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Issues: Whether the earlier civil suit could operate as res judicata so as to bar the present suit, in view of the provisions of the Bombay Public Trusts Act, 1950 and the nature of the findings recorded in the earlier proceedings.
Analysis: The question whether a trust exists, whether particular property belongs to a public trust, and who are the trustees is required to be determined under the Bombay Public Trusts Act, 1950 by the Charity authorities, and the Civil Court has no jurisdiction to decide those matters. A decision of a Civil Court on such questions would therefore be without jurisdiction and could not furnish a valid foundation for res judicata. Further, a finding which is merely incidental to the real issue, or which is recorded in a suit dismissed on technical grounds without an on the merits, does not amount to a matter directly and substantially in issue finally decided so as to attract res judicata.
Conclusion: The bar of res judicata could not be sustained on the basis of the earlier suit.
Ratio Decidendi: A finding recorded by a court lacking jurisdiction over a matter entrusted to the statutory authorities, or a finding that is merely incidental or arises in a suit dismissed on technical grounds without a decision on merits, cannot operate as res judicata in a later suit.