Created byFuzzy Cloud

Supreme Court of India

SHRI PANCH NAGAR PARAKH MANDSAURversusPURUSHOTTAM DAS

Citation
1999 INSC 339
Decided
18 August 1999
Disposal
Appeal(s) allowed

Holding

The suit for redemption of the 1934 mortgage is time‑barred under Section 275 of the Ryotwari Act, and the questions of civil court jurisdiction and bhumi‑swami status must be decided by the High Court.

Summary

The Supreme Court examined a suit filed in 1968 for redemption of a mortgage executed in 1934 over agricultural land in Mandsaur. The Court held that the suit was time‑barred under Section 275 of the Qanoon Ryotwari Gwalior State Act, which provides a three‑year limitation for redemption suits. It further observed that the question of whether the civil courts are expressly or impliedly barred from hearing such suits, and whether the appellant became a bhumi‑swami under the Madhya Bharat Land Revenue Code, 1959, required detailed analysis of the applicable statutes. Consequently, the Court set aside the High Court’s dismissal of the appeals, allowed the appeals, and remitted the matters to the High Court for determination of those specific issues. The decision emphasized the need to examine the scheme of the Ryotwari Act and subsequent land revenue codes to ascertain jurisdiction and rights of redemption.

Issues considered

  • Whether the suit for redemption of the 1934 mortgage filed in 1968 is barred by the three‑year limitation under Section 275 of the Qanoon Ryotwari Gwalior State Act, 1917.
  • Whether the Ryotwari Act expressly or impliedly excludes the jurisdiction of civil courts in redemption suits, thereby conferring exclusive jurisdiction to revenue courts.
  • If civil court jurisdiction is not barred, whether the limitation period for redemption should be governed by the Limitation Act, 1963 (or the earlier state limitation law).
  • Whether the appellant, as mortgagee, acquired the status of bhumi‑swami under the Madhya Bharat Land Revenue Code, 1959 (and related provisions).
  • Whether the High Court correctly applied the law in dismissing the appeals.

Legislation cited

Subjects

tenancymortgage redemptionlimitation periodRyotwari Actcivil court jurisdictionbhumi swamiland revenue lawagricultural landmortgagesection 275

Judgment

                                                                                    ~
A               SHRI PANCH NAGAR PARAKH MANDSAUR                                    ,.-
                                         v.
                              PURUSHOTTAM DAS

                                AUGUST 18, 1999

B              [M. JAGANNADHA RAO AND M.B. SHAH, JJ.]


          Tenancy and Land Laws:

          Madhya Bharat Land Revenue and Tenancy Act,_ 1950-Madhya
                                                                                     t-
c Pradesh Land Revenue Code, 1959-Qanoon Ryotwari Gwalior State Sambat
     1974 (1917 AD), Section 275 Mortgage executed in year 1934 when Ryotwari
     Act was in force-Suit for redemption of mortgage of agricultural lands-
     Limitation/or-Held, the suit was barre_d under Section 275 of the Ryotwari
    Act-Also the question whether the jurisdiction of civil court is expressly or
     impliedly barred under Ryotwari Act for any other relevant applicable laws
D
     requires reconsideration-If filing of civil suit is not barred expressly or
     impliedly, a civil suit would be maintainable and the limitation period for
    redemption of the mortgage would depend on the Limitation Act applicable
     in the State at the relevant time prior to 1950 and thereafter-Attention of     •,,
    the High Court not focussed on this question-Matter remitted to High Court
E   for decision on merits after verification of applicable local laws Bar of       't -
    jurisdiction ofcivil courts-Suit for redemption ofmortgage-Civil Procedure
    Code, 1908, Section 9-limitation Act, 1963, Article 61-Redemption of
    mortgage 'of agricultural land
                                                                                     ..'~
F         Qanoon Ryotwari Gwalior State Sambat 1974 (1917 AD), Section
    275-Held, for redemption of mortgaged tenancy rights the procedure
    prescribed under Section 275 to be followed and the martgage was required
    to be redeemed within three years.

          Madhya Pradesh Land Revenue Code, 1959, Section 158-Mortgage
G   executed in 1934 when Ryotwari Act was in force-Whether mortgagee can
    become a bhumiswami under Section 158 of the 1959 Code-Held, matter
    requires consideration of various provisions of the Madhya Bharat Land
    Revenue and Tenancy Act, 1950 as well as 1950 Code-Matter remitted to
    High Court for fresh consideration on merits after consideration of all
H   applicable local laws.
                                        546
         SHRI PANCH NAGAR PARAKH MANDSAUR v. PURUSHOTTAM DAS                547

       Relying upon a registered mortgage deed executed in 1934 by one H            A
who was the power of attorney holder of D, respondents-heirs of deceased D,
filed a suit in 1968 for redemption of I/3rd share in agricultural land. The
deed prescribed 11 years as the mortgage period with a specific condition
that the mortgage money was not to carry interest and the mortgage was
made in favour of appellant-Community. Trial court decreed the suit for             B
redemption of possessory mortgage on payment of mortgage money and cost
and the same was confirmed in Appeal and Second Appeal. Hence this appeal.

      It was contended by the appellant that the suit for redemption was not
to be governed by the Limitation Act, 1963 as under the Qanoon Ryotwari,
Gwalior State Sambat 1974 (1917AD) ("Ryotwari Act"), there was specific             C
provision for redemption of mortgage of 'Pukhta Maurusi' (class of tenants);
that original mortgagor was 'Pukhta Maurusi' tenant and for redemption of
such mortgage, rights of the parties were governed by the Ryotwari Act; that
the three years' period of limitation for redemption of such mortgage w~s
provided under Section 275 of Ryotwari Act; that right to sue accrued after
eleven years from the date of execution of the mortgage deed, i.e. in July          D
1945 and the limitation of three years under the Ryotwari Act was over in
July 1948; that under Ryotwari Act the tenancy rights of 'Pukhta Maurusi'
tenants were transferred to mortgagee in possession; and that under M.P.
Land Revenue, 1959, appellant had become 'Bhumi swami'.
                                                                                    E
      Respondents did not dispute that the provisions of Ryotwari Act were
applicable to the lands in dispute. One year before the execution of the
mortgage, eight sections of Qanoon Mal, Gwalior State, Sam vat 1983 (1926
AD) were incorporated into the Ryotwari Act. In August 1950, Ryotwari Act
and some provisions of Act of 1926 were repealed by Madhya Bharat Land
Revenue and Tenancy Act, 1950 which was then repealed by M.P. Land                  F
Revenue Code, 1959.

     Allowing the appeals and remanding the matter to High Court, the
Court.

     HELD: 1. Suit for redemption of mortgage ex~cuted in July 1934 is              G
obviously time barred on the basis of Section 275 of the Qanoon Ryotwari,
Gwalior State, 1974 (1917 A.D.). Still, however, the next question that would
require consideration is whether the jurisdiction of the civil court is expressly
or impliedly barred in view of the provisions of the Ryotwari Act or other
relevant laws applicable. Where there is an express bar of jurisdiction of the      H '
    548                      SUPREME COURT REPORTS [1999] SUPP. 1 S.C.R.

A civil court under the provisions of the Ryotwari Act then the question of
    finding out implied exclusion is not allowed. However, in cases where there
    is no express provision excluding jurisdiction of civil courts, it would be
    necessary to enquire and determine whether it is impliedly barred. For this
    purpose, the scheme of the Ryotwari Act and the relevant provisions are
B   required to be examined to find out whether the statute provides right and
    remedy and whether the scheme of the Act is such that the procedure
    provided therein will be conclusive giving finality and thereby excluding the
    jurisdiction of the court in respect thereof. Attention of the High Court was
    not at all focused on this question. Under the Ryotwari Act, pukhta maurusi
    (class of tenants) was entitled to mortgage its right and the mortgagee
C   stepped into his shoes and special procedure was prescribed for redemption
    of such mortgage within a period of three years. However, if filing of a civil
    suit was not expressly or impliedly barred, a civil suit would be maintainable.
    In such eventuality, the limitation for redemption of the mortgage would be
    different It would depend upon the Limitation Act applicable in the said State
    at the relevant time prior to 1950 and thereafter. In this view of the matter,
D   the relevant provisions of the Civil Procedure Code and the Limitation Act
    applicable in the said State where the agricultural lands are situated are
    required to be examined and considered for deciding whether civil court's
    jurisdiction is expressly or impliedly barred, whether the right of redemption
    was barred by the period of limitation prescribed under the Limitation Act
E   applicable to that State. [558-B-H]

          2. The other question which requires consideration is whether the
    appellant has become bhumi swami under the provisions of the Madhya
    Bharat Land Revenue Code, 1959. By the deed executed in favour of the
    appellant, he stepped into the shoes of the mortgagor and has acquired the
F   right as pukhta maurusi subject to the right to redemption. As such this
    question would also require further consideration by taking into consideration
    various provisions of the Madhya Bharat Land Revenue and Tenancy Act,
    1950 as well as the Madhya Pradesh Land Revenue Code, 1959. (559-A-C]

          CIVIL APPELLATE JURISDICTION: Civil Appeal No. 235of1995
G Etc.
         From the Judgment and Order dated 30.9.91 of the Madhya Pradesh
    High Court in C.S.A. No. 460of1976.

          Shiv Dayal Shrivastava, S.K. Bagga, Seeraj Bagga, Ms. Tanuj Sharma ,
H and Ms. Shurestha Bagga for the Appellant.
    SHRI PANCH NAGAR PARAKH MANDSAUR v. PURUSHOTTAM DAS [SHAH, J.J 549

     Ashok Chitale, Sushi! Kumar Jain, A. Misra, L. Singh, Ms. Anjali Doshi         A
and Umesh Bohre for the Respondent.

      The Judgment of the Court was delivered by

      SHAH, J. These two appeals between the same parties arise out of
mortgage of two pieces of agricultural land in Mandsaur-one mortgage deed           B
is executed on I 8th June, I 932 and another on 26th July, I 934. At present, we
would refer to the facts of Civil Appeal No. 235 of 1995. Relying upon
registered mortgage deed executed on 26. 7 .1934 by one Hardeodas who was
the power of attorney holder of Dwarkadas, respondents-heirs of the deceased
Dwarka Das-filed Civil Suit No. I 12-A/68 on I 0th August, I 968 before the Civil   C
Judge, Mandsaur for redemption of I/3rd share in agricultural land bearing
survey No. 1639 situated at Mandsaur. The deed prescribed eleven years as
the mortgage period with a specific condition that the mortgage money was
not to carry interest and mortgage was made in favour of appellant which is
a Community, namely, Shree Panch Nagar Parakh Jankoopura, Mandsaur. The
Trial Court decreed the suit for redemption ofpossessory mortgage on payment        D
of mortgage money and cost which is confirmed in Appeal and Second
Appeal.

       It has ben contended by learned counsel for the appellant that courts
below committed patent error in arriving at the conclusion that suit for            E
redemption filed by the plaintiff would be governed by the Indian Limitation
Act, I 963 without appreciating the fact that there was specific provision
under the Act known as 'Qanoon Ryotwari' for redemption of mortgage of
Pukhta Maurusi (class of tenants). It is submitted that Dwarkadas, original
mortgagor was 'Pukhta Maurusi' tenant and for redemption of such mortgage,
the rights of the parties were governed under the special provisions of             F
Qanoon Ryotwari, Gwalior State Samvat 1974 (1917 A.D.) (hereinafter referred
to as "the Ryotwari Act"). It is contended that three years' period of limitation
for redemption of such mortgage is provided under Section 275 of the Ryotwari
Act. Hence, the suit filed in 1968 was on the face of it barred by period of
limitation. According to the learned counsel, right to sue accrued after eleven     G
years from the date of execution of the mortgage deed, i.e. on 26. 7 .1945 and
three years' period would be over in the month of July 1948. It is his further
contention that the mortgage in possession of tenancy rights of Pukhta
Maurusi gets his rights transferred in his favour under the provisions of the
Ryotwari Act. Secondly, the learned counsel submitted that under the Madhya
Pradesh Land Revenue Code, 1959 appellant became Bhumi-Swami.                       H
    550                      SUPREME COURT REPORTS [1999] SUPP. I S.C.R.

A         At the time of hearing of the appeal as well as in the written submissions
    made by the respondents, it is not disputed that the Ryotwari Act was
    applicable to the lands in dispute. On 17th August, 1933, eight sections of
    Qanoon Mal Gwalior State Sam vat 1983 ( 1926 A.D.), namely, Sections 268, 269,
    271, 212, 274, 275, 278 and 280 were engrafted into the Ryotwari Act. On 15th
    August 1950, the Madhya Bharat Land Revenue & Tenancy Act, Samvat 2007
B   (66 of 1950) became applicable to land tenures in Mandsaur and it repealed
    Qanoon Ryotwari and certain provisions of Qanoon Mal. The 1950 Act was
    repealed on 2nd October, 1959 by Madhya Pradesh Land Revenue Code, 1959
    (Act No. 2 of 1959).

C         For considering the first contention whether the suit filed in 1968 is
    barred by the period of limitation as prescribed under Section 275 of the
    Ryotwari Act, we would first refer to relevant provisions of the said Act:-

           "Section I. (l) It is expedient that this Act shall be called 'Qanoon
           Ryotwari Gwalior State, Samvat 1974'.
D
            (2)...

            (3). ..

            (4) Th is Act shall come into force on l st October, 1917."
E           DEFINITIONS

            Section 2. "In villages, where there is no intermediary like Zamindar.
            Mustajar, Supurdidar, between the State and the tenant, and rent is
            recovered by the Government directly from the tenant, such
            administration is called 'Ryotwari', and such villages are called
F
            'Ryotwari villages'."

           Section 5. '"Pukhta Maurusi' means a Maurusi tenant who got Maurusi
           Patta at the time of settlement or who has become Maurusi during_the
           current settlement. He shall have also the right to transfer his Pukhta
G          holding."

                                           TENANTS
                                   CLASSES OF TENANTS

           Section 65. In a Ryotwari village there shall be the following classes
H          of tenants:-
   SHRI PANCH NAGAR PARAKH MANDSAUR v. PURUSHOTTAM DAS [SHAH, J.J 551

       (1)   Those tenants who got Patta Maurusi at the time of last settlement     A
             or who acquired maurusi rights shall be called "Pukhta Maurtisi"
             and such tenants shall also have the right of transfer.

       (2)   Saqitul Milkayat.

       (3)   "Haquiat Mutafarriq" and "Sharah Muayyan" tenants shall retain
             their rights and shall also have the right of transfer provided        B
             that on transfer of holding by such tenants, the class of the
             transferee shall be "Pukhta Maurusi", and shall be assessed to
             full rent without concession to him"
       (4)   Ghair Dakhilkar.
                                                                                    c
       "71. A tenant who acquires title to tenancy by succession or sale or
       mortgage or in any other mode, must report to the Patwari of the
       village about the acquisition of such title. If the person acquiring title
       is a minor or is otherwise disabled, his guardian or such other person
       who is manager of his property shall :eport to the Patwari in writing
       and obtain acknowledgement.                                                  D
       (a) In case of transfer by sale, mortgage with possession or gift, it
       shall be the duty of the transferee to make such report to the Patwari
       before taking possession .... "

       Section 275. "If a suit for redemption or for recovery of mortgage           E
       money on the basis of a registered deed of mortgage is to be instituted,
       it shall lie in the court of the Tehsildar within three years on a stamp
       paper of 8 annas. The appeal from the order of the Tehsildar shall lie
       to the court of Suba (Collector) and the decision of the Collector shall
       be final."
                                                                                    F
       Section 278. "The status regarding rights and liabilities of the purchaser
       or the mortgage of Dakhilkar land shall be the same as of the transferor."

      On the basis of aforesaid provisions, learned counsel for the appellant
submitted that the suit filed in 1968 was, on the face of it, time barred and       G
the courts below manifestly erred in holding that Article 61 of the Indian
Limitation Act. 1963 which prescribes period of limitation of thirty years
would be applicable to the suit filed by the respondents.

      Prima facie, it appears that there is total non-application of mind by the
courts below with regard to Section 275 of Qanoon Ryotwari which was in             H
    552                      SUPREME COURT REPORTS [1999] SUPP. l S.C.R.

A force at the relevant time and was applicable to the lands in dispute. The said
     section specifically provides that suit for redemption or for recovery of
     mortgage money on the basis of a registered deed is to be instituted within
     three years in the court of Tehsildar. Further, appeal against the said order is
     to be filed in the court of Suba (Collector) and the decision of Suba shall be
     final. These provisions are made with regard to Ryotwari villages in Gwalior
B    State. Section 2 as quoted above, inter alia, provides that in villages where
     there is no intermediary like Zamindar, Mustajar, Supurdidar between the State
     and the tenant and the rent is recovered by the Government directly from the
     tenant such administration is called Ryotwari and such villages are called
     Ryotwari villages. As per Section 65 in Ryotwari villages, tenants were of four
C    classes, namely, (I) Pukhta Maurusi (2) Saqitul Milkayat (3) Haquiat Mutafarriq
     and Sharah Muayyan and (4) Ghair Dakhilkar. Admittedly, in the present case,
    the mortgagor who mortgaged his rights was belonging to 'Pukhta Maurusi'
    class of tenants. He transferred his rights by executing a mortgage deed a
    copy of which is produced in this appeal which inter alia recites that "I am
     in possession and occupation of this land as "Pukhta Maurusi," "And as
D   regards payment of mortgage money, it is agreed that after the expiry of I I
    years. I shall pay mortgage money Rs. I 0 I and get the mortgage property
    redeemed. Whatever the rights I have in the land mortgaged the same will
    be the rights of the said Panchan mortgagees". Admittedly, the aforesaid
    document is registered with the Tehsildar, Mandsaur on 27. 7. I 934. Section 278
E   quoted above provides that the status regarding rights and liabilities of the
    purchaser of the mortgagee of Dakhilkar land shall be the same as that of the
    transferor. The mortgage deed as quoted above also provides to the same
    effect that whatever rights mortgagor was having the same will be the rights
    of the mortgagee. At this stage, we would mention one submission made by
    the learned counsel for the respondents to the effect that on the basis of
F   mortgage deed, mortgagee would not get the same rights of a tenant-mortgagor.
    The said submission is without any substance. Firstly, because of executing·
    the mortgage deed, mortgagor has transferred his rights under Sections 5 &
    65 of the Ryotwari Act. 'Pukhta Maurusi' (tenant) was entitled to transfer or
    mortgage his rights and the tenant, Dwarka Das, who was 'Pukhta Maurusi'
G   mortgaged his tenancy rights with a specific mention that whatever rights he
    was having in the land were mortgaged and the same would be the rights of
    the mortgagees. Hence,_ by the said deed, what was mortgaged was tenancy
    rights and the mortgagee_ stepped_ into his shoes and acquired the tenancy
    right as 'Pukhta Maurusi' subject to right of redemption. Further, under
    Section 278 of the Ryotwari Act mortgagees were having the same status qua
H   the State. Under Section 275, suit for redemption of mortgage was required
        SHRI PANCH NAGAR PARAKH MANDSAUR v. PURUSHOTTAM DAS [SHAH, J.] 553

    to be filed before the Tehsildar within 3 years from the date when the cause      A
    of action arose.

          The High Court held that period of 30 year as provided in Article 61 of
    the Indian Limitation Act, 1963 would be applicable as the suit was filed in
    the-year 1968, and, therefore, it was within time. The High Court rejected the
    contention that Section 29 of the Indian Limitation Act would be applicable       B
    and the suit which was barred before the Indian Limitation Act came into
    force would not be revived by holding that nothing could be shown from the
    provisions of the Gwalior Acts that the suit in Civil Court would have become
    barred before coming into force of the Indian Limitation Act, 1963 and the
    Court was not concerned with the aspect of the bar of limitation before a         C
    Revenue Court as the suit was filed in Civil Court. From the said finding, it
    is apparent that the High Court erred in not applying its mind to the relevant
     provisions of the Act particularly Section 275 nor to any other provision of
•    the Qanoon Mal and its effect by considering whether Civil Court was having
    jurisdiction in the matter or whether it was within exclusive jurisdiction of
     Revenue authority.                                                               D
          The learned District Judge has dealt with this aspect of the matter to
    some extent by holding that even though Section 275 is applicable but it does
    not bar the civil suit by holding that Section 377 of Qanoon Mal Gwalior State
    which bars civil courts' jurisdiction, was not adopted by the Ryotwari Act.
    The learned Judge unfortunately had not quoted the entire section nor             E
    discussed the issue in detail.

          However, at the time of hearing of this matter, the learned counsel for
    the parties have given a translated version of Section 377 which is as under:-

            Section 377 (1) Subject to the provisions of Section 313, those suits     F
            which are provided in this Act as entertainable in a Revenue Court,
            shall not be maintained in a civil court unless otherwise expressly
            provided in this Act.

            (2) Those matters which have once been decided by a competent             G
            court, shall not be entertained a second time between the same parties
            about the same subject-matter.

          It is true that from the Ryotwari Act, no express provision barring civil
    courts jurisdiction is pointed out. However, Qanoon Ryotwari was a special
    statute dealing with rights of various classes of tenants and special procedure   H
    554                       SUPREME COURT REPORTS [1999} SUPP. I S.C.R.

A is prescribed for registration of a mortgage deed with the Tehsildar and its
     redemption and recovery of mortgage money. For such classes of tenants,
     method of execution of the document and for recovery of money and property,
     exclusive jurisdiction is given to Tehsildar which was speedy and inexpensive
     remedy. Specific shorter period of limitation is also provided therein. Prima
B    facie-{subject to further consideration), it appears that the said Act is a self-
     contained Code which expressly provided for rights and liabilities, prescribed
    procedure, remedy of appeal and finality of such decisions. Further, the
     Ryotwari Act specifically dealt only with the rights of tenants who were
    directly paying rent to the Government. There was no intermediary like
    Zamindar, Mustajar, Supurdidar as provided in Qanoonmal Gwalior State (for
C   short "the said Act"). Under Section 2 (13) of the said Act Zamindar means
    a person who has heritable and transferable proprietary rights in village or
    part of a village or specified plot of land, and who was entitled to recover rent
    from tenants and was liable to pay revenue to the Government. Under Section
    60, a Zamindar was entitled to sell, gift or mortgage his village or part of
                                                                                         ••
D   village or land of a village in his possession, by a registered document.
    Section 94 provided for a suit for redemption of mortgage or for recovery of
    mortgage money on the basis of registered deed which was required to be_
    filed in civil court. As against this under the Ryotwari Act, the persons
    holding land were direct tenants and were directly paying rent to the State
    Government. In that context, Sections 275 and 278 are required to be considered.
E   Further under the Ryotwari Act, tenants as described under Sections 5 and
    65 were entitled to transferor mortgage their tenancy rights. Under Section
    278, rights and liabilities of the purchaser or the mortgagee of the land qua
                              \
    the State were the same as of transferor. For the redemption of mortgage of
    such tenancy rights, the procedure prescribed in Section 275 was required to
F   be followed and the mortgage was required to be redeemed within the specified
    period of 3 years. Result would be if the suit is not filed before the Tehsildar
    within the period of 3 years, the tenant who has mortgaged his tenancy rights
    would lose his right to redeem the tenancy rights which he had mortgaged.
    According to the condition in the mortgaged deed, right of redemption accrued
G   to Dwarka Das on 26th July, 1945, that is, after the expiry of 11 years as
    agreed. If 3 years period of limitation as provided in Section 275 is taken into
    consideration, the suit before the Tehsildar was required to be filed on 26th
    July, 1948. Admittedly, in the present case, Qanoon Ryotwari was in force. It
    was repealed by Madhya Bharat Land Revenue & Tenancy Act (66 of 1950)
    which came into force on 15th August, 1950. Hence, before the repeal of the
H   Act, rights of the mortgagee under the Ryotwari Act were crystalised.
          SHRI PANCH NAGAR PARAKH MANDSAUR v. PURUSHOTT AM DAS [SHAH, J.] 555



-             The learned counsel for the respondent however, submitted as under:-

                (1)   The remedy as provided in the Section 275 has been created in
                      the interest of the agriculturist to have an inexpensive summary
                                                                                            A


                      remedy but that did not mean that laws relating to limitation or
                      civil procedure are not applicable.
                (2)   It was an optional remedy to the mortgagor.                           B
               (3)    It cannot be accepted that within the short period of 3 years,
                      mortgagor's precious rights to redeem got extinguished.
                (4)   The Gwalior Limitation Act provided for limitation of 30 years for
                      filing a civil suit.
        \Jl
                                                                                            c
             Firstly, it is to be noted that before the Courts below respondent have
      never contended that the Gwalior Limitation Act was applicable. In the present

-     case, for the first time, this contention is raised before this Court that too only
      in written submissions after arguments were over, and, therefore, it is difficult
      for us to appreciate and deal with the same. Secondly, as stated earlier,
      Ryotwari Act was the special law enacted by the State for dealing with the
                                                                                            D
      rights of the tenants who were direct tenants of the State and were required
      to pay rent directly to the State. Their rights were governed by the said Act.
      The Act permitted transfer or mortgage of their tenancy rights. In such a
      situation, a shorter period of 3 years was provided for redemption of the
      mortgage of the tenancy rights. In that set of circumstances, the contention          E
      that such interpretation will not protect agriculturists and that it would destroy
      precious rights to redeem tenancy rights of the mortgagor would have no
...   bearing .

            Further, the Ryotwari Act was repealed by the Madhya Bharat Land
      Revenue & Tenancy Act (hereinafter referred to as "the Madhya Bharat Act")            F
      which came into force on 15th August, 1950. The Preamble of the said Act
      provides that it was for consolidating and declaring the law relating to
      revenue administration in the United States of Gwalior, Indore and Malwa
      (Madhya Pradesh) and the land revenue, land tenure and other matters
      connected with land in the Ryotwari tracts or villages of the United State.
      Section 3 specifically repeals all other Acts, laws, rules relating to matter
                                                                                            G
      connected with Ryotwari villages in force. The said Act further provides for
      the establishment of Revenue Courts having jurisdiction, powers and for the
      procedure including the procedure of filing the appeals and period of limitation.



-
      Revenue Court as defined mean all or any of the authorities mentioned in sub-
      section (vii) of Sections 4 which includes Suba, ·Adpitional Suvas, Naib              H
    556                       SUPREME COURT REPORTS [1999) SUPP. l S.C.R.

A   Subas. Chapter VI deals with tenancies and sub-tenancies. This Act also
    provided for special procedure with regard to the mortgage of tenancy rights
    by 'Pa.kka tenant' which includes 'Pukhta Maurusi' as defined in Section
    54(vii) Section 54 gives the definitions, inter alia, of Rent, the Ryotwari village
    and pakka tenant. Pakka tenant is defined in Section 54 (vii) as under:-

B           "Pakka tenant-means a tenant who has been or whose predecessor
            in interest had been lawfully recorded in respect of his holding lil! a
            "Ryot Pattedar", "Mamuli Maurusi'', "Gair Maurusi" and "Pukhta
            Maurusi" when this Act comes into force or who may in future be
            duly recognised as such by a competent authority."
c         It also provides as to how a mortgage is to be executed by a Pakka
    tenant and various consequences of a usufructuary mortgage. The section


                                                                                          -
    dealing with mortgage indicates that usufructuary mortgage by a pakka tenant
    can be for a specific period not exceeding six years and it would be valid if
    it has been duly registered in accordance with law and that it is deemed to
D   be satisfied and redeemed after the expiry of the period of mortgage without
    payment of mortgage money. Further, the mortgagee in possession shall be
    deemed to be a trespasser and is liable to ejectment in accordance with the
    provisions of the Act. However, it saves the validity of a mortgagee properly
    and legally executed prior to the commencement of the Act. In case of simple
    mortgage it bars the jurisdiction of the civil court form granting any interest
E   on loans advanced on the land not greater than what is provided in sub-
    section (7) of Section 72 .. Section 72 reads as under:-

            "72. Mortgage-

            (1)   A pakka tenant may mortgage his rights in the whole or any part
F                 of his holding by way of simple or usufructuary mortgage to a
                  bona fide agiculturist for a period of not more th.an six years,
                  provided that an area of at least 15 acres on Pakka tenure is left
                  with him in his possession free of any encumbrance or charge
                  or any kind.

G           (2)   Notwithstanding anything contained in any enactment for the
                  time being in force, a mortgage deed effecting a mortgage for a
                  period of more than 6 years shall not be registered.

            (3)   No mortgage shall be deemed to be valid until the mortgage·.

H
                  deed effecting such a mortgage has been duly registered in
                  accordance with the law of registration in force for the time           ...
        SHRI PANCH NAGAR PARAKH MANDSAUR v. PURUSHOTTAM DAS [SHAH, J.J 557


                  being.                                                                 A
           (4)    A usufructuary mortgage effected under this section shall be
                  deemed to have been satisfied and redeemed after the expiry of
                  the period for which the mortgage was effected without the
                  payment of the mortgaged money.
            (5)   If the mortgagee ·does not handover possession of the land             B
                  mortgaged to him ·under this section after the expiry of the
                  period of mortgage to the mortgagor or in case of his death to
                  his legal heir, he shall be deemed to be a trespasser and shall
                  be liable to ejectment in accordance with the provisions of this
                  Act.                                                                   c
            (6)   On the dispossession of a trespasser under sub-section (5), the
                  Pakka tenant, or if he is dead his legal heir shall, under orders
                  of the Tehsildar be placed in possession of the land on payment
                  of arrears, if any.
            (7)   The loan advanced by the mortgagee to the Pakka tenant on the          D
                  simple mortgage of the land under this Section shall not bear
                  interest of more than 6% per annum and the total amount of

-                 interest shall not exceed an amount more than half the sum of
                  the principal.
            (8)   Notwithstanding anything contained in any other law for the            E
                  time being in force, no civil court shall allow as interest on loans
                  advanced on land under this section, a sum greater than what
                  is provided for in sub-section (7).
            (9)   Nothing in this section shall effect the validity of a mortgage
                  properly and legally executed prior to the commencement of this        F
                  Act.
            (IO) The provisions of this section shall not apply to a mortgage or
                 a charge in favour of a registered co-operative credit society
                 executed under the law for the time being in force."
                                                                                         G
          The object of the said provisions is to protect such tenants. Sections
    79 and 80 provide the procedure of surrender of tenancy rights by a Pakka
    tenant and also the consequences of not cultivating his holding of agricultural
    land by a Pakka tenant. The Code also provides the procedure for eviction
    of unauthorised transferors by considering them as trespassers. Section 147
    bars the civil court's jurisdiction to obtain a decision or order on any matter      H
    558                       SUPREME COURT REPORTS (1999] SUPP. I S.C.R.

A   which the Government are, or a Revenue Officer is empowered to determine,
    decide or dispose of. Special period of limitation is also provided for the
    applications or suits which are required to be filed under the Code. Thereafter,
    the Madhya Bharat Land Revenue & Tenancy Act was repealed by Madhya
    Bharat Land Revenue Code which came into force from 2nd October, 1959
B   which also provides special procedure.

            In this view of the matter, it would be difficult to hold that rights which
     were crystalised under the Ryotwari Act are in any way affected. Suit for
     redemption of mortgage executed in July, 1934 is obviously time barred on the
     basis pf Section 275 of the Ryotwari Act. Still, however, the next question
C    which would require consideration is whether the jurisdiction of the Civil
     Court is expressly or impliedly barred in view of the provisions of Ryotwari
     Act or other relevant laws applicable. Where there is an express bar of
    jurisdiction of the Civil Court under the provisions of the Act then the
     question of finding out implied exclusion would not arise. However, in cases
    where there is no express provision excluding jurisdiction of the Civil Court,
D    it would be necessary to enquire and determine whether it is impliedly barred.
     For this purpose, the scheme of the Act and the relevant provisions are
     required to be examined to find out whether the statute provides right and
    remedy and whether the scheme of the Act is such that the procedure
    provided therein will be conclusive giving finality and thereby excluding the
E   jurisdiction of the Court in respect thereof. Attention of the High Court was


                                                                                          -
    not at all focused on this question. As discussed above, under the Ryotwari
    Act, Pukhta Maurusi was entitled to mortgage his rights and the mortgagee
    stepped in his shoes and special procedure is prescribed for redemption of
    such mortgage within a period of three years. However, if filing of civil suit
     is not expressly or impliedly barred, civil suit would be maintainable. In such
F   eventuality the limitation for redemption of the mortgage would be different.
    It would depend upon the Limitation Act applicable in the said State at the
    relevant time prior to 1950 and thereafter. In this view of the matter, the
    relevant provision of Civil Procedure Code and the Limitation Act applicable
    in the said State where the agricultural-lands are situated are required to be
G   examined and considered for deciding whether the Civil Court's jurisdiction
    is expressly or impliedly barred. If not barred, whether the right of redemption
    was barred by period of limitation prescribed under the Limitation Act applicable
    in that State.

         The next question which requires consideration is whether the appellant
H   has become Bhoomi Swami under the provisions of Madhya Bharat Land
           SHRI PANCH NAGAR PARAKH MANDSAUR v. PURUSHOTTAM DAS [SHAH, J.] 559

       Revenue Code, 1959. That contention was rejected by the High Court by             A
       observing that entire edifice of this contention would collapse on account of
       lack of factual foundation of the appellant being a tenant of the respondent
       at any point of time. It was held that appellant was a mortgagee and legal
       character of his possession was that of a mortgagee and hence, he cannot
       acquire the rights of the Bhoomi Swami. As stated above, we have arrived          B
       at the conclusion that by the deed executed in favour of the appellant, he.
       stepped into the shoes of mortgagor and has acquired the tenancy right as
       Pukhta Maurusi subject to right of redemption. In this view of the matter, this
       question also would require further consideration by taking into consideration
-t     various provisions of Madhya Bharat Land Revenue and Tenancy Act, 1950
       as well as Madhya Bharat Land Revenue Code, 1959.                                 C
             The High Court has not considered the aforesaid two questions in its
       proper perspective which requires consideration of local laws in force at the
       relevant time in the State where the lands in dispute are situated. Hence, for
       deciding the aforesaid two questions, the matter is required to be remitted to
       the High Court. The Court would· decide the same on merits and dispose of         D
       the appeals after giving an opportunity of hearing to the parties and after
       verifying the local laws applicable and prevailing at the relevant time.

             Questions involved in Civil Appeal No. l 088 of 1992 are also similar.
       Hence, the same is also required to be remitted to the High Court for deciding
       the said questions.                                                               E
             In the result, the judgment and decree passed by the High Court
       dismissing the appeals is set aside. The appeals are, accordingly, allowed and
       remitted to the High Court of Madhya Pradesh for deciding the same. There
       shall be no order as to costs.
                                                                                         F
       R.K.S.                                                      Appeals allowed.




 ' .


Search Indian case law

Ask in plain English, not just keywords. 25,000 AI words free, no card.

Try "tenancy"Sign in to search

For a digitally signed copy suitable for filing, refer to the court's own website. Only the court can issue one.