V.NIXON THAMBIRAJ Vs. ARULANTHAM AND OTHERS

JUDGEMENT

(1.) This appeal is filed against the fair and decreetal order passed in IP No 8 of 2016 dated 24.11.2017, on the file of the First Additional District Court, Tirunelveli, on the petition dated 8.12.2016 filed under Sections 7, 10 (1) and 13 (1) of the Provincial Insolvency Act to adjudge the appellant/petitioner as insolvent.

(2.) The learned Judge, had after hearing the counsel for the appellant and some of the respondents represented in person and through counsels, dismissed the petition as not maintainable on the ground that it had no jurisdiction to enquire into the issue of Insolvency Petition as the appellant had conducted the business of a financial establishment as defined under Section 2 (3) of the TANPID Act, 1997 read with the non-obstante clause of section 6 (2) of the TANPID Act, 1997.

(3.) The appellant submits that the lower court had failed to exercise its jurisdiction under section 3 of the Provincial Insolvency Act, 1920 on an erroneous conclusion that its jurisdiction is barred under the TANPID Act, 1997. It was submitted that the TANPID Act, 1997 cannot over ride the Provincial Insolvency Act, 1920 as it is a Central Act. It was also submitted that there is no provisions under the TANPID Act to provide for adjudication of insolvency.