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TMI Blog1968 (4) TMI 95X X X X Extracts X X X X X X X X Extracts X X X X ..... nt the Bank of Jaipur Ltd. to be my true and lawful attorney to execute the said decree in Suit No. 76 of 1949 (with which we are concerned in this appeal) which may ultimately be passed in my said appeal and to do the following acts, deeds, matters and things for me, on my behalf and in my name and to credit to my account the sum or sums which may be realised in execution of or under the said decrees ; Now KNOW YE ALL men and these presents witness that I do hereby irrevocably constitute, nominate and appoint the said Bank of Jaipur Limited, and/or any principal officers and/or any other person or persons that may be appointed by the said Bank of Jaipur Ltd., or its assigns from time to time in this behalf to be my true and lawful attorney for me and on my behalf and in my name to represent me therein and do all acts, deeds, matters and things in connection with the execution of the said decree in the said Agra Suit No, 76 of 1949 and the decree that may be passed in the said appeal, that is to say : 1. To proceed in execution of the said decree passed in the said Agra Suit No. 76 of 1949 and to proceed in execution of the decree which may be passed in the said appeal and to rea ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... thiya's application was founded on specific grounds which have been rejected by the court below and he cannot be permitted to travel outside them in this appeal." 5. We are unable to spell out the meaning of these observations. It is seen from the grounds of appeal filed before the High Court that the appellant had contended that "because there being no transfer or assignment of the decree in its (bank's) favour, the Bank of Jaipur Limited, had no legal right or locus standi to execute the decree and the executing court had no jurisdiction to entertain the execution application and to continue the execution proceedings ". He had also contended that the execution court cannot go behind the decree, and the execution case must proceed according to the provisions in the Code of Civil Procedure. Obviously, the contention of the appellant was that as the decree stood in his name, his agent cannot proceed with its execution as he desired to take into his own hands the execution proceedings. The above contentions of the appellant were purely legal contentions; if they are valid, they go to the root of the matter and therefore the High Court was not right in brushing ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... other questions of law raised at the hearing." 8. There is hardly any doubt that the power given by the appellant in favour of the bank is a power coupled with interest. That is clear both from the tenor of the document as well as from its terms. Section 202 of the Contract Act provides that where the agent has himself an interest in the property which forms the subject-matter of the agency, the agency cannot, in the absence of an express contract, be terminated to the prejudice of such interest. It is settled law that where the agency is created for valuable consideration and authority is given to effectuate a security or to secure interest of the agent, the authority cannot be revoked. The document itself says that the power given to the bank is irrevocable. It must be said in fairness to Shri Chagla that he did not contest the finding of the High Court that the power in question was irrevocable. 9. The next question for decision is whether from the terms of the power-of-attorney we can conclude that the appellant had transferred or assigned his rights in the decree or any portion thereof in favour of the bank. From those terms it is not possible to come to the conclusion ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Marquis wrote and delivered to Mr. Alien a letter addressed to Col. Doyle directing him that the executors of Mr. Sims were claimants on that fund for a bond debt with interest. From these facts the Court of Chancery came to the conclusion that there was an equitable assignment in favour of the executors of Mr. Sims of a portion of the prize-money sufficient to meet the debts due to the estate of Mr. Sims by the Duke of Wellington. To the same effect is the decision in Burn v. Carvalho, (1839) 41 E.R. 265. Therein the Court of Chancery held that in equity, an order given by a debtor to his creditor upon a third person, having the assets of the debtor, to pay the creditor out of such fund is a binding equitable assignment of so much of the fund. 11. The courts in India, which administer both law as well as equity, have followed the rule laid down in the above decisions. In this connection reference may be made to the decision of the Bombay High Court in Jaga bhai Lallubhai v. Rustamji Nasarwanji, I.L.R. (1885) 9 Bom. 311 and of the Patna High Court in Prahlad Pd. Modi v. Tikaiini Faldani Kumari, AIR 1956 Pat 233. In the latter case, the Patna High Court held that a transaction ..... X X X X Extracts X X X X X X X X Extracts X X X X
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