the trial Court
B   relied on the affidavit dated 25.9.1997 filed by defendant no.I at the interim
    stage stating that Balai Chand had never entered into Ex.All and that the
    power of attorney and the will were forged. Sixthly, the trial Court found that
    power of attorney was not proved and, therefore, Ex.All and Ex.A/2 were
    executed by defendant no.2 to defeat the rights of the plaintiffs. Seventhly,
    under clause (2) of Ex.A/I, the purchase price was to be calculated @
C   Rs.55,000 per kottah Of land. On that basis, the total consideration receivable
    by defendant no.2 was Rs.15 lacs (approximately), whereas he has been paid
    Rs.9,54,632. Eighthly, in Ex.A/8 there wa5 no reference to the consent decree
    dated 3.8.1981. Ninthly, the adhesive stamp was affixed on Ex.A/8 on 3.8.1981
    i.e. one day prior to its execution. Lastly, that defendants no.15 to 20 had
    bought the suit premises after the revocation of the grant on 9.7:1987. In the
D   aforesaid circumstances, the trial Court came to the conclusion that there was /
    collusion between defendant no.2 an~ defendant no.14; that defendant no.14
    was not a bona fide purchaser and that defendant no.2 had no authority to
    execute Ex.A/8 without the consent and knowledge of other heirs of Balai
    Chand. According to the trial Court, the probate was revoked by the High
E   Court vide order dated 9.7.1987 for non-citation and forgery. The trial Court·
    concluded that defendant no.2 had practised fraud upon the Probate Court in
    collusion with defendant no.14 and in the circumstances, Ex.All, Ex.A/2 and
    Ex.A/8 were not binding on the other heirs of Balai Chand. Consequently,
    the trial Court decreed the partition suit.

F          Being aggrieved, the matter was carried in appeal to the Division Bench
    of the High Court. By the impugned judgment, it has been held that defendant
    no.2 got himself substituted in the legal proceedings in 1982 without disclosing
    the grant of probate and Ex.A/8; that probate was revoked on account ofnon-
    citation; that defendant no.14 had colluded with defendant no.2 in filing of
G   suit no.310/81 in which none of the other heirs were made party defendants;
    that no notice of purchase was given by defendant no.14 to the said other
    heirs before executing Ex.A/8; that in Ex.A/8, there was no reference to the
    consent decree; that in Ex.A/8, the date of grant of probate has been altered
    from 29.7.1981to31.7.1981 and Ex.A/8 was executed even before issuance
    of the certified copy of the probate by the Registry. In the circumstances, the
H   High Court came to the conclusion that defendant no.14 was a privy to the
            CRYSTAL DEVELOPERS v. A.LGHOSH [KAPADIA, J.)                     45
                                                                                       ~

fraudulent acts of defendant no.2 and was, therefore, not a bona fide purchaser.   A
In the circumstances, the High Court dismissed the appeals. Hence, these
appeals.

       Mr. Shanti Bhushan, learned senior counsel for defendant no. 14
submitted that although Ex.A/I and Ex.A/2 were executed by defendant no.2
as constituted attorney ofBalai Chand, an advance ofRs.2.25 lacs was received      B
by Balai Chand from defendant no.14 as evidenced by receipts Ex.A/3 and
Ex.A/4. The receipt of payments by Balai Chand establifhes that Balai Chand
during his life time had intended to sell the suit premises. Hence, Ex.A/I was
binding on Balai Chand as also on his heirs. It was urged that Ex.A/8 was
pursuant to Ex.A/I, Ex.A/2 and the probate, hence, it was binding on the           C
estate of the deceased and therefore the other heirs could not have followed
it into the hands of defendant no.14.

      Learned counsel next submitted that it was not open to the plaintiffs to
impugn Ex.A/8 as fictitious or fraudulent as the plaintiffs had acquiesced and
allowed the suit property to be freed from encumbrances. In this connection D
it was pointed out that the partition suit was filed on 21.9.1981 whereas the
plaint was amended in 1993 when defendant no.14 was brought on record.
During this period the suit premises were freed by filing writ petition for
revocation of requisition, acquisition and eviction of tenants. During this
period the old structure was got demolished and a new multi-storey building
was constructed. In the circumstances, it was highly improbable that none of E
the heirs had no knowledge of the aforestated developments. Hence, it was
not open to the plaintiffs to sit on the fence for 13 years, allowing the
property to be developed and then challenge Ex.A/8 as fictitious. It was
submitted that both the Courts below have failed to notice the aforesaid
circumstances.
                                                                                   F
      Learned counsel for defendant no.14 next invited our attention to the
evidence of DW5 on behalf of defendant no.14 and submitted that Ex.A/8
was entered into only after thorough search of the title deeds and the
documents, including the probate dated 31. 7.I 981. It was submitted that
defendant no.14 had paid the balance consideration to defendant no.2 who           G
was the executor under the will. It was urged that the sale was duly completed
only after defendant no.2 had obtained the probate. It was submitted that the
heirs of Balai Chand were bound by the acts of the executor and the sale was
binding on the estate of the deceased.

     Learned counsel for defendant no. I4 referred to the order passed by the      H
    46                         SUPREME COURT REPORTS [2004] SUPP. 5 S.C.R.

A   civil Court in Misc. Case No.3/80 between Nirmala and Balai Chand by
    which on the demise of Balai Chand defendant no.2 was brought on record
    as the executor ~nder the above will. According to the learned counsel the
    above order shows that Nirmala, the second wife of Balai Chand, was aware
    of the above will. She was aware of defendant no.2 being appointed an
    executor. Learned counsel therefore submitted that both the Courts below
B   erred in holding that till 1986, the heirs were not aware of.the will.

          · It was next submitted that the trial Court had erred in holding that the
    grant was revoked in 1987 on the ground of forgery. In this connection, it
    was pointed out that on 14.5.1986 Bhabesh applied for revocation of the
C   grant on the ground that probate was obtained fraudulently. In the said
    application it was further alleged that the will was forged. By order dated
    18.9 .1986, the Probate Court dismissed the application. Learned counsel further
    pointed out that Parul and Manju did not support Bhabesh in the above
    application. It is so recorded by the Probate Court in the order dated 18.9.1986,
    dismissing application of Bhabesh for revocation. Yet on 25.3.1987, Parul
D   and Manju applied for revocation on the ground of fraud, forgery and non-
    citation. By an ex-parte order dated 9. 7 .1987, the probate Court has revoked
    the grant only on the ground of non-citation which is admitted by PWl in his
    evidence. In the circumstances, learned counsel submitted that the revocation
    cannot annul the impugned disposition which was effected during the period
E   when probate was in existence.

           Lastly, it was submitted that in the absence of allegation of fraud or
    collusion against defendant no.14, both the Courts below erred in hold:ng
    that defendant no.14 was not at arms length to defendant no.2. It was submitted
    that fraud and collusion have to be alleged and proved. It was urged that no
F   particulars of fraud or collusion against defendant no.14 have been given in
    the plaint and yet both the Courts below have given a finding of collusion
    against defendant no.14 based on suspicion and misconception of fa~ts without
    proof. Learned counsel invited our attention to the plaint in which the only
    allegation was that defendant no.1 and defendant no.2 had colluded with
    each other to defeat the claim of the other heirs of Balai Chand. Hence, there
G   was no issue of fraud or collusion against defendant no.14. In the
    circumstances, learned counsel submitted that both the Courts below· had
    erred in holding that defendant no.14 was not a bona fide purchaser.

          Mr. Ranjit Kumar, learned senior counsel foi: defendants no.15 to 20
H adopted the arguments advanced on behalf of defendant no.14 and submitted
                   CRYSTAL DEVELOPERS v. A.L GHOSH [KAPADIA, J.)                     47
       that under section 21 l of Indian Succession Act, 1925, the estate of the           A
       deceased testator vests in the executor from the date the will becomes
       enforceable, i.e. from tlie date of death of the testator. Learned counsel
       submitted that the act of disposition performed by the executor is binding on
       the estate of the deceased under Section 307 as long as the said disposition
       is compatible with the administration of the estate. It was submitted that in       B
       the present case, Bhabesh had applied for revocation on the ground that the
       probate was obtained fraudulently, however, the Probate Court had rejected
       that application. It was submitted that defendant no.14 had completed the

...    sale only after the probate and after going through it and therefore defendant
       no.14 was a bona fide purchaser and since defendants no.15 to 20 had derived
       title from defendant no.14, the said defendants no.15 to 20 were protected.         C
       In the circumstances, learned counsel submitted that revocation of grant will
       operate prospectively and snch revocation will not annul the intermediate act
  ;.   of disposition by defendant no.2.

              Mr. Mukul Rohtagi, learned senior counsel for plaintiffs no. I & 4 and
       defendant no.4; Mr. Dhruv Mehta, learned counsel for plaintiffs no.5 and 6;         D
       and Mr. R.K. Shukla, learned senior counsel appearing on behalf of the heir
       of plaintiff no.2 submitted that defendants no.14 to 20 were not entitled to
       rely upon the probate or the will in support of their case in view of the
       concession made by their counsel before the Division Bench of the High
       Court. In this connection, it may be mentioned that when the appeal came for        E
       final hearing before the High Court, the learned Judges enquired whether
       defendants no.14 to 20 would like to await the decision on the validity of the
       will from the Probate Court to which the defendants no.14 to 20 responded
       by stating that they would like to proceed with the matter as they were in
       possession having title to the suit premises. Learned counsel for the plaintiffs,
       therefore, submitted that defendants no.14 to 20 cannot rely on the probate         F
       or the will under the aforestated circumstances.

             It was next contended on behalf of the plaintiffs that probate granted
       without will being proved in accordance with section 63 ofindian Succession
       Act and section 68 of the Evidence Act was void ab initio. Learned counsel
       submitted that aforestated question was a question of law and therefore the         G
       plaintiffs were entitled to raise it at any point of time before this Court,
       notwithstanding the fact that such a question was not raised by the plaintiffs
       before the lower Courts in this case. Learned counsel for the plaintiffs next
       contended that in this case the impugned will was surrounded by suspicious
       circumstances and that the initial onus was on defendant no.2 or defendant          H
    48                         SUPREME COURT REPORTS [2004] SUPP. 5 S.C.R.

A no.14 to remove or explain those circumstances. It· was submitted in this
    connection that registration of the will was not conclusive. That on revocation
    of the probate on 9. 7 .1987 on the ground of non-citation, the onus to prove
    the will as 'genuine was on defendant no.2 or defendant no.14.

          As regards the alleged suspicious circumstances surrounding the will,
B it was pointed out that Mamta, defendant no. I, had filed an affidavit dated
    25.9.1997 at the interim stage in the present suit wherein she had stated that
    the impugned will was forged and that Balai Chand had made the will under
    undue influence of defendant no.2. It was further contended that the will was

C
    an unnatural disposition as Parul and Manju, the two daughters from Ninnala
    have not been named therein. That the will has been executed when Balai
                                                                                              -
    Chand was 90 years old. That the will was signed on 25 .l 2.1977 but the
    same was registered on 4.1.1978; that the will was registered at the residence
    of Balai Chand in the presence of the Registrar, however, so far as the power
    of attorney is concerned, it was registered at the office of the Registrar on the
    same day i.e. 4. l.1978. That it is incomprehensible as to why none of the
D   plaintiffs failed to respond to the notice issued by the Probate Court. In the
    circumstances, it was submitted that the will was surrounded by suspicious
    circumstances aforestated, apart from the circumstances mentioned in the
    impugned judgments and further that those circumstances indicated that even
    the probate was obtained fraudulently.
E         On the point as to whether defendant no.14 and defendants no.15 to 20
    were bona fide purchasers for value without notice, it was submitted that the
    consent decree dated 3.8.1981 in suit no.310/81 was a collusive decree entered
    into with the intention· to defeat the rights of the plaintiffs in the partition suit.
    In this connection, reliance was placed on the following circumstances. That
F   Balai Chand did not execute Ex.All and Ex.A/2. They were executed by
    defendant no.2 as constituted attorney for Balai Chand. The power of attorney
    has not been proved. That before the conveyance, Ex.A/8, Balai Chand expired
    and with the demise of Balai Chand, the power of attorney came to an end
    and, therefore, defendant no.2 had no power to transfer under such power of
    attorney. That after the demise of Balai Chand, balance consideration was
G   received by defendant no.2 in his personal capacity from defendant no.14.
    That in suit no.310/81, the legal heirs of Balai Chand were not made party
    defendants. That Arindam was the only defendant. That the names of other
    heirs were known to defendant no.14 and yet they were not made parties in
    suit no.310/81. That the probate was obtained fraudulently without serving___ _
H   Parul & Manju. That provisions of Order 23 Rule 38 CPC were circumvented                 .__
            CRYSTAL DEVELOPERS v. A.L GHOSH [KAPADIA, J.]                  49

  in obtaining the consent decree. According to the learned counsel, the probate A
  in question was obtained fraudulently by non-citation on Parul and Manju.
  That although certified copy of the probate came to be issued on 31.7.1981,
  sale took place on 4.8.1981 which indicated that Ex .A/8 was entered into
  without going through the probate. That although defendant no.2 was aware
  of the names of other heirs, they were not made parties to suit for specific B
  performance and that the consent decree was obtained by act of fraud on the
  Court. That all these circumstances wer~ known to defendant no.14 and,
  therefore, defendant no.14 or defendants no.15 to 20 cannot claim protection
  for the transfer, which originated from fraud. That the said defendant no.14
~and defendants no.15 to 20 have claimed interest in the suit premises on the
  basis of dishonest transaction, which originated from fraud committed on the C
  parties to the suit and upon the Court. It was contended that suit no.310/81
  was filed to complete the sale at the earliest. That there was total lack of bona
 fides on the part of defendant no.14 and defendants no.15 to 20. That in
 Ex.A/I, the total consideration was not mentioned and only the rate of Rs.
  55,000 per kottah. At the above rate, the total price payable was Rs.15.04
  lacs but defendant no.2 sold it for Rs.9.54 lacs. That defendant no.2 knew D
  that .transaction was a fraud and so he accepted the throw away price. That
  under clause 13.3 of Ex.All, the agreement was terminable in case the
  conveyance was not executed within one year of the date of the agreement.
  Therefore, it became necessary to extend the validity of the agreement which
 could be done by defendant no.2 only as constituted attorney and not as E
 executor as extension could not be justified as a cause towards administering
 the estate of de<'.eased and, therefore, by surreptitious meth~d, defendant
  no.14 in connivance with defendant no.2 as constituted attorney executed
  Ex.A/2 after death of Bafai Chand posing that instrument to be executed in
  July, 1980. In this connection, reliance was placed on the registration of
  Ex.A/2 on 2.12.1980 after the death of Balai Chand by defendant no.2 F
  presenting it before the Registrar even though the power of attorney had
  come to an end. That in the above circumstances, it cannot be said that
  defendant no.14 and defendants no.15 to 20 took the property bona fide and
  in good faith.

       In view of the above arguments, we have to examine the evidence on       G
 record.

       On behalf of the plaintiffs, Bhabesh - plaintiff no.4 was examined as
 PWI. In his examination-in-chief, PWI deposed that the plaintiffs learnt
 about the probate case in 1986. In 1986, plaintiffs became aware of Arindam    H
    50                       SUPREME COURT REPORTS [2004) SUPP. 5 S.C.R.

A getting the probate. However, PWl deposed that plaintiffs were not aware of
    defendant no.2 being appointed executor under the will. He denied execution
    of the will by Balai Ch.and. PWl further deposed that plaintiffs were not
    aware of Ex.A/8. He conceded that at the material time Balai Chand was not
    having good relations with Nirmala and her children and that at the material
B   time, his relations with Balai Chand were not good. In his cross-examination,
    he deposed that there were several litigations between Balai Chand and
    Nirmala. Balai Chand had instituted title suit no.68 of 1962 in the Court of
    8th Subordinate Judge, Alipore for a declaration that he was the real owner
    of eight properties and that defendant wives in whose name the. properties
    stood were his benamidars. The suit was contested by Nirmala alleging that
C   she was the real owner of the properties. By judgment dated 31.3 .1962, the
    suit was decreed in favour of Balai Chand. Being aggrieved; First Appeal
    No.491 of 1962 was preferred by Nirmala, Suresh and Bhabesh against Balai
    Chand. The said appeal was compromised on 29.9.1977. In the said
    compromise, Balai Chand was declared to be the sole and absolute owner
    inter alia of the suit premises. The said settlement has been referred to by
D   PWI in his evidence. The said settlement was between Balai Chand and
    Nirmala. The compromise was objected to by Ramesh (one of the sons of
    Nirmala). Ultimately, there was one more compromise decree between Balai
    Chand and Ramesh, under which Ramesh was given premises bearing 74,
    Lansdown Road, Calcutta. PWl in his evidence has also referred to the
E   judgment of the Supreme Court in the case of Nirmala Bala Ghose and Anr.
    v. Balai Chand Ghose, reported in AIR (1965) SC 1874 arising from suit
    no.67 of 1955 filed by Balai Chand against Nirmala seeking declaration that
    the deed of dedication was not an absolute dedication of properties to the
    deities. PWI has further stated in his cross-examination that Balai Chand
    used to reside with his youngest wife Mamta and defendant no.2. PWl in his
F   cross-examination deposed that in 1986 he had applied for revocation of
    probate on the ground of fraud in obtaining the probate by defendant no.2
    and forgery of the will, however, his application was rejected by the Probate
    Court. His two sisters, Parul and Manju had thereafter applied for revocation
    of probate on the ground of non-citation. PWl admitted that Balai Chand had
G   separated in mess since 1956-57. He was not aware of Ex.A/I. He was not               ·,
    aware of suit no.310/81. He was not aware of the consent decree in suit
    no.310 of 198 l. He conceded that when Balai Chand died on 16.8.1980,
    litigations were pending between the deceased on one hand and Nirmala on
    the other hand. That when Balai Chand died, on 16.8.1980, he was living
    with his third wife Mamta and not with Nirmala. Balai Chand himself used
H                                                                                   ...
    to look after his properties. He has further deposed that he never enquired           •
                  CRYSTAL DEVELOPERS v. A.L GHOSH [KAPADIA, J.]                        51
~.    from Balai Chand about the transfer of properties. PWI did not make any                A:.
      search in the Registrar's office in the matter of title deeds concerning the suit
      premises on the demise of Balai Chand. PWl admitted that the plaintiffs did
      not take steps to evict the tenants or to get the properties freed from requisition.

            In the said suit, defendant no.2, Arindam, was examined as OWL In
      his examination-in-chief, DWI deposed that Jamuna died before the second               B
      marriage of Balai Chand leaving behind Paresh and Naresh, who never resided
      with Balai Chand. Balai Chand had married Nirmala, the second wife, who
      had four sons and two daughters, who never resided with Balai Chand. Balai
      Chand did not have good relations with Nirrnala and her children. Balai
      Chand did not enjoy good relations with Paresh and Naresh. That there were
                                                                                             c
      suits between Balai Chand and Nirrnala. Balai Chand had instituted suits
      against the sons of Nirrnala for eviction from premises No.13, Beliaghata
      Road, Calcutta. That impugned will was probated. He was an executor and
      a legatee under the will. He had sold the suit premises to defendant no. I 4
      after obtaining the probate. His step sisters, Parul and Manju, had applied for
      revocation of probate. That the probate was revoked for non-citation and not           D
      on the ground of fraud. DWI in his cross-examination has stated that at one
      point of time, his mother Mamta, was under the impression that the will of
      Balai Chand was fake but later on she realized that the will was genuine and
      accordingly she had filed an affidavit dated 26.11.1997 in the present suit
      stating that the will was genuine and that the power of attorney was executed
                                                                                             E
      in favour of defendant no.2. DWI deposed that Balai Chand during his life
      time agreed to sell the suit premises to defendant no.14 vide Ex.A/I. That the
      said agreement was suhsequently modified by Ex.A/2. That Rs. l ,25,000 was
      received on 14.4.1979 (Ex.A/3). That at the time Ex.All was executed, Balai
      Chand was hale and hearty. Balai Chand had agreed to sell the suit premises
      for consideration. DWI, however, denied that the will was forged. DWI had              F
      very good relations with his mother Mamta and Balai Chand. He admitted his
      signatures on power of attorney. He denied that Balai Chand had not executed
      the power of attorney in his favour. He denied that Ex.A/I had been entered
      into to defraud the other heirs of Balai Chand. He deposed that Ex.All was
      entered into during the life time of Balai Chand. He denied that Ex.A/2 was
      collusive. According to DWI, Balai Chand was aware of Ex.A/I and
                                                                                             G
      Ex.A/2. DWI denied that he has no right to execute Ex.A/8. DWI further
      asserted that he had signed Ex.A/8 in his capacity as a legatee as well as an
      executor of the estate of Balai Chand, after the probate dated 3 I. 7. I 98 I.

...         On behalf of defendant no.14, one of its partners DWS deposed that               H
    52                        SUPREME COURT REPORTS [2004] SUPP. 5 S.C.R.

                                                                                        .i
A   defendant no.14 had paid substantial amounts under Ex.A/I and Ex.A/2. That.
    initial amount of Rs.1,25,000 was paid by cheque drawn in favour of Balai
    Chand (Ex.A3). That prior to Ex.A/8, the developer had instituted suit no.310
    of 1981 for specific performance of Ex.All and Ex.A/2 which suit was decreed
    on 3.8.1981, pursuant to which Ex.A/8 was executed on 4.8.1981 by defendant
    no.2 as the sole executor under the will of Balai Chand, which will was
B   probated on 31. 7.1981. He further deposed that defendant no.14 got possession
    of the suit premises after Ex.A/8. That before executing Ex.A/8, defendant
    no.14 had carried out the search of the title deeds and documents including
    the probate. That defendant no.14 was a bona fide purchaser. DW5 has deposed
    that he did not recollect the date on which the document Ex.A/8 was submitted
c   before the Collector for affixing the adhesive stamp. DW5 has denied that
    Ex.A/8 was prepared before the delivery of the judgment in the suit no.310/
    81. DW5 has deposed that defendant no.14 was aware of the probate case at
    the time when defendant no.14 alienated the suit premises in favour of
    defendants no.15 to 20. That defendant no.14 did not inform defendants
    no.15 to 20 regarding the pendency of the probate case as at the time of
D   alienations in favour of defendants no.15 to 20, there was no probate case
    pending. DW5 has stated that Ex.A/8 was executed by defendant no.2 as sole
    executor of the will and as constituted attorney of Balai Chand. After seeing
    the document, DW5 has deposed that the adhesive stamp was engrossed on
    Ex.A/8 on 3.8.1981. DW5 has however further stated that he had no personat
E   knowledge about the preparation of Ex.A/8. On being shown Ex.A/8, DW5
    conceded that in Ex.A/8, there was no mention about suit no.310 of 1981. He
    however denied that Ex.A/8 was prepared much prior to 3.8.1981 when the
    said suit no.310/81 was decreed. He denied that the said suit no.310/81 was
    collusive, as between Balai Chand, defendant no.14 and defendant no.2. DW5
    has further stated that suit no.310/81 was filed for specific performance against
F   Balai Chand and defendant no.2. as executor of the will; that the testator was
    not alive when Ex.A/8 was executed; that Balai Chand had died leaving
    behind him nine children and two wives; that they were not made parties to
    the suit no.310/81; DW5 denied that he was aware of the revocation of the
    grant of probate in 1987. He denied that defendant no.14 was aware of the
G   revocation of the probate in the year 1987.

          On behalf of defendants no.15 to 20, DW6 deposed that the plaintiffs
    in the partition suit were never in possession of the suit premises. He denied
    that defendants no.15 to 20 were aware of revocation of probate at the time
    when they bought the suit premises from defendant no.14. DW6_.,.,.stated that
H   the work of construction of the new premises after demolition of the old            ,... >-
              CRYSTAL DEVELOPERS v. A.L GHOSH [KAPADIA, J.]                     53

building started in 1991, which work continued till 1996. That the construction       A
of the new building got completed in 1996. DW6 further stated that 13 flats
have been sold to various purchasers after receiving consideration.

     On the above pleadings and the evidence, following points arise for
determination:
                                                                                      B
        (I)   Effect of revocation of the probate on the disposition(s) during
              the pendency of the probate.
       (II) Was the disposition during the pendency of the probate founded
            on fraud or collusion between the executor and the developers?
              ~                                                                       c
        (III) Was defendant no.14 bona fide purchaser for value without notice?
              lfso, whether subsequent alienation by defendant no.14 in favour
              of defendants no.15 to 20 is valid and binding on the intestate
              heirs of Balai Chand?

    I. EFFECT OF REVOCATION OF THE PROBATE ON THE                                     D
DISPOSITJON(S) DURING THE PENDENCY OF THE PROBATE.

       The Indian Succession Act, 1925 is ·enacted to consolidate the law
applicable to intestate and testamentary succession. Section 2(f) defines the
word "probate" to mean the copy of a will certified under the seal of a Court
of a competent jurisdiction with a grant of administration to the estate of the       E
testator. Section 2(h) defines the word "will" to mean the legal declaration
of the intention of a testator with respect to his property which he desires to
be carried into effect after his death. Part VI deals with testamentary succession.
Section 59 refers to persons capable of making wills. Section 61 inter alia
states that a will obtained by fraud, coercion or undue influence which takes         F
away the volition of a free and capable testator, is void. Under section 63,
every will is required to be attested by two or more witnesses, each of whom
has seen the testator sign or affix his mark to the will.

      Section 211 falls in Part VIII which deals with representative title to the
property of the deceased on succession. Section 211(1) declares that the G
executor or the administrator, as the case may be, of a deceased person is his
legal representative for all purposes and that all the property of the deceased
vests in him, as such. Under section 212, it is inter alia provided that no right
to any property of a person who has died intestate can be established in any .
Court, unless letters of administration are granted by a probate Court. Under H
    54                          SUPREME COURT REPORTS [2004] SUPP. 5 S.C.R.

A section 213, no right as an executor or a legatee can be established in any
    Court, unless probate of the will is granted, by the Probate Court, under
    which the right is claimed. Similarly, no right as executor or legatee can be
    established in any Court unless the competent Court grants letters of
    administration with the will annexed thereto. Sections 211, 212 and 213
    brings out a dichotomy between an executor and an administrator. They
B    indicate that the property shall vest in the executor by virtue of the will
    whereas the property will vest in the administrato;- by virtue of the grant of
    the letters of administration by the Court. These sections indicate that an
    executor is the creature of the will whereas an administrator derives all his
    ·rights from the grant of letters of administration by the Court. Section 214
C   states inter alia that no debt owing to a deceased testator can be recovered
    through the Court except by the holder of probate or letters of administration
     or succession ce1tificate. Section 216 inter alia lays down that after any grant
    of probate or letters of administration, no person other than such grantee shall
    have power to sue or otherwise act as a representative of the deceased, until
    such probate or letters of administration is recalled or revoked. Part IX of the
D   Act deals with probate, letters of administration and administration of assets
    of deceased. Under section 218(1), if the deceased is a Hindu, having died
    intestate, administration of his estate may be granted to any person who,
    according to the rules for the distribution of the estate applicable to such
    deceased, would be entitled to. Under section 218(2), when several such
E    persons apply for letters of administration, it shall be in the discretion o.f the
    Court to grant letters of administration to any one or more of such persons.
     Section 220 refers to effect of letters of administration. It inter alia states that
     letters of administration entitles the administrator to all rights belonging to
    the intestate. Section 221 inter a/ia states that letters of administration shall
    not render valid any intermediate acts of the administrator which acts diminish
F   or damage the estate of the intestate. Sections 218, 219, 220 and 221 are
    relevant in the present case as they indicate that nothing prevented the intestate
    heirs of Balai Chand to apply for letters of administration, particularly when
    they alleged that Balai Chand died without making a will. Moreover, section
     221 indicates that intermediate acts of the administrator which damage or
G   diminish the estate are not validated. This section brings out the difference
     between letters of administration and probate. Section 221 expressly states
    that certain intermediate acts of the administrator are not protected as the
    authority of the administrator flows from the grant by the competent court
    unlike vesting of the property in the exec~tor under the will (see: section
    211 ). Section 222 states that probate shall be granted only to an executor
H   appointed by the will. Section 227 deals with effect of probate. It lays down
            CRYSTAL DEVELOPERS v. A.L GHOSH [KAPADIA, J.]                   55
that probate of a will when granted establishes the will from the date of the A
death of the testator and renders valid all intermediate acts of the executor.
Section 227 is, therefore, different from section 221. As stated above, in the
case .of letters of administration, intermediate acts of the grantee are no.t
protected whereas in the case of probate, all such acts are treated as vali&
Further, section 227 states that a probate proves the will right from the date
of the death of the testator and consequently all intermediate acts are rendered B
valid. It indicates that probate operates prospectively. It protects all
intermediate acts of the executor as long as they are compatible with the
administration of the estate. Therefore, section 221 read with section 227
brings out the distinction between the executor and holder of letters of
administration; that the executor is a creature of the will; that he derives his C
authority from the will whereas the administrator derives his authority only
from the date of the grant in his favour by the Court. Section 235 inter alia
states that letters of administration with the will annexed shall not be granted
to any legatee, other than universal or residuary legatee, until a citation has
been issued and published calling on the next-of-kin to accept or refuse
letters of administration. Such provision is not there in respect of grant of D
probate. Jn the circumstances, the judgment in the case of Debendra Nath
Dutt and Anr. v. Administrator-General of Bengal, reported in ILR ( 1906) 33
Calcutta 713 will not apply to the present case.

       Chapter III of Part IX deals with revocation of grants. Under section       E
263, the grant of probate or letters of administration may be revoked if the
proceedings to obtain the grant were defective in substance; or the grant
being obtained fraudulently by making a false, suggestion or by supprl .>sing
from the Court something material to the ca~ or if the grant was obtained
by means of untrue allegation or if the grantee has wilfully and without
reasonable cause omitted to exhibit an inventory or account in accordance          F
with the provisions of Chapter VII of part IX. Before us, it has been vehemently
urged on behalf of the plaintiffs that the revocation of the grant of probate
will make all intermediate acts ab initio void. Under section 263, as stated
above, grant of probate or letters of administration is liable to be revoked on
any of five grounds mentioned therein. One of the grounds as stated above
is failure on the part of the grantee to exhibit/file an inventory or statement
of account. Similarly, the probate or letter or administration is liable to be
revoked if the grant is obtained fraudulently. Can it be said that revocation
of the probate on the ground of non-exhibiting an inventory or statement of
account will make the grant ab initio void so as to obliterate all intennediate
acts of the executor? If it is not ab initio void in the case of non-filing of     H
    56                          SUPREME COURT REPORTS [2004] SUPP. 5 S.C.R.

A inventory or statement of account then equally it cannot be ab initio void in
    the case of a grant obtained fraudulently. In other words, what applies to
    clause (e) of the explanation equally applies to clause (b) of the explanation.
    At this stage, we clarify that if the intermediate act of the executor is not for
    the purpose of administration of the estate or if the act is performed in breach
    of trust then such act(s) is not protected. However, acts which are in
B   consonance with the testator's intention and which are compatible with the
    administration of the estate are protected. Therefore, on reading sections 211,
    227 along with section 263, it is clear that revocation of the grant shall
    operate prospectively and such revocation shall not invalidate the bona fide
    intermediate acts performed by the grantee during the pendency of the probate.
c        Chapter IV of part IX deals with practice in the matter of granting and
  revoking probates and letters of administration. Section 273 inter a/ia states
  that a probate or letters of administration shall have effect over all the properties
  and estate of the deceased and shall be conclusive as to the representative
  title against all debtors of the deceased and against all persons holding the
D property of the deceased and shall afford full indemnity to all d~b~ors
  discharging their debts and to persons delivering up such property to the
  grantee. Section 278 states that every application for letters of administration
  shall be made by a petition in the prescribed form. Section 297 inter alia
  states that when a grant of probate is revoked, all payments bona fide made
E to an executor under such grant before revocation shall be a legal discharge
  to the person making payment. Under section 307, an executor or an
  administrator has the power to dispose of the property of the deceased, vested
  in him under section 211, either wholly or in part, in such manner as he may
  think fit. This section bringsb>ut the distinction between vesting of the estate
  in the executor under section 211 and his power of disposition. Section 317
F refers to duties of an executor or an administrator to file statement.of account
  and inventory periodically. To complete the title in favour of the legatee,
  under section 332, an assent of the executor is contemplated. This section
  shows that the revocation of the grant operates prospectively. It completes
  acts of disposition on the assent being granted. Section 332 further indicates
G that the property vests in the executor under the will from the date of demise
  of the testator; that the executor can dispose of the property and that on the
  assent of the executor, the title of the legatee under the will is completed.
  Therefore, section 332 makes it clear that revocation of the grant of the
  probate shall operate prospectively and not retrospectively.

H          As stated above, it is submitted on behalf of the plaintiffs that probate
                CRYSTAL DEVELOPERS v. A.LGHOSH [KAPADIA, J.]                     57

    dated 31.7 .1981 was void as· the will of Balai Chand was not proved in            A
    accordance with section 63 of Indian Succession Act read with section 68 of
    the Indian Evidence Act. Learned counsel for the plaintiffs further submitted
    that on revocation of the probate the grant becomes void ab initio and would
    obliterate all previous dealings by the executor performed during the
    continuance of the probate.
                                                                                       B
           We'Clo not find merit in the above arguments. As stated above, section
    273 refers to conclusiveness of the probate as to the representative title. It
    establishes the factum of the will and the legal character of the executor and
    all the property of the deceased testator from the date of the death of the
    !estator, as long as the grant stands. Under section 41 of the Evidence Act, C
    the grant operates as judgment in rem and can be set aside on the ground of
    fraud or collusion provided it is pleaded and proved by the party so alleging.
,   [See: Lady Dinbai Dinshaw Petit and Ors. v. The Dominion of India and
    Anr., reported in AIR (1951) Bombay 72]. It is, therefore, not a pure question
    of law. As stated above, revocation will not operate retrospectively so as to
    obliterate all intermediate acts of the executor performed during the existence D
    of the probate, however, if the intermediate acts are incompatible with the
    administration of the estate, they will not be protected. That the conclusiveness
    under section 273 is of validity and contents of the will.

         In S. Parthasarathy Aiyar v. M Subbaraya Gramany and Am:., reported
    in AIR (1924) Madras 67 it has been held:                                          E
                 "It is not right, as has been suggested in some cases, to treat a
            will of which probate has not been granted as non-existent al!d the
            property passing by intestacy. On the contrary, the will is a perfectly
            valid document. The executor under it can deal with the property and
            give a perfectly good title though it may be that to complete that title   F
            it requires probate to be taken out at a later date .... "

          In the ~ase of Mt. Azimunnisa Begum v. Sirdar Ali Khan and Ors. AIR
    (1927) Bombay 387, the facts were as follows. The plaintiff was a minor.
    When her father died, she was the youngest child. No citation was served on        G
    her nor any guardian ad !item appointed in the probate proceedings instituted
    by the executors. She applied for revocation of the probate on the ground that
    it was not the last will. That the grant of the probate was against the interest
    of the infant. It was held that want of citation by itself will not vitiate the
    probate, but in the absence of a citation duly served upon guardian ad !item,
    it would be open to the infant on attaining majority to institute proceedings      H
    58                         SUPREME COURT REPORTS (2004) SUPP. 5 S.C.R.

A   within the period prescribed by the Limitation Act for the revocation of the
    grant of probate. In that matter, the plaintiff alleged tfiat probate was obtained
    from the probate .court under cover of secrecy. The plaintiff did not lead
    evidence to substantiate the allegation of secrecy in obtaining the probate.
    She contended that the will was ab ii:iitio void. It was held that the property
    had vested in the executor by virtue of the will and even if it is afterwards
B   detected that the will was forged, all acts of the executor in respect of the suit
    premises, where bona fide purchasers are concerned, must be regarded as
    valid.

          In Cherichi v. Ittianam and Ors., AIR (2001) Ker:ala 184, it has been
C held that the prohibition under section 213 of Indian Succession Act is
    regarding establishing any right under the will without probate and that section
    cannot be understood as one by which the vesting of right as per the provisions
    of the will is postponed until the obtaining of probate or letters of
    administration. The will takes effect on the death of the testator and what
    section 213 says is that the right as executor or legatee can be established in
D   any Court only if probate is obtained. Therefore, section 213(1) does not
    prohibit the use of will which is unprobated as i!Vidence for purposes other
    than establishment of right as executor or legatee. Therefore, the requirement
    of obtaining probate becomes relevant at the time when the establishment of
    right as executor or legatee is sought to be made on the basis of a will. iri a
E   court of justice .

        . In Sheonath Singh v. Madan/al, reported in AIR (1959) Raj. 243, it
    was held that Section 2 J3 does not vest any right. It only regulates the
    procedure of proving a. will. It is distinct from section 211. It lays down a
    rule of procedure and not of any substantive right.
F
          In Mrs. Hem Nolini Judah,v. Mrs. Jso/yne Sarojbashini Bose and Ors.,
    reported in AIR (1962) SC 1471, it has been held that section 213 does not
    say that no person can claim as a legatee or executor unless he obtains a
    probate of the will. It only says that no right as an executor or legatee can
    be established in any Court without probate.
G
          In Komollochun Dutt and Ors. v. Nilruttun Mundie, reported in 4 ILR
    Cal. 360 it has been held that the property of the testator vests in the executor
    ~y virtue of the will and not by virtue of the probate. The will gives the
    property to the executor. The grant of probate is only a method by which a
    will can be proved. When the probate is granted, it operates on the whole            '\ .
H   estate and it establishes will from the date of death of the testator. The
            CRYSTAL DEVELOPERS v. A.L GHOSH [KAPADIA, J.]                   59

probate can be revoked upon any of the grounds mentioned in section 234 A
of the Indian Succession Act, 1865 (Section 263 of Indian Succession Act,
 1925). In the said judgment, it has been observed that in cases where the
 probate has been given in the common form, and not in the solemn form, the
 Probate Court may call upon the propounder to prove the will in the presence
of the objector afresh so as to give the objector an opportunity of testing the ·
evidence in support of the will. This judgment, theref-.. e, ;, ys down that even B
when the probate issued in the common form is revokt::d under section 263
the revocation operates prospectively; that on revocation ,Jarties are given an
opportunity to prove the will afresh. To the same effect is the ratio of the
judgment in the case of Mt. Ramanandi Kuer v. Mt. Kalawciti Kuer, reported
in AIR (1928) PC 2.                                                               C
       In the case of Akshay Kumar Pal v. Nanda/al Das, reported in ILR
(1946) l Cal. 432 it has been held that wher~ the grant of probate is revoked,
the grant does not become void ab initio and the revocation will not invalidate
any previous dealing of the executor as long as they are done in due course
of administratio.n of the estate or they are with persons acting in good faith. D
That an administrator derives his authority from his appointment by the Court
whereas an executor derives his authority from the will. That the letters of
administration confer rights on the administrator but the probate is an evidence
of the pre-existing rights of the executor appointed by the will and the probate
does not confer any new right on such executor. That the vesting of the
property of the deceased in the executor under section 211 is independent of
                                                                                   E.
the grant of probate. That section 211 does not say, with reference to an
executor, that he becomes the legal representative only on obtaining probate.
On the other hand, section 307 indicates that an executor can exercise the
power of disposition without obtaining the probate. However, the executor
must administer the estate in accordance with the will. His acts must not be F
incompatible with the administration of the estate. That under section 21 I,
the estate of the testator vests in the executor even before the grant of probate,
but bY, virtue of section 213, the executor can establish his right in a Court
on production of the probate. When a competent Court grants probate or
letters of administration, it can never be absolutely sure that the deceased left G
no subsequent will. There is always a possibility of subsequent will being
discovered later on. There is always a risk of fraud on the Court. However,
such possibility of risk cannot indefinitely hold up the administration of the
estate. Therefore, section 273 makes the grant conclusive. As soon as the
grant is made, section 273 comes into play. However, the law takes note of
the possibility of error, irregularity or fraud and accordingly makes provisions H
    60                        SUPREME COURT REPORTS [2004] SUPP. 5 S.C.R.

A   for revocation of grant for just cause. (section 263). If a grant is made in any
    of the circumstances falling in the explanation to section 263, the Court can
    revoke the grant. However, such revocation can only be prospective and not
    retrospective. In this connection, section 297 of the Act is important. That
    section provides that when grant of probate is revoked, all payments made
B   bona fide to any executor under such grant before revocation shall constitute
    a legal discharge to the person making such payment. The object of the
    aforestated Scheme of the Act is to make it safe for the public to freely deal
    with the grantee. The theory of vesting of the estate in the executor at the
    moment of death of the testator, even before the will is probated, is true
    enough for the administration of estate but it is subject to the qualification
C   that the grant even if erroneously made is revocable if the circumstances in
    the explanation to section 263 exist. However, till the grant is revoked, the
    grantee is the only legal representative of the deceased and people may safely
    deal with such representative in good faith in due course of administration
    and such dealings will be protected even ifthe grant is subsequently revoked.
    Accordingly, it was held that revocation of the grant does not make the grant
D   void ab initio and will not invalidate any intermediate acts done in good faith /
    in due course of administration of estate.

          ln the case of Valerine Basil Pais (dead) by LRs v. Gilbert William
    James Pais and Anr., reported in (1993) 2 Kar. LJ 301 it has been observed
E   that even in cases where grant has been obtained by fraud, so long as the
    grant remains unrevoked, the grantee represents the estate of the deceased.

           In the present suit, the trial Court has recorded the finding that the
    probate was revoked on the ground of non-citation, fraud in procuring the
    probate and forgery of the will. This finding of the trial Court is perverse. On
F    14.5.1986, Bhabesh applied for revocation on two grounds, namely, that the
    will was forged and that the probate was obtained fraudulently by defendant
    no.2. Vide order dated 18.9.1986, the Probate Court dismissed the application
    of Bhabesh. On 25.3.1987, an identical application was made by Parul and
    Manju for revocation of the grant alleging fraud, forgery and non-citation.
    By order dated 9.7.1987, the Probate Court revoked the grant. PWl in his
G   evidence has deposed that the probate was revoked on account of non-citation.
    Therefore, reading the aforestated orders and the evidence of PWl, it is clear
    that the probate was revoked only on account of non-citation. Despite this
    evidence, the trial Court holds that the probate was revoked on the ground
    of forgery and fraud apart from non-citation. In our view, this finding is
H   unsustainable for want of evidence.
             CRYSTAL DEVELOPERS v. A.L GHOSH [KAPADIA, J.]                  61

      Learned counsel for the plaintiffs, however, submitted that the initial     A.
onus was on defendant no.2 or defendant no.14 to prove the genuineness of
the will. It was submitted that the will of Balai Chand was surrounded by
numerous suspicious circumstances which have been taken into account by
both the Courts below. In this connection, reliance was placed on the following
factors.:-
                                                                                  B
       (i)   Execution of Ex.A/I and Ex.A/2 by defendant no.2 as constituted
             attorney of Balai Chand even when Balai Chand was alive;
       (ii) Affidavit of Mamta dated 25.9.1997 stating that Balai Chand
            was unduly influenced by defendant no.2. That the will was
             ~~                                                                   c
       (iii) That the power of attorney was never produced by defendant
             no.2 in evidence and, therefore, the act on the part of defendant
             no.2 in entering into the Ex.A/I with defendant no.14 was with
             the intention of defrauding Balai Chand and his intestate heirs;
       (iv) That defendant no.2 in his evidence has deposed that Balai Chand      D ·
            though old was hale and hearty and, therefore, there was no
            reason for execution of Ex.A/I and Ex.A/2 through the constituted
            attorney;
       (v) That under clause (2) of Ex.A/I, the rate at which the suit premises
           were agreed to be sold was Rs.55,000 per kcittah of land and at        E
           that rate the total consideration receivable by Balai Chand was
           Rs.15 lacs, whereas in fact the amount received by defendant
           no.2 under Ex.A/8 was Rs.9,54,632;
       (vi) That in the case of Naresh Chandra Ghosh v. Archit Vanijya &
            Viniyog Pvt. Ltd., reported in (1998) 2 Cal. L. J. 344, the will
            was found to be forged by the High Court;                             F
       (vii) That revocation was on account of forgery and fraud;
       (viii) That defendants no.15 to 20 purchased the suit premises after
             revocation.
     Before dealing with each of the aforestated circumstances, we may            G
examine the legal position.

      In the case of Surendra Nath Chatterji v. Jahnavi Charan Mukherji,
reported in AIR (1929) Cal. 484 the facts were as follows: The will was
alleged to haw been executed by one Ram Lal Mukherji, dated 6th September,
1914 and the Codicil was executed by the same gentleman dated I Ith               H
    62                        SUPREME COURT REPORTS [2004] SUPP. 5 S.C.R.

A September, 1920. Ram Lal died on 9th April, 1923. He was a gentleman of
    considerable.properties and died at a good old age. It is said that he was 85
    years of age at the time of his death. It is unnecessary to state in detail the
    members of his family at the time of his death and shortly before that as the
    facts have been fully set out in the judgment of the District Judge. It is
B   sufficient to say that he was survived by four sons, Mritunjoy, Ganga Charan,
    Jahnavi Charan and Jahnavi Prosad and two daughters and a large number of
    grandchildren. He became a widower in the year 1890, and after that he went
    to live more or less as a recluse in a house built on a rock near the town of
    Monghyr in the province of Bihar. Previously he was a permanent resident
    ofBoinchee in the district ofHoogly. The house in which he lived at the time
C   of his death was described as Pirpahar. None of his sons lived there and it
    appears from the evidence that if any of them ever visited him it must have
    been on rare occasions. The most curious thing is that one of the sons, Ganga
    Charan, practiced as pleader at Monghyr and lived about 2 miles from the
    house of his father, but even he seems to have seldom visited his father. It
    was held that the propounder of a will has to remove only such suspicious
D   circumstances as are suggested by the objectors. In that case it was found that
    facts alleged by the objectors were not supported by evidence. There was no
    evidence of undue influence. That the evidence was that the testator had
    sound disposing mind. He was ill treated by his sons. The Court found that
    all the alleged suspicious circumstances were removed by the evidence. The
E   Court observed that no questions were put by the objectors to the propounder
    of the will regarding such circumstances. The Court found from the evidence
    that the testator was a strong willed person and the manner in which he 'Vas
    treated by his sons one cannot assume that the will made by him was without
    knowing the contents.

F         Similarly, in the case of Smt. Indu Bala Bose and Ors. v. Manindra
    Chandra Bose and Anr., reported in AIR (1982) SC 133, it has been held that
    a circumstance would be "suspicious" when it is abnormal or is not normally
    expected in a normal situation or is not expected of a normal person.

          In the light of the aforestated judgments we may now examine the
G   evidence in this case. Balai Chand had married thrice. Ja'muna pre-deceased
    him. When he made the will Balai Chand had two wives and nine children.
    He was strong willed. He was conscious of his legal rights. He had considerable
    properties. During his life time, he asserted his legal rights qua the tenants.
    He used to litigate on every issue. He collected rent from the tenants. He filed
H   eviction and rent collection suits against the tenants. He sued Nirmala. He
                      CRYSTAL DEVELOPERS v. A.L GHOSH [KAPADIA, J.]                63
....   had numerous cases filed against Nirmala the particulars of which are as          A
       under:

       SI.   Suit No.     Case      Case      Name of                 REMARKS
       No.   of Trial     No. in    No. in    PARTIES
             Court        High      Supreme   In Appeal
                          Court     Court                                                B
       01    79-80 of     268 &     966 &     Nirmala Bala            Suits were filed
             1954         270 of    968 of    Ghose v. Balai          by Balai Chand
                          1957      1964      Chand Ghose,
       02    67 of        269 of    967 of    Nirmala Bala            Suit was filed
             1955         1957      1964      Ghose v. Balai          by Balai Chand
                                              Chand Ghose,                               c
       03    67 of                            Nirmala Bala            Suit was filed
             1976                             Ghosh v. Balai          by Balai Chand
                                              Chand Ghosh,
       04                 M.C. 3              Ba/.ai Chand            Arindom
                          of 1980             Ghosh v.                Ghosh was          D
                          in Misc             Nirmala Ghosh,          substituted in
                          Appeal                                      place of Balai
                          No.309                                      Chand.
                          of 1978
       05    2/1961       FA                  Ramesh Ghosh v.         Compromised
             [Earlier     492/62              Balai Chand Ghosh,      matter.            E
             Nos.68156
             13/59]
       06    2/1961       FA                  Nirmala Ghosh etc. v.   Compromised
                          491/62              Balai Chand Ghosh,      matter.
       07    111/66        180173             lswar Satyanarayan v.   The LRs of
                                              Balai Chand             Balai Chand        F
                                              Ghosh, (D) through      were restrained
                                              LRs Nirmala             from alienating
                                              Ghosh and Ors.,         property no. 13
                                                                      & 13/1
                                                                      Beliaghata
                                                                      Road               G
       08    4/1968                           Mam/a Ghosh v.          Suit for
                                              Nirmala Bala            declaration that
                                              Ghosh,                  5 Hindustan
                      '                                               Park is not
                                                                      attachable in
                                                                      execution.
                                                                                         H
    64                        SUPREME COURT REPORTS [2004] SUPP. 5 S.C.R.
                                                                                       -~,.,._


A          Between September, 1977 and July, 1978, settlements between Balai
    Chand and Nirmala, Suresh & Bhabesh had taken place concerning the
    properties; that suit premises came to Balai Chand; that this settlement was
    al.so challenged by Ramesh which was followed by another settlement under
    which Ramesh got property at Lansdown Road, Calcutta. That this is not the
    case where one of the sons have got all the properties of the testator.
B
          Apart from ,the aforestated facts, the will of Balai Chand recites
    specifically that Balai Chand had two sons Paresh & Naresh from his first
    wife Jamuna; that he had five sons from his second wife; that he was at one
    point of time living with Nirmala and her' sons in house No.13, Beliaghata
    Road, Calcutta; that soon thereafter Nirmala and her sons started disobeying
c   him; that they were ungrateful to him; that he was ill-treated by them and that
    thereafter he has been living with Mamta and her son Arindam. In his will,
    the deceased has further stated that he had number of businesses; that he had
    various house properties in his own name and in the benami names of the
    sons of Nirmala; that the said sons of Nirmala had falsely claimed the
D   properties and consequently, Balai Chand had to institute suits, in which he
    was declared to be the, owner of the properties. In his will, he has referred
    to the above settlement of September, 1977. In the circumstances, there was
    no question of Arindam influencing his father Balai Chand in the making of
    the will bequeathing the suit premises to him.

E           The evidence further shows that during the life time of Balai Chand,
    Ex.All and Ex.Al2 came to be executed. That although Ex.All and Ex.Al2
    were executed by defendant no.2 as the constituted attorney of Balai Chand,
    an :imount of Rs.1.25 lacs was received by Balai Chand from defendant
    no.14, which is uncontroverted evidence of DW5, and which indicates that
    J;lalai Chand was aware of Ex.All and that he intended to sell the suit premises
F   to defendant no.14. Further, Ex.Al3 shows that the cheque for Rs. l .25 lacs
    was drawn in favour of Balai Chand. Further, Balai Chand Jived for almost
    three years after making the will on 25.12.1977. He found Arindam to be
    obedient. He loved Arindam and Mamta. Thes(} basic tell-tale circumstances
    have not been considered by the Courts below. Both the Courts below have
G   drawn inferences from circumstances with dead uniformity and without realistic
    diversity. The factors taken into account by the Courts below have been
    broadly indicated. However, it is important to note that in this case we are
    concerned with the intention of the testator. The basic error committed by the
    Courts below is that it has examined the alleged suspicious circumstances de
    hors the above tell-tale Circumstances duly established by evidence and the          .
H   contents of the will viz. the strained relationship between the testator and
           CRYSTAL DEVELOPERS v. A.L GHOSH [KAPADIA, J.]                  65

Nirmala, Jamuna and their children, the love and affection of Balai Chand for A
Mamta and Arindam and lastly the strong personality of the deceased. In the
light of the above circumstances, the factors relied upon by the Courts below
are not relevant particularly in the context of deciding the question whether
Balai Chand had approved the impugned disposition in favour of Arindam.
With these findings, we may examine each of the factors taken into account B
by the trial Court. The trial Court has placed reliance on the affidavit of
Mamta dated 25.9.1997 in which, as stated above, Mamta has alleged that the
will was forged; and that it was outcome of undue influence exercised by
defendant no.2 on Balai Chand. However, the said affidavit has been filed by
Mamta at an interim stage and it is not put in evidence. On 26.l l.1997,
Mamta files another affidavit, in which she states that she has gone through C
Ex.A/I, Ex.A/2, Ex.A/8 as well as the will and the power of attorney executed
by Balai Chand in favour of Arindam. By the said affidavit, she confirms the
signature of Balai Chand on the power of attorney in favour of Arindam. She
also confirms the sale by Arindam in favour of defendant no.14. DWI in his
evidence has explained that the first affidavit was filed by his mother under
misconception and subsequently on going through the papers she had rectified D
her earlier position. This evidence has not been shaken. Therefore, the said
alleged suspicious circumstance stood cleared. The next circumstance which
the trial Court found to be abnormal is execution of power of attorney by
Balai Chand <luting his life time. Balai Chand was 90 years of age. Negotiation
of sale is a tedious and laborious task. He was hale and hearty but to negotiate E
and sell the property was difficult for an old man. Hence, we do not find any
abnormality in the son being appointed as constituted attorney, particularly
when under the will Arindam was the legatee. The trial Court has come to
the conclusion that the power of attorney was not produced in evidence by
Arindam and consequently execution of Ex.All by constituted attorney of
Balai Chand was to defraud Balai Chand and his heirs. However, the trial F
Court has failed to consider the evidence of DW5 stating that Rs. l.25 lacs
was received by Balai Chand. In this connection, Ex.A/3 is important. It
indicates payment by cheque in favour of Balai Chand of Rs. l .25 lakh which
has not been considered by the trial Court. It indicates that Balai Chand had
knowledge of Ex.A/I and that he had approved the agreement of sale. In the G
cross-examination Arindam has deposed that Balai Chand had signed the
power of attorney. Arindam has denied the suggestion of Balai Chand not
executing the power of attorney. Lastly, the evidence of Arindam has not
been shaken on this point. The next circumstance which the trial Court takes
into account is that Arindam has received payments of Rs.9.54 lakh whereas
under Ex.A/I he was entitled to receive Rs. 15 lakh. As stated above, no H
    66                         SUPREME COURT REPORTS [2004) SUPP. 5 S.C.R.

A suggestion was put to DWI (Arindam) in cross-examination on this point. In
    the case of Surendra Nath Chatterji (supra), it has been held that the
    propounder must explain those circumstances which are put to him in cross-
    examination. In the present case, for example, there could be number of
    explanations~ Was the price reduced to meet the cost of evicting tenants and
B   free the suit premises from encumbrances? In the absence of ailegations the
    trial Court could not have proceeded on the above circumstance to hold that
    property was sold at a lesser price. In fact there was no such plea taken by
    the plaintiffs. The next circumstance on which the trial Court placed reliance
    was revocation of probate. According to th~ trial Court Arindam had obtained
    the probate fraudulently. According to the trial Court the will was forged. As
C   stated above, this finding was without evidence. As stated above, the
    application dated 14.5.1986 by Bhabesh on the .aforesaid grounds was
    dismissed. PW! has stated that probate was revoked for non-citation pursuant
    to application by his sisters. Hence, the trial Court had given the finding
    without evidence. In this connection the trial Court relied upon the interim
    order passed by the Division Bench of the High Court in the case of Naresh
D   Chandra Ghosh and Ors., v. Archit Vanijya and Viniyog Ltd. and Ors., reported
    in [(1998) 2 Cal. L.J. 344]. The only question before the Division Bench of
    the High Court was whether defendants no.15 to 20 should be restrained
    from raising construction and whether receiver should be appointed .. In the
    said order, there is no finding of forgery. On the contrary, in the said order,
E   it has been clarified that admittedly a multi-storey building has been
    constructed and that the plaintiffs in the partition suit in normal circumstances
    must be held to. have knowledge of ongoing construction. That the plea of
    ignorance raised by the plaintiffs cannot be accepted. Under the aforestated
    circumstances, the inferences drawn by the trial Court are from circumstances
    which have not been alleged and proved. The findings are not based on
F   evidence. The trial Court has failed to take into account the proved
    preponderatory circumstances and it was influenced by inconsequential matters
    in holding that the will was not genuine. Before concluding, we reiterate that
    revocation of the probate operates prospectively; that such revocation does
    not obliterate bona fide transactions entered into by the executor during the
G   pendency of the probate; that we have gone into the circumstances surrounding
    the will as they were pressed into service during the course of the argument.

          According to the impugned judgment, in addition to the above alleged
    suspicious circumstances taken into by the trial Court, it has been held by the
    High Court that Arindam got impleaded in 1982 without disclosing the probate
H   and the conveyance; and that Arindam had fraudulently obtained the probate
            CRYSTAL DEVELOPERS v. A.L GHOSH [KAPADIA, J.)                     67

without serving citation on his two step-sisters. According to the High Court       A
no steps have been taken to prove the will even after it has been revoked as
far back as 9.7.1987.

       At the outset, we may point out the basic fallacy committed by both the
Courts below. They have read the record of the case without the same being
tendered in evidence. Further the findings are perfunctory. In the present case     B
the High Court, as stated above, has given a finding that in 1982 Arindam
got impleaded in the suit without disclosing the conveyance. No particulars
of the order ofimpleadment have been given. However, on our going through
the records of the case paper we found the order passed by Additional District
Judge, Alipore dated 21.8.1982 in Miscellaneous Case No.3/80 in which               C
Balai Chand was a party as a shebait. The subject matter of Miscellaneous
Case No.3/80 was quite different. In that suit, on the demise of Balai Chand,
defendant no.2 was substituted. In the said order the civil Court has observed
that Nirmala did not dispute the existence of the will; that she was aware that
Arindam was the executor under the will. This order is partly quoted in the
written statement filed by Arindam in the partition suit in support of his          D
contention that as far back as 21.8.1982, Nirmala was aware thatBalai Chand
had died making a will and yet no steps were taken to amend .the plaint to
that effect till 1993. Further, Ex.A/8 in the present suit concerning the suit
premises was not relevant in Misc. Case No.3/80 as the subject matter of the
two cases was different. That in any event the said order dated 21.8.1982 was       E
not put to Arindam in cross-examination. In the circumstances, the High
Court erred in holding that Arindam had deliberately withheld the disclosure
of the conveyance and the probate. In fact the order of additional District
Judge shows that Nirmala had made it clear that she did not accept the
validity of the will. Similarly, in the present case, the High Court has given
a finding that Arindam had obtained the probate fraudulently without service        F
of citation on Mamta and Parul the two daughters of Nirmala. There is no
evidence. On the contrary, as stated above, vide order dated 18.9.1986 the
Probate Court had rejected the application for revocation made by Bhabesh
on the ground of forgery and fraud. That in his evidence Bhabesh has conceded
that probate stood revoked by order dated 9. 7.1987 on the ground of non-           G
citation. That the history of the litigation, as reflected in the evidence, shows
that Nirmala and her sons had fought for various properties, every inch of the
way. One can understand the sons ofNirmala not being served. Here Nirmala
and her sons and the sons of Jamuna were served. That the High Court erred
in disbelieving Arindam when he deposed that Manju and Parul were not
cited as they were not the legatees. This was due to misconception and not          H
    68                         SUPREME COURT REPORTS [2004] SUPP. 5 S.C.R.

A   on account of fraud. Lastly, the High Court has observed that the will is lying
    in the state of derelict without being probated. Here also one finds that after
    revocation, Arindam applied for revival of proceedings; that order of revival
    was passed and it was challenged by one of the other sons of Balai Chand.
    Therefore, these circumstances which indicate the strained relationship between
B   the parties, their propensity to litigate at every stage have not been considered
    by the Courts below. In these circumstances, we have no hesitation in saying
    that the findings are based on conjectures and suspicion and that relevant
    circumstances have not been taken into account.

           (II) WAS THE DISPOSITION, DURING THEPENDENCY OF THE
                PROBATE FOUNDED ON FRAUD OR COLLUSION
c               BETWEEN THE EXECUTOR AND THE DEVELOPERS?

                                             AND

           (III) WAS DEFENDANT N0.14 BONAFIDE PURCHASER FOR
                 VALUE WITHOUT NOTICE? IF SO, WHETHER
D                SUBSEQUENT ALIENATION BY DEFENDANT No.14 IN
                 FAVOUR OF DEFENDANTS No.15 TO 20 IS VALID AND
                 BINDING ON THE INTESTATE HEIRS OF BALAI CHAND?

         As the above two points are interconnected, we propose to deal with
    them jointly.
E
          As stated earlier, the grant of probate establishes the genuineness of the
    will and the person in whose favour the probate is granted is entitled to
    convey the title arising· out of the will probated by the Court. It may happen
    that the propounder did not take appropriate steps, by mistake, to notify the
    other heirs before obtaining probate. But the third party who acts bona fide
F   and deals with the grantee cannot be made answerable to the fraud or mistakes
    committed by the propounder [See: Va/erine Basil Pais (dead) by LRs. v.
    Gilbert William James Pais and Anr., reported in (1993) 2 Kar. L. J. 30 I].

          Applying the above tests to the evidence on record we find that Balai
G   Chand had strained relationship with his first two wives; that he had differences
    with his sons from the first two wives; that there were litigations writ galore
    between them; that Balai Chand loved Arindam and that he had bequeathed
    the suit premises to Arindam under the above will. Further, the sons of
    Ninnala have fought legal battles on every issue both during the life time of
    Balai Chand and even after his demise. Even after revocation, Ramesh had
H   objected to revival of probate proceedings. These circumstances are relevant
                CRYSTAL DEVELOPERS v. AL GHOSH [KAPADIA, J.]                    69

     because the main ground on which the Couits below have proceeded to A
     declare Ex.A/8 as fictitious, although there is no plea, was the speed with
     which Ex.A/8 came about. According to the impugned judgments the manner
      in which suit no.3 I 0/8 I was filed without imp leading the other heirs and the
/    manner in which Ex.A/8 came to be executed on 4.8. I 98 I after the grant on
     3l.7.I98I, without reference to the consent decree dated 3.8.I98I in suit
     no.3 I 0/81, proved that Ex.A/8 was collusive and fictitious having being entered
                                                                                       B
     into to defeat the claims of the intestate heirs. These findings of the Courts
     below are without consideration of the relevant circumstances. After the will
     dated 25.I2.I977, Ex.All was executed on I2.3.I979 followed by
     supplemental agreement dated 2 l. 7. I 980 (Ex.A/2) under which Balai Chand
     agreed to sell the suit premises to defendant no.14. It is true that Ex.A/I and C
     Ex.A/2 have been signed by Arindam as constituted attorney of Balai Chand.
     Ho~ever, it would not be correct to say that Balai Chand was not aware of
     ~xf.t/I and Ex.A/2. In this connection, DWI has deposed that Rs. l.25 lacs
    .was '°eceived by him under the said agreement, Ex.A/I. That as can be seen
     from Ex.A/3, the cheque for Rs. l.25 lacs was drawn in favour of Balai
     Chand. The said amount was credited to his account. This evidence is not D
     considered by the Courts below. This evidence was clinching as Ex.A/8 has
     been executed pursuant to Ex.A/I and Ex.A/2 which were entered into during
>
     the life time of Balai Chand. That Ex.All and Ex.A/2 were, therefore, binding
     on the estate of Balai Chand and his other heirs. Under the will the suit
     premises have been bequeathed to Arindam. Hence, both the Courts erred in E
     holding that Ex.A/8 was fictitious having been entered into to defeat the
     claim of other heirs.

          Now coming to the finding of the Courts below that the haste with
    which Ex.A/8 was entered into indicated collusion between Arindam and the
    Developers and consequently both the Courts below have held that the             F
    impugned Ex.A/8 was fraudulent and not binding on the other heirs. In the
    circumstances both the Courts below have held that defendant no.14 was a
    privy to the fraud in execution of Ex.A/8. These findings are given without
    any plea of fraud or collusion against defendant no. I 4. There is no issue
    framed by the trial Court. The trial Court has framed the issue of collusion
    against defendants no. I 5 to 20. In the plaint, collusion is alleged between    G
    defendants no. I and 2. In the impugned judgment of the Division Bench of
    the High Court, great stress is laid on suit no.3 I 0/8 I being filed without
    impleading the other heirs in coming to the conclusion that the developers
    were not bona fide purchasers an_d that they had knowledge of the alleged
>   fraud by Arindam in obtaining the probate without service of citation on         H
    70                         SUPREME COURT REPORTS [2004) SUPP. 5 S.C.R.

A   Manju and Parul. However, while returning the above findings, both the              ,,..,..
    Courts below have failed to notice the evidence on record. Suit no.310/81
    was filed on 21.4.1981 prior to the partition suit. It was filed to enforce
    Ex.All dated 12.3.1979. Suit No.310/81 was filed after the will and before
    Arindam could obtain the probate. As stated above; Arindam was the executor          ~
    under the will. He was a legatee under the will. At the time of the filing of
B   the suit the will was in existence. At the time of the suit, Ex.A/I and Ex.A/
    2 were there. As held, the executor has authority under the will to alienate.
    That he need not wait till the probate. For filing the said suit no.310/81,            ·(

    probate was not required. However, before the decree, probate had been
    obtained. In the circumstances, without allegation of collusion against
c   developers, both the Courts erred in holding, without evidence, that Ex.A/8
    was collusive as it was got executed expeditiously. Here also, we find that
    relevant evidence has not been taken into account. The evidence shows the
    propensity of the family to litigate on every issue. The developers had invested
    huge amount not only in· the payment of consideration but also by way of
    costs incurred to free .the suit premises from requisition, acquisition and other
D   encumbrances including eviction of tenants. Under the above circumstances,
    after the probate, the developers were bound to expedite the sale. Even
    according to the Division Bench of the High Court, Arindam was not reliable.
    In the circumstances, without evidence, the Courts below erred on the basis
    of expedition of sale that Ex.A/8 was fictitious and based on collusion between
E   Arindam and defendant no.14. Similarly, for the aforestated reasons, both the
    Courts below erred in holding that probate was obtained fraudulently without
    effecting service on Parul and Manju.

          Lastly, both the. Courts below have failed to notice the provisions of
    section 41 of Transfer of Property Act.
F
          In the case of Gurbaksh Singh v. Nikka Singh and Anr., reported in
    AIR (1963) SC 1917 it has been held that section 41 is an exception to the
    general rule that a person cannot confer a better title than what he has. Being
    an exception the onus is on the transferee to show that the transferor was the
    ostensible owner of the propert~ and that the transferee had after taking
G   reasonable care to ascertain that the transferor had power to transfer, acted ·
    in good faith.

          In the case of Seshumull M Shah v. Sayed Abdul Rashid and Ors.,
    reported in AIR (1991) Karnataka 273, it has been held that in every case,
    where a transferee for valuable consideration seeks protection under section
H
                                                                                          '
 -'"'
                    CRYSTAL DEVELOPERS v. A.L GHOSH [KAPADIA, J.)                     71
        41 of the Transfer of Property Act, the transferee must show that the real           A
        owner had permitted the apparent owner either by express words, consent or
        conduct to transfer the property in favour of the transferee. In other words,
        it must be shown that with the consent of the true owner, the ostensible
        owner was able to represent himself as the owner of the property to the              "'
        purchaser for value without notice.
                                                                                             B
-             Applying the above tests to the facts and circumstances of the present
        case, we find, on the basis of the evidence on record, that the suit for partition
        was filed on 2 l.9.198 l. Nirmala was aware of the will as early as 21.8.1982.
         She did not apply for letters of administration. She did not challenge the will.
        Between 21.9.1981to22.6.1993 (when the plaint was amended) the developers            c
        demolished the old building. They constructed a multi-storey building. They
        got freed the property from all encumbrances stated herein above. In the
        circumstances, it cannot be said that the other heirs of Balai Chand had no
        knowledge of the aforestated events. (See: Order of the Division Bench in
        Naresh Chandra Ghosh and Ors. v. Archit Vanijya and Viniyog Ltd. and
                                                                                             D
        Ors., reported in (1998) 2 Cal. L.J. 344]. In our view, the test laid down in
....    the matter of applicability of section 41 of the Transfer of Property Act is
        squarely applicable to the facts of the present case. The intestate heirs of
        Balai Chand allowed Arindam to represent to the developers that he was the
        owner of the suit premises. It is established by the conduct of the inaction on
        the part of the intestate heirs of Balai Chand. Hence, we hold that defendant        E
        no.14 was bona fide purchaser for value.

               Before concluding, we may refer to the judgment of the Madras High
        Court in the case of G.F.F. Foulkes and Ors. v. A.S. Suppan Chettiar and
        Anr., reported in AIR (1951) Madras 296 in which it has been held that ifthe
        nature of the transaction· gives notice to the purchaser that the executor was
                                                                                             F
        disposing of the assets contrary to the will then the purchaser is said to have
        participated with the executor in an improper conversion of the estate of the
        deceased and in such a case the sale woµld be invalid. In the present case,
        under the will, the suit premises have been bequeathed to Arindam who is
        also appointed as an executor. Therefore, there is nothing to suggest that           G
        Ex.A/8 was incompatible with the administration of the estate of Balai Chand.
        In the circumstances, we hold that defendant no.14 was a bona fide purchaser
        for value and the alienation effected by defendant no.14 in favour of defendants
        no.15 to 20 was valid .
  .->
                                                                                             H
    72                         SUPREME COURT REPORTS [2004) SUPP. 5 S.C.R.              ,,.,..,,,

A          Lastly, we may refer to the preliminary objection advanced on behalf
    of the plaintiffs. When the matt~r came up for final hearing before the Division
    Bench of the High Court, an enquiry was made by the learned Judges from
    the subsequent purchasers whether they would like to prove the will or await          '-"
    the decision in the probate case before proceeding with the appeals arising
    out of the judgment of the trial Court granting a preliminary decree for
B   partition. At that stage, defendants no.14 to 20 stated that they wanted to
    proceed with the matter and that they did not want to await the decision of               •
    the Probate Court. The learned counsel appearing on behalf of the plaintiffs
    submitted that in view of the aforestated statement made on behalf of the
    defendants no.14 to 20, it was not open to the said defendants to rely upon
c   the probate or the will for the purposes of showing that they were bonafide
    purchasers for value without notice and that their purchase was good and
    valid as defendant no.2 had a good title to convey on the basis of the will and
    the probate. Before us, it has been submitted on behalf of the plaintiffs that
    if a particular concession is recorded in the judgment of the High Court, the
D   party aggrieved can not thereafter assail the same. We do not find any merit
    in this argument. Firstly, before the trial Court, defendant no.14 and defendants
    no.15 to 20 had asked for stay of the partition suit pending decision by the
    Probate Court. It was objected to by the plaintiffs. The objection of the
    plaintiffs was upheld and the matter was decided against the defendants.
    Secondly, before the trial Court, it was the plaintiffs who had relied upon the
                                                                                            -
E   alleged suspicious circumstances surrounding the will. In the circumstances,
    defendants no.14 to 20 cannot be prevented from relying on the probate and
    the will.

           We are mindful of the fact that g~nerally this Court does not interfere
F   with the concurrent findings recorded by the Courts below in civil appeals by
    way of special leave under Article 136 of the Constitution oflndia. However,
    in cases where the Courts below have given findings on documents and on
    the basis of assumption and inferences founded on facts and circumstances,
    which in themselves offer no direct or positive support for the conclusion
    reached, it is our incumbent duty to review such inferential process. In such
G   cases, the right of this Court to review such inferential process cannot be
    denied. It is well settled that inferences have to be drawn from a given set
    of facts and circumstances with realistic diversity and not with dead uniformity.
    We have, therefore; interfered with the concurrent findings recorded by the
    Courts below as we find that in the present case, findings have been recorded
H   on fraud and coltiision in favour of the plaintiffs, who have not alleged fraud     -41..,
            CRYSTAL DEVELOPERS v. A.L GHOSH [KAPADIA, J.)                    73
or collusion supported by the particulars.                                         A
       For the reasons stated above, the appeals succeed and are allowed. The
judgment and decree of both the Courts below are set aside and the suit for
partition stands dismissed. Interim order, if any, against the appellants stands
vacated.
                                                                                   B
CIVIL APPEAL Nos.6871-6873 OF 2003.

      For reasons given in our judgment allowing Civil Appeals No.6258 and
6259 of 2000 and in view of our finding that the conveyance dated 4.8.1981
executed by Arindam in favour of Crystal Developers was valid and in view          C
of our finding that the Crystal Developers were bona fide purchasers for
value, these appeals have become infructuous and the same are disposed of
accordingly.

      There shall be no order as to costs in all the appeals.
                                                                                   D
S.K.S.                             C.A. Nos. 6258 and 6259/2000 allowed.
                                        C.A. Nos. 6871-73/03 disposed of.


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