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Navudu Nuka Raju v. Rajani China Appanna, And Others

Andhra Pradesh High Court
Jul 14, 1976
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Factual and Procedural Background

The petitioner filed a suit seeking eviction of the respondents from certain properties and possession thereof. Along with the suit, he applied for leave to file the suit in forma pauperis, submitting a schedule listing a half joint share in a thatched house valued at approximately Rs. 500 and some apparel. The court fee payable was Rs. 1,546. The respondents opposed the application, asserting that the petitioner had undisclosed assets and means to pay the court fee. During cross-examination, it was revealed that the petitioner had a life interest in additional properties, including a site, a cattle shed, and a granary, none of which were disclosed in the application. The lower court rejected the leave application on grounds of non-disclosure and lack of utmost good faith. The petitioner sought revision of this order.

Legal Issues Presented

  1. Whether an applicant seeking leave to file a suit in forma pauperis is under a duty to disclose all properties belonging to him in the application.
  2. Whether non-disclosure of such properties, including those in which the applicant has a life interest, warrants dismissal of the application.

Arguments of the Parties

Petitioner’s Arguments

  • The petitioner’s undisclosed property consists only of a life interest, which does not equate to having means to pay the court fee.
  • It is not necessary to disclose properties held only as a life interest since such properties would not yield sufficient funds to pay the court fee.

Respondents’ Arguments

The opinion does not contain a detailed account of the respondents' legal arguments beyond their opposition to the leave application based on alleged non-disclosure.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Kuppuswami v. Varadappa, AIR 1943 Mad 11 Requirement of full disclosure of property in applications to sue as pauper Supported the principle that non-disclosure leads to dismissal of the application
Chellamal v. Muthulakshmi, AIR 1945 Mad 296 (ILR (1945) Mad 628) Full and complete disclosure of assets required under Order 33 Affirmed the view that incomplete disclosure results in rejection of the application
Rajakumar Bhagwatsaran v. V. P. V. Rajan, (1971) 1 Mad LJ 510 Reiteration of the duty to disclose all property in pauper applications Reiterated the principle that non-disclosure warrants dismissal
Munnian v. Kesava, AIR 1955 Mad 467 Life interest in property and its relevance to means to pay court fee Distinguished on facts as the properties and rights were disclosed; did not support non-disclosure exemption

Court's Reasoning and Analysis

The court examined the provisions of Order 33 of the Civil Procedure Code, particularly rule 2 and rule 5(a). Rule 2 mandates that every application for leave to sue as a pauper must include particulars of all movable and immovable property owned by the applicant, including their estimated values. Rule 5(a) provides for dismissal of applications not complying with these requirements. The court held that a life interest constitutes property and must be disclosed. The petitioner’s failure to disclose his life interest in certain properties amounted to non-compliance with the rules and a lack of utmost good faith. The court rejected the argument that life interest need not be disclosed, emphasizing that the motive for non-disclosure is irrelevant. Even if the undisclosed assets would not suffice to pay the court fee, the applicant is still obligated to disclose them fully. The court also distinguished the precedent relied upon by the petitioner, noting that in that case the property was disclosed and the issue of non-disclosure did not arise. The court thus upheld the lower court’s rejection of the application on the basis of incomplete disclosure.

Holding and Implications

The court dismissed the revision petition with costs, affirming the lower court’s order rejecting the petitioner’s application for leave to sue in forma pauperis. The petitioner was given one month to pay the court fee. The decision underscores the strict requirement for full and complete disclosure of all property, including life interests, in applications for leave to sue as a pauper. Failure to comply results in dismissal of the application, regardless of the sufficiency of the undisclosed assets to cover court fees. No new precedent was created; rather, the ruling reinforced existing principles regarding utmost good faith and disclosure obligations under Order 33 CPC.

Show all summary ...

(1) A point of some import is raised in this revision petition. It relates to applications for leave to file suit in forma pauperis. The question is whether a duty is cast on an applicant for such leave to disclose all the properties belonging to him in his application and if he does not, whether such non - disclosure would entail dismissal of his application.

(2) The material facts are :

The petitioner filed a suit for eviction of the respondents from certain properties and for delivering the same to him. He filed an application to file the suit in forma pauperis and in the b schedule appended to the petition he had shown half joint share in a thatched house worth about rs. 500. 00 and few items of apparel. The court - fee payable is rs. 1,546. 00. The respondents opposed this application saying that he had means to pay the court - fee and the he had not disclosed in the petition all his assets. In fact in the cross - examination of the petitioner, examined as p. W. 1, it was brought out that he owns some site, and a cattle shed, that house tax was being paid in his name for that property, that there was a granary, and that he got life interest in the site, cattle shed and granary. However, he did not show that asset in the b schedule of his petition. The lower court rejected his request for leave on the ground that he had not shown utmost good faith and suppressed certain assets of his in the petition. It is this order that is sought to be revised.

(3) Sri e. Raja rao contends that what the petitioner has in the undisclosed property is only a life interest. Having a life interest does not mean that he has any means to pay the court - fee. In any case, the property, even if disclosed, would not fetch sufficient money to pay the court - fee. It is not necessary for an applicant to disclose the properties in which he has only a life interest.

(4) I am not inclined to accept this contention of sri raja rao, rule 2 of order 33, civil procedure code says that every application for permission to sue as a pauper shall contain the particulars required in regard to plaints in suits and a schedule of any moveable or immovable property belonging to him with the estimated value thereof. Rule 5 (a) of that order provides for the rejection of the application where it is not framed and presented in the manner prescribed by rules 2 and 3. Therefore, if the application for permission to sue as a pauper does not contain a full and complete statement of all moveable and immovable properties belonging to the applicant, it is liable to be dismissed under rule 5 (a). Nobody can say that life interest is not property. The undisputed fact is that the petitioner has a life interest in certain properties which he has not disclosed in the petition. Reading order 33, particularly with reference to rule 2 read with rule 5 (a) it is manifest that every applicant should approach the court for leave to sue as a pauper with a full and complete disclosure of his moveable and immoveable property assets. If he does not do it, the application is liable to be dismissed. The motive for such non - disclosure is immaterial. Even if the undisclosed property is not sufficient to pay the court - fee it does not alter the situation. It is from the applicant to disclose to the court all his assets and to show that these assets would not be sufficient to raise money to pay the necessary court - fee. When he fails to disclose such an asset, he must necessarily incur the result of rejection of the application postulated by rule 5 (a). This is also the view taken by a single judge of the madras high court in kuppuswami v. Varadappa , air 1943 mad 11 and affirmed by a bench decision of the madras high court in chellamal v. Muthulakshmi, air 1945 mad 296 = (ilr (1945) mad 628). This view is further reiterated by the madras high court in rajakumar bhagwatsaran v. V. P. V. Rajan, (1971) 1 mad lj 510.

(5) Sri raja rao, however, argues that owning life interest is not owning any property within the meaning of r. 3 of o. 33 and so, an applicant is not obliged or required to disclose any life interest he has in any property. He relies on a single judges decision in munnian v. Kesava, air 1955 mad 467 to support this proposition. I do not think that the decision helps the contention of the learned counsel. Basheer ahmed sayeed, j. , referred to the fact that the petitioner therein was in possession of two items of property by virtue of the settlement deed which provided that he would not be entitled to alienate or otherwise encumber the property. In the view of the learned judge a life interest in these two items of property would not make him a person possessed of sufficient means to pay the court - fee required on the plaint in that case. But the point is that those properties and the petitioners rights therein were disclosed in the application filed by the petitioner for leave to sue in forma pauperis. So, the question of non - disclosure did not arise in that case. Utmost good faith is required of the petitioner when he disclosed his properties and assets. Whatever may be the motive, if he fails to disclose them, it must result in the dismissal of the petition. This consequence necessarily follows from reading r. 2 of o. 33 with r. 5 (a) of that order. I am, therefore, satisfied that the lower court has rightly rejected the application of the petitioner.

(6) In the circumstances, the revision petition is dismissed with costs. Time for payment of court - fee one month from to - day.

(7) Revision dismissed.