MUKANDA Vs. BALJOR SINGH

JUDGEMENT

(1.) This is an appeal Under Sec. 75 of the Provincial Insolvency Act.

(2.) The Respondent filed an application praying that the Appellant be adjudged an insolvent. This application was contested on a number of grounds. One of the grounds was that there were other creditors and that the Respondent had not filed the application for the benefit of those creditors also. The court below investigated the matter and after considering the evidence on the point came to the conclusion that the Appellant had failed to establish that there are other creditors. After having decided this preliminary point, the court fixed a date for hearing application on merits. The appeal has been filed against the aforesaid order.

(3.) Under the Provincial Insolvency Act a single creditor can also file an application for adjudging the debtor an insolvent. It is not necessary for him to mention in the application that the application is being filed for the benefit of other creditors also, if any, nor is it necessary for him to state that he is filing the application in a representative capacity on behalf of all the creditors. Therefore, in the application itself, there was no defect or omission. Further, the court below has recorded a finding on the evidence on record that the Appellant failed to substantiate his plea that there are other creditors. In the circumstances, the court below was justified in proceeding further in the matter and in fixing a date for the hearing of the application itself on merits.