DAVE SADASHIV JAYKRISHNA Vs. RANA GOVUBHA ALIAS VELUBHA JESHIBHAI

JUDGEMENT

(1.) This Revision Application has been argued very strenuously by Mr. M. P. Thakkar. learned advocate appearing on behalf of the applicant who was creditor No. 7 in a debt adjustment proceeding filed by the debtor under the provisions of the Saurashtra Agricultural Debtors Relief Act 1954 It appears that creditor No. 7 sold a house and 1/4th share in a certain piece of land to the debtor for Rs. 3 457 Creditor No. 7 handed over possession of the properties to the debtor but the debtor failed and neglected to pay the full price to creditor No. 7. Creditor No. 7 was therefore obliged to file a suit against the debtor in order to recover the balance of the price which remained to paid by the debtor to creditor No.7. The suit resulted in a decree for Rs.2 350 together with interest and costs. Creditor No. 7 made an application for execution of the decree by attachment and sale of the properties which consisted of the house and 1/4th share in the land and these properties were attached in execution of the decree. The house was ultimately sold by public auction on 15th February 1955 and creditor No. 7 was declared purchaser of the house for Rs.1 605 It may be mentioned at this stage that creditor No. 7 was given liberty to bid and set off the decretal amount against the purchase price. So far as the 1/4th share in the land was concerned the proceedings in connection with the sale were sent to the Collector since the land was agricultural land. The 1/4th share in the land was thereafter sold by public auction on 12th July 1957 and creditor No. 7 was declared purchaser for the price of Rs. 1 500 Now whilst the application for execution was pending the debtor made an application for adjustment of his debts under the provisions of the Saurashtra Agricultural Debtors Relief Act 1954 and as a result of this application to the Debt Adjustment Board the proceedings in connection with the sale of the house which were pending before the Civil Court were transferred to the Debt Adjustment Board on 19th February 1955 and the proceedings in connection with the sale of 1/4th share in the land which were pending before the Collector were transferred to the Debt Adjustment Board on 15th July 1957 before the respective sales of the house and 1/4th share in the land were confirmed under the provisions of order XXI Rule 92 of the Code of Civil Procedure. Creditor No. 7

(2.) contended before the Debt Adjustment Board that the judgment-debt due and owing to him from the debtor was extinguished since he had become the owner of the house and 1/4th share in the land as a result of the public auction and that there was therefore no question of adjustment of any debt so far as he was concerned. The Debt Adjustment Board however negatived this contention of creditor No. 7 and proceeded on the basis that the judgment debt was outstanding and was liable to be adjusted under the provisions of the Saurashtra Agricultural Debtors Relief Act 1954 There were also various other creditors who were parties to the application made by the debtor before the Debt Adjustment Board and whose debts were sought to be adjusted in that application. The Debt Adjustment Board found that the debtor was a debtor within the meaning of the Saurashtra Agricultural Debtors Relief Act 1954 and proceeded to determine and adjust the debts due and owing by the debtor to the various creditors. The Debt Adjustment Board ascertained the paying capacity of the debtor and ultimately scaled down the debt of creditor No. 7 from Rs. 3 592 to Rs. 2 955 so as to accordwith the paying capacity of the debtor.

(3.) There was also creditor No. 10 who claimed Rs. 6 92 from the debtor under an aggreement dated 13th June 1945 executed by the debtor and two other persons in favour of creditor No. 10. The Debt Adjustment Board found that under the said agreement on taking accounts a sum of Rs. 3 585 was due and payable by the debtor and the said two other persons to creditor No. 10; but taking the view that the debtor being only one of the three persons liable for the debt was under an obligation to pay only 1/3rd of the amount of the debt the Debt Adjustment Board awarded only Rs. 1 195 to creditor No. 10. The debts of various other creditors were also adjusted by the Debt Adjustment Board. Creditor No 7 was dissatisfied with the award made by the Debt Adjustment Board and he therefore filed an appeal in the Court of the District Judge Surendranagar. Creditor No. 10 was also not satisfied with the; award and he also therefore preferred an appeal in the Court of the District Judge Surendranagar. Both the appeals were heard together by the Joint District Judge at Surendranagar. The learned Joint Judge agreed with the conclusions reached by the Debt Adjustment Board so far as creditor No. 7 was concerned and held that creditor No. 7 had not become the owner of the house and 1/4th share in the land as a result of the purchase at the auction sales and that the judgment-debt was therefore outstanding against the debtor and was liable to be adjusted under the provisions of the Saurashtra Agricultural Debtors Relief Act 1954 The learned Joint Judge accordingly upheld the award in so far as creditor No. 7 was concerned. The learned joint Judge however found that the Award was erroneous in so far as only 1/3rd of the amount of the debt was awarded in favour of creditor No. 10 and he came to the conclusion that creditor No. 10 was entitled to claim the full amount of Rs. 3 585 from the debtor. The result was that creditor No. 7 lost in the appeal filed by him whereas creditor No. 10 succeeded to a large extent so far as the appeal filed by him was concerned. Since creditor No. 7 failed in the appeal he filed the present Revision Application in this Court.