Judges express shock over property registration based on fake arbitration centre's orders

A division bench of the Madras High Court has expressed shock over land registration by authorities in Dharmapuri district based on the orders of a fake 'arbitration centre' set up just like one for a cinema shoot and manned by fake officers ! ''On a conspectus of the facts obtained in this case, we find that a wholesale fraud has been committed (by the accused),'' the bench of Justices P N Prakash and S Srimathay said, recently.

''What surprises us is that, the Registrar, while registering the sale deed on May 2, 2017, has failed to even check the fact that one K S Jagannathan has registered the decree in respect of the very same property vide document No.145/2017 on January 25 same year. Thus, we have no hesitation in holding that the sale deed document No.1075 of 2017 dated 02.05.2017 is ab initio void and is a fraudulent transaction,'' the bench said and canceled the same.

The bench was allowing a writ petition from Jagannathan praying for a direction to the Dharmapuri district Registrar to cancel the sale deed dated April 6, 2017 registered as Doc.No.1075 of 2017 in favour of one R Rajendran, after conducting an enquiry in respect of land measuring 8-16 acres in Adhiyamankottai village in Dharmapuri district.

The bench observed that when a fraud was writ large in this transaction, the true owner of the property -- Jagannathan -- cannot be made to run from pillar to post. Extraordinary cases require extraordinary remedies, it said and allowed the petition.

One Nagaraj, the first accused in the case and Rajendran (A2) had entered into a loan agreement under which they agreed to appoint an arbitrator for resolving any dispute arising under the transaction. They had appointed another accused K Rajaram, an advocate, as the Arbitrator. The arbitration proceedings had been conducted by one A R Chandran (A8), who was running an Arbitration Centre in the name of 'Asia-Pacific Arbitration Centre' with government of India emblem in Dharmapuri district, where Paneerselvam (A7) acted as a bailiff. Chandran had with him two other accused -- Kumar and Raja as his personal gunmen and they were given airguns to give credibility to their work. Thus, for perpetrating such a huge fraud, the accused had established a make believe court room with government of India emblem and other paraphernalia. In that film shooting set court room, Rajaram sat as an arbitrator on the petition filed by Nagaraj and Rajendran and passed an award on a totally stranger's (Jagannathan's) property in favour of Rajendran ! PTI CORR VGN BN BN

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