BHAV SINGH(DEAD)BY LRS. vs KESHAR SINGH(DEAD) .

The Supreme Court upheld the High Court's decision that the sale transaction in question was a prohibited transaction under Section 2(0) of the Madhya Pradesh Samaj Ke Kamjor Vargon Ke Krishi-Bhumi Dharakon Ka Udhar Dene Walon Ke Bhumi Hadapane Sambandhi Kuchakron Se Paritran Tatha Mukti Adhiniyam, 1976 (M.P. Act No. 3 of 1977), and thus null and void under Section 7(2) of the Act. The Court found that the transaction was essentially a mortgage disguised as a sale, and the appellant was entitled to reclaim possession of the land after repayment of the loan. Consequently, the order of the SDO was set aside, and possession was to be restored to the appellant.