Interpleader suit is a suit wherein a person in possession of property or owing money which is or may be claimed adversely by two or more persons, to one or other of whom alone he can be liable seeks-to be relieved from liability to the claimants, or either of them with regard to the disposition of such property or money.
Where two or more persons claim adversely to one another the same debt, sum of money or other property, movable or immoveable, from another person who claims no interest therein other than for charges or costs and who is ready to pay or deliver it to the rightful claimant, such other person ay institute a suit interpleader against all the claimants for the purpose of obtaining a decision as to the person to whom the payment or delivery shall be made and of obtaining indemnity for himself. ….. [S. 88 of the Code of Civil Procedure, 1908 (v of 1908)]
A suit cannot be an interpleader suit if the plaintiff has an interest in the property in suit or is in collusion with any f the defendants. ….. [Sambayya v. Subba Reddi, AIR 1952 Mad. 564]