PLD 2000

P L D 2000 Lahore 190 (PLP)

ABDUL WAHID and 8 others‑‑‑Petitioners Versus SARDAR ALI and 2 others‑‑‑Respondents

Jurisdiction / Court
Decided Date
Revision Petition No. 1173 of 1999, heard on 4th August, 1999.
Honorable Judges
Syed Zahid Hussain, J
Case Reference Summary (AEO Optimized)
Citation P L D 2000 Lahore 190 (PLP)
Forum / Court
Bench Members Syed Zahid Hussain, J
Parties ABDUL WAHID and 8 others‑‑‑Petitioners Versus SARDAR ALI and 2 others‑‑‑Respondents
💡 Quick Legal QA & Summary / سوال و جواب خلاصہ
Q1: What are the key laws and sections cited in P L D 2000 Lahore 190 (PLP)?

This judgment primarily cites: statutory provisions as referenced in Pakistani case law index.

Q2: Which judicial bench decided the case P L D 2000 Lahore 190 (PLP)?

The case was heard and decided by the bench comprising: Syed Zahid Hussain, J.

Q3: What is the official citation format for this judgment on Pakistan Law Portal?

Cite this legal precedent as: P L D 2000 Lahore 190 (PLP) (ABDUL WAHID and 8 others‑‑‑Petitioners Versus SARDAR ALI and 2 others‑‑‑Respondents). Read the full summary and cross-referenced laws free on Pakistan Law Portal.

Representation

  • Mian Muhammad Qasim for Petitioners.
  • Kh. Ishtiaq Ahmad for Respondents.
  • Date of hearing: 4th August, 1999,

Headnotes / Summary

(a) Punjab Pre‑emption Act (IX of 1991)‑‑‑ ‑‑‑‑Ss. 24, 27 & 28‑‑‑Civil Procedure Code (V of 1908), 5.115‑‑‑Suit for pre‑emption ‑‑‑Deposit of Zar‑i‑Soem (1/3rd)‑‑‑Plaintiffs had disputed order 'of Trial Court whereby they were directed to deposit amount as Zar‑i‑Soem (1/3rd) of value of property mentioned in the mutation‑‑‑Contentions of the plaintiff were that value of the property as mentioned in column of mutation, was inflated and direction of Trial Court to make deposit of specified amount as Zar‑e‑Soem was unwarranted and illegal and that value as mentioned in respective columns of mutation being not real value of property, Trial Court was obliged to determine probable value of property in terms of second proviso to S.24, Punjab Pre‑emption Act, 1991‑‑‑Validity‑‑‑Fixation of probable value of property was only required when sale price thereof was not mentioned in saledeed or in mutation or when it appeared to the Court that same was inflated‑‑‑Order depositing amount as Zar‑i‑Soem was passed by Trial Court in presence of plaintiffs, but they did not raise, at any stage, objection to the effect that price of property was inflated‑‑‑No illegality, in circumstances, had been committed by Trial Court in ordering deposit of 1/3rd of value of property mentioned in mutation‑‑‑Order of Trial Court, therefore, could not be interfered. Sher Bahadur Khan and another v. Haji Walibat Khan and 7 others 1992 MLD 46; Awal Noor v. District Judge, Karak and 8 others 1992 SCMR 746 and Habibullah Khan v. Amir Zaman and 9 others 1995 SCMR 135 ref. (b) Punjab Pre‑emption Act (IX of 1991)‑‑‑ ‑‑‑‑Ss. 24, 25, 27 & 28‑‑‑Suit for pre‑emption ‑‑‑Deposit of Zar‑i‑Soem (1/3rd)‑‑‑Determination‑‑‑Direction for deposit of 1/3rd of price of property, though was mandatory under S.24(1), Punjab Pre‑emption Act, 1991, but as to real value of property, it was not final and was of tentative nature‑‑ Provisions of S.27, Punjab Pre‑emption Act, 1991, had empowered Court to determine market value of the property and criteria for determining market value was laid down in S.28 of the said Act‑‑‑Detailed inquiry as to determination of market value of property was part of trial of suit when parties concerned would get opportunity to prove their respective pleas‑‑ Notwithstanding compliance of order under S.24, Punjab Pre‑emption Act, 1991, by plaintiff, it could be proved that market value was different than the one mentioned in the deed or mutation.

Judgment & Decree

5. In order to examine the validity of the order of the learned trial Court passed under section 24 of the Act, reference to the relevant provisions of law is essential. It reads as follows:‑‑ "

24. Plaintiff to deposit sale price of the property.‑‑(1) In every suit for pre‑emption the Court shall require the plaintiff to deposit in such Court one‑third of the sale price of the property in cash within such period as the Court may fix: Provided that such period shall not extend beyond thirty days of the filing of the suit: Provided further that if no sale price is mentioned in the sale deed or in the mutation., or the price so mentioned appears to be inflated, the Court shall require deposit of one‑third of the probable value of the property. (2) Where the plaintiff fails to make a deposit under subsection (1) within the period fixed by the Court, or withdraws the sum so deposited by him, his suit shall be dismissed. (3) Every sum deposited under subsection (1) shall be available for the discharge of costs. (4) The probable value fixed under subsection (1) shall not affect the final determination of the price payable by the pre‑emptor. " Both the learned counsel state that there is no reported judgment on the point in issue under section 24 of the Punjab Pre‑emption Act, 1991.

6. Some judgments are available on section 24 of N.‑W.F.P. Pre emption Act, 1987, which is almost analogous to section 24 of Punjab Pre emption Act, 1991. In Awal Noor v. District Judge, Karak and 8 others (1992 SCMR 746) a suit for pre‑emption had been filed in which the learned trial Court fixed the probable value of the property and ordered the deposit of 1/3rd of the same as sale had not been incorporated in a saledeed or in a mutation. Later on the defendants appeared and claimed the value of the property differently as stated in a Tamassak. The learned trial Judge by a subsequent order directed the plaintiff to deposit an additional amount. This order was challenged in revision before the High Court by the plaintiff on the ground that after expiry of 30 days no order for further deposit of 1/3rd amount could be passed which was dismissed. In appeal before the Hon'ble Supreme Court, the second proviso to section 24 of N.‑W.F.P. Pre‑emption Act, 1987, was considered and it was observed as follows:‑‑ "The second proviso also is restrictive in nature. Those cases in which the sale price is neither in the saledeed nor in the mutation and also in those cases as in the present one in which there was at the relevant time neither a saledeed nor a mutation, the Court has to rely on its own judgment after an enquiry of preliminary/summary nature seeking material from the plaintiff and if per chance the defendant has appeared before him also. The determination of the value of the property in these circumstances, of course, has to be probable. Thus, the intention of the newly enacted law in this behalf is clear that the amount has to be deposited up to 30th day of the filing of the suit and not beyond that and the amount has to be determined through a process of approximation resulting in the probable value if there is nothing mentioned in the saledeed or the mutation. " 7 In Habibullah Khan v. Amir Zaman and 9 others (1995 SCMR 135) it was laid down that:‑ "The bare reading thereof makes it amply clear that the Court had to determine the probable value of the property only if no sale price had been mentioned in the saledeed or in the mutation, meaning thereby that if the sale consideration was mentioned in the documents of transfer, the Court had no discretion in the matter and was bound to pass the order for deposit according to subsection (1) of section 24." (Underlined by me for emphasis).

8. In the case of Sher Bahadur Khan (supra) it was held that the Court is under obligation to direct the plaintiff to deposit one‑third of the sale price of the property in cash, on the basis of the price mentioned in the saledeed or in the mutation. It was further held that the question of actual payment of price or its fixation in good faith or about market value of land are to be resolved at the time of trial as envisaged by sections 27 and 28 of the Act and not at the initial stage of the suit.

9. The precedents referred to above do furnish a useful basis for understanding the object, purpose and intention of the legislation. It is clearly indicative that the process of approximation to fix the probable value I of the property is to be resorted if the sale price is not mentioned in the saledeed or in the mutation. Whereas subsection (1) of section 24 obliges the Court to require the plaintiff to deposit 1 /3rd of the sale price of the property in cash within 30 days, the proviso empowers the Court to fix the probable value when the sale price is not mentioned in the saledeed or in the mutation or when the price so mentioned appears to be inflated. The later part of the proviso comes into play only when it appears to the Court that the sale price mentioned in the saledeed or in the mutation is inflated. Otherwise almost in every suit the sale price mentioned in the saledeed or in the mutation would be assailed asking the Court to fix a probable value of the property to avoid the mandatory requirement of deposit under section 24(1) of the Act. This cannot be the intention of the law. The official documents such as saledeed or mutation authenticated by the public functionaries have a presumption of correctness and cannot be disregarded merely on the assertion of a non‑party to the transaction. It is the Court only when it appears to it that the price mentioned in the saledeed or the mutation is inflated, that the process of approximation of probable value is to be adopted. ,

10. In the present case mutation which mentioned the value of the property was before the Court. It was made basis for directing the petitioners/plaintiffs to make deposit of 1/3rd of the same. This order was passed in the presence of the learned counsel for the plaintiffs but no objection was raised before the learned trial Judge that the price so 8 mentioned in the mutation was inflated. Even no application was made after passing of the said order before the learned trial Judge in the nature of review. In the circumstances, I do not find any illegality having been committed by the learned trial Judge in ordering the deposit of 1/3rd of the value of the property mentioned in the mutation.

11. It may be noted that the direction ‑for deposit of 1/3rd of the price is although mandatory under section 24(1) of the Act yet as to the real value of the property it is not final and is of tentative nature. Section 27 of the Act empowers the Court to determine the market value of the property. The criteria for determining the market value is laid down in section 28 of the C Act. The consequences of such a determination are taken care of by section 25 of the Act. All this shows that a detailed enquiry as to the determination of the market value of property is part of the trial of the suit when the parties concerned get an opportunity to prove their respective pleas. Thus, notwithstanding the compliance of order under section 24 of the Act by the plaintiff it can be proved that market value is different than the one mentioned in the deed or mutation.

12. The learned counsel for‑the petitioners has produced an affidavit of Abdul Rauf son of Sardar Ali to show that the land had indeed been sold for Rs.9,00,

000. However, the learned counsel for the respondents has produced an affidavit by Sardar Ali contradicting the depositions of Abdul Rauf. I am not inclined to comment upon the assertion of either of the deponents at this stage which is a matter of evidence and for the learned trial Court to come to a conclusion on receiving evidence led by the parties and its appreciation. For the above reasons, I do not find any merit in this petition, which is accordingly dismissed. H.B.T./A‑138/L Petition dismissed.