M. JOSEPH LOUIS ALOYSIUS Vs. J.J. MOHAN

JUDGEMENT

(1.) THIS Application has been filed by the Applicant -Debtor under Section 9(5) of the Presidency -Towns Insolvency Act, 1909 to set aside the Insolvency Notice issued by the Respondent -petitioning Creditor in I.N. No.51 of 2012.

(2.) THE facts of the case, in brief, are as follows. The Respondent -petitioning Creditor advanced certain amounts to the Applicant -Debtor and on receipt of the amounts, it appears that the Appellant -Debtor executed three Promissory Notes and, as security for the borrowed amounts, issued three cheques. For non -payment of the borrowed amounts, the Respondent -petitioning Credit filed three Suits before the learned V Assistant Judge, City Civil Court, Chennai and in the Plaint filed in the respective Suit, namely, O.S. No.12363 of 2009, O.S. No.12364 of 2009, O.S. No.12365 of 2009, the cause of action and the nature of relief, as pleaded in Paragraph -7, is as follows:

(3.) MR . J. Balagopal, learned Counsel for the Applicant -Debtor filed a Memo of Calculation dated 28.2.2013 stating that the calculation made in the Insolvency Notice making a claim of Rs.5,10,680/ - is an error and has been wrongly calculated by the Respondent -petitioning Creditor. According to him, the correct calculation as pet the decrees, which is not disputed by the Debtor, is Rs.4,66,180/ - and the details of which have been given in the annexure to the Memo of calculation, the Respondent, having been served, does not object to the calculation. In effect, it is the case of the Applicant that the sum due under the three decrees passed by the Civil Court is Rs.4,66,180/ - only and therefore, the payment of Rs.5,00,000/ - through the Appellate Authority under the Chartered Accountants Act is in full discharge of the claim under the three decrees and therefore, the Insolvency Notice has to be set aside, as there is no liability as on today.