Chopra, J. - (1.) THE facts that gave rise to this "appeal of the judgment -debtor against an order of the District Judge, Patiala are these: Ram' Partap Respondent brought a suit against Hardas Singh Appellant for realisation of Rs. 20,613/ -charged on immovable property situate in Nabha known as 'Palta House'. The suit was decreed by the District Judge, Patiala on 19th Magh 2008 (23 -1 -1950). The decree -sheet prepared in the case was in the following term: It is ordered that the suit of the Plaintiff is decreed with costs. The Plaintiff, of course, would be entitled to interest at the stipulated rate till the realisation of the decretal amount. On an application by the decree -holder the decree was subsequently amplified to include the following: The judgment -debtor shall deposit the decretal amount by 20 -5 -1950, failing which the decree -holder shall have a right to realise the entire amount through the sale of the mortgaged property. The amount having not been, paid by due date the decree -holder took out execution on 10 -6 -1950 and prayed for realisation of the amount by sale of the mortgaged property. The judgment -debtor claimed himself to be a displaced person and as such presented an application for stay of the execution proceedings Under Section 6, Displaced Persons (Legal Proceedings) Act, 1949. Since the Act had not till then been enforced in the State this application was dismissed. After the said Act Was enforced in the State the judgment -debtor again came forward with an identical prayer. The executing Court while finding in favour of the applicant that he was a displaced person reject -the application because in its view a mortgage or a decree for sale of the mortgaged pro -y could not be regarded as a decree 'for pay -t of money' and the Act only applied to such decrees .
(2.) THE execution proceedings were still pending and the house was being sold when the Displaced Persons (Legal Proceedings) Act was repealed and substituted by the Displaced Persons (Debts. Adjustment) Act 70 of 1951. This Act 70 of 1951 came into force in the State of Delhi on 10 -12 -1951 and in the State of Pepsu on 20 -12 -1951. Hardas Singh, the judgment -debtor, lost no time to take benefit of the provisions of the new Act and presented an application for adjustment of the debts Under Section 5 of the Act to the Tribunal at Delhi. He also applied to the Tribunal for an order for stay of the execution proceedings. That prayer of his was turned down and he was directed to approach the executing court for the purpose. He then presented the application in question to the District Judge, Patiala and prayed that the proceedings be stayed and as provided by Section 15 of the Act records thereof be transferred to the Tribunal at Delhi. The District Judge holding the view that "a charge incurred on the security of property situate in India was not immune from attachment and sale in execution proceedings", rejected the application. The judgment -debtor has now come in appeal against this order of the executing Court. Section 2(10) of Act 70 of 1951 defines a displaced person as follows: Displaced person' means any person who, on account of the setting up of the Dominions of India and Pakistan, or on account of civil disturbances or the fear of such disturbances in any area now forming part of West Pakistan, has after the Ist day of March, 1947, left, or been displaced from, his place of residence in such area and who has been subsequently residing in India, and includes any person who is resident in any place now forming part of India and who for that reason is unable or has been rendered unable to manage, supervise or control any immovable property belonging to him in West Pakistan, but does not include a banking company. It is common ground between the parties, and has been so held by the executing court as well, that Hardas Singh Appellant is a displaced person falling within the first part of the definition and that the debt was incurred before he came (from West Pakistan) to reside in India. It is also not disputed that Hardas Singh had presented an application to the Tribunal at Delhi Under Section 5 of this Act for adjustment of his debts including the debt in context. That application, however, has now been withdrawn and Anr. under the same provision of the Act and for a similar purpose has been presented to the Tribunal at Patiala. It is correct that the prayer of the judgment -debtor for stay of the execution proceedings Under Section 15 of the Act was made on the basis of his application Under Section 5 to the Tribunal at Delhi and that application has since been withdrawn. But that does not make this appeal infructuous as a similar application has already been presented and is pending before the Tribunal at Patiala. The provisions of Section 15 are mandatory and if the case falls under that Section the proceedings have to be stayed because of the judgment -debtor I having approached the Tribunal at Patiala. In case this appeal is rejected on that ground alone the judgment -debtor can still present a fresh application to the Executing Court on the basis of the proceedings that are going on before the Tribunal at Patiala and that would simply prolong the litigation and result in unnecessary harassment of the parties. Shri Jagan Nath, learned Counsel for the Respondent, therefore concedes that this appeal may be decided on merits assuming that the application for stay of execution was based on the proceedings that are now pending before the Tribunal at Patiala.
(3.) THE relevant portion of Section 15 of the Act is to the following effect: Where a displaced debtor has made an application to the Tribunal Under Section 5 or under Sub -section (2) of Section 11, the following consequences shall ensue, namely: (a) all proceedings pending at the date of the said application in any civil court in respect of any debt to which the displaced debtor is subject (except proceedings by way of appeal or review or revision against decrees or orders passed against the displaced debtor) shall be stayed, and the record of all such proceedings other than those relating to the appeals, review or revisions, as aforesaid shall be transferred to the Tribunal and consolidated; (b) all attachments, injunctions, orders appointing receiver or other processes issued by any such court and in force at the date of the said application in respect of any such debt shall cease to have effect and no fresh process shall, except as hereinafter expressly provided, be issued: According to Section 2(9) a Displaced Debtor means a displaced person from whom a debt is due or Is being claimed. Clause (6) of Section 2 gives the 'following definition of 'debt' for the purposes of the Act: Debt means any pecuniary liability, whether payable presently or in future, or under a decree or order of a civil or revenue court or otherwise, or whether ascertained or to be ascertained, which - In the case of a displaced person who has left or been displaced from his place of residence in any area now forming part of West Pakistan, was incurred before he came to reside in any area now forming part of redial, in the case of a displaced person who, before and after the 15th day of August 1947, has been residing in any area now forming part of India, was incurred before the said date of the security of any immovable property situate in the territories now forming part of West Pakistan; Provided that where any such liability was incurred on the security of immovable proper -ties situate both in India and in West Pakistan,, the liability shall be so apportioned between the said properties that the liability in relation to -each of the said properties bears the same proportion to the total" amount of the debts as -the value of each of the properties as at the date of the transaction bears to the total value -of the properties furnished as security, and the liability, for the purposes of this clause, shall be the liability which is relatable to the property in West Pakistan; (c) is due to a displaced person from any other person (whether" a displaced person or not) ordinarily residing in the territories to which this Act extends; and includes " any pecuniary liability incurred before the commencement of this Act by any such person as is referred to in this clause which is based, on, and is solely by way of renewal of, any such liability as is referred to in Sub -clause (a) or Sub -clause (b) or Sub -clause (c); Provided that in the case of a loan whether in cash or in kind, the amount originally advanced and not the amount for which the liability has been renewed shall be deemed to be -the extent of the liability; but does not include any pecuniary liability due under a decree passed after the 15th day of August 1947, by any court situate in West Pakistan or any pecuniary liability the proof of which depends merely on an oral agreement.;