LAWS(APH)-2010-8-93

CHITTINENI MOHANA RAO Vs. JAGARLAMUDI SUBBARAO

Decided On August 30, 2010
CHITTINENI MOHANA RAO Appellant
V/S
JAGARLAMUDI SUBBARAO Respondents

JUDGEMENT

(1.) The Petitioner in I.P. No. 6 of 2002, on the file of the Senior Civil Judge, Parchur, is the Appellant herein. He filed the I.P., under Section 10 of the Provincial Insolvency Act (for short 'the Act'), with a prayer to adjudicate him as insolvent. He stated that he became indebted to various persons to the extent of Rs. 16,97,422/-, the particulars of which, are furnished in petition 'A' Schedule. In 'B' Schedule thereof, he furnished the particulars of two items of immovable property, and he stated that his share in it is only 1/6th, totalling to Rs. 2 lakhs. According to him, his liability exceeded his assets, by about Rs. 15 lakhs, and made a prayer that he be declared as insolvent.

(2.) The I.P. was opposed by the Respondent Nos. 3, 5, 12, 13, 15, 16 and 18, and others remained ex parte. According to them, the loans said to have been borrowed by the Appellant are fictitious, and his effort was only to avoid the repayment of genuine debts, which are far below the value of the assets, held by him. Several facts pleaded by the Appellant were denied by them.

(3.) Through its order dated 17-08-2006, the trial Court dismissed the I.P. The Appellant filed A.S. No. 161 of 2006 in the Court of District Judge, Ongole. The appeal was dismissed on 13-04-2010. Hence, this Civil Miscellaneous Second Appeal.