RAMCHANDRA NARAYANJI & ANOTHER Vs. RAMESHWAR BHAGWANDAS

JUDGEMENT

(1.) THE applts. presented an insolvency petn. against the reap. Rameshwar Bhagawandas on 23 -9 -1943, alleging that he had with intent to defraud his creditors departed from his house & usual place of business on 19 -7 -1943 & since then secluded himself so as to deprive the creditors of the means of communication with him & has intimated that he was suspending payment of his debts, that Rameshwar's brother Bulkhiram had on the same day removed books of accounts & other goods from the shop. The debts mentioned in the petn. consist of :

(2.) DUE to Gokuldas :

(3.) UNFORTUNATELY the lower Ct. straightway proceeded to record evidence, a large mass of which is utterly irrelevant & there was deplorable laxity in the proceedings until the mattes was considered by the present learned Judge. The law of Insolvency is mainly designed for the protection of creditors & the relief of debtors. Govind Ram v. Kunj Behari Lal, 46 ALL. 398 : (A.I.R. 1924 ALL. 341 F.B.), the object being to distribute the debtor's property fairly & expeditiously among his creditors & to give the debtor a fresh start in life, unless he is found to have committed wilful fraud. The object of law is apt to be defeated by undue delay as in the present case & security of business transactions is likely to be affected.