NIRAV SHAUNAK CHOKSI Vs. OFFICIAL ASSIGNEE

JUDGEMENT

(1.) ADMIT . By consent of the learned counsel and at their request, the Appeals are taken up for hearing and final disposal.

(2.) THE Appeals arise from a decision of a Learned Single Judge dated 21 November 2011 on two reports submitted by the Official Assignee in the insolvency proceedings under the Presidency Towns Insolvency Act 1909. The first appeal is by Nirav Shaunak Choksi, the grandson of the insolvent, the original Fourth Respondent to the proceedings before the Learned Single Judge. The second of those appeals is by the Petitioning Creditor who is represented by his legal heirs.

(3.) IN the present case, the alleged tenancy agreement dated 18 March 1999 provides that the landlord who was the grandfather had granted the premises on a leave and licence basis for a period of five years with effect from 15 January 1999 to the grandson renewable from time to time at his option. The consideration for the tenancy is a monthly rent of Rs.1,000/-. The tenant is authorised by the terms of the agreement to assign or mortgage the tenancy rights and to sublet or give on licence the premises without the consent of the landlord. The tenant has been allowed to bequeath the tenancy rights by way of testamentary disposition similarly without the consent of the landlord. The agreement contemplates that the tenant has paid to the landlord a sum of Rs.2 lacs and that a further sum of Rs.8 lacs would be paid as security deposit making an aggregate of Rs.10 lacs which was refundable with interest at 12% per annum.