Bombay High Court Dismisses Writ Petition Challenging Rejection of Leave to Sue Under Section 92 CPC for Public Trust Dispute. Section 52 of Maharashtra Public Trust Act Bars Application of Sections 92 and 93 CPC to Public Trusts.

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

The petitioners, members of Mahad Taluka Maratha Seva Sangh, a trust registered under the Maharashtra Public Trust Act, 1950 and the Societies Registration Act, 1860, filed a writ petition under Article 227 of the Constitution challenging an order dated 17 June 2017 passed by the 5th Joint Civil Judge, Junior Division, Kalyan, rejecting their application (Exh.1A) for leave to institute a suit under Section 92 of the Code of Civil Procedure, 1908 in R.C.S. No.402/2016. The petitioners alleged misuse of powers by the respondents, including removal of petitioners from the managing committee, and sought appointment of new trustees and accounts. The trial court rejected the leave application observing that remedy was available under Sections 50 and 51 of the Maharashtra Public Trust Act. The respondents argued that Section 52 of the said Act bars the application of Sections 92 and 93 CPC to public trusts, rendering the leave application not maintainable. The petitioners contended that their claims fell under Section 92 CPC and alternatively sought liberty to file an application under Section 50 of the Act. The High Court, after considering submissions, held that Section 52 of the Maharashtra Public Trust Act expressly provides that nothing in Sections 92 and 93 CPC applies to any public trust under the Act. Therefore, the leave application under Section 92 CPC was not maintainable. The court dismissed the writ petition but granted liberty to the petitioners to file an appropriate application under Section 50 of the Maharashtra Public Trust Act, 1950, and directed that if such application is filed within four weeks, the trial court shall consider it without being influenced by the earlier order.

Headnote

A) Trust Law - Public Trust - Leave to Sue under Section 92 CPC - Section 52 of Maharashtra Public Trust Act, 1950 - The issue was whether a suit under Section 92 CPC is maintainable for a public trust registered under the Maharashtra Public Trust Act, 1950. The Court held that Section 52 of the Maharashtra Public Trust Act expressly bars the application of Sections 92 and 93 CPC to public trusts, and therefore the leave application under Section 92 CPC was not maintainable. The petitioners were directed to avail remedy under Sections 50 and 51 of the Maharashtra Public Trust Act. (Paras 2-6)

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Issue of Consideration

Whether leave to institute a suit under Section 92 of the Code of Civil Procedure, 1908 can be granted in respect of a public trust registered under the Maharashtra Public Trust Act, 1950, in view of Section 52 of the said Act.

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Final Decision

The writ petition is dismissed. However, the petitioners are granted liberty to file an appropriate application under Section 50 of the Maharashtra Public Trust Act, 1950 within four weeks from the date of the order. If such application is filed, the trial court shall consider it without being influenced by the earlier order.

Law Points

  • Section 52 of Maharashtra Public Trust Act
  • 1950 bars application of Sections 92 and 93 CPC to public trusts
  • Remedy under Sections 50 and 51 of the Act is available
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Case Details

2021 LawText (BOM) (08) 40

WRIT PETITION NO.11003 OF 2017

2021-08-10

Madhav J. Jamdar

Mr. A. S. Khandeparkar, Mr. Amogh K. Karandikar, Mr. Satish Kalke, Mr. Rohit P. Mahadik, Mr. Rajdeep D. Gude i/b. Khandeparkar & Associates for the Petitioners; Mr. Rajesh S. Datar for Respondent Nos.1 to 6

Shri Harishchandra Dhondiram Kalgude & Ors.

Shri Suresh Maruti Mhaske & Ors.

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Nature of Litigation

Writ petition under Article 227 of the Constitution challenging rejection of leave application under Section 92 CPC for a suit concerning a public trust.

Remedy Sought

Petitioners sought to challenge the order rejecting their application for leave to institute a suit under Section 92 CPC and alternatively sought liberty to file application under Section 50 of the Maharashtra Public Trust Act.

Filing Reason

Petitioners alleged misuse of powers by respondents, removal from managing committee, and sought appointment of new trustees and accounts.

Previous Decisions

The trial court rejected the leave application (Exh.1A) in R.C.S. No.402/2016 on 17 June 2017, observing that remedy is available under Sections 50 and 51 of the Maharashtra Public Trust Act.

Issues

Whether leave to institute a suit under Section 92 CPC can be granted in respect of a public trust registered under the Maharashtra Public Trust Act, 1950, in view of Section 52 of the said Act.

Submissions/Arguments

Respondents argued that Section 52 of the Maharashtra Public Trust Act bars application of Sections 92 and 93 CPC to public trusts, so the leave application is not maintainable. Petitioners argued that the relief claimed falls under Section 92 CPC, and alternatively sought liberty to file application under Section 50 of the Act.

Ratio Decidendi

Section 52 of the Maharashtra Public Trust Act, 1950 expressly provides that nothing in Sections 92 and 93 of the Code of Civil Procedure, 1908 applies to any public trust under the Act. Therefore, a suit under Section 92 CPC is not maintainable for a public trust registered under the Act, and the remedy lies under Sections 50 and 51 of the Act.

Judgment Excerpts

Section 52 of the said Act and submitted that Section 92 and 93 of the C.P.C. are not applicable to the public trusts. the petitioners are granted liberty to file an appropriate application under Section 50 of the said Act within four weeks from today.

Procedural History

The petitioners filed a suit (R.C.S. No.402/2016) and an application (Exh.1A) for leave under Section 92 CPC. The trial court rejected the leave application on 17 June 2017. The petitioners challenged this order by filing the present writ petition under Article 227 of the Constitution.

Acts & Sections

  • Maharashtra Public Trust Act, 1950 (Bom. Act XXIX of 1950): 50, 51, 52
  • Code of Civil Procedure, 1908: 92, 93
  • Constitution of India: 227
  • Societies Registration Act, 1860:
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