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K. ARJUN DAS versus COMMISSIONER OF ENDOWMENTS, ORISSA & ORS.

Citation: [2019] 13 S.C.R. 307 · Decided: 17-09-2019 · Supreme Court of India · Bench: N.V. RAMANA · Disposal: Appeal(s) allowed

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Judgment (excerpt)

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K. ARJUN DAS
v.
COMMISSIONER OF ENDOWMENTS, ORISSA & ORS.
(Civil Appeal No. 9576 of  2010)
SEPTEMBER 17, 2019
[N. V. RAMANA, MOHAN M. SHANTANAGOUDAR AND
AJAY RASTOGI, JJ.]
Orissa Hindu Religious Endowments Act, 1951:
s. 19 – Alienation of immovable Trust property –  Application
u/s. 19 on behalf of Diety by fit person seeking permission to sell
the property belonging to the Diety, admeasuring 4 acres 255
decimals – Appellant also filed affidavit claiming to be in possession
of the property as a tenant for last 40 years –  In enquiry report,
Inspector Endowments assessed the value of the land in the range
of 5 to 5.50 lakhs per acre and found that if sale of the property
were sanctioned, it would be beneficial for the institution –
Commissioner Endowments accorded permission to sell the property
fixing Rs. 10 lakhs per acre as upset price and offered first choice
to purchase to the appellant-tenant  –  After lapse of statutory period
to file appeal against the order of the Commissioner, sale deeds
were executed in favour of the appellants in respect of land
admeasuring 2 acres 19 decimals  –  In a pending appeal against
the order of the Commissioner and suo motu proceeding initiated by
the State Government, intervention applications were filed by
respondent Nos. 4 and 5 offering to buy a piece of the suit land
admeasuring 619 decimals at the rate of Rs. 30 lakhs per acre  –
The intervention application was rejected by the State Government
– Order of State Government challenged in writ petition by
respondent Nos. 4 and 5 taking the ground that the appellant was
not a tenant and that they were willing to offer the rate of Rs. 25
lakhs per acre – Writ petition dismissed by Single Judge of High
Court –  Letters Patent Appeal was allowed by Division Bench of
High Court holding that there was no evidence to show that the
appellant was tenant and directed the Commissioner, Endowments
to put the total land  for public auction at the rate of Rs. 25 lakhs pr
   [2019] 13 S.C.R. 307
307
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SUPREME COURT REPORTS
[2019] 13 S.C.R.
acre  –  Appeal to Supreme Court  –  Held : Division Bench of High
Court has committed a manifest error of law and of facts in setting
aside concurrent findings and hence is legally not sustainable  –
The lucrative offer made by respondent Nos. 4 and 5 appears to be
only to frustrate the action of respondent-authority  –  The procedure
opted by respondent Nos. 4 and 5 cannot be countenanced to nullify
the registered sale-deed executed in favour of the appellant after
due compliance as mandated by law under the Act.
Allowing the appeal, the Court
HELD : 1. The State of Orissa with its legislative
competence introduced the Orissa Hindu Religious Endowments
Act, 1951 with an object to provide better administration and
governance of Hindu public religious institutions and endowments
in the State of Orissa. [Para 25] [317-B-C]
2. Keeping in view the paramount object of good
governance, if any decision is taken to alienate the immovable
trust property, an inbuilt mechanism has been provided u/s. 19
with a non obstante clause having overriding effect contained in
any law to restrict the alienation of any immovably trust property
belonging to, or given or endowed for the purpose of, any religious
institution, unless sanctioned by the Commissioner as being
necessary or beneficial to the institution with a further restriction
that no such transfer shall be valid or operative unless it is so
sanctioned.  In the instant case, the Commissioner Endowments
taking note of the affidavits filed by the respective parties and
also the fact that the appellant is the tenant and in possession
over the subject land since last 40 years paying bhag(share) to
the deity and has shown his inclination to purchase the subject
land at a price which the Commissioner Endowments may fix and
took note of the report of Inspector  Endowments dated 27th April,
2002 who has admitted in his report that the subject land is lying
barren and no income is derived to the institution and is not in
cultivable position.  On the contrary, the institution used to bear
the expenditure towards payment of land revenue out of the
institution fund, which is an extra burden to the institution and
taking note of the market value as proposed by the Inspector
Endowments based on the sale statistics relating to the year 2000-
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K. ARJUN DAS v. COMMISSIONER OF ENDOWMENTS,
ORISSA & ORS.
2001 of Rs. 5.50 lakhs per

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