Sinnamani & Anr. v. G. Vettivel and Ors.
K.S. RADHAKRISHNAN, J. 1. Leave granted.
2. These appeals arise out of a common judgment of the
High Court of Madras at Madurai dated 11.9.2007 declining
to convert the Trust OP No.96 of 2002 as a civil suit and be F
tried accordingly.
3. Trust OP No.96 of 2002 was filed by the appellants who
were beneficiaries of six trusts before the Principal District
Judge, Thoothukudi under Sections 61, 62, 65, 66 and 92 of G
the Trust Act read with Order VI Rules 1 to 3, 5 to 7 and 26 of
the Code of Civil Procedure for the following reliefs:
"a. To call upon the respondents 1 to 12 to restore the
corpus and accretions gained by the six trusts
detailed in the schedule from the date of their H
51~ SUPREME COURT REPORTS [2012] 4 S.C.R.
A incorporation till the date of realization.
b. To trace the fissipations effected on the schedule
Trusts by the I defendant and his associate
companies.
c. To appoint a receiver for all the properties of the I
defendant and through lifting the corporate veil on
the company held by the I defendant including
Mountain Spinning Mills.
d. To trace the fissipations on the Schedule Trusts and
bring the properties and monies to the petitioner's
Court account from whichever source they are
available.
e. To call upon the I defendant to account from the late
of creation of the six schedule trusts as to bring the
proceeds to the Court."
3. During the pendency of the OP, respondent Nos.1 to 14
and 16 filed interlocutory applications separately under Order
E VII Rule 11 C.P.C. requesting the court to reject the said Trust
O.P. on common grounds. The sum and substance of those
grounds were as follows:
"(a) there is no cause of action disclosed against the
respondents.
(b) the said Trust O.P. is barred under Section 9 of the
Code of Civil Procedure, since the relief sought for
are to be agitated only by means of a suit.
(c) the reliefs prayed for in the Trust O.P. is barred by
limitation; and
(d) lastly, the said Trust O.P. is liable to be rejected on
the ground that the same has not been properly
valued for the purpose of paying the Court Fees."
SINNAMANI & ANR. v. G. VETIIVEL AND ORS. 517
[K.S. RADHAKRISHNAN, J.]
4. Matter was hotly contested before the Principal District A
Judge, Thoothukudi and the applications filed under Order VII
Rule 11 C.P.C. was allowed vide common judgment dated
17.10.2005. Aggrieved by the same, the petitioners in Trust O.P.
approached the Hon'ble High Court by way of an appeal AS
49 of 2006 and the respondent. Nos. 1 to 14 and 16 in the Trust B
O.P. filed appeal Nos.50 to 64 of 2006 under Section 96 of
the Code of Civil Procedure, and the 11th Respondent in the
Trust O.P. filed M.P. No.4 of 2007. The maintainability of the
appeals was successfully questioned by the respondents
before the High Court, but the High Court converted those c
appeals as revision petitions and were heard along with M.P.
No. 4 of 2007. The High Court vide judgment dated 11.9.2007
dismissed all the revision petitions and allowed M.P. No.4 of
2007 and held that the District Court was justified in allowing
the applications filed under Order VII Rule 11 CPC rejecting 0 the Trust O.P. and it was also ordered that the Trust O.P. could
not be converted as a civil suit. However, it was held that the
order of rejection of the Trust O.P. would not stand in the way
of the petitioners in Trust O.P. filing a fresh suit in accordance
with law. Aggrieved by the judgment of the Madras High Court E
these appeals have been preferred.
6. Shri P.S. Narsimha, learned senior counsel appearing
for the appellants submitted relying upon Section 49 of the Trust
Act that the Court has a duty to control the affairs of the Trust
and its trustees under its discretionary powers when they are F
being mismanaged. Learned senior counsel pointed out that
while invoking Section 49 of the Act the Court should not stick
on to hyper technicalities in respect of forms and procedures,
it is the duty of the principal civil court even to act suo motu
whenever it is brought to the notice of the court that there is a G
misconduct or any other mal practice committed by the
Trustees. Learned counsel also submitted that in the event of
the Court coming to the conclusion that by some improper
advice given, the appellants have misdirected themselves in
A filing the Trust O.P., the same can always be converted into a
civil suit.
7. Shri Vijay Hansaria, learned senior counsel appearing
for the respondents, on the other hand, supported the findings
8 recorded by the courts below. Learned senior counsel also
placed reliance on the judgment of this Court in P.A. Ahmad
Ibrahim v. Food Corporation of India (1999) 7 SCC 39 and
submitted that the Trust O.P. cannot be converted as a civil suit.
8. We have perused the Trust O.P. filed by the appellants
C in the lower court which is not in the nature of a plaint. The
expression "Original Petition" as such is not defined either in
the Trust Act or in the Code of Civil Procedure. However, Rufe
3(9) of the Code of Civil Procedure defines Original Petition
as follows:
"3(9). 'Original petition means a petition whereby any
proceeding other than a suit or appeal or a proceedings
in execution of a decree or order, is instituted in a court."
9. Section 2(14) C.P.C. defines the term 'Order' which
E reads as under:
"2(14). "Order" means the formal expression of any
decision of a civil court which is not a decree;"
F 10. A comprehensive reading of the above-mentioned
provisions will make it clear that the Trust O.P. fifed by the
appellants before the Principal District Judge cannot either tie
construed a suit or equated to be a suit. The final order passed
in the Trust O.P. cannot also be construed as a decree as
defined in Section 2(2) C.P.C. ft can only be an "order'' as
G defined in Section 2(14) C.P.C. The term "suit", as such is not
defined in the Code of Civil Procedure. However, Section 26,
C.P.C. gives an indication as to the manner in which suit has
to be instituted. Section 26 reads as under:
H "26. Institution of suits:
SINNAMANI & ANR. v. G. VETIIVEL AND ORS. 519
[K.S. RADHAKRISHNAN, J.]
(1) Every suit shall be instituted by the presentation of A
a plaint or in such other matter as may be
prescribed.
(2) In every plaint, facts shall be proved by affidavit."
B 11. A suit can be instituted by presentation of a plaint and
Order IV and VII C.P.C. deals with the presentation of the plaint
and the contents of the plaint. Chapter I of the Civil Rules of
Practice deals with the form of a plaint. When the statutory
provision clearly says as to how the suit has to be instituted, it
can be instituted only in that manner alone, and no other C
manner. The Trust Act contains 9 chapters. Chapter 6 deals
with the rights and liabilities of the beneficiaries, which would
indicate that the beneficiaries of trust have been given various
rights and those rights are enforceable under the law. Section
59 of the Act confers a right upon the beneficiaries to sue for D
execution of the trust which would indicate that the beneficiaries
may institute a suit for execution of the trust. Therefore, the
above-mentioned provisions would show that in order to
execute the trust, the right is only to file a suit and not any original
petition. Under the Trust Act also for certain other purposes E
original petitions can be filed. Section 72 of the Trust Act
provides for a trustee to apply to a principal civil court of original
jurisdiction by way of petition to get himself discharged from
his office. Similarly, Section 73 of the Act empowers the
principal civil court of original jurisdiction to appoint new
trustees. Few of the provisions of the Act permit for filing of
original petitions. The above facts would clearly indicate that
the Trust Act provides for filing of a suit then suit alone can be
filed and when it provides for original petition then original
petition alone can be filed and there is no question of G
conversion of original petition to that of a civil suit or vice-versa,
especially in the absence of a statutory provision under the Trust
Act. A similar question came up for consideration before this
Court in P.A. Ahmad Ibrahim v. Food Corporation of India
(supra) wherein, while interpreting Section 20 C.P.C. the Court
held as follows: H
520
"Further, before applying the provisions of Order VI Rul.e
17, there must be institution of the suit. Any application filed
under the provisions of different statutes cannot be treated
as a suit or plaint unless otherwise provided in the said
Act. In any case, the amendment would introduce a totally
new cause of action and change the nature of the suit. It
would also introduce a totally different case which is
inconsistent with the prayer made in the application for
referring the dispute to the arbitrator. Prima facie, such
amendment would cause serious prejudice to the
contention of the appellant that the claim of the respondent
to recover the alleged amount was barred by the period
of limitation as it was pointed out that cause of action for
recovery of the said amount arose in the year 1975 and
the amendment application was filed on 30.3.1986. Lastly,
it is to be stated that in such cases, there is no question
of invoking the inherent jurisdiction of the Court under
Section 151 of the C.P.C. as it would nullify the procedure
prescribed under the Code."
12. Certain legislations specifically provide for conversion
E of original petition into a suit. Section 295 of the Indian
Succession Act is such a provision. The Trust Act, however,
contains no such enabling provision to convert the original
petition into a suit.
F 13. In the above facts situation, we find no infirmity in the
judgment rendered by the courts below. We, therefore, hold that
the Trust O.P. cannot be allowed to be converted into a suit.
However, it is made clear that the rejection of the Trust O.P.
under Order VII Rule 11 shall not operate as a bar for the
appellants to file a fresh suit in accordance with law. Hence,
G the appeals are disposed of as above. There will be no order
as to costs.
K.K.T. Appeals disposed of.