In CR-580-2023(O&M)-PUNJ HC- P&H HC upholds order granting approval to defendants to operate bank account of Trust for meeting day-to-day expenses in terms of Resolution
Justice Anupinder Singh Grewal [30-01-2023] 

 

Read Order: RAM DEVI AND ANOTHER V. KUMARI SUSHILA DEVI AND OTHERS 

Monika Rahar

Chandigarh, January 31, 2023: The Punjab and Haryana has upheld the order of the lower appellate court granting approval to the defendats to operate the bank account of a Trust created for preaching Vedas and performing Yagya Hawan, in terms of the latest resolution approving such operation to manage the day-to-day affairs of the Trust. 

“There is a dispute with regard to the operation of the bank account which would be adjudicated by the trial Court after evidence is led in that regard. However, the functioning of the Trust should not come to a standstill and the operation of the bank account would be necessary for meeting the day-to-day expenses of the Trust, which is precisely what the Appellate Court had done”, the Bench of Justice Anupinder Singh Grewal held. 

The petitioners/plaintiffs had filed a suit for permanent injunction restraining the defendants/respondents from operating the bank accounts and misappropriating the moveable and immovable property owned by Guru Brahmanand Trust. 

The defendants had preferred an appeal thereagainst and the lower Appellate Court had partly allowed the appeal and directed the defendants to operate bank account for meeting the day to day expenses. 

The Appellate Court relied upon the Resolution whereby the defendants/respondents No.1 and 2 were authorized to operate the bank account. The resolution was signed by two members of the Trust and was the latest resolution for operating the bank account.

The petitioners’ counsel submitted that the first petitioner who was a Trustee and a Secretary of the Trust alongwith the second petitioner who was the Trust writer, would be entitled to operate the bank accounts of the Trust during the pendency of the suit. He further submitted that the resolution which was relied upon by the Appellate Court while partly allowing the appeal, was not signed by at least 03 members which was the quorum for passing the Trust Resolutions. 

The Bench observed that there was a dispute with regard to the operation of the bank account which would be adjudicated by the trial Court after evidence was led in that regard, however, the functioning of the Trust should not come to a standstill and the operation of the bank account would be necessary for meeting the day-to-day expenses of the Trust, which the Bench added “is precisely what the Appellate Court had done”.  

“The Appellate Court has also directed that no payment/amount is to be withdrawn without permission of the trial Court and the concerned bank has also been directed to remain vigilant to that effect to avoid any misappropriation of funds during the pendency of the suit”, the Bench added while holding that it did not find any infirmity in the order of the Appellate Court directing the respondents to operate the bank account for meeting the day-to-day expenses in terms of the Resolution. 

Consequently, the petition was dismissed.