Case Note & Summary
The dispute arose from the management of the Sayarbai Educational and Charitable Trust, founded by Shri Mittalal Jain in 1997. Following a series of appointments and disputes regarding the management, two suits were filed in 2007, leading to interim orders being sought by both parties. The appellant's request for an interim order was granted, while the respondent's was denied. However, the High Court later stayed the appellant's interim order, allowing the respondent to act as Chairman/Managing Trustee. In light of ongoing disputes, both parties suggested appointing a Receiver to manage the Trust until the suits were resolved. The Supreme Court appointed Hon’ble Mr. Justice K.P. Sivasubramanian as the Administrator, directing him to take charge by July 15, 2008, and to operate the Trust's bank accounts. The court emphasized that the pending suits should be resolved expeditiously, preferably within a year, without being influenced by the current order. The appeals were disposed of, and the High Court's order was set aside, with no costs awarded.
Headnote
A) Trust Law - Appointment of Administrator - Management of Trust - Code of Civil Procedure, 1908 - Court appointed an Administrator to manage the Trust and Institution due to ongoing disputes between the parties, ensuring the interests of the Trust are secured until the suits are resolved. Held that the Administrator shall assume charge and operate the Trust's affairs (Paras 1-4).
Issue of Consideration
Whether an administrator should be appointed to manage the Trust and Institution during ongoing litigation.
Final Decision
The Supreme Court appointed Hon’ble Mr. Justice K.P. Sivasubramanian as the Administrator of the Trust and Institution, directing him to assume charge by July 15, 2008, and to operate the Trust's bank accounts. The court set aside the High Court's order and directed the pending suits to be resolved expeditiously.
Law Points
- Trust management
- appointment of administrator
- interim orders
- cooperation between parties
