T.SENTHILVELAN Vs. A.SENTHIL KUMAR

JUDGEMENT

(1.) The point in issue in this Civil Miscellaneous Second Appeal is whether the creditor can directly approach the Insolvency Court to have the borrower adjudged an Insolvent without obtaining a decree. This issue has to be answered in order to consider the substantial question of law that has been framed in this Civil Miscellaneous Second Appeal, namely, When it is proved that the first respondent / debtor had admittedly borrowed money from the petitioner by executing a pronote as security for the borrowal and subsequently transferred his only property in favour of his wife without consideration and without making provision for his debts, is not the act of the respondent would amount to an act of insolvency?

(2.) The parties are referred to in the same ranking as before the Insolvency Court.

(3.) The Civil Miscellaneous Second Appeal has been filed in the following circumstances. The petitioner had filed I.P.No.37 of 2008 on the file of the Principal Subordinate Court, Salem invoking the provisions of Sec. 9 of the Provincial Insolvency Act.