BYSANI LAKSHMINARAYANA CHETTY Vs. GUNDA PEDDA NARAYANA CHETTY

JUDGEMENT

(1.) Byasni Lakshminarayana Chetty, the appellant in this civil miscellaneous second appeal filed under Section 75 of the Provincial Insolvency Act was adjudicated as an insolvent on 18-4-1962 in I. P. No. 20 of 1961 on the file of the Subordinate Judges Court, Kurnool. On the very next day, that is on 19-4-1962, he filed I. A. No. 43 of 1962 under Sections 4, 5 and 38 of the Provincial Insolvency Act praying to grant him permission to sell the properties himself instead of by the Official Receiver and pay the rateables to all the creditors, the Official Receiver and the Government and to approve the composition scheme mentioned in the affidavit. In the affidavit it is stated that the insolvent had 55 creditors and his assets are not worth more than Rs. 25,000 whereas his debts amounted to Rs. 85,163. It was alleged that 47 of his creditors had agreed to receive the rateables at Rs. 0-4-0 in a rupee and signed in the accounts books of the insolvent in token of their consent. It was further alleged that a majority in number and 3/4ths in value of all the creditors accepted the proposal to receive the above said rateables. Therefore, he prayed in Paragraph 9 of his affidavit that the Court may be pleased to grant him permission to sell his properties himself instead of by the Official Receiver and pay the rateables at the rate of Rs. 25 for every Rs. 100 to the creditors.

(2.) This petition came up for orders before the learned Subordinate Judge, Kurnool who ordered notice to the 1st respondents advocate, the 1st respondent being the petitioning creditor and also to the Official Receiver. He further directed the Publication in "Sadhana" a Weekly of Anantapur. The case was adjourned to 27-4-1902.

(3.) On 27-4-1962, it was noted by the office as follows: