MUNIAPPA Vs. SUBRAHMANYASWARASWAMI BANK

JUDGEMENT

(1.) This is an application for revision of an order under the Insolvency Act passed by the learned District Judge setting aside the dismissal of two petitions I. A. Nos. IV and V in I. C. 9/36-37 of Chickballapur Munsiff's Court. That case arose on a petition by two creditors for their debtor Settappa and his two sons being adjudged insolvents. The petition was dismissed as against the sons but Settappa was adjudged Insolvent on 3-9-40 fixing a period of 6 months for discharge. The creditors had to prove the debts due to them toy 25-10-40 but only on 14-12-45 affidavits were filed by petitioners as regards the amounts due to them. An order for the Receiver taking possession of the insolvent's properties was passed on 7-3-41 but this was recalled on 9-11-45 by stating that "the vesting order is returned". Later this adjudication itself was annulled on 21-12-45 and subsequently the two applications I. As. IV and V were filed for the administration of the properties. The learned Munsiff dismissed these but on appeal the learned District Judge has set aside the dismissal. The correctness of the appellate order is now in question.

(2.) As it is conceded that I. A. Nos. IV and V were both filed sometime after the order of annulment was passed, and no order for vesting the properties in any one was passed at the time of annulment, the properties must be deemed to be not subject to the directions of the Court. According to the decision of the Full Bench in -- '47 Mys. 242 (A)'

(3.) Further Section 17 relied on by petitioners themselves states