Full Judgment Text
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 1 of 12
PETITIONER:
RAM RAN BIJAI SINGH AND OTHERS
Vs.
RESPONDENT:
BEHARI SINGH ALIAS BAGANDHA SINGH
DATE OF JUDGMENT:
25/04/1963
BENCH:
AYYANGAR, N. RAJAGOPALA
BENCH:
AYYANGAR, N. RAJAGOPALA
GAJENDRAGADKAR, P.B.
WANCHOO, K.N.
GUPTA, K.C. DAS
CITATION:
1965 AIR 524 1954 SCR (3) 363
CITATOR INFO :
RF 1971 SC2251 (6)
F 1977 SC 5 (5,10,22)
F 1978 SC 30 (2)
R 1979 SC1769 (27,28)
ACT:
Land Reforms-Lands mortgaged-After redemption possession
sought but refused by-Persons in possession vacate-Claim of
occupancy right-Right by adverse possession-Property vesting
in state-Construction of Statute-Suit lands if in "khas
possession"-Bihar Land Reforms Act, 1950 (XXX of 1950), SS.
2. (k), 3 (1), 4,6-Indian Limitation Act, 1908 (IX of 1908),
art. 144.
HEADNOTE:
The appellants’ ancestors had executed a registered rehan
bond of the suit land along with other lands. In 1941 the
appellants paid off the amount due on the rehan bond and
entered satisfaction on the bond. On the redemption of the
bond the appellants sought to get possession of the suit
land. These lands were in the possession of Respondents I
and 2 who refused to surrender possession claiming title on
the basis of their being entitled to occupancy rights in the
lands.
364
The appellants then filed a suit alleging that the suit
lands were zeraiti lands in regard to which they were
maliks, that respondents I and 2 were trespassers who had no
occupancy rights and prayed for declaration of title,
recovery of possession and mesne profits. Apart from their
claim that they were raiyati tenants entitled to occupancy
rights respondents I and 2 contended that the suit was
barred by limitation by reason of adverse possession.
The Trial Court found all the substantial issues in favour
of the present appellants, rejected the plea of adverse
possession and limitation raised by the respondents and
decreed the suit as prayed for. Thereupon the present
respondents filed an appeal before the High Court. While
the appeal, was pending the I Bihar Land Reforms Act, 1950,
came into force. Section 3 of this Act provided for the
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 2 of 12
vesting of the estates or tenures of proprietors in the
State. Section 6 however contained certain savings. When
the appeal came for hearing in 1937 the respondents
contended that by reason of the Government Notification in
1955 the suit lands had vested in the State under s. 3 of
the Act and since the suit was in substance one for
ejectment based on the title of the present appellants and
the appellants having lost their title by reason of the
vesting the appeal should be dismissed. The High Court
found that the present appellants were entitled to get a
declaration of title and to get mesne profits up to the end
of December, 1954. But the suit lands having vested in the
State the decree for possession given in favour of the
appellants by the trial court was set aside. The present
appeal is against the decree of the High Court setting aside
the decree for possession passed by the trial court filed
with a certificate granted by the High Court.
On behalf of the appellants it was contended before this
Court that in view of the, concurrent findings by the courts
below that the lands were the zeraiti land of the appellants
they would not vest in the State because of the saving in s.
6 of the Act. It was their case that they should be deemed
to have been in "khas possession" of the lands under S. 6 1)
(c). Relying on the Full Bench decision of the Patna High
Court in Mahanth Sukhdeo Das v. Kashi Prasad Tiwari, A.I.R.
1958 Pat. 630, they contended that the expression "khas
possession" had to be understood as meaning not merely
actual physical possession as defined in s. 2 (k) of the Act
but also cases where a person was constructively in
possession, the physical possession being in some other who
held the property derivatively. from him or in trust for him
365
or on his behalf or with his permission-express or implied.
Relying on a decision of the Allahabad High Court in I.L.R.
1933 All. 97 it was contended,that where a mortgagee
continued in possession of property usufructually mortgaged
to him, even after the mortgage was paid and discharged the
property remained in the "Khas Possession" of the mortgagor.
The respondents however contended that this was not a case
of a mortgagee remaining in possession after payment of the
debt without anything more but of tenants who claimed the
right to remain in possession of the property by asserting a
title which was as much against the mortgage as against the
mortgagor.
Held that the possession of respondents I and 2 in the
present appeal was in their own right and adverse to the
appellants, even on the case with which the appellants them-
selves come to the court.
It was on the basis of their possession being wrongful that
a claim was made against them for mesne profits. In the
above circumstances it is not possible for the
appellants .to contend that these tenants were in possession
of the property on behalf of the mortgagor and in the
character of their rights being derived from the mortgagor.
Section 6 (1) (c) cannot in terms, therefore, apply since
the mortgagor-mortgagee relationship did not subsist on
January 1, 1955.
JUDGMENT:
CIVIL APPELLATE JURISDICTION : Civil Appeal No. 195 of 1961.
Appeal from the judgment and decree dated September 3, 1957,
of the Patna High Court in Appeal from original decree No.
42 of 1948.
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 3 of 12
Sarjoo Prasad and Mohan Behari Lai for the appellant.
A. V. Viswanatha Sastri and D. Goburdhun, for the
respondents Nos. I to 3 and 5.
1963. April 25. The judgment of the Court was delivered by
AYYANGAR J.-The proper construction of the vesting sections
of the Bihar Land Reforms Act, 1950
366
(hereinafter called the Act), and in particular the scope of
s. 6 thereof is the principal point that arises in ’this.
appeal which is before us on a certificate of fitness
granted under Art. 133(1) by the High Court of Patna.
The plaintiffs are the appellants before us. The subject
matter of the suit is a piece of land of about 14 bighas and
5 kathas in khata No.741 in mauza Chaugain. The relief
claimed in the suit was a declaration that the land referred
to was the zeraiti land of the plaintiffs and that the
persons who were impleaded as the defendants 1st and 2nd
parties had no right or title thereto and for recovery of
possession of the said land by dispossessing the defendants
who were in actual possession thereof. There was also a
claim to a decree for mesne profits for three years before
the suit and for an enquiry into future profits under 0. XX.
r. 12 C. P. Code. We shall now state a few .facts which are
necessary to understand the contentions which have been
urged in this appeal. The material allegations, in the
plaint were these: The plaintiffs’ ancestors had executed a
registered rehan bond on October 28, 1897 of lands including
those now in suit, in favour of the ancestors of the persons
who were impleaded as defendants 3rd parties. During the
subsistence of this mortgage the plaintiffs’ ancestors
executed another registered rehan bond .in June, 1907 in
favour of persons who were the ancestors of the persons
impleaded as defendants 4th parties, a portion of the
mortgage money being left with these second mortgagees to
enable them to redeem the earlier mortgage. This redemption
was effected and the defendants 4th party got into
possession of the entirety of the property mortgaged to
them. On June 8, 1941, the plaintiffs paid off the amount
due on the rehan bond of 1907 and entered satisfaction on
the bond making an endorsement thereon. On such redemption
the plaintiffs obtained possession of a portion of the lands
under mortgage
367
but they could not obtain possession of the lands in suit.
These lands were in the possession of the defendants last
and 2nd parties who claimed title on the basis of their
being entitled to occupancy rights in the lands and they
refused to surrender actual possession of the land to the
plaintiffs. They had asserted that the suit lands were not
zeraiti lands in regard to which the plaintiff as maliks
would be entitled to ’khas possession’, but were raiyat-
lands from which they, the tenants in cultivation could not
be evicted. On this claim being made and resistance offered
to the plaintiffs taking khas possession, the present suit
was filed for the reliefs already set out.
The defendants 3rd and 4th parties who were the
representatives of the mortgages under the rehan bonds of
1897 and 1907 hardly came into the picture as their claims
under their mortgages have long ago been satisfied. The
contest was therefore limited to the tenant-defendants-
defendants 1st and 2nd parties and of these, it is
sufficient to confine attention to the defendant 2nd parties
who are in actual possession of the lands at the date of the
suit. It need hardly be mentioned that by their written
statement these defendants questioned the tenure of the
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 4 of 12
lands, and asserted their rights to remain in possession
despite the discharge by the payment of the rehan of 1907.
There were several issues raised which reflected these
pleadings. But what we are now concerned with are the
issues which relate to the following: (1) Was the suit-land
zeraiti land as claimed by the plaintiffs or was it raiyati-
land as pleaded by the contesting defendants, (2) When did
the defendants 1st and 2nd parties first come into
possession and cultivation of the land. It was the case of
the defendants that they had been in possession and
occupation of the land as tenants long before the rehan of
1897-even 30 years earlier, whereas it was the case of the
plaintiffs that they were inducted to the land for
368
the first time as tenants of the mortgagees under the first
rehan of 1897 and that they were originally brought in as
tenants for a term of 7 years which expired in or about
1912-13, (3) Had the plaintiffs lost title to the land and
their suit for recovery thereof barred by limitation by
reason of the contesting defendants having perfected their
title by adverse possession? The contesting defendants put
forward a claim that they had perfected their title by
adverse possession for over the statutory period of 12 years
under Art. 144 of the Limitation Act and the point in
controversy was when the period of this adverse possession
started and whether computed on that footing the suit was
barred by limitation.
A large mass of documentary and oral evidence was led by the
parties. and this was the subject of elaborate consideration
by the learned trial Judge. The findings recorded by him
were: (1) that the land was the zeraiti land of the
plaintiffs and had been in their acutal possession and not
in the possession of any tenants of theirs at the date of
the 1st rehan in 1897. This necessarily meant the rejection
of the case put forward by the defendants that their
predeces sors were in occupation of the lands even before
the rehan of 1897, (2) the defendants came into possession
of the land under a lease deed executed about the year 1906
for a term of years and that that lease deed expired in
1912-13 and that thereafter they continued as tenants of
zeraiti land and could not, therefore, claim any. right of
occupancy in the land, (3) The defendants 2nd party who were
in actual occupation were, no doubt, in possession of the
suit lands under a claim to hold them on their own behalf
but their possession could not be adverse to the plaintiffs
until the latter got the right to resume possession which
was only in June 1941 when they paid and discharged the
amount due under the mortgage and so obtained the right to
possession. As the suit was brought within 12 years from
that date it was within
369
time. On these findings the learned trial judge, by his
judgment dated October ’10, 1947, decreed the suit, as
prayed for.
The contesting defendants-defendants 2nd party filed an
appeal to the High Court challenging these findings.
Pending the appeal they applied for and obtained stay of
delivery of possession and by virtue of the order the
defendants 2nd party continued to remain in possession.
While the appeal was pending the Bihar Land Reforms Act (Act
XXX of 1950) was enacted and it came into force on September
25, 1950. Section 3 (1) of the Act enacted :
"The State Government may, from time to time
by notification, declare that the estates or
tenures of a proprietor or tenure-holder,
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 5 of 12
specified in the notification, have passed to
and become vested in the State."
It was common ground that the plaintiffs were
" proprietors" within that Act. Under a
notification published under s. 3 (1) of the
Act the plaintiffs’ estate became vested, as
and from January 1, 1955, in the State. The
legal effect of a notification under s. 3 (1)
is set out in s. 4 which enacts:
(4) " Notwithstanding anything contained in
any other law for the time being in force or
in any contract, on the publication of the
notification under sub-section (1) of Section
3, the following consequences shall ensue,
namely:-
(a) such estate or tenure including the
interests of the proprietor or tenure holder
in any building or part of a building com-
prised in such estate or tenure...............
as also his interests in all sub-
soil............ shall, with effect from the
date of vesting, vest absolutely in the State
free from all
370
encumbrances and such proprietor or tenure-
holder shall cease to have any interests in
such estate or tenure, other than the
interests expressly saved by or under
the provisions of this Act."
The rest of the section is not material. The Act, however,
contains in s. 6 a saving as to certain lands of the
proprietor or tenure-holder but to this we shall refer
later.
The appeal came on for hearing before the High Court in
September, 1957. At that stage learned Counsel for the
tenant-defendants who were the appellants before the High
Court, raised a plea that the suit which was in substance
one for ejectment based on the title of the plaintiffs
should fail and be dismissed because the plaintiffs had lost
their title to the property which vested in the State by
virtue of the notification under s. 3 of the Act with the
consequence specified in s. 4. This was contested by the
learned Counsel for the plaintiffs who submitted that the
Court could not take notice of the legislation which came
into force during the pendency of the appeal but that the
Court should decide on the rights of parties with reference
to the law as it stood at the date of the suit. The learned
Judges, however rejected this last contention and held that
the rights of the parties had to be decided on the law as it
existed on the date of their judgment and so the effect of
the Act on the title of the plaintiffs had to be considered
before the relief granted by the trial judge could be
confirmed. Apparently beyond this general submission
whether a court, particularly a court of appeal, should or
should not take into account the effect of a change in the
law subsequent to the institution of the suit, no attempt
was made by Counsel for the plaintiffs to canvass before the
High Court that even if the Act could be taken notice of the
rights of the parties determined on that basis.
371
Still on a proper construction of that Act the rights of the
plaintiffs to the reliefs granted by the trial judge
remained unaffected which, as we shall point out later, is
the argument pressed upon us.
There is one other matter to be noticed. It would be seen
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 6 of 12
that the plaintiffs had made a claim for a declaration
regarding the zeraiti character of the land. They had
claimed mesne profits for three years before the suit which
had been granted and moreover they had been granted the
relief of an inquiry into mesne profits for the period
subsequent to the suit up to 31. 12. 1954 even on the
footing that the estate vested in the State as and from
January 1, 1955. The right of the plaintiffs to retain
these reliefs depended upon the correctness of the Court’s
decision regarding the tenure of the land.
Counsel for the tenant-defendants canvassed before the High
Court the correctness of the findings recorded by the trial
judge regarding the zeraiti character of the land and the
further finding. as regards the date from which they were in
possession and cultivation of the lands and the nature and
character of their possession. The learned judges therefore
examined the oral and documentary evidence bearing upon
these points and arrived at the same conclusion as the
learned trial judge.
Section 4 (ee) of the Act enacts
".. ........ The State Government may within
three months of the service of the notice
apply to the Court to be added, and shall
thereupon PO be added, -as a party thereto and
shall be entitled to conduct or defend such
suit or proceedings, as the case may
be.................. "
Pursuant to this provision notice was given to the State
Government but no appearance was made on its I behalf.
Counsel for the State, however, appeared
372
at the hearing of the appeal and prayed that a decree may be
passed in, favour of the State for possession of the suit-
lands on the basis that the same had vested in the State
under S. 4 (a) of the Act. The learned judges, however,
declined this request for the reason that the, State had not
been diligent in acting upon the notice served upon them as
required by the Act and not entering appearance within the
time limited therefore. A decree for possession in favour.
of the State thus having been refused, the learned Judges
modified the decree of the learned trial judges in these
terms
"The plaintiffs shall be entitled to a decree
for a declaration of their title to the effect
that the lands in suit are the proprietors’
private lands belonging to the plaintiffs and
that they arc entitled to mesne profits for
the years claimed and also up to the 31st
December, 1954, the plaintiffs"estate having
vested in the State of Bihar on 1.1.55, and
the decree for possession is set aside. The
amount of mesne profits shall be ascertained
in a subsequent proceedings."
It is this decree which refused them possession that is
challenged by the plaintiffs in the appeal before us.
Mr. Sarjoo Prasad who appeared for the appellant, did not
contest the legality or propriety of the course adopted by
the learned judges of the High Court in considering the
title of the plaintiffs and their claim to the reliefs
prayed for in the suit with reference to the provisions of
the Act. His contention, however, was that on the very
terms of the Act the plaintiffs were entitled to retain the
decree for possession granted by the trial court. His
argument was shortly as follows : In view of the concurrent
findings that the lands were the: zeraiti
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 7 of 12
373
lands of the plaintiffs, they would not vest in the State
Government because of the saving in s. 6 of the Act which
excepts from the operation of s. 4 such lands in the
situation of those now in suit. He, however, conceded that
if the exception created by s. 6 did not, for any reason,
apply, the vesting in the State under s. 4 could not be
resisted with the result that the plaintiffs could not have
a decree. for possession. It becomes, therefore, necessary
to read s. 6 to ascertain its proper scope. That section
runs, to quote only what is relevant for the present
purpose .
"6. (1) On and from the date of vesting, all
lands used for agricultural or horticultural
purposes, which were in khas possession of a
proprietor or tenure-holder on the date of
such vesting, including-
(a) (i) proprietors’ private lands let out
under a lease for a term of years or under a
lease from year to year, referred to in
section 1 16 of the Bihar Tenancy Act, 1885,
(ii) landlords privileged lands let out under
a registered lease for a term exceeding one
year or under a lease, written or oral, for a
period of one year or less, referred to in
section 43 of the Chota Nagpur Tenancy Act.,
1908,
(b) Lands used for agricultural or horti-
cultural purposes and held in the direct
possession of a temporary leases of an estate,
or tenure and cultivated by himself with his
own stock or by his own servants or by hired
labour or with hired stock, and
374
(c) lands used for agricultural or horti-
cultural purposes forming the subject matter
of a subsisting mortgage on the redemption of
which the intermediary is entitled to recover
khas possession thereof;
shall subject to the provisions of sections 7A
& 7B, be deemed to be settled by the State
with such proprietor or tenure holder., as the
case may be, and such proprietor or tenure
holder shall be entitled to retain possession
thereof and hold them as a raiyat under the
State having occupancy rights in respect of
such lands subject to the payment of such fair
and equitable rent as may be determined by the
Collector in the prescribed manner."
It will be noticed that it was only lands in
the "khas possession" of the proprietor that
were saved from vesting in possession in the
State under s. 6. The expression ’khas
possession’ is defined in s. 2 (k)thus:
’"khas possession’ used with reference to the
possession of a proprietor or tenure holder of
any land used for agricultural or
horticultural purposes means the possession of
such proprietor or tenure, holder by
cultivating such land or carrying on
horticultural operations thereon himself with
his own stock or by his own servants or by
hired labour or with hired stock;"
The submission was that the plaintiffs should
be deemed to have been in "khas possession" of
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 8 of 12
the suit land on the date of the vesting i. e.
January 1, 1955 by reason of the case falling
within s. 6 (1) (c) which reads:
"lands used for agricultural or horticultural
purposes forming the subject matter of a
375
subsisting mortgage on the redemption of which
the intermediary is entitled to recover Khas
possession thereof."
It was submitted that (1) the expression ’khas possession’
had to be understood as meaning not merely actual physical
possession as defined in s. 2 (k) but also cases where a
person was constructively in possession, the physical
possession being in some other who held the property
derivatively from him or in trust for him or on his behalf
or with his permission-express or implied. For this purpose
learned Counsel relied on the decision of the Full Bench of
the Patna High Court in Mahanth Sukhdeo Das v. Kashi Prasad
Tiwari (1). Where lands in the actual physical possession
of one co-sharer were held to be in the ’khas possession’ of
all the co-sharers within s. 2 (k)., (2) it was then urged
that where a mortgagee continued in possession of property
usufructuarily mortgaged to him, even after the mortgage was
paid and discharged the property remained in "the khas
possession" of the mortgagor because the mortgagee does not
hold the property adversely to the mortgagor but his
possession having started permissively, he must in law be
deemed to hold it still as mortgagee. This was on the
principle that the payment and discharge of -a mortgage debt
in the case of a usufructuary mortgage does not put an end
to the mortgagor-mortgagee relationship but that the
relationship would come to an end only when the mortgagee
had performed his part of the obligation of returning to the
mortgagor possession of the property which ’he held as part
of the mortgage-security., (3) on this line of reasoning it
was contended that a suit by the mortgagor for the recovery
of possession from the mortgagee of property usufructuarily
mortgaged could therefore aptly be described as "a suit for
redemption" notwithstanding that the mortgage debt had been
paid off. For this last proposition learned Counsel relied
on certain decisions rendered on the construction
(1) A. I. R. 1938 Patna 638
376
of s. 10 of Bengal Regulation XV of 1793 (See, for instance,
I. L. R. 1933 Allahabad 97)., (4) on the finding of the
courts below that the defendants 1st and 2nd parties entered
into possession of the property as tenants for a term during
the subsistence of the rehan of 1897, these defendants could
be in no better position and claim no higher rights than the
mortgagee himself and they must be held bound by the same
equities and the same estoppels as the mortgagees who let
them into possession on this reasoning learned Counsel
submitted that s. 6 (1) (c) of the Act covered the case
since redemption in the sense of possession being
redelivered to the mortgagor’ was not effected on January 1,
1955 -the date of the vesting in the State Government.
Before proceeding further it is necessary to advert to an
argument addressed to us by learned Counsel for the
respondent. His submission was that on the materials on the
record he could successfully challenge the finding of the
High Court on the question whether the land was a zeraiti
land of the plaintiffs. He urged that there had been a
material misappreciation of the evidence adduced by the
contesting defendants to establish that they had been in
possession and were cultivating the suit lands even before
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 9 of 12
the rehan bond of 1897 and that this error was so grave as
to fall within the exception to the rule that this Court
would not permit the questioning of concurrent findings of
fact. We did not, however, permit learned Counsel to
address any arguments on this part of the case in view of
two matters : (1) As the contesting defendants had not filed
any appeal from the judgment of the High Court granting the
plaintiffs a declaration that the land was zeraiti and also
a decree for mesne profits up to December 31, 1954, it would
follow that. even if the respondents succeeded in
establishing that the land was raiyat land and not zeraiti,
it would not affect the decree passed and would only lead to
this,
377
that they would be able just to maintain the disallowance to
the plaintiffs of the relief of possession., (2) The second
matter which weighed with us in not permitting arguments
relating to the findings regarding the tenure of the land
’etc. was that we were not impressed with the legal points
urged by the appellant and in the context of the facts of
this case we arrived at the conclusion that for this reason
the appeal should fail. We should, therefore, not be taken
to have either affirmed or disagreed with the findings
recorded by the ’learned trial judge and the High Court as
regards the zeraiti character of the land and the claim of
the defendants 1st and 2nd parties to occupancy rights in
those lands.
It would be recalled that under the terms of s. 6 (1) (c)
the zeraiti land of a proprietor would be deemed to be in
his ’khas possession’ if it were the subject-matter of a
usufructuary mortgage subsisting on January 1, 1955 and the
mortgagor had a right to recover possession of the same.
The argument was that these requirements were satisfied by
the appellants and that so long as the mortgagors did not
obtain redelivery of possession of the property, the rehan
of 1907 was alive and "subsisting" notwithstanding that the
amount due as mortgage money was paid and discharged in
1941. Learned Counsel referred us to s.62 of the Transfer
of Property Act and to the terms of Art. 148 of the 1st
Schedule of the Indian Limitation Act in which a suit for
possession by the mortgagor is said to be against the
mortgagee indicating that during the entire period of 60
years prescribed by column 3 the mortgagor-mortgagee
relationship continued. He also placed before us some
decisions of the High Courts in support of the view that a
mortgagee continuing in possession of mortgaged property
after the payment of the mortgage money held the same on
behalf of the mortgagor, and in trust for him. We do not,
however, consider it necessary to discuss these
378
submissions further or to record any opinion thereon since
on the facts of the present case the learning involved in
them is not very relevant. For it was not disputed that
even a mortgagee (and afortiori so, a person other than the
mortgagee, even though his possession originated through the
possession of a mortgagee) could, by overt act and open
claims, hold the property not on behalf of the mortgagor but
in his own right and adversely to the mortgagor. Mr. Sarjoo
Prasad however relied on certain observations in the
judgment of the full Beneh of the Patna High Court in Sukdeo
Das v. Kashi Prasad (1), were the learned judges appear to
consider the possession even of a trespasser who has not
perfected his title by adverse possession for the time
requisite under the Indian Limitation Act as the khas
possession of the true owner. We consider that this
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 10 of 12
equation of the right to possession with "khas possession"
is not justified by principle or authority. Besides this is
also inconsistent with the reasoning of the Full Bench by
which constructive possession is treated as within the
concept of khas possession.
The possession of the contesting defendants in the present
case was in their own right and adverse to the plaintiffs,
even on the case with which the appellants themselves came
into Court. The plaintiffs stated in their plaint that the
mortgagees had, so far as they were concerned, fulfilled
their obligations and had put the mortgagors in possession
of such property as they could and that it was the
contesting defendants who putting forward claims to
occupancy rights, resisted their entry into possession.
This is, therefore, not a case of a mortgagee remaining in
possession after payment of the debt without anything more
but of tenants who claimed the right to retain possession of
the property by asserting a title which was as much against
the mortgagee as against the mortgagors. In this context
the plea made by the plaintiffs relevant to the character of
the possession
(1) A. I. R. 1958 Patna 630,
379
of the contesting defendants assumes crucial importance, for
if they were admittedly trespassers then they could not be
said to hold the property on behalf of the mortgagors and
the entire basis of the argument as to the property being in
the khas possession of the plaintiffs would disappear.
Paragraph 10 of the plaint reads
"......... it is quite clear that the
defendants 1st party or 2nd party have no
kasht right in the disputed lands as against
the plaintiffs, and after redemption of the
rehan, their possession and occupation are
quite wrongful".
They expanded the idea here contained in the
next paragraph which we shall set out in full
"On 8.6.41, in the year 1941-the plaintiffs,
on payment of the entire rehan money, and
redeemed the rehan property under the rehan
bond dated 10.6.1907 and entered into posses-
sion and occupation of the rehan property
covered by the said bond, but when the plain-
tiffs wanted to enter into possession and
occupation of the disputed land entered in
schedule No. 3, the defendants 2nd party in
collusion and concert with the defendants 1st
party did not allow the plaintiffs to enter
into possession and occupation and there was
’fresh invasion’ against the title of the
plaintiffs."
It is hardly necessary to add- that the defendants 1st and
2nd parties besides asserting their right to be in
possession lawfully as tenants cultivating raiyati land,
also asserted that they had acquired that right ’on account
of adverse possession for more than 12 years and "on account
of being settled raiyats which the maliks had all along been
admitting etc............ The relevant issue framed in
regard to this point was
380
Issue No. 9 which read :
"Have defendant 2nd party or 1st party acquir-
ed any right in the suit land by adverse
possession ?"
and it was for the consideration of this issue
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 11 of 12
that it was necessary for the Court to
ascertain the date when their possession
became adverse. The finding recorded by the
learned trial judge’ was in these terms :
tenancies in the zerait land in suit and
whatever tenancies might have been created by
them during their possession, ipso facto came
to an end when the mortgage was redeemed by
the plaintiffs in 1941. The possession of
defendants 1st party or defendant 2nd party
became that of a trespasser as against the
plaintiffs on the redemption of the rehan in
1941 ; and the suit having been instituted
within 12 years from the date of redemption,
the suit is not barred by limitation and the
plaintiffs are entitled to recover khas
possession The plaintiffs are entitled to
treat both of them as trespassers and their
possession would become adverse as against
the-plaintiffs from the date of redemption
i.e., from 1941. The suit having been
instituted within 12 years from 1941, the
plaintiffs right to recover khas possession of
the suit land will therefore not be barred by
limitation.",
and the same idea is repeated in a later passage of the
judgment. This aspect of the case has not been dealt with
in the judgment of the High Court apparently because the
title of the contesting defendants based on adverse
possession for over 12 years was not pressed before the High
Court in view of its finding on the other parts of the cast.
381
The authorities relied on by Mr. Sarjoo Prasad only go to
this extent that where nothing else is known except that a
mortgagee continues in possession of the property after
redemption, the right of the mortgagor to sue for recovery
of the property is governed by the 60 years rule based on
the continuing relationship of mortgagor and mortgagee
between them. These very authorities however show that if
the mortgagee by some overt act renounces his character as
mortgagee and sets up title in himself, to the knowledge of
the mortgagor, his possession would not thereafter continue
as mortgagee but as a trespasser and the suit for recovery
of the property from him would be governed by Art. 144 the
starting point of limitation being the date at which by the
overt manifestation of intention the possession became
adverse. It is afortiori so in cases where what the court
is concerned with is not the possession of the mortgagee but
of someone else, such as in this case, the tenants claiming
occupancy rights. When the mortgage was redeemed they
resisted the mortgagor’s claim to possession and asserted
their right to remain in possession as kasht tenants. It
was on the basis of their possession being wrongful that a
claim was made against them for mesne profits and it was on
the footing of their being trespassers that they were -sued
and possession sought to be recovered from them. In these
circumstances we consider that it is not possible for the
appellants to contend that these tenants were in possession
of the property on behalf of the mortgagor and in the
character of their rights being derived from the mortgagor.
Section 6 (1) (c) cannot, in terms, therefore apply since
the mortgagor-mortgagee relationship did not subsist
on.January 1, 1955 even if the construction which learned
Counsel for the appellant pressed upon us was accepted.
The result is, the Appeal fails and is dismissed with costs.
http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 12 of 12
Appeal dismissed.
382