Full Text
HIGH COURT OF DELHI
Date of Decision: 27th May, 2024
RASHME BAHL ..... Plaintiff
Through: Mr. Rajeev M. Roy, Advocate
Through: Mr. Ganpathy, Senior Adv.
Mr. Anatesh Banon, Advs. for D-2
JUDGMENT
1. This hearing has been done through hybrid mode.
2. This is a suit filed by the Plaintiff-Smt. Rashme Bahl against the Defendants who are her brothers, seeking partition and injunction from creating any third party interest in the two properties in question. The said two suit properties are as under:
(i) M-131, Greater Kailash-II, New Delhi-110048
(ii) Farm Land admeasuring 48 Kanals 0 Marlas out of Khasra Nos. 51/11, 51/12, 51/13, 51/14, 51/18, 51/19, 51/20, 51/21, 51/22 situated in Village Carterpuri, Gurgaon.
3. The parties are children of Dr. B.L. Wadehra, who was a practising advocate in this Court.
4. All three parties are siblings i.e. children of Late Dr. B.L. Wadehra and Late Smt. Sohini Wadehra. Defendant No.1 is not participating in the proceedings and he is already ex-parte. It is stated that the property (i) being M-131, Greater Kailash -II, was purchased by Late Dr. B.L. Wadehra out of his own funds in his own name and the property (ii) being farm land situated in Village Carterpuri, Gurgaon was purchased by Late Dr. B.L. Wadehra out of his funds in the name of his wife Late Smt. Sohini Wadehra. Dr. B.L. Wadehra is stated to have died on 4th April, 2005 and Smt. Sohini Wadehra passed away in 2015. Both parents have died intestate leaving behind three heirs.
5. It is stated that in March, 2010, Defendant No. 2 informed the Plaintiff about mortgage proceedings regarding the Greater Kailash II property, which were ongoing, without her knowledge. The property was mortgaged by Dr. B.L. Wadehra to Defendant No. 3 Bank to secure credit facilities for Defendant No. 2. The Plaintiff only became aware of the Debt Recovery Tribunal proceedings upon receiving an arrest notice. However, Defendant No. 2 is stated to have assured the Plaintiff that the mortgage issue would be resolved. However, the Plaintiff later discovered that the property had been used exclusively for Defendant No. 2’s benefit. The Plaintiff then intervened in the DRT proceedings, claiming that Defendant No. 2 deliberately withheld information about these proceedings from her.
6. It is further averred that Defendant No. 2 has admitted before the DRT that the Plaintiff is one of the legal representatives of deceased Dr. B.L. Wadehra. The continuation of the mortgage by Defendant No. 3 bank without the consent of the legal heirs is illegal. The Plaintiff in the plaint asserted that Defendant No. 2 is solely liable for the bank dues, which should only cover the period before their father’s death.
7. It is further averred that when the Plaintiff requested her share of the Greater Kailash II property, Defendant No. 2 claimed that partition cannot be completed without settling the dues of Defendant No. 3 Bank. Additionally, the Plaintiff also learnt that Defendant No. 1 was attempting to sell the farmland in Gurgaon based on a disputed will and power of attorney, which the Plaintiff believed were obtained under duress and were invalid. The Plaintiff thereafter informed the SDM and Tehsildar about her share in the property, however, she was denied access to the alleged documents by Defendant No. 1. Thus the Plaintiff filed the present suit.
8. Vide order dated 24th April, 2015, a status quo order was passed in the suit with regard to title and possession of the farm lands in Gurgaon. Subsequently the matter was referred to mediation 22nd August, 2017 but there was no closure of disputes.
9. On 8th April, 2024, after hearing ld. Counsel for the parties as also recording the statement of the Plaintiff, a chamber hearing was held in which it was recorded as under:
amount can be paid after ascertaining from local buyers, brokers, etc. Parties are also free to bring any buyers whom they may have. Irrespective of the sale consideration that the two properties may fetch, the Plaintiff’s share has been agreed upon today. Let the modalities be filed by way of detailed consent terms be placed before the Court by the next date of hearing.”
10. The matter was, thereafter, amicably settled amongst parties.
11. Today, the parties have reported that the settlement has been arrived at between the parties. The terms of settlement dated 27th May, 2024 have been placed on record in original by ld. Counsel for the parties. The terms and conditions of the said settlement record that the Plaintiff would be paid a sum of Rs.15 crores for renouncing her 1/3rd rights in both the properties. The detailed stipulations are contained in paragraphs 1 to 18 of the Agreement. The same are reproduced herein below for the sake of ready reference.
(b) A like amount of Rs.15,00,00,000.00 (Rupees Fifteen Crores only) will be deposited in this Hon’ble Court with The Registrar General, Delhi High Court, being the share of Defendant No.1 Shri Ramnik Wadehra, from the sale of both parents’ movable and immovable properties, who is being proceeded ex parte as per order dtd. 19.03.2018 of this Hon’ble court. The parties would request the Hon’ble Court to pass necessary order(s) in this regard.
2. In order to obtain the monies payable to the Plaintiff Smt. Rashme Bahl and Defendant No.1 Shri Ramnik Wadehra, the above properties would first of all be required to be sold, for which the Defendant No. 2 would negotiate with potential buyers and make all efforts for the sale and/or transfer of the properties, including, but not limited to, obtaining permissions and original property papers mortgaged to Indian Overseas Bank (IOB), municipal corporation(s), various governmental and non-governmental departments and agencies, and/or any other relevant authorities, whether statutory or otherwise, by signing documents/affidavits as may be required for these purposes. Wherever required Smt. Rashme Bahl would render all necessary help and support to Defendant No. 2 to ensure sale of properties referred to above. Smt. Rashme Bahl would also furnish a letter addressed to Indian Overseas Bank signifying her ‘No objection’ to Defendant No.2 Shri Rajnish Wadehra transferring any or all movable assets of both parents (as stated in his affidavit dated 18.02.2021) to Indian Overseas Bank towards discharge of a portion of the Banks’ liabilities. The Defendant No.2 Shri Rajnish Wadehra shall negotiate with the potential buyers as required, ensure that he along with the Court Commissioner appointed by this Hon’ble Court execute all documents, letters, agreements, deeds, no objection certificates as may be required by any buyer or buyers and shall receive all earnest monies, advances and sale proceeds (including part payment) and after receiving such payment(s) shall further pay costs incurred towards the sale, including commissions payable to agents, measurements or any other costs payable to surveyors, patwaris, or any others and thereafter pay to IOB (creditor) and Shri Baljeet Singh Plaintiff in Suit No.2396 of 2015. After paying such amounts, the Defendant No.2 Sh Rajnish Wadehra will first and foremost pay the settlement amount to Plaintiff Smt. Rashme Bahl in parts or in one lumpsum before paying Defendant No.1 Sh Ramnik Wadehra or taking amounts for his share/rights.
3. The parties agree that from the sale proceeds of the above-mentioned properties so obtained, the amounts for settling the claims of Indian Overseas Bank and Shri Baljeet Singh, and costs incurred for sale of the properties, dues of property tax, electricity bill, water bill, and/or any other authorities, etc., will have to be satisfied first. Further, in this regard, the parties agree and understand that an amount of approx. Rs. 8,50,00,000.00 (Rupees Eight Crore and Fifty Lakhs) would be required to clear the liabilities of IOB and Shri Baljeet Singh and other miscellaneous out of pocket expenses and outstanding dues, which will be deemed to be a part of the share of Defendant No. 2 Sh Rajnish Wadehra. It is, however, made clear that if the amount required for paying the aforesaid dues exceeds the said amount of Rs.8,50,00,000.00, it would still be deemed to be part of the share of Defendant No.2 Shri Rajnish Wadehra and the Plaintiff Smt. Rashme Bahl would not be liable to pay any part thereof. It is also made clear that in the event of there being any dispute with the buyers after receipt of any advance money due to any lapse by Defendant No.2 Sh Rajnish Wadehra, it is the Defendant No.2 Shri Rajnish Wadehra who would be liable for the same and the Plaintiff Smt. Rashme Bahl would not be liable for any cost/consequence that follows and the Defendant No.2 Shri Rajnish Wadehra would keep the Plaintiff Smt. Rashme Bahl indemnified in respect thereof.
4. The amount payable to Indian Overseas Bank and Shri Baljeet Singh for settling their respective claims as stated hereinabove would be deducted from the share of Defendant No.2 Shri Rajnish Wadehra who would keep the Plaintiff Smt. Rashme Bahl indemnified from any consequences or action in this regard. Defendant No.2 Shri Rajnish Wadehra shall therefore have the right to negotiate and settle/satisfy the claims of Indian Overseas Bank and Shri Baljeet Singh with them directly and/or through the Court proceedings filed by them respectively against all three Wadehra siblings i.e. Plaintiff Smt Rashme Bahl, Defendant No.1 Sh Ramnik Wadehra and Defendant No.2 Sh Rajnish Wadehra. The parties understand that the potential buyers may need to provide the amounts to settle/satisfy the claims of Indian Overseas Bank and Shri Baljeet Singh directly to such parties, to which no objection shall be raised by the Plaintiff Smt. Rashme Bahl. The Plaintiff Smt. Rashme Bahl agrees that she shall provide full support including by signing letters, no objection certificates or any other assurances as may be required to discharge these liabilities and/or to complete the sale transactions. If because of any default/lapse on the part of Defendant No.2 Shri Rajnish Wadehra any legal action/case is instituted against the Plaintiff in this regard, the cost/expense for defending the same would be payable by the Defendant No.2 Shri Rajnish Wadehra to the Plaintiff.
5. The Defendant No.2 Shri Rajnish Wadehra shall also settle and satisfy the alleged claims in the suit-CS No.2396/2015 filed by Shri Baljeet Singh at Gurugram, Haryana in respect of a portion of the above referred property at village Nasirabad, Carterpuri, Tehsil and District Gurugram, and will keep the Plaintiff Smt. Rashme Bahl indemnified from any consequences or action in this regard. If because of any default/lapse on the part of Defendant No.2 Shri Rajnish Wadehra any legal action/case is instituted against the Plaintiff in this regard, the cost/expense for defending the same would be payable by the Defendant No.2 Shri Rajnish Wadehra to the Plaintiff.
6. Defendant No.2 Shri Rajnish Wadehra shall out of his share of the sale proceeds satisfy the outstanding dues to any authorities in respect of the said properties upto their respective sale dates and the Plaintiff Smt. Rashme Bahl would not be liable to pay any money towards the same.
7. It is acknowledged that the Defendant No.2 Shri Rajnish Wadehra has already been in possession and occupation of the properties and paying property and other taxes and charges for the said properties and ensuring maintenance, security and safety of the properties by himself for the past over two decades from his own earnings, and that apart from his own share of like amount of Rs 15 Crores (Rupees Fifteen Crores only) any and all residual amounts realized, received, recovered from sale proceeds of the properties and estate of both parents, after payment of Outstanding Dues, and payment(s) of settlement amounts as enumerated herein to Plaintiff Smt Rashme Bahl, and Defendant No.1 Sh Ramnik Wadehra, the remaining amounts will belong exclusively to and be retained by the Defendant No. 2, in compensation for the costs borne by him and for his dedicated care and attention to the safety and security of the properties, and towards the costs to be borne as per the above paras, for payments to creditors and statutory/municipal or other authorities, upkeep of the properties until these are sold and the possession is handed over to the purchasers, and for the legwork if and as required in finding intending purchasers. It is agreed that while the Plaintiff Smt. Rashme Bahl and the Defendant No.1 Shri Ramnik Wadehra each receive their settlement amounts from the sale consideration, all residual amounts as aforesaid will be retained by Defendant No.2 Shri Rajnish Wadehra for the purposes above-mentioned and towards his own share of inheritance in these properties of his parents. It is clarified that Plaintiff Smt. Rashme Bahl and Defendant No.1 Sh Ramnik Wadehra will each receive Rupees Fifteen Crores each less 1% TDS deductible at source by the purchaser(s) as stated above.
8. It is also made clear that after the amounts necessary for settling the Outstanding Dues, i.e., Rupees 8.50 crores are received and the outstanding dues are settled, the Defendant No.2 will ensure that the Plaintiff is paid a sum of Rs.15 crores either in full or in parts. Should the money received be not enough to clear the agreed amount of Rs. 15 crores to the Plaintiff Smt. Rashme Bahl in one go, in such a situation the Plaintiff will be paid 50% of each subsequent part payment received from sale proceeds till she is paid the full sum of Rs.15 crores. It is further made clear that no expenses (towards taxes, bills, or dues of any nature) in respect of the properties would be paid from the share of the Plaintiff Smt. Rashme Bahl.
9. The Plaintiff Smt. Rashme Bahl undertakes to withdraw any or all letter(s)/caveat(s)/ appeals filed by her with government officials, ministries, municipalities, tax authorities, and/or any and all Magistrates or Tehsildars’ Courts and/or Registrars/Sub-Registrars at Gurugram as well as Delhi, or any other/higher authorities, by which she may have raised her issues and/or requested them to not allow any sale or transfer of the above-mentioned properties of both parents, immediately and provide the proof of withdrawal in four weeks after the signing of this settlement agreement.
10. The Plaintiff Smt. Rashme Bahl also undertakes to withdraw after receipt of the settlement amount of Rs.15 crores, all or any criminal or any other complaints and/or cases of any nature whatsoever filed by her or her immediate or extended family, advocates, representatives or attorneys, against the Defendant No.2 Sh Rajnish Wadehra and against the Defendant No.1 Sh Ramnik Wadehra immediately and shall not, either herself or through her immediate or extended family or advocates, representatives or attorneys initiate, any further criminal or civil action against the Defendant No.2 Sh Rajnish Wadehra. The Plaintiff Smt. Rashme Bahl hereby undertakes to hand over to the Defendant No.2 Sh Rajnish Wadehra the proofs for all such letters/applications of withdrawal, including orders from the concerned authorities/ courts evidencing that such proceedings have been withdrawn within 4 weeks of receipt of the settlement amount of Rs.15 crores.
11. IN order to ensure due execution of the transaction including sale of the properties, payment of money to Plaintiff Smt. Rashme Bahl and Defendant No.1 Sh Ramnik Wadehra within the agreed time frame, the Court Commissioner will work out the requisite documentation, sign on behalf Plaintiff Smt Rashme Bahl and Defendant No.1 Shri Ramnik Wadehra and to do all that is relevant and necessary in this regard. The Plaintiff Smt. Rashme Bahl and Defendant No.2 Shri Rajnish Wadehra request the Hon’ble High Court of Delhi to appoint a Court Commissioner in the matter (being either an officer of the Court or an Advocate), whose charges would be payable by the parties equally.
12. The Defendant No.2 Shri Rajnish Wadehra shall complete the entire transaction and payment of the entire settlement amount of Rs.15 crores to the Plaintiff by 30-09-2024 the parties hereto are agreeable to a further extension of one month till 31-10-2024 if required, on account of any reason. Thereafter the Plaintiff Smt. Rashme Bahl agrees that as long as she receives her complete settlement amount on or before October 31, 2024, she will not have any further right, claim or interest in relation to the properties or in relation to the remaining terms of this agreement. Both moveable and immovable referred to hereinabove nor she will have any rights remaining under this Agreement. However, Smt. Rashme Bahl would still be required to provide all support and documents as may be required by buyer(s) even after she receives her full settlement amount of Rs. 15 crores. In case Defendant No.2 Shri Rajnish Wadehra is unable to find a buyer or get payment of settlement amount to the Plaintiff Smt. Rashme Bahl by 31-10-2024, the Plaintiff Smt. Rashme Bahl shall have time from 01-11-2024 till 31.12.2024 or a further grace period till 31-01-2025 to find a suitable buyer and would in conjunction with the Court Commissioner take all steps as would be required for the sale of the properties and Defendant No.2 would render all co-operation and support as would be required in respect thereof. In case the Plaintiff Smt. Rashme Bahl is also unable to find a buyer by 31.01.2025 the parties agree that properties be auctioned by the Hon’ble Court unless the parties agree otherwise. In case the Defendant No. 2 is unable to sell the properties referred to hereinabove, he will remain responsible for clearing (out of his share of the sale proceeds) the liabilities of Baljeet Singh and IOB or be responsible for any other payments. However, the Defendant No. 2 will retain this obligation to clear the liabilities only upon receipt of Rs. 8.50 crores.
13. The Court Commissioner would ensure that the requisite steps are taken for sale of the properties and the payments towards settlement amount are handed over to the Plaintiff Smt. Rashme Bahl, and a similar amount is deposited in this Hon’ble Court in favour of The Registrar General, Delhi High Court, for and on behalf of Defendant No.1 Shri Ramnik Wadehra. The Defendant No.2 Shri Rajnish Wadehra shall also handover to the Plaintiff Smt. Rashme Bahl copies of all documents pertaining to both the properties, including but not limited to the sale deeds, etc. and assist to obtain any other document required to fulfil any legal obligations/formalities in future.
14. An NOC would also be required from the Indian Overseas Bank in order to sell the Greater Kailash-II property, and the Plaintiff Smt. Rashme Bahl has no objection to the negotiation and or obtaining of such an NOC from Indian Overseas Bank by the Defendant No.2 Shri Rajnish Wadehra. It would also be necessary, prior to the registration of the sale deed of this alleged mortgaged property, for the bank to remove the charges of mortgage on this property in case these have been registered by the bank. The Plaintiff would have no objection to the Indian Overseas Bank handing over to Sh Rajnish Wadehra the original documents pertaining to M-131, Greater Kailash Part - 2, New Delhi - 110048.
15. The Plaintiff Smt. Rashme Bahl and Defendant No
2 Sh Rajnish Wadehra do hereby represent, declare and confirm that they have clearly understood the scope and meaning of all the terms and conditions mentioned in the present Agreement and each of the Parties undertakes to bind himself/herself in terms of the Agreement, and do hereby unequivocally agree and commit themselves to discharge bona-fide and in good faith their respective obligations contained herein. These two parties also say that by entering into this settlement agreement, they have in no way undermined the interest of the Defendant No. 1 Shri Ramnik Wadehra who is being proceeded ex parte, in that he is hereby being granted his due fair share of the Sale Consideration without any deduction being made towards the liabilities attached to both immovable properties save for tax as may be deducted at source by the buyer(s). All the parties concerned including the ex parte Defendant No 1 Sh Ramnik Wadehra are senior citizens, and are related by blood, and there are no other relatives/legal heirs entitled to any share in the properties in question.
16. The parties agree that all interim orders including, but not limited to, the status quo order dated 24.04.2015 passed by the Hon’ble Delhi High Court in respect of the Gurgaon property and the interim order dated 21.12.2020 passed by Hon’ble Delhi High Court in respect of the movable properties may be vacated and that the parties shall jointly request the concerned courts in this regard.
17. The Parties to the present Terms of Settlement undertake to remain bound by the present Terms of Settlement and jointly request the Hon’ble High Court to pass decree in CS (OS) No.1125 of 2015 in accordance with and in terms of the present Terms of Settlement. The undertakings of the parties to act in accordance with settlement shall be treated as undertaking to this Hon’ble Court and breach of any undertaking and/or of the decree shall be treated as contempt of this Hon’ble court and the concerned party will be entirely responsible for the consequences thereof.
18. In case of any difficulties or clarifications in relation to the execution of the terms of this Settlement Agreement, the parties are at liberty to approach the Hon’ble Court.”
12. Broadly, as per the above settlement, the Defendant No.2 i.e., Shri Rajnish Wadehra would pay a sum of Rs.15 crores to the Plaintiff- Smt. Rashme Bahl out of the sale proceeds realized from the above two properties. In addition, he would deposit a sum of Rs.15 crores with the Registrar General of this Court, towards the share of his other brother Shri Ramnik Wadehra, who has been proceeded ex-parte.
13. Upon the above payment being disbursed, all amounts earned from the said properties would belong to Mr. Rajnish Wadehra. The obligation to clear the dues of the Indian Overseas Bank shall also be that of Mr. Rajnish Wadehra, who shall also be responsible for resolution of disputes with Mr. Baljeet Singh, which is also subject matter of the suit in District Court Gurgaon being C.S. No. 2396/2015. All the movable assets in terms of the affidavit dated 18th February, 2021 shall stand transferred to the Indian Overseas Bank. The properties shall continue to be in the custody of Mr. Rajnish Wadehra.
14. It is also recorded that after receiving the settlement sum of Rs.15 crores, after TDS deduction at source, the Plaintiff shall have no right, title or interest in respect of any assets of her parents namely Late Smt. Sohini Wadehra and Late Dr. B.L. Wadehra. The concerned banks and authorities, if any, shall cooperate in ensuring that this settlement is given effect to in toto.
15. In order to facilitate the sale and registration of two immovable properties to a prospective buyer, Ms. Hethu Arora Sethi, Advocate (M-) is appointed as the Local Commissioner, who now stands authorized by the Plaintiff as also the Defendant No.1 for executing the necessary sale/purchase documents. The fee of the Local Commissioner is fixed at Rs.[3] lakhs. All the relevant documents including the sale deeds on behalf of the Plaintiff and the Defendant No.1 shall be signed by the said Local Commissioner.
16. Insofar as the movable properties are concerned, all properties shall be divided by the Local Commissioner 1/3rd each and a report to this effect shall be placed before the Court. The Local Commissioner shall liquidate all the movable assets and the monetary value thereof shall be utilized for the purpose of clearance of the loan, which is in the Indian Overseas Bank.
17. The time period till 30th September, 2024 with a grace period of one month i.e. till 31st October, 2024 is granted for completion of sale of these two properties.
18. The parties have agreed that if no suitable customers are found, the Plaintiff is free to bring any prospective buyer for facilitating the sale between 1st November, 2024 to 31st December, 2024 extendable till 31st January,
2025. In case the Plaintiff brings a prospective buyer, even then, she would still be only entitled to her share of Rs.15 crores.
19. The Indian Overseas Bank is duly authorized, upon clearance of all its dues, to hand over the title documents of the property M-131, Greater Kailash- II, New Delhi-110048 to the Defendant No.2 who shall retain the custody of the original title documents on behalf of all the three siblings.
20. Insofar as the Defendant No.1’s share is concerned, since he is living abroad, the deposit shall be made with the worthy Registrar General of this Court in a lumpsum of Rs.15 crores, which shall be kept in a FDR, onn auto renewal mode. If Defendant no.1 wishes to claim the said amount, he is free to move an application to this effect.
21. The Plaintiff’s share towards the movable assets has been given up only subject to condition that the Plaintiff shall receive the amount of Rs.15 crores.
22. The Plaintiff and Defendant No.2 are present in Court today. Their ID cards have been furnished to the Court.
23. The interim orders dated 24th April, 2015 and 21st December, 2020 shall stand vacated in view of the above settlement.
24. Since the first and foremost step that would be required to be taken is for clearing the loan pending in the Indian Overseas Bank and Mr. Baljeet Singh, any amount that is recovered from the sale of the movable assets, shall firstly be demarcated for clearance of these two liabilities to the extent of Rs.8.[5] crores and only thereafter the Plaintiff’s share of Rs.15 crores would be liable to be paid.
25. The responsibility and liability of clearing the amount of Rs.8.[5] crores would be exclusively of Mr. Rajnish Wadehra, Defendant No.2.
26. Original Settlement Agreement is taken on record. The Court has perused the terms of settlement and same are lawful and there is no impediment in recording the same.
27. Defendant No.2 may seek release of the original settlement agreement furnishing the certified copy of the same.
28. The suit is decreed in the above terms. The parties are given liberty to approach the Court in case there is any impediment in giving effect to the settlement.
29. All the parties and anyone else acting for and on their behalf shall be bound by the terms and conditions of the settlement. Decree sheet be drawn accordingly.
30. The suit is disposed of. All pending applications are also disposed of.
PRATHIBA M. SINGH JUDGE MAY 27, 2024/dk/bh