BANUMATHI,J. - (1.) This appeal arises out of judgment and order dated 11th April 2005 and dated 29th July, 2005 passed by the High Court of Madhya Pradesh at Jabalpur by which the High Court has set aside the order passed by the District Collector who held that the transaction was a loan transaction.
(2.) Case of the appellants is that the predecessors of the appellants as well as respondent NO(s).7 and 8 obtained a loan of Rs. 400/- from the father and uncle of the first respondent and in security of the said loan executed a sale deed dated 23rd November, 1953 in the name of the first respondent for 2/3rd area of Khasra No(s).315, 316/2 and 313/3 i.e. 8.04 acres out of total 12.03 acres. It is the further case of the appellants that a further loan of Rs. 200/- was taken and against the security of the said loan, an agreement to sell was executed for the remaining 1/3rd i.e. 1.28 acres of land bearing Khasra No.129/2.
(3.) After coming into force of the Madhya Pradesh Samaj Ke Kamjor Vargon Ke Krishi Bhumi Dharakon Ka Udhar Dene Walon Ke Bhumi Hadapane Sambandhi Kuchakron Se Paritran Tatha Mukti Adhiniyam, 1976 (For short, M.P. Adhiniyam 1976). The predecessors of the appellants moved an application under Section 5 of the M.P. Adhiniyam 1976 with a prayer to set aside the sale deed, allegedly executed in security of the loan, and to declare the same as null and void. Upon examination of the report, about the transaction from the Sub-Registrar and the statement of witness, S.D.O., Sagar, allowed the application by holding that the transaction/sale deed is within the prohibited transaction of Section 4 of the M.P. Adhiniyam 1976, declared the sale deed dated 23rd November, 1953 as null and void and directed the first respondent to hand over possession of the disputed lands to the appellants. In appeal, the order of the S.D.O. was affirmed by the District Collector.;