OFFICIAL RECEIVER GUNTUR Vs. PALLAPOTHU KRISHNA MURTHY

JUDGEMENT

(1.) This revision by the Official Receiver is directed agains' the order passed by the learned District Judge, Guntur in C. M A Ne. 26/71 on the file his Court.

(2.) The facts leading up to this revision dre as follows : One Sanka Kanakaiah was adjudged insolvent in I.P. 19/56 on the file of the Principal Suboi dinate judge's Court, Guntur. The properties ofthe insolvent and his brother were sold in execution of a decree in O.S. No 25/48 on the file of the Subordinate Court, Guntur and a sum of Rs. 17,200/- was realised through Court. The decree- holder in O.S. 25/48 who had a first charge was paid Rs. 5475-9-6 from the amount lying to the creidt ofO.S. 25/48. One K. V. Seshachalapathi Rao who also had a decree against the insolvent in O,S. No 360/53, transferred the decree of P. Krishna Murthy the respondent herein. Under that decree, the respondent had to realise a sum of Rs. 4724 11-6 by way of first charge from the estate of the Insolvent. Boiset taxmi Narasamma obtained three decrees in S.C. 123/55, S. C. 198/55 on the file of the Sub-Court, Guntur and O. S. 5/54 on the file of the District Mumif's Court, Guntur against the respondent and the amounts due under the decree are Rs.972-80, Rs. 1205-12 and Rs. 506-55 respectively. The said Laxml Narasamma attached an amount of Rs.2744-54 towards the three decrees in her favour from the amount lying to the credit of the respondent in O,S. 25/48 and she realised the amount. When there was thus a balance of only Rs. 1960.07 for being paid in satisfaction of the decree in O. S. 306/53, the respondent was paid by the Court a sum of Rs. 3185-19 front out of the balance of sale proceeds lying to the credit of O.S 25/48 If the three decrees executed by Bo isetti Laxmi Narasamma had been properly taken into account, the respondent could have got only Rs. 1960-07, but in calcu'ating the amount the Court granted to the respondant an amount of Rs. 3185-19 having evidently left out of consideration by oversight an amount of Rs. 1205-12 paid to Laxmi Narasamma under the decree in SC 198/55. The respondent was thus paid asum of Rs. 1205-12 from out of the estate of the insolvent in excess of what was actually payable to him. The excess payment was made to the respondent on 13-1959. While so, one o the creditors ofthe insolvent by name sanka Venkata Vara Prasada Rao filed M P. 357/64 before the Official Receiver on 9-8-1966. bringing to the notice of the Official Re-celier that the respondent and anothar Kolta Ramamurthy were wrongly paid excess amounts of Rs.1205-12 and Rs.1799-22 respectively frcm the estate of the Insolvent and requested the Official Receiver to obtain necessary directions from the Court so that the respondent and the said Kolla Ramamurty might be directed to refund the amounts. The Official Receiver there upon verified the various payments and filed a petition under section 4 of the Provincial Insolvency Act before the Sub-court, Guntur in I. A. 2205/66 in I P. 19/56 on 7-12-1964 requesting that the Court may be pleased to direct Kolla Ramamurty and the respondent to refund the amounts of Rs. 1790-22 and Rs. 1205-12 respectively.

(3.) Notices having been Issued by the sub Court in I.A.2205/66. Kolla Rarcamurthl remained exparte while the respondent filed a counter stating that there was no mistake in the payment made to him and that, in any event he was not liable to pay any interest.