T P KUNHIRAMAN Vs. OFFICIAL ASSIGNEEMADRAS

JUDGEMENT

(1.) The insolvent's application for discharge though has the recommendation of the Official Assignee, is stoutly opposed by the two opposing creditors. The grounds of objection are (1) The insolvent has not provided even the statutory minimum of 0.25 ps. in the rupee by way of dividend. (2) The insolvent is still carrying on business, can continue to carry on business and therefore is in a position to discharge the debt if he were to be continued to be insolvent for some more time. (3) The insolvent has not maintained proper accounts. (4) The insolvent has suppressed his assets deliberately because he has got large stock of typewriters which he had not handed over to the Official Assignee.

(2.) It is seen from the Report filed by the learned Official Assignee that the stock in trade was sold in public auction for Rs. 14,541, the unexempted household articles realised Rs. 1,767 and the insolvent's car was sold for Rs. 5, 500. As regards the lease-cum-sale agreement with the Tamil Nadu Housing Board, the insolvent's son was prepared to pay the Official Assignee a sum of Rs. 15,864, which was duly paid. Under orders of this court dated 24th Dec. 1975 the insolvent was permitted to carry on his business in servicing, and repairing typewriters, subject to the condition that he paid on an average Rs. 200 per month to the Official Assignee. He has paid the allocation till Sept. 1981. He has to pay allocation to Rs. 1,200 till March 1982.

(3.) The order of adjudication was made as early as on 19th Dec 1975. The law of Bankruptcy does not expect that the debtor should always be the slave of the creditors. The object is to release the debtor at the appropriate time, taking into consideration several factors referred to in S. 39 of the Presidency Towns Insolvency Act 1909.