SACHDANAND PRASAD vs BABU SHEO PRASAD SINGH

The Supreme Court ruled that under Section 90 of the Indian Trusts Act, 1882, the mortgagee's purchase of mortgaged property at a rent sale does not enure for the benefit of the mortgagors if the mortgagee's default in rent payment is negligible and not made mala fide. The Court held that the effective cause of the sale was the mortgagor's default, thus extinguishing the right of redemption. The appeal by the mortgagors was dismissed, affirming the lower court's decision regarding the mortgagee's entitlement to the property purchased.