Thakur Prasad Aurora vs Manager, Barabhum Encumbered Estate

Reginald Roe, J.—The appellant in this case sued as plaintiff for a declaration that the manager of an estate notified under the Chota Nagpur Encumbered Estates Act had no jurisdiction to out down u/s 8 interest already decreed by a competent Court. The learned Judge held that no suit would lie u/s 22 of the Act and he held further that the action of the manager was justified by section 8 of the Act. With regard to the question whether a suit would lie I am of opinion that from the moment it is found as a question of law or fact that the manager''s action was done in good faith under the provisions of section 8 then no suit would lie for a declaration against him, but if what he purported to do was not really an act which he was competent to do u/s 8 then a suit would lie for a declaration that what he had done was outside the scope of the Act altogether. On the merits I am satisfied that what was done was done within the scope of the Act. Section 11 clearly contemplates a list of all debts and if it did not include the decreed debts, the Act would be in many cases defeated. Rule 14 clearly indicates that the list made u/s 11 should include decreed debts, and u/s 8 that the list contemplated in section 11 be prepared. Therefore I hold that the manager in dealing with the estate u/s 8 must take up and scrutinize all debts and finally pass orders even upon debts decreed by competent Courts.

I would dismiss this appeal with costs.

Coutts, J.

I agree.