Bombay High Court Quashes Mutation Entries and Communications Vesting Wakf Properties in Custodian of Enemy Property; Holds Consent Order Binding on Custodian. Court Declares That Once a Consent Order Withdraws a Vesting Certificate Under the Enemy Property Act, 1968, the Custodian Cannot Subsequently Claim Vesting Without Fresh Adjudication.

High Court: Bombay High Court Bench: BOMBAY In Favour of Accused
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Case Note & Summary

The Bombay High Court allowed three writ petitions challenging the communications and mutation entries by which the Custodian of Enemy Property sought to vest certain Wakf properties as enemy property. The Wakf 'Khan Bahadur Haji Shaikh Meherbaksh' was created in 1926 for the benefit of family members, with some beneficiaries later becoming Pakistani nationals. In 1984, a beneficiary filed a suit for her share, and a compromise was reached under which Pakistani beneficiaries received a sum in full settlement. Subsequently, the Custodian of Enemy Property issued a notice and certificate under Section 12 of the Enemy Property Act, 1968, vesting the Wakf properties. This was challenged in Writ Petition No. 1296 of 2004, where a consent order was passed on 14.12.2007 recording the withdrawal of the notice and certificate, and the matter was disposed of. Despite that, the Deputy Custodian issued fresh communications in 2012 and 2021 claiming the properties had vested in him, and mutation entries were made in 2023 deleting the names of the purchasers and Wakf from revenue records. The petitioners argued that the earlier consent order was binding and operated as res judicata, and that mutation entries do not affect title. The respondents contended that the earlier order only covered the share of Pakistani nationals and that the matter was pending before the Central Government under Section 18 of the Act. The Court, after examining the scheme of the Enemy Property Act, held that once a consent order is passed by the High Court setting aside the vesting certificate, the Custodian cannot re-examine the issue. The principle of res judicata applies to writ proceedings, barring re-agitation of the same issue. Mutation entries being fiscal in character cannot override judicial orders. The communications were issued without notice and in violation of natural justice. The pendency of Section 18 proceedings does not bar writ jurisdiction when the action is without jurisdiction. Consequently, the impugned communications and mutation entries were quashed, and the respondents were directed to restore the petitioners' names in the revenue records.

Headnote

A) Enemy Property - Vesting - Section 12 Enemy Property Act, 1968 - Consent Order by High Court operational as final adjudication - The earlier Writ Petition No. 1296 of 2004 ended with a consent order setting aside the notice and certificate of vesting, which was not kept pending any further review - Held that the Custodian cannot subsequently issue fresh communications or seek vesting of the same property as the matter attained finality (Paras 13-30).

B) Civil Procedure - Res Judicata - Section 11 CPC - Principles apply to writ proceedings - The consent order in the earlier writ petition constitutes a judgment on merits and operates as res judicata or issue estoppel, barring the Custodian from re-agitating the same issue - Held that the subsequent actions of the Custodian are hit by res judicata (Paras 24-25).

C) Revenue Law - Mutation Entry - Maharashtra Land Revenue Code, 1966 - Mutation entries are fiscal in nature and do not create or extinguish title - Once a property is established as non-enemy property by court order, revenue authorities cannot make entries to the contrary without any adjudication - Held that the impugned mutation entries made without notice and in disregard of the court order are illegal and liable to be quashed (Paras 26-27).

D) Administrative Law - Exercise of Power - Enemy Property Act, 1968 - Custodian must act within legal bounds and follow natural justice - The impugned communications were issued without giving the petitioners an opportunity of hearing and in violation of principles of natural justice - Held that the communications and subsequent mutation entries are void ab initio (Paras 28-29).

E) Constitutional Law - Writ Jurisdiction - Article 226 Constitution of India - Alternative remedy not absolute bar - Despite pendency of an application under Section 18 of the Enemy Property Act before the Central Government, the High Court can exercise writ jurisdiction when the impugned action is without jurisdiction or violates fundamental rights - Held that the writ petitions are maintainable (Para 29).

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Issue of Consideration

Whether the communications dated 16.12.2012 and 28.12.2021 and the mutation entries inserting the name of the Custodian of Enemy Property in the revenue records were legal and valid, and whether the properties had vested in the Custodian under the Enemy Property Act, 1968

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Final Decision

The writ petitions are allowed. The impugned communications dated 16.12.2012 and 28.12.2021 and the mutation entries made on 17.05.2023 and 30.05.2023 are quashed and set aside. The respondents are directed to restore the names of the petitioners in the revenue records, including property cards, within eight weeks.

Law Points

  • Legal points not extracted
  • Enemy property can only vest in custodian as per Section 12 Enemy Property Act
  • 1968
  • Consent order by High Court accepting withdrawal of vesting certificate is binding and operates as res judicata
  • Mutation entries do not confer title and cannot override judicial orders
  • Custodian cannot re-examine issues already settled by court order
  • Wakf property is not automatically enemy property merely because some beneficiaries were Pakistani nationals
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Case Details

2026 LawText (BOM) (07) 76

Writ Petition Nos. 1080 of 2024, 1233 of 2024, 3746 of 2023

2026-07-22

Suman Shyam, Shyam C. Chandak

Citation not available

Rajiv Narula, Tarang Jagtiani, Rahul Pillai, Rajiv Chavan, Sonam Pandey, Asmi Desai, PS Gujar, Syed Nabeel Ali, Jyoti Chavan, Milind More

Mehta Impex Private Limited and Anil Chopra; Khan Bahadur Haji Shaikh Meherbaksh First Wakf; Mantri Brothers, Firoze Zainuddin Mantri, Johar Jainuddin Mantri

State of Maharashtra, The Collector Mumbai Suburban District, Custodian of Enemy Property for India, Pratiksha Cooperative Housing Society Ltd.

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Nature of Litigation

Writ petitions challenging the legality of communications and mutation entries by which the Custodian of Enemy Property sought to vest Wakf properties as enemy property.

Remedy Sought

Quashing of the impugned communications dated 16.12.2012 and 28.12.2021 and the mutation entries made in 2023, and restoration of names of petitioners in revenue records.

Filing Reason

Despite a previous consent order of the Bombay High Court in 2007 setting aside the vesting certificate, the Deputy Custodian of Enemy Property issued fresh communications claiming the properties had vested, and got mutation entries made without notice.

Previous Decisions

Writ Petition No. 1296 of 2004 filed by Muttawallis of the Wakf challenging the original notice and certificate of vesting; disposed of by consent order dated 14.12.2007 withdrawing the notice and certificate.

Issues

Whether the communications dated 16.12.2012 and 28.12.2021 and mutation entries were legal and valid Whether the properties had vested in the Custodian under the Enemy Property Act, 1968 Whether the consent order dated 14.12.2007 in WP 1296/2004 operates as res judicata Whether the matters were maintainable despite pendency of application under Section 18 of the Enemy Property Act

Submissions/Arguments

Petitioners contended that the earlier consent order completely and finally divested the properties of any enemy interest, and the Custodian could not re-agitate the issue Petitioners argued that mutation entries do not confer title and were made without notice, and that the principles of res judicata barred the fresh action Respondents argued that the earlier order only covered the share of Pakistani nationals and that the entire Wakf property vested in the Custodian because some beneficiaries were enemy nationals Respondents contended that an application under Section 18 was pending before the Central Government, and thus the writ petitions were not maintainable

Ratio Decidendi

A consent order disposing of a writ petition challenging a vesting certificate under the Enemy Property Act, 1968, attains finality and operates as res judicata, barring the Custodian from re-agitating the issue of vesting of the same property. Mutation entries in revenue records are fiscal entries that do not create or extinguish title and cannot override judicial orders. The Custodian of Enemy Property must act within the bounds of the law and follow principles of natural justice; a communication issued without hearing the affected party is void. Pendency of an application under Section 18 of the Enemy Property Act before the Central Government does not bar the High Court's writ jurisdiction when the impugned action is without jurisdiction or violative of fundamental rights.

Judgment Excerpts

Once a consent order is passed disposing of the writ petition, it attains finality and operates as res judicata in any subsequent proceeding between the same parties. The judgment in the earlier writ petition operates as a complete answer to the present claim of the Custodian. Mutation entries are merely fiscal entries and do not create or extinguish title. The impugned communications and mutation entries are illegal and are hereby quashed.

Procedural History

Wakf Deed executed on 19.01.1926; Supplementary Deed on 19.07.1929. Purchasers acquired portions of Wakf properties in 1988. Suit No. 250 of 1984 filed by beneficiary, compromised in 1986. Purchasers' names recorded in revenue records in 1990. Notice under Enemy Property Act issued on 10.03.2004 and Vesting Certificate dated 05.04.2004; challenged in WP 1296/2004. Consent order dated 14.12.2007 withdrawing notice and certificate. Deputy Custodian issued communication dated 16.12.2012 and 28.12.2021 claiming vesting. Mutation Entries made on 17.05.2023 and 30.05.2023 deleting names. Present writ petitions filed in 2023-2024.

Acts & Sections

  • Enemy Property Act, 1968: Section 12, Section 6, Section 8, Section 18
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