TaxTMI 
TaxTMI 
2021 (10) TMI 775
X X X X Extracts X X X X
X X X X Extracts X X X X
....:- " Whether the lower court has committed an error of law in not applying the settled principles of law - while considering the plea of benami purchase - that the title is presumed to vest with the person, in whose name the sale deed stands, and the burden of proof lies heavily on the person who sets up benami plea? " 4. The appellants who are the plaintiffs in the suit pleaded that the suit property was purchased by their mother Swarnalakshmi Ammal vide Ex.A.1 dated 30.09.1943. She passed away shortly thereafter. The plaintiffs and the fifth defendant Chandra Bai were born to Sabapathy Iyer through Swarnalakshmi Ammal. After the demise of Swarnalakshmi Ammal, Sabapathi Iyer contracted second marriage with Krishnamani. The second wife also passed away. Through Krishnamani, there was no issue. Thereafter, Sabapathy Iyer married the first defendant Amirdham Ammal and through her, defendants 2 to 4, 6 and 7 were born. The stand of the plaintiffs was that the property though purchased by Swarnalakshmi Ammal out of her earnings and Stridhana was treated only as a joint family property. The suit properties formed part of a larger extent. Portions of the property purchased vi....
X X X X Extracts X X X X
X X X X Extracts X X X X
....t appellate Court also. 9. The learned counsel appearing for the contesting respondents submitted that the entire case of the contesting defendants is that the suit property was the self-acquired and absolute property of Sabapathy Iyer. The property was purchased benami in the name of his first wife Swarnalakshmi Ammal / the mother of the appellants herein. He placed reliance on the decision reported in (2004) 4 MLJ 153 (Valliammal (D) by LRs. V. Subramaniam and others) in which the Hon'ble Apex Court had culled out the circumstances which can be taken as a guide to determine the nature of the transaction. They are follows:- " 13. .. 1. the source from which the purchase money came; 2. the nature and possession of the property, after the purchase; 3. motive, if any, for giving the transaction a benami colour; 4. the position of the parties and the relationship, if any, between the claimant and the alleged benamidar; 5. the custody of the title deeds after the sale; and 6. the conduct of the parties concerned in dealing with the property after the sale." According to the learned counsel, the plaintiffs have not....
X X X X Extracts X X X X
X X X X Extracts X X X X
....enami transaction, it would not be applied to the purchase of property by any person in the name of his wife or unmarried daughter and it shall be presumed, unless the contrary is proved, that the said property had been purchased for the benefit of the wife. The learned counsel appearing for the appellants took me through the recitals of Ex.A.1. Even though it is stated that the purchase money was paid by Sabapathy Iyer, the endorsement was on behalf of Swarnalakshmi Ammal. 12. The subsequent conduct of Sabapathy Iyer also indicates that the property was always treated only as a joint family property. Otherwise there was no need to include the names of the plaintiffs as well as the other sons, when executing Ex.A.2 mortgage deed or Ex.A.3 sale deed. A portion of the property purchased vide Ex.A.1 was sold in favour of the third party vide Ex.A.3. A mere look at the recitals of Ex.A.3 would show that Sabapathy Iyer treated the property as a joint family property. Therefore, I hold that the burden cast on the contesting respondents that the property was purchased benami by Sabapathy Iyer has not at all been discharged. 13. The learned counsel appearing for the appellants drew m....
X X X X Extracts X X X X
X X X X Extracts X X X X
....e name of N.V.Sabapathy Iyer in holding No.18. Enquiry revealed that these lands are the stridhana Lands of his late wife and they are in his possession and enjoyment. As his children and himself are equally entitled to the lands all their names as detailed below were notified in the Draft Declaration u/s.6 of the L.A. Act. 1. N.V.Sabapathy Iyeer, 2. Parthasarathy, 3. Jothiram, 4. Chandra Bai, 5. Chandrasekaran, 6. Premkumar, 7. Kubendran, 8. Amarnath, 9.Ahesha 10. Sheela. All these persons are living joint Hindu family and N.V.Sabapathy Iyer is the managing head of the family and all the other members have consented to pay the compensation amount to N.V.Sabapathy Iyer. Hence, the compensation amount for these lands is payable to the following person. N.V.Sabapathy Iyer, 9, Jadamunikoil Street, Madurai - 625 001. Market value of land, structures, wells trees etc., Rs. 1,698.12 30% solatium Rs. 509.44 Additional amount of 12% on the market value per annum Rs. 415.92 Rs. 2,623.48 " The aforesaid reasons given by the land acquisition officer are significant for two reasons. They indicate that even though the land was registered in the name of....