SELVARAJAN versus MEENAKSHI AMMAL

Citation: [1994] SUPP. 4 S.C.R. 283 · Decided: 05-10-1994 · Supreme Court of India · Bench: K. RAMASWAMY, N. VENKATACHALA · Disposal: Dismissed

Judgment (excerpt)

SELVARAJAN 
v. 
MEENAKSHI AMMAL 
OCTOBER 5, 1994 
[K. RAMASWAMY AND N. VENKATACHALA, JJ.) 
Tamil Nadu Agriculturists Relief Act 4 of 1938, as amended in 
1973-Sections 3(iii) & 19-Scaling down of debt-11.ent expressly excluded 
from definition of debt-Arrears of rent transformed into a debt by viJtue of 
A 
B 
a decree-Whether an agriculturist is entitled to scaling down of such a C 
debt-Held, No. 
Petitioner-Appellant, an agriculturists within the meaning of the 
Tamil Nadu Agriculturists Relief Act 4 of 1938, as amended. In 1973, 
claimed benefit of scaling down of arrears of rent, transformed Into a debt 
by virtue of a decree having been granted against the father of the appel- D 
lant, though bis father stood as a surety for the payment of rent due and 
payable by one S. This application was opposed by the respondent on the 
ground that the petitioner Is not entitled to the benefit of the Act as the 
decree is one for recovery of lease arrears and therefore, It Is not a d!lbt 
which can be scaled down. 
E 
This appeal by special leave arises from the order of the High Court 
rejecting the appeal The question for determination Is whether the appel-
lant, though an agriculturist Is entitled to the benefit of scaling doWI! of 
sncb a debt u/s 19 of the Act. 
Dismissing the appeal, this Court 
F 
HELD : 1.1. A reading of section 3(iii) of the Tamil Nadu Agricul-
turists Relief Act 4 of 1938 as amended in 1973, clearly Indicates that the 
rent bas been expressly excluded from the definition of debt and the G 
liability of interest which was sought to be scaled down under the Act is a 
debt whether secured or unsecured due from agriculturists whether pay-
able under a decree or an order of Civil or Revenue Court or otherwise. 
Since the principal debtor had committed default in payme11t of the rent 
to the receiver the appellant's father had undertaken to discharge that 
liability. In consequence both the appellant and the tenant, bad suffered H 
283 
284 
SUPREME COURT REPORTS (1994) SUPP. 4 S,C.R. 
A the decree which was sought to be executed. [287-G, H, 288-A] 
B 
c 
D 
E 
F 
G 
H 
1.2. As the 'rent' due to the landlord stood excluded from !be 
definition of the debt, in view of the statutory charge, the b~nelit of scaling 
down of debt cannot be granted to the appellant though the appellant is 
an agriculturist. [288-C, DJ 
Commnr. of Income Tax, Madras v. Rajah lnngenti Rajagopala 
Venkata Narasimha f/.ayanim Bahadur Vara, (1932) 63 MW 20; Ramadoss 
Reddiar v. Munuswami Reddiar, (1940) 2 MW 825 andAppa/a Subbaramiah 
v. Katha Gurumma & Ors., (1942) 1 MW 290, distinguished. 
CIVIL APPELLATE JURISDICTION : Civil Appeal No. 6143 of 
1990. 
From the Judgment and Order dated 18.1.82 of the Madras High 
Court in C.R.P. No. 2389 of 1979. 
J. Ramamurthi, R. Mohan and R. Nedumaran for the Appellant. 
Ms. Setia Vaidyalingam for the Respondent. 
The following Order of the Court was delivered : 
This appeal by special leave arises from the order of the Single Judge 
of the Madras High Court iu CRP No. 2389/79 dated January 18, 1982. The 
case has a chequered history and the facts stated in the judgment are as 
under: 
One Rajagopal Pillai, the husband of the respondent herein, died 
in 1948 without issues. The respondent herein instituted O.S. No. 
·359 of 1948, in District Munsifs Court, Thiruthuraipoondi, as heir 
of her husband for recovery of possession of certain properties 
trespassed upon by rwo persons and also for an injunction in 
relation to certain other items. During the pendency of the suit, 
one T.A. Madadeva Iyer was appointed as the Receiver. On 
27.6.1949, the Receiver granted a lease of the properties in favour 
of one Sattayappa Thever, who agreed to pay 3200 kalams of paddy 
towards rent. On the same day, guaranteeing the performance of 
the obligations of Sattayappa to measure the rent as agreed, the 
father of the petitioner herein, Sadasiva, executed a security bond 
SELVARAJAN v. M.AMMAL 
285 
in favour of the Court changing certain properties and binding A 
himself to pay a sum of Rs. 18,000. The lessee Sattayappa com-
mitted default in the payment of the rents agreed to be paid by 
him and had fallen into arrears of 2587 Kalams of paddy equivalent 
to Rs. 17,044. The suit O.S. No. 359 of 1948, District Munsil's court, 
Thiruthuraipoondi, was decreed in favour of the respondent. B 
Thereafter, on 29.11.1951, the respondent filed I.A. No. 33 of 1952 
for directing t.he realisation of the amounts due

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