Bhai Sarabjit Singh v. Indu Sabharwal & Ors

RAJIV SAHAI ENDLAW, J. MARCH 24, 2014 pp/bs..

* IN THE HIGH COURT OF DELHI AT NEW DELHI % Date of decision: 24th March, 2014 + CS(OS) 753/2014, IA No.4783/2014 (for exemption) & IA No.4782/2014 (u/O 39 R-1&2 CPC) BHAI SARABJIT SINGH ..... Plaintiff Through: Mr. Raman Kapur, Sr. Adv. with Mr. Manish Kumar, Mr. Amit Kumar & Mr. Piyush Kaushik, Advs. Versus INDU SABHARWAL & ORS ..... Defendants Through: Dr. Arun Mohan, Sr. Adv. with Mr. Arvind Bhatt with defendant no.1 Indu Sabharwal in person. Mr. Sanjiv Kakra & Mr. Sanjeev Mahajan, Advs. for D-2&d-3. CORAM: HON'BLE MR. JUSTICE RAJIV SAHAI ENDLAW 1. The plaintiff has instituted this suit for declaration of the Settlement Agreement dated 6th August, 2010, entered into between the plaintiff and the three defendants and on the basis of which CS(OS) No.1698/2007 was decreed on 8th November, 2013, as null and void on account of fraud and misrepresentation played upon the plaintiff by the three defendants, pleading:- (a) that the plaintiff and the defendant no.2 Ms. Nisha Singh and the defendant no.3 Ms. Tara Sabharwal are the children of Bhai Tirlochan Singh and Mrs. Manjit H. Singh; (b) that the defendant no.1 claims to be the second wife of Bhai Tirlochan Singh; (c) that after the demise of Bhai Tirlochan Singh, disputes and differences arose between the plaintiff and the defendants with respect to his estate and which were the subject matter of CS(OS) No.1698/2007 filed by the defendants no.2&3; (d) that vide ex parte stay order dated 14th September, 2007 in the said suit, the parties thereto were restrained from creating any third party interest in the properties of Bhai Tirlochan Singh; (e) that though the defendants no.2&3, immediately after the demise of Bhai Tirlochan Singh, had withdrawn an amount of approximately Rs.1 crore out of his bank account but did not mention the same in the suit; (f) that the defendant no.1, though initially in the said suit admitted the validity and authenticity of the Will dated 23rd March, 2006 of Bhai Tirlochan Singh but subsequently took a somersault; (g) CS(OS) No.684/2008 was also filed by the plaintiff for injuncting the defendant no.1 herein from interfering in the enjoyment and peaceful possession of the plaintiff of property No.9, Amrita Shergill Marg, New Delhi; (h) Test. Case No.2/2008 was also filed by executor to the Will dated 23rd March, 2006 aforesaid of Bhai Tirlochan Singh, for probate thereof; (i) that vide order dated 5th August, 2010 in FAO(OS) No.83/2007 arising from the aforesaid proceedings, the parties were referred to the Mediation Cell of this Court; (j) that the Settlement Agreement dated 6th August, 2010 supra was signed between the parties; (k) that the plaintiff agreed to the said Settlement Agreement, to buy peace and under a bona fide belief, (i) that on account of the order dated 14th September, 2007 of status quo, all the movable assets pertaining to the estate of Bhai Tirlochan Singh, either in his individual name or in the joint name of Bhai Tirlochan Singh and the defendant no.1 or of a third party with Bhai Tirlochan Singh, irrespective of any nomination therein, were lying deposited in the respective accounts, untouched by either of the parties; (ii) that the amounts as were lying deposited in the form of bonds, investment etc. were intact and none of the parties had withdrawn / misappropriated any money out of the estate of Bhai Tirlochan Singh; (iii) that the movable assets in the form of deposits, investment, bonds share etc. of Bhai Tirlochan Singh which had fallen in the respective shares of the parties would be released in implementation of the Settlement Agreement and the monies would accordingly be released / adjusted; (iv) that no formal decree shall be passed in the suit as the same would have tax implications on overall valuation of the assets and deposit of stamp duty; and, (v) that the family properties bearing No.9, Amrita Shergil Marg, New Delhi and 71, Jor Bagh, New Delhi would be retained and divided amongst all, without selling, so th