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In Re: Jewandas Jhawar - Court Judgment

LegalCrystal Citation
SubjectCivil
CourtKolkata
Decided On
Judge
Reported in(1913)ILR40Cal78,18Ind.Cas.908
AppellantIn Re: Jewandas Jhawar
Cases ReferredBombay v. Registrar
Excerpt:
insolvency - adjudication, effect of order of--property situate at delhi attached by order of district court of delhi--title of official assignee-- presidency towns insolvency act (iii of 1909), sections 17, 126-- auxiliary aid--provincial insolvency act (iii of 1907), section 50. - fletcher, j.1. this is an application under section 126 of the presidency towns insolvency act of 1909 asking for an order that under section 126 and section 50 of the provincial insolvency act of 1907 the district court of delhi should be asked to act as provided by those sections and to make over the sale proceeds of certain properties attached at delhi to the official assignee. it appears that the additional district judge is of opinion, that section 17 of the presidency towns insolvency act does not apply to the mofussil. in my opinion the additional district judge is clearly in error in that opinion. the presidency towns insolvency act is an act of the legislative council of the governor-general, and purports to vest the property of the insolvent wherever situate in the official.....
Judgment:

Fletcher, J.

1. This is an application under Section 126 of the Presidency Towns Insolvency Act of 1909 asking for an order that under Section 126 and Section 50 of the Provincial Insolvency Act of 1907 the District Court of Delhi should be asked to act as provided by those sections and to make over the sale proceeds of certain properties attached at Delhi to the Official Assignee. It appears that the Additional District Judge is of opinion, that Section 17 of the Presidency Towns Insolvency Act does not apply to the mofussil. In my opinion the Additional District Judge is clearly in error in that opinion. The Presidency Towns Insolvency Act is an Act of the Legislative Council of the Governor-General, and purports to vest the property of the insolvent wherever situate in the Official Assignee. Clearly, therefore, Section 17 vests the property of the insolvent in any part of British India, in the Official Assignee. The wording is substantially the same as that of the Imperial Statute which was repealed by the present Act. The matter is covered by authority; for the Privy Council in the case of Official Assignee, Bombay v. Registrar, Small Cause Court Amritsar (1910) I.L.R. 37 Calc. 418; L. R. 37 I. A. 86 held that the effect of that Act was to vest the property in the Official Assignee notwithstanding the local legislation of the Punjab Council. It is clear that the assets in the Delhi Court belong to the Official Assignee. Why the Additional District Judge refused to follow the clear words of Section 17, I do not understand. Perhaps if he is asked to act in aid under Section 50 of the Provincial Insolvency Act and Section 126 of the Presidency Towns Insolvency Act, he will see his way to make over the assets to the Official Assignee, who alone can grant a discharge therefor. The application is allowed, and an order to act in aid is made under Section 126 of the Presidency Towns Insolvency Act and Section 50 of the Provincial Insolvency Act.


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