Ans to the Question No 2:

i) As Sinha fraduantaly tells Kiran that his house is free from encumbrance or burden. Kiran
thereupon bought the house. After some days Kiran came to know that the house is subject to a
mortgage. Here Kiran becomes the victim of fraud. As while selling the property Sinha didn't
1. Give proper information
2. Hide the mortgage fact to gain money
3. Sinha think about his gain over Kiran
So judging by the facts we can say that kiran should get the help of legal procedure. As she was a
victim of fraud. She has every right to claim her damages and sue Sinha. As Sinha
misrepresented the fact of mortgages. If Kiran knew about that then she would buy the house and
that's why Sinha hid the facts and gained money from Kiran by fraudulently. So Kiran should get
legal help as she has every right to gain back her money as a damage.

ii) Fraud:
1. Fraud is something that people do intentionally to gain profit over other parties.
2. In fraud people have the intention to fraud someone .
Misrepresentation:
1. Misrepresentation is the representation of a misstatement, made innocently, which
persuades the other party to enter into a contract.
2. Here in misrepresentation the statement made was believed to be true by both parties but
in the end turned out to be false.