V T SETH Vs. VIDEOCON INDUSTRIES LTD

JUDGEMENT

(1.) THIS is the debtor's notice of motion to set aside the insolvency notice issued to them.

(2.) THE petitioning creditor filed Suit No. 1891 of 2000 against M/s Akar Laminators and the two judgement debtors for the repossession of the equipment leased to them and for consequential reliefs including the recovery of arrears of lease rental. By an order dated 9th November 2001 the suit was disposed of in terms of consent terms entered into between the parties. As the submissions on behalf of both the parties require a consideration of the consent terms it is necessary to set them out in extenso. They read as under :-

(3.) THE judgement creditors thereafter took out/applied for a judge's order being Judges Order No. 157 of 2009 in the said suit for a decree on admission under Order 12 rule 6 of the Code of Civil Procedure, 1908. The same was disposed off by an order and judgement dated 24th June 2009. It was submitted on behalf of the judgement creditor that the occasion for applying for a decree on admission under Order 12 rule 6 was that the judgement debtors had contended before the learned judge in the contempt petition that no decree could be said to have been passed by this court automatically on the failure of the defendants to abide by the agreement to pay the amount of Rs.3,00,00,000/- on or before 31st December 2001. The learned judge held that merely because such a defence was raised would be no reason for the court to entertain an application under Order 12 rule 6 when the suit had already been disposed of. It is important to note the following observations of the learned judge :-