VADAMALA SANJEEVI REDDY Vs. K ELLAPPA REDDY

JUDGEMENT

(1.) This revision petition is filed under Section 75 of the Provincial Insolvency Act (hereinafter called the Act) by the defendant. I. P. 5/58 was filed by a petitioning creditor, 1st respondent, to adjudicate the petitioner herein as an insolvent. The grounds on which the adjudication was sought were that the first respondent executed a sale deed Ex A-5 and also executed a mortgage, Ex. A-6 thereby delaying and defrauding the petitioning creditor and that in view of this act of insolvency he should be adjudicated insolvent.

(2.) This petition was resisted by the petitioner mainly on the ground that he has not committed any act of insolvency. I am not concerned with the other questions dealt with by the Courts below as they were not pressed before me, nor anything turns upon them in so far as this revision petition is concerned.

(3.) The trial Court dismissed the petition after a proper enquiry holding that the sale deed executed by the petitioner is supported by consideration and that the mortgage deed is supported by consideration except to the extent of Rs. It was found by the trial court that as there was only one creditor left at the time of these transfers the petitioner could not be said to have committed an act of insolvency within the meaning of Section 6 (b) of the Act.