In a major twist to the tale of competing wills, Manek Dara Sukhadwalla — who had accused Villy Avasia, her daughter Shernaz Lawyer and son Jimmy of forging a will — has been sentenced by Justice K. R. Shriram of the Bombay High Court to three months’ imprisonment for non-disclosure of the extent of the assets of the estate of the deceased Purvez Dalal and his dealings with the assets. Sukhadwalla was held guilty of contempt of court in three contempt petitions filed by Villy and Shernaz Lawyer. The sentence was stayed for four weeks for him to appeal the order.
"This is one more matter where a party, in this case, the respondent, who despite being given repeated opportunity has repeatedly, abused the liberty granted by the court,” stated Shriram. If the respondent is let off, "it will erode the faith that the public have on judiciary. The rule of law is premised upon the faith reposed by the people in the justice delivery system. To prevent erosion of that faith, contemptuous behavior needs a strict treatment.”
Sukhadwalla had been ordered to disclose the assets of Dalal and his dealings with them. He was also ordered not to act as an executor of the will that he propounded. He reportedly concealed valuable land at Nashik and at Bachav in Gujarat, shops and hotels in Andheri and Vile Parle, a demat account of the deceased, government sector investments, etc. He was also charged with numerous other non-disclosures and operating one of the estate accounts in breach of the court injunction.
Further, Sukhadwalla is said to have hidden his dealings with the estate of the deceased including with Amoha Traders Private Limited, a company where one Asfandiar Daroowalla is a director and to which amounts of over Rs 17 lakhs were alleged to have been given as repayment of interest free loans. In response, it was pointed out that Amoha Traders was a loss making company and not in a position to give interest free loans which, as later learnt, was used as a conduit to take away large amounts from the estate accounts.
Amoha Traders is said to be a company owned and controlled by one Jamsheed M. Panday, who the petitioners’ counsel identified from the beginning, allegedly as a co-conspirator of Sukhadwalla. Panday is married to a cousin of Sukhadwalla.
A sum of Rs 15 lakhs was said to be given as a donation to one Avabai Hormasji Tata Charity Trust. This was also hidden from the court. Sukhadwalla claimed that this was a trust connected with the House of Tatas, but Villy wrote to the Tata Trusts and received replies stating they had no connection with the Avabai trust. The Avasias alleged that the trust, like Amoha Traders, was intended to be used as a device to divert monies belonging to the estate, under the garb of "donations.”
The petitioners contended that there are many public charities that recycle the "donations” back to the donor. The petitioners had from the outset contended that the bequests to "charity” to be decided by Sukhadwalla was illusory and an eyewash.
Before sentencing Sukhadwalla, the Court held, "As mentioned earlier, while dealing with the broad heads of contempt as contended by the petitioners, the respondent has not even given any explanation as to why he did not comply with the Court’s directions. The conduct of the respondent with his contradictory stand in the affidavits filed actually makes a mockery of the judicial process. His conduct extends beyond the parties to the action and affects the interest of the public in the administration of justice. His conduct is specifically intended to impede and prejudice the administration of justice. Judiciary is the bedrock and handmaid of orderly life and civilized society. If the people lose faith in justice imparted by this Court or disobey orders of this Court, woe be to orderly life. The fragment of civilized society would get broken up and crumble down.”