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Dattatraya Vishnu Dhamankar v. Vishnu Narayan Dhamankar

Bombay High Court
Apr 10, 1911
Smart Summary (Beta)

Structured Summary of the Opinion

Factual and Procedural Background

The plaintiff sued for partition and for a declaration that certain encumbrances (mortgages) created by his father, the first defendant, were not binding on his half-share of ancestral properties. The Subordinate Judge decreed that the plaintiff was entitled to a partitioned half-share in the properties but that this share was subject to specific mortgages: Exhibit 42 (14 November 1898; Rs. 12,000; in favour of the Rodes) and Exhibits 25 and 36 (20 June 1889 and 21 June 1896; in favour of Risbud; Rs. 9,712).

The mortgagees instituted suits to enforce their mortgages after the partition suit was filed, and by consent the evidence recorded in the partition suit was to be taken as evidence in the mortgage suits. The trial court found evidence that the father had spent sums on the maintenance of a prostitute named Jivi and on tamashas and revelry, but it was unable to attribute particular advances or specified amounts to the different mortgagees.

On appeal the appellate court reviewed the factual findings and legal questions concerning whether the sons' interests could be held liable for the father's debts. The appellate court confirmed the decree of the lower court with specified modifications (including directions for sale of the mortgagor's interest first in certain appeals, allowance of interest at 6% per annum, entitlement of mortgagees to add appeal costs to the mortgage debt, and a specified interest award in one appeal).

Legal Issues Presented

  1. Whether the plaintiff's half-share in the ancestral properties should be partitioned free of, or subject to, the mortgages executed by his father.
  2. Whether advances obtained by the father and secured by mortgage can be made payable out of the sons' interests where the loans may have been incurred for immoral or non-family purposes, and whether the sons can resist enforcement on that ground.
  3. Whether a mortgage executed to secure a present advance is to be treated differently (i.e., not as an alienation for an antecedent debt) such that the creditor cannot claim the son's interest unless the debt is shown to have been incurred for family necessities.

Arguments of the Parties

Plaintiff's Arguments

  • The plaintiff asserted that the annual profits of the family properties averaged nearly Rs. 3,000 while family expenses absorbed only about one half of that income, implying that sums borrowed by the father could not have been for family necessities.
  • The plaintiff contended that the loans were for immoral purposes — specifically the support of prostitutes (notably one named Jivi) and expenses of tamashas and other revelry — and therefore should not bind his share.
  • It was further argued (expressly) that where property is mortgaged to secure a present advance, this should not be treated as an alienation for an antecedent debt, and consequently the creditor should not be entitled to apply the son's interest to satisfy the father's debt unless the debt was shown to have been incurred for family necessities.

Mortgagees' / Respondents' Position (as reflected in the opinion)

  • The mortgagees instituted suits to enforce their mortgages and relied on the mortgages (Exhibits) and the amounts secured thereby; there is recorded evidence and findings indicating that a considerable portion of the advances was borrowed for family ceremonies and for obligations incident to the father's social position and hospitality.
  • The opinion records that there was no documentary evidence that either set of mortgagees consciously advanced sums for immoral purposes and that the evidence did not permit identification of which mortgagee's advances, if any, were applied to Jivi and to tamashas.

Table of Precedents Cited

Precedent Rule or Principle Cited For (as stated in the opinion) Application by the Court in this Case
Chintamanrav v. Kashinath (1889) I.L.R. 14 Bom. 320 Established that sons cannot set up their rights against their father's alienation for an antecedent debt; mortgagee may be entitled to a decree directing the debt to be raised out of the whole ancestral property where the debt is antecedent and not tainted with immorality. The court treated this decision as finally settling (for this Court) the question that a creditor may enforce a father's mortgage against the son's interest unless the son proves the debt was incurred for immoral purposes. The appellate court relied on it to deny the plaintiff relief on the basis that he had not proved particular loans to be for immoral purposes vis-à-vis individual mortgagees.
Bhagbut Pershad v. Mussumat Girja Koer (1888) L.R. 15 I.A. 99 Regarded as adopting the principle in Suraj Bunsi that when joint ancestral property passes out in consideration of an antecedent debt the sons cannot recover it unless they show the debts were contracted for immoral purposes and purchasers had notice. The court cited this case as supportive authority for the proposition that sons' rights are affected by the father's dispositions to satisfy antecedent debts, and as part of the line of authorities limiting relief to sons unless immorality as to particular loans is shown.
Luchmun Dass v. Giridhur Chowdhry (1880) I.L.R. 5 Cal. 855 Full Bench decision holding that a loan for which the father's bond was passed was an antecedent debt within the proposition in Suraj Bunsi; mortgagee entitled to decree raising the debt out of whole ancestral property. Referred to in the court's discussion of Chintamanrav; the appellate court relied on the Full Bench reasoning as treated as binding in Calcutta and influential on the principles applied in this case.
Mussamat Nanomi Babuasin v. Modun Mohun (1885) L.R. 13 I.A. 1 Contains a passage (quoted) that decisions have established the principle that sons cannot set up rights against the father's alienation for an antecedent debt or against creditors' remedies unless the transactions are tainted with immorality. The passage was cited (and its import discussed) as part of the authorities showing that sons' independent co-parcenary rights are limited in regard to antecedent debts of the father; the appellate court explained how subsequent authorities interpreted or applied this passage.
Jagabhai v. Vijbhukandas (1886) I.L.R. 11 Bom. 41 Supported the view that the Privy Council decision in Nanomi Babuasin makes the father's disposition of the family estate affect the sons' interests except in limited circumstances (e.g., where the father was deprived of disposing power or the son was not subject to the obligation). Quoted as part of the line of reasoning adopted to hold that sons could not resist enforcement unless they established the narrow exceptions described; this supported the appellate court's reliance on established precedents.
Suraj Bunsi v. Sheo Proshad (1879) L.R. 6 I.A. 88 Source of the proposition, as interpreted later, that when joint ancestral property has passed out in consideration of an antecedent debt, sons cannot recover the property unless the debts were contracted for immoral purposes and purchasers had notice. Used (through later cases that adopt its proposition) to explain the limits on the sons' ability to recover property encumbered for antecedent debts; formed part of the legal foundation for denying relief absent proof connecting particular advances to immoral expenditure.
Girdharee Lall v. Kantoo Lall (1874) L.R. 1 I.A. 321 Earlier Judicial Committee decision from which Suraj Bunsi's proposition was deduced (as stated in the opinion). Cited as part of the chain of authorities establishing the rule concerning antecedent debts and the effect of father's disposal of joint ancestral property on sons' rights.
Kishun Pershad v. Tipan Pershad (1907) I.L.R. 34 Cal. 743 Observes that Nanomi Babuasin and Bhagbut Pershad do not conflict with earlier Judicial Committee decisions and that the Full Bench decision in Luchmun Dass v. Giridhur Chowdhry has been treated as binding in Calcutta despite later Privy Council cases. Relied on to explain the consistency of authorities and to justify applying the Full Bench approach to the present case (noting regional practice differences but overall adherence to the principle that antecedent debts may bind sons' interests).
Khalilul v. Gobind (1892) I.L.R. 20 Cal. 328 Commentary (at p.346) that the Full Bench result treats "debt" in a suit as meaning "debt antecedent to the institution of the suit" where the canon in Suraj Bunsi is invoked. Used to support the court's analysis of the nature of "debt" in proceedings and the enforceability of a father's personal debt against the family estate.
Meenakshi Naidu v. Immudi Kanaka (1888) L.R. 16 I.A. 1 Holds that a decree for a personal debt of the father not illegal or immoral may be enforced by sale in execution in his life-time of the entire family estate. Cited as authority that personal debts of the father (not illegal/immoral) can result in sale of the entire family estate in execution; this supported the court's authority to order sale of mortgagor's interest to satisfy mortgagees.

Court's Reasoning and Analysis

The appellate court proceeded in two linked strands: (1) factual assessment of the trial court's findings about immoral or extravagant expenditure by the mortgagor-father and (2) legal analysis of whether, as a matter of principle and precedent, the sons' interests could be made liable for the father's debts.

On the facts, the court accepted the Subordinate Judge's careful findings that the father had maintained a prostitute (Jivi) and spent on tamashas and revelry; it accepted that a household for Jivi and related expenditures were incurred over many years and that a conservative estimate of annual expenditure was not less than Rs. 400. However, the court emphasized the evidentiary difficulty: there were two separate sets of mortgagees (Rodes and Risbud), and the evidence did not permit a reliable allocation of particular loans to particular kinds of expenditure. There was no documentary evidence showing that either mortgagee consciously advanced money for immoral purposes. There was, conversely, evidence that a substantial part of advances (judged by the Subordinate Judge to be not less than Rs. 12,000) was borrowed for family ceremonies and obligations connected to the father's social position. In addition, the plaintiff and his father had suppressed account books relating to family affairs that existed prior to the suit, which further hampered attribution of specific loans to immoral uses.

On the law, the court relied on a line of authoritative decisions—notably Chintamanrav v. Kashinath and related precedents—to reaffirm the principle that a father's alienation or encumbrance of ancestral property in respect of antecedent debt may affect the sons' interests unless the sons can prove that the debts were contracted for immoral purposes (and that the creditor had notice where relevant). The court concluded that although immorality and extravagance on the father's part had been proved in a general way, the plaintiff had failed to establish a connection between particular advances secured by the mortgages and those immoral expenditures so as to disentitle the mortgagees from enforcing their security against the plaintiff's share.

The court also addressed practical relief and procedure: it observed the difference in practice between selling the mortgaged estate as a whole or selling interests piece-meal, and it indicated that, in most cases, a single sale would best serve the parties though Calcutta practice may differ. Applying the precedents and factual findings, the appellate court confirmed the lower court's decree with specific modifications (orders for sale of the mortgagor's interest first in certain appeals, award of interest at 6% up to realization, and allowance to add appeal costs to mortgage debt), and awarded interest on a specified sum in one appeal.

Holding and Implications

Core Ruling: The appellate court confirmed the decree of the Subordinate Judge and dismissed the appeal, subject to specified modifications described in the judgment (sale procedure in certain appeals, award of interest at 6% per annum until realization, addition of appeal costs to the mortgage debt, and a specific interest award in one appeal).

Consequences for the parties (direct effects):

  • The plaintiff's claim to have his half-share freed from the mortgages was rejected; the plaintiff's half-share remains subject to the mortgages (Exhibit 42 and Exhibits 25 & 36) as decreed below.
  • Mortgagees are entitled to an order for sale of the mortgagor's interest in the family properties in the first instance (in the specified appeals) if the decree is not satisfied within three months, and to interest at 6% per annum up to realization. Mortgagees may add the costs of the appeals to the mortgage debt.
  • In one appeal (No. 128 of 1906) the decree was modified to award interest at 6% per annum on the specified sum of Rs. 4,508-9-9 up to realization; respondents 1 to 4 were to receive their costs of that appeal.

Broader legal implication: The opinion applies and reaffirms existing precedent that a father's mortgage or disposal of ancestral property to satisfy antecedent debt may bind the sons' interests unless the sons show that specific debts were contracted for immoral purposes (and related notice requirements), but it does not purport to establish a new legal principle beyond the precedents cited.

Show all summary ...

1. The plaintiff in this suit prays for his half share in certain ancestral properties upon a partition and claims a declaration that in cumbrances created by his father, the first defendant, by way of mortgage in favour of two sets of defendants, namely, the Rodes and Risbud, are not binding as against him and on his share in the properties.

2. The learned Subordinate Judge has held that the plaintiff is entitled to have his half share in the properties described in the plaint, partitioned and put into his possession but subject to the mortgages created by Exhibit 42, a mortgage of the 14th of November 1898 for Rs. 12,000 in favour of the Rodes, and Exhibits 25 and 36 being mortgages of the 20th of June 1889 and the 21st of June 1896 in favour of Risbud for Rs. 9,712.

3. The mortgagees in each case have filed suits to enforce their mortgages in consequence of the institution of this partition suit and by consent the evidence recorded in this suit is to be taken as evidence in the mortgage suits.

4. The plaintiff's case is put in this way: he says that the annual profits of the family properties amount to nearly Rs. 3,000 on the average and that the family expenses only absorb about one half of that income, and that any sums borrowed by the first defendant upon mortgage cannot have been for family necessities but must have been for immoral purposes such as the support of prostitutes and the expenses of natches and other tamashas.

5. The learned Judge who has discussed the evidence with great care and thoroughness has come to the conclusion that certain sums were spent by the first defendant upon the support of a prostitute named Jivi and her household and on jewelry and clothes for her and in the expenses of tamashas and other revelry, but he is unable to arrive at any conclusion as to the amounts which were borrowed from the different creditors for these purposes, The amounts due upon the mortgages of the Rodes and Risbuds above referred to amount to upwards of Rs. 20,000 but there is no evidence to show that anything like that sum was spent upon such immoral purposes as have been described.

6. One witness Ramchandra Vishnu Bhagwat goes so far as to say that Rs. 6,000 was borrowed from Rode and a similar sum from Risbud and handed over to Jivi. But the learned Judge does not believe his evidence and we think there is good ground for the strictures which he passed upon it. Another witness Vishvanath Gokhale says that money was borrowed from Rode in small sums from time to time for Jivi, and the money was expended in the purchase of clothes from one or other of the mortgagees. The learned Judge, however, characterizes his evidence as palpably false and we are not prepared to dissent from this estimate.

7. The conclusion arrived at by the lower Court is that Jivi the prostitute was in the keeping of Vishnu for seventeen or eighteen years, that her sister Baji was also a prostitute and lived with her for about six or seven years, and that during the whole period of intimacy between Vishnu and Jivi he maintained her household at an expenditure which cannot have been less than Rs. 400 a year, that it is also established that Vishnu was fond of tamashas and indulged in them at Jivi's house at his own expense. As is pointed out by counsel for the appellant an expenditure of Rs. 400 a year for seventeen years with simple interest at six per cent. would amount to half the sum due upon the mortgages. The difficulty, however, which lies in his way is that we have two sets of mortgagees and that it is impossible upon the evidence to ascertain whose advances were applied for the benefit of Jivi and the tamashas. There is no documentary evidence to show that any sums were consciously advanced by either of the mortgagees for immoral purposes and there is evidence that a considerable amount of money amounting in the judgment of the Subordinate Judge to not less than Rs. 12,000 was borrowed for family ceremonies. It is also proved that the first defendant was a man in a leading position in the small town in which he lived who was obliged to indulge in the certain amount of hospitality. The plaintiff and his father have greatly added to the difficulty of ascertaining the objects of the various loans taken from the Rodes and Risbuds by suppressing the account books relating to the family affairs which it is conclusively established were in existence prior to the date of the suit. If all this money had been borrowed from one money lender upon mortgage it might be possible to give some relief to the plaintiff. But in the circumstances of this case we do not think that he has been able to establish more than was established in other reported cases in which it has been proved to the satisfaction of the Court that the father who has executed the mortgages was addicted to immorality and extravagance, without any evidence being forthcoming of connection between the particular loan and. the immoral expenditure. As examples we may refer to the case of Chintamanrav v. Kashinath (1889) I. L. R. 14 Bom. 320 and Bhagbut Pershad v. Mussumat Girja Koer (1888) L.R. 15 I.A. 99.

8. It has however, been argued on behalf of the plaintiff that where property is transferred by way of mortgage to secure a present advance it is not an alienation for an antecedent debt and that therefore, the creditor cannot claim that the interest of the son shall be applied to satisfy the debt of the father unless that debt is shown to have been incurred for family necessities.

9. In our opinion, however, this question was finally decided so far as this Court is concerned in the case of Chintamanrav v. Kashinath (1889) I. L. R. 14 Bom. 320 already referred to. In that case the plaintiff brought a suit against the son of the deceased mortgagor to recover the balance of a debt due on a mortgage bond by sale or foreclosure. The defendant pleaded that the loan was contracted without his knowledge and for immoral purposes and that his share in the mortgaged property could not be held answerable for the debt. The Subordinate Judge awarded the plaintiff's claim and directed that the mortgaged property be sold. The decree was confirmed in appeal to the High Court. Sir Charles Sargent in delivering the judgment said: "In Luchmun Dass v. Giridhur Chowdhry (1880) I.L.R. 5 CAL. 855 the effects of the decisions in Kantoo Lall's case (1874) L.R. 1 I. A. 321 and Suraj Bunsi v. Sheo Proshad (1879) L.R. 6 I.A. 88 were considered by a Full Bench of the Calcutta High Court, and the Court held that the loan for which the bond was passed by the father, as stated by the reference, was an antecedent debt within the contemplation of the proposition set out in Suraj Bunsi's case and that (as shown by the first question referred) although ' on the one hand it was not proved that there was any necessity for raising the money, nor on the other that the money was raised or expended for immoral or illegal purposes,' the mortgagee was at any rate entitled to a decree directing the debt to be raised out of the whole ancestral property, including the mortgaged property." He then referred to the well-known passage in Mussamat Nanomi Babuasin v. Modun Mohun (1885) L.R. 13 I.A. 1 at page 18. "Destructive as it may be of the principle of independent co-parcenary rights in the sons, the decisions have for some time established the principle that the sons cannot set up their rights against their father's alienation for an antecedent debt, or against his creditors' remedies for their debts, if not tainted with immorality." Sir Charles Sargent then said that the Court agreed with the statement of the Court in Jagabhai v. Vijbhukandas (1886) I.L.R. 11 Bom. 41 that the effect of the Privy Council decision in Nanomi Babuasin's case was "that the father's disposition of the family estate, or a disposal of it under proceedings taken against the father alone, is made to affect the sons' as well as the father's interest, except so far as the son can establish, in a proceeding taken for that purpose, that the voluntary disposal was made under circumstances which deprived the father of the disposing power, or that the enforced disposal was on account of an obligation to which the son was not subject."

10. The passage in Nanomi Babuasin's case above referred to does not in terms lay down a rule for cases in which the joint ancestral property has become the subject of a claim under a mortgage by the father. It is regarded by the Privy Council in Bhagbut Pershad v. Mussumat Girja Koer (1888) L.R. 15 I.A. 99 as adopting the principle laid down in Suraj Bunsi Koer v. Sheo Proshad Singh (1879) L.R. 6. I.A. 88 at page 104 where the Court deduced from Girdharee Lall v. Kantoo Lall (1874) L.R. 1 I.A. 321 the proposition that when joint ancestral property has passed out of the family either under a conveyance executed by a father in consideration of an antecedent debt or under a sale in execution of a decree for the father's debt his sons by reason of their duty to pay their father's debt cannot recover that property unless they show that the debts were contracted for immoral purposes and that the purchasers, had notice that they were so contracted.

11. It is pointed out in Kishun Pershad v. Tipan Pershad (1907) I.L.R. 34 Cal. 743 that the cases of Mussamat Nanomi Babuasin v. Modun Mohun (1885) L.R. 13 I.A. 1 at page 18 and Bhagbut Pershad v. Mussamat Girja Koer (1888) L.E. 15 I.A. 99 do not lay down any rule inconsistent with or materially different in principle from earlier decisions of the Judicial Committee which were cited in argument before the Full Bench in Luchmun Dass v. Giridhur Chowdhry (1880) I.L.R. 5 Cal. 855 and that the decision of the Full Bench has been uniformly treated as binding in Calcutta in spite of the later Privy Council cases. The same remarks apply to Bombay except in so far as the relief awarded to the plaintiff mortgagee has not been confined to a mortgage decree against the father and a simple money-decree against the sons for the balance unsatisfied on the sale under the mortgage decree. As observed in Khalilul v. Gobind (1892) I.L.R. 20 Cal. 328 at page 346 the result of the Full Bench case seems to be that "debt" in the case of a proceeding by suit means "debt antecedent to the institution of the suit" if it is necessary to have recourse to the canon in Suraj Bunsi's case (1879) L.R. 6 I.A. 88, 104. It is now established that a decree for a personal debt of the father not illegal or immoral may be enforced by sale in execution in his life-time of the entire family estate ", Meenakshi Naidu v. Immudi Kanaka (1888) L.R. 16 I.A. 1.

12. The only difference between this and the Calcutta Court is one of practice. Shall the mortgaged estate be sold as a whole in order that the proceeds may be applied in satisfaction of the debt or shall it be sold piece-meal, first the interest of the father and then if the proceeds are insufficient the interest of the sons 1 The advantage of the parties would, in most cases, we think, be best attained by a single sale. There may, however, be cases in which the Calcutta practice would be the best.

13. We confirm the decree of the lower Court and dismiss the appeal with costs.

14. In appeals Nos. 126, 156 and 127 of 1906, Mr. Coyaji on behalf of his client Dattatraya Vishnu Dhamankar undertaking that if on his father's interest in the family properties being put up for sale the bids do not reach an amount sufficient to satisfy the claims of the mortgagees, he will agree that the interest of his client, as well as that of his father, shall be put up for sale, we order that in the first instance the mortgages are entitled to an order for sale of the interest of the mortgagor in the family properties, in default of the satisfaction of the decree within three months. The mortgagees are entitled to interest at the rate of six per cent. Per annum on the mortgage up to the date of realization. With the above modification we confirm the decree of the lower Court.

15. The mortgagees are entitled to add their costs of the appeals to the mortgage-debt.

16. In appeal No. 128 of 1906 we modify the decree of the lower Court by awarding to the plaintiff interest at the rate of six per cent. per annum on Rs. 4,508-9-9 out of the amount decreed up to the date of realization and otherwise confirm the, decree. Respondents 1 to 4 to get their costs of the appeal.