RAMESHWAR NATH Vs. U P UNION BANK LTD

JUDGEMENT

(1.) This is an appeal against an order of the learned Company Judge in proceedings arising during the course of liquidation of the U. P. Union Bank Ltd. This Bank prior to its liquidation had rented a building belonging to the appellant in the city of Agra at a monthly rent of Rs. 325/plus Rs. 10/- as house water tax. A portion of the demised premises was let out by the Bank to the proprietor of a hotel called the Man Mohan Hotel and the rest was occupied by the Bank itself and some of its officials also resided in the premises. The rent was not paid regularly and the appellant brought a suit No. 810 of 1949, in the Court of Munsif at Agra on 3-9-1949 for the recovery of rent for the months of July, August and September 1949 and on 5-9-1949 obtained an order of attachment before judgment of the furniture etc. belonging to the Bank and the same was by the consent of parties kept locked in the Banking Hall of the premises under the seal of the Court. On a petition presented on 30-9-1949, the Bank was wound up by an order dated 16-12-1949 and Official Liquidators were appointed. On 2-12-1949, a decree was passed in favour of the appellant for arrears of rent for the months of July, August and September. After the winding up order the Bank carried on no business in the premises. On the 15th or 16-9-1950 the attached furniture was sold. Two days later, the Official Liquidator asked the appellant to take possession over the building. As a portion of the building was in the occupation of third parties, the landlord refused to take possession of a portion of the building. Thereafter on 30-11-1950, the appellant by means of an application No. 57 of 1950 under Section 171, Companies Act prayed for permission to file a suit against the Bank for arrears of rent accruing after 30-9-1949 up to the date of delivery of possession and for certain other reliefs. The learned Company Judge, Mr. Justice Moo-tham, as he then was, by an order dated 5-1-1951, rejected the prayer of the appellant for permission to file a suit against the Bank as the claim could very well be decided in the winding up proceedings and thereafter by consent of parties proceeded to decide the claim himself, acting under the powers conferred on him by Section 45B, Banking Companies Act, 1949. This claim was decided on 30-8-1951 and it was held that the appellant was entitled to recover rent from the Official Liquidators at the rate of Rs. 325/- per mensem from 1-10-1949 up to the date on which the Official Liquidators gave the petitioner such possession of the premises as, would in law terminate the Bank's tenancy, that he was also entitled to recover a sum of Rs. 500/-on account of damages to his property, but from this sum, he was by consent, entitled to set off the sum of Rs. 364/- due by him to the Bank. Against this order a special appeal was filed by the Official Liquidators. This was numbered as 17 of 1951 and the appellant filed a cross-objection. These were dismissed by us by an order dated 1-9-1955.

(2.) While this appeal was pending the appellant applied to the Registrar of this Court to transmit the decree passed by the learned Company Judge on 30-8-1951 to the District Judge, Allahabad for execution. The Registrar considering that this was an ordinary decree granted the certificate of transfer and the appellant applied to the District Judge for execution of his decree against the Bank by attachment of a sum of Rs. 12,644/11/- which was in fixed deposit with the Allahabad Bank Ltd.

(3.) When the Official Liquidators came to know of this, they applied to the Company Judge by means of an application No. 29 of 1953 dated 21-7-1953 praying that the proceedings in execution pending in the Court of the Civil Judge, Allahabad be declared to be void and further proceedings be stayed and the order of attachment withdrawn.