Rama Devi vs State Of Bihar & Ors
- SCC(2010) 12 SCC 273
- Neutral2010 INSC 610
- AIRAIR 2010 SC Supp 83
- SCR[2010] 11 SCR 486
Ratio decidendi
The rule this decision rests on
1. Where a criminal complaint alleges that a seller has fraudulently conveyed property knowing it has been previously transferred, but there is no evidence establishing a link between the original transferor and the buyer of the property, and the seller has obtained and mutated their own name in the revenue records before conveying, the mere fact that property was sold does not establish an intention to cheat the subsequent buyer without positive evidence of dishonest intent at the time of executing the deed. 2. A buyer of immovable property who obtains a registered deed of sale and successfully mutates their name in the revenue records cannot be criminally prosecuted for executing a subsequent sale deed to another party, in the absence of clear evidence that they acted with the intention to defraud that subsequent buyer, even if the property was previously transferred by the original vendor to others. 3. Where a party is prejudiced by receiving in sale a property that has been previously transferred to another, that party's remedy is a civil claim for damages against their vendor, and no criminal action lies in the absence of proof of intention to cheat and defraud at the time of execution of the sale deed.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
2
3. The Respondent No.2, Birendra Kumar Sinha,
filed a Complaint Case No.3714C of 2005 against
the Appellant alleging that she had committed
offences under Section 406, 420, 465, 468, 120-B
of the Indian Penal Code (IPC) by executing a
Deed of Sale in his favour, on 12th February,
2005, in respect of a plot of land measuring 1
Katha 5 Dhurs, pertaining to Survey No.235 in
Khata No.3 of Mauza Dhelwan under Phulwarisharif
P.S., District Patna, Bihar. According to the
complainant, the boundary wall erected by him
around the said plot was demolished and on
inquiry, he came to know that one Prabhu Singh,
who had sold the land to the Appellant was the
full brother of one Sita Ram Singh, who had
earlier sold the entire area of Survey plot
No.235 to different persons at different points
of time by different sale deeds. The complainant
alleged that Prabhu Singh, the Appellant's vendor
and brother of Sita Ram Singh, had acted as an 3
attesting witness in the said Sale Deeds executed
by Sita Ram Singh, which indicated that inspite
of having knowledge that Sita Ram Singh had sold
the lands in question to others, Rama Devi
purchased the said lands and in order to cheat
the complainant, executed the Sale Deed in his
favour on 12th February, 2005.
4. On 28th February, 2006, the Sub-Divisional
Judicial Magistrate, Patna, took cognizance of
the alleged offences and issued process only
against the Appellant herein. Aggrieved thereby,
the Appellant filed Criminal Miscellaneous
Petition No.19975 of 2006 before the Patna High
Court on 10th May, 2006, for quashing the
cognizance taken as also the entire proceedings
in Complaint Case No.3714C of 2005 pending before
the said Sub-Divisional Judicial Magistrate,
Patna. On 20th December, 2006, the Patna High
Court dismissed the Appellant's aforesaid
petition under Section 482 Cr.P.C., which is the 4
subject matter of challenge in the present
appeal.
5. On behalf of the Appellant it was pointed out
by Mr. Nagendra Rai, learned Senior Advocate,
that the learned Magistrate had taken cognizance
of the offences complained of on an erroneous
appreciation of the material before him to the
effect that it was not disputed that the property
in question had earlier been sold by Sita Ram
Singh, who was the brother of the Appellant's
vendor, and that the Appellant had attested the
said Sale Deed, which clearly indicated that the
Appellant had knowledge of the earlier sale and
despite the same, had not only executed the Sale
Deed in favour of the complainant but had also
indicated that no other deed had been executed in
respect of the property which were free from all
encumbrances. Mr. Rai referred to the Sale Deeds
which had been referred to by the learned
Magistrate, from which it would be apparent that 5
the Appellant was not an attesting witness to any
of the sale deeds. Mr. Rai also referred to the
Sale Deed executed by the Appellant in favour of
the complainant to show that Prabhu Singh was not
an attesting witness in the said document either
and the witnesses were : (1) Kedar Prasad Singh,
(2) Nawal Kisahore and (3) Awadhesh Kumar.
6. Mr. Rai submitted that since the very basis
for the cognizance taken by the learned
Magistrate was fallacious and without any
foundation, the High Court erred in dismissing
the Appellant's application under Section 482
Cr.P.C. and that the cognizance taken by the
learned Magistrate, as also the proceedings
relating to the Complaint Case No.3714C of 2005,
were liable to be quashed.
7. Mr. Rai's submissions were strongly opposed
on behalf of the Respondent No.2, Birendra Kumar
Sinha. It was submitted that no case had been
made out on behalf of the Appellant for 6
interference with the order of the High Court
impugned in this appeal. Mr. P.S. Mishra,
learned Senior Advocate appearing for the
Respondent No.2, reiterated the submissions which
were made before the High Court to the effect
that Prabhu Singh, the Appellant's vendor, and
his brother Sita Ram Singh had in conspiracy with
each other sold away the entire lands comprising
Survey Plot No.235 and that the Appellant was
also a party to such conspiracy. Mr. Mishra urged
that despite being part of the conspiracy, the
Appellant got Prabhu Singh to transfer the land
in question to her and got her name mutated in
the concerned jamabandi, which would be apparent
from the inquiry report of the application for
mutation of Case No.650/7 Year 2001-02 Hulka No.7
dated 5th March, 2002. From the said report, it
would be crystal clear that the names of both
Sita Ram Singh and Rama Devi were shown in the
column for recording the name of the raiyat in
respect of the jamabandi. Mr. Mishra submitted 7
that the same would indicate a deep-rooted
conspiracy hatched by the said Sita Ram Singh and
his brother Prabhu Singh and Rama Devi, to
defraud and cheat the Respondent No.2 by
executing a sale deed after obtaining the full
consideration, despite having knowledge that the
land in question had already been transferred
earlier by Sita Ram Singh to another party.
8. In addition to the above, Mr. Mishra denied
the genuineness of the Deed of Sale executed by
Rama Devi in favour of the Respondent No.2 in
view of the observations made by the High Court
in its impugned order indicating that Prabhu
Singh, the Appellant's vendor had attested the
sale deed despite having full knowledge of the
earlier transactions in respect of the lands in
question.
9. Mr. Mishra submitted that the High Court had
rightly held that the question of genuineness of
the documents and the intention of the Appellant, 8
Sita Ram Singh and Prabhu Singh were required to
be decided on evidence in the backdrop of the
conspiracy alleged by the Respondent No.2, which
could only be done by holding a full-fledged
trial.
10. Having considered the submissions made on
behalf of the respective parties and having
considered the documents placed before us and
also the Courts below, we do not find any
substance in Mr. Mishra's submissions on behalf
of the Respondent No.2. From the materials
produced before us, no link has been established
between Prabhu Singh and the Respondent No.2. If
at all the Respondent No.2 has any grievance in
respect of the sale deed which had been executed
in his favour by the Appellant, it could be
against Prabhu Singh and not the Appellant. If
we were to accept Mr. Mishra's submissions, then
it was the Appellant Rama Devi who had been
cheated by her vendor, Prabhu Singh, who had sold 9
her the property in question, although, the same
is alleged to have been the subject matter of an
earlier sale effected by his brother, Sita Ram
Singh. The veracity of the Appellant's story may
be gauged from the fact that after having
purchased the suit property from Prabhu Singh by
a duly registered deed of sale, she applied to
the concerned authority of Phulwarisharif Circle
for mutation of her name in respect of the
jamabandi in which Survey Plot No.235 had been
included and the property continued to be mutated
in her name till such time as she transferred the
same to the Respondent No.2. There can be no
reason, as suggested by Mr. Mishra, for the
Appellant to have obtained the sale deed in her
name from Prabhu Singh with the intention of
cheating the Respondent No.2. In fact, no link
had at all been established between the sale
deeds executed by Sita Ram Singh in respect of
mutated property and the Appellant which could
have given rise to suspicion, if any, of a 10
conspiracy between herself and her vendor and his
brother Sita Ram Singh, with the intention of
cheating the Respondent No.2.
11. If the Respondent No.2 has been prejudiced by
the fact that the Appellant had executed a sale
deed in his favour in respect of a plot of land
which had already been the subject matter of a
previous transfer, he can at best question such
transfer and claim damages in respect thereof
from the vendor of the Appellant by way of
appropriate damages, but an action in the
Criminal Court would not lie in the absence of
any intention to cheat and/or defraud the
Respondent No.2.
12. We, therefore, have no doubt in our minds
that the Appellant, Rama Devi, cannot be made
responsible for the circumstances which followed
the sale effected by the Appellant in favour of
the Respondent No.2 and the filing of such a
criminal complaint was nothing more than an 11
attempt to pressurize the Appellant into making a
settlement.
13. We, therefore, have no hesitation in setting
aside the order passed by the High Court on 20th
December, 2006, in Crl. Misc. No.19975 of 2006,
which has been impugned in this appeal.
Consequently, Complaint Case No.3714C of 2005 and
the proceedings initiated on the basis thereof by
the Sub-Divisional Judicial Magistrate, Patna,
are also quashed.
14. The appeal, therefore, succeeds and is
allowed.
................................................J. (ALTAMAS KABIR)
................................................J. (A.K. PATNAIK) New Delhi Dated : 14.09.2010
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