Bombay High Court Dismisses Appeal in Trust Dispute Over Appointment of Trustees Under Bombay Public Trusts Act, 1950. Section 72-1 Application for Appointment of New Trustees Rejected Due to Lack of Evidence of Incapacity of Existing Trustees.

High Court: Bombay High Court Bench: NAGPUR
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Case Note & Summary

The appeal arises out of a judgment and order dated 28.03.2016 passed by the learned District Judge-4, Nanded in Misc. RJE No.173 of 2011. The learned Judge dismissed the application filed under Section 72-1 of the Bombay Public Trusts Act, 1950. The appellant, Dr. Narayanrao Tawde, filed the application seeking appointment of new trustees for a public trust, alleging that the existing trustees (respondents) were incapable of acting due to their old age and lack of education. The appellant claimed that the trust was not being properly administered. The respondents opposed the application, denying the allegations. The District Judge held that the appellant failed to produce any evidence to show that the trustees were incapable of acting or that their appointment was necessary. The High Court, in appeal, upheld the dismissal, noting that mere old age or lack of education does not constitute incapacity under Section 72-1. The court observed that the appellant did not lead any evidence to prove that the trustees were unable to perform their duties. The appeal was dismissed with no order as to costs.

Headnote

A) Trust Law - Appointment of Trustees - Section 72-1 Bombay Public Trusts Act, 1950 - Incapacity of Trustees - The appellant sought appointment of new trustees alleging that existing trustees were incapable due to old age and lack of education. The court held that mere old age or lack of education does not constitute incapacity under Section 72-1 unless it is shown that the trustees are unable to perform their duties. The application was dismissed for lack of evidence. (Paras 1-10)

B) Trust Law - Burden of Proof - Section 72-1 Bombay Public Trusts Act, 1950 - The burden lies on the applicant to prove that the existing trustees are incapable of acting. The court found that the appellant failed to produce any evidence to show that the trustees were incapable or that their removal was necessary for the trust's administration. (Paras 5-10)

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Issue of Consideration

Whether the appellant made out a case for appointment of new trustees under Section 72-1 of the Bombay Public Trusts Act, 1950, by establishing that the existing trustees were incapable of acting or that their appointment was necessary for the administration of the trust.

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Final Decision

The High Court dismissed the appeal, upholding the order of the District Judge. No order as to costs.

Law Points

  • Appointment of trustees
  • Bombay Public Trusts Act
  • 1950
  • Section 72-1
  • Incapacity of trustees
  • Evidence
  • Charity Commissioner's powers
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Case Details

2023 LawText (BOM) (10) 249

First Appeal No. 3193 of 2016

2023-11-10

Kishore C. Sant

2023:BHC-AUG:24766

Mr.R.N. Dhorde, Sr. Counsel i/b. Mr. V.R. Dhorde for appellant; Mr.M.V. Thorat for respondent No.3; Mr.S.B. Pulkundwar for respondent No.4

Dr. Narayanrao s/o. Govindrao Tawde

Keshavrao s/o. Sombarao Tawde, Vithal s/o. Marotrao Tawde, Baburao s/o. Jalbarao Tawde, Joint Charity Commissioner, Aurangabad

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Nature of Litigation

Appeal against dismissal of application under Section 72-1 of the Bombay Public Trusts Act, 1950 for appointment of new trustees.

Remedy Sought

Appellant sought appointment of new trustees for a public trust, alleging incapacity of existing trustees.

Filing Reason

Appellant claimed that existing trustees were incapable due to old age and lack of education, and that the trust was not being properly administered.

Previous Decisions

The learned District Judge-4, Nanded dismissed the application in Misc. RJE No.173 of 2011 on 28.03.2016.

Issues

Whether the appellant made out a case for appointment of new trustees under Section 72-1 of the Bombay Public Trusts Act, 1950? Whether the existing trustees were incapable of acting as trustees?

Submissions/Arguments

Appellant argued that the existing trustees were old and uneducated, and thus incapable of managing the trust. Respondents denied the allegations and submitted that the appellant failed to produce any evidence of incapacity.

Ratio Decidendi

Under Section 72-1 of the Bombay Public Trusts Act, 1950, the applicant must prove that the existing trustees are incapable of acting. Mere old age or lack of education does not constitute incapacity unless it is shown that the trustees are unable to perform their duties. The burden of proof lies on the applicant, and failure to lead evidence results in dismissal of the application.

Judgment Excerpts

This appeal arises out of judgment and order dated 28.03.2016 passed by learned District Judge-4, Nanded in Misc. RJE No.173 of 2011. The learned Judge by way of the impugned order was pleased to dismiss the application filed under section 72-1 of the Bombay Public Trusts Act, 1950.

Procedural History

The appellant filed an application under Section 72-1 of the Bombay Public Trusts Act, 1950 before the District Judge, Nanded, which was dismissed on 28.03.2016. The appellant then filed the present First Appeal before the Bombay High Court, Bench at Aurangabad.

Acts & Sections

  • Bombay Public Trusts Act, 1950: 72-1
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High Court Bombay High Court Dismisses Appeal in Trust Dispute Over Appointment of Trustees Under Bombay Public Trusts Act, 1950. Section 72-1 Application for Appointment of New Trustees Rejected Due to Lack of Evidence of Incapacity of Existing Trustees.