9911796707
|
Home
Issues Involved:
1. Whether the deceased was under an obligation to maintain his mother after becoming a sanyasi. 2. Whether the settlement deed executed by the deceased in favor of his mother was supported by consideration in money or money's worth. 3. Whether the settlement deed operated as a gift under Section 9 of the Estate Duty Act, 1953. Detailed Analysis: 1. Obligation to Maintain Mother After Becoming a Sanyasi: The primary issue was whether the deceased, after becoming a sanyasi, had any obligation to maintain his mother. The court examined various legal texts and precedents to address this issue. According to Mayne's Hindu Law and Mulla's Hindu Law, a person who enters a religious order severs his connection with his natural family, leading to civil death. This civil death implies that neither the sanyasi nor his natural relatives can inherit each other's properties. The court also referred to the Supreme Court's ruling in Krishna Singh v. Mathura Ahir, which stated that a Sudra could become a sanyasi if established by usage, and such a person must show absolute abandonment of worldly possessions. In this case, the court concluded that once the deceased became a sanyasi, he ceased to have any obligation to maintain his mother. This conclusion was based on the principle that civil death severs all familial ties and obligations. 2. Consideration in Money or Money's Worth: The next issue was whether the settlement deed executed by the deceased in favor of his mother was supported by consideration in money or money's worth. The accountable person contended that the settlement was made in discharge of the deceased's obligation to maintain his mother. However, the court found that since the deceased had undergone civil death by becoming a sanyasi, he had no such obligation. Therefore, the settlement deed could not be considered as supported by any consideration in money or money's worth. 3. Settlement Deed as a Gift Under Section 9 of the Estate Duty Act: The final issue was whether the settlement deed operated as a gift under Section 9 of the Estate Duty Act, 1953. The court examined the provisions of the Act and the relevant legal principles. Section 9 of the Act deals with the inclusion of gifts made within two years prior to the deceased's death in the principal value of the estate. Since the settlement deed was executed within two years before the deceased's death and was not supported by consideration, it was deemed a gift. The Tribunal had previously held that the settlement deed was a gift and included the value of the settled property in the principal value of the estate. The court agreed with this view, stating that the settlement deed was not supported by consideration and thus fell within the mischief of Section 9 of the Act. Conclusion: The court answered the referred question in the affirmative, concluding that the deceased was not under an obligation to maintain his mother after becoming a sanyasi, and the settlement deed executed by him was not supported by consideration in money or money's worth, thereby operating as a gift under Section 9 of the Estate Duty Act, 1953. The Tribunal's decision to include the value of the settled property in the principal value of the estate was upheld. The Revenue was awarded costs from the accountable person, with counsel's fee fixed at Rs. 500.
|
