The court set aside an insolvency notice that was taken out on the basis of a recovery certificate issued under Section 101 of the Maharashtra Co-operative Societies Act, 1960.
Insolvency notice is hereby set aside and Notice of Motion is made absolute.
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Dixit
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
ORDINARY ORIGINAL CIVIL JURISDICTION
NOTICE OF MOTION NO.166 OF 2004
IN
INSOLVENCY NOTICE NO.N/385 OF 2003
Re.: .
Prasanna Govind Bhave & Ors. ...Judgment Debtors
Ex-parte:
The Bharat Co-operative Bank .
(Mumbai) Ltd. ...Judgment Creditor
Mr.S.A. Bhagwati, Advocate, i/b. Anjali Risbud, for
Judgment Debtor No.2.
Mr.G.R. Mehta, Advocate, for the Judgment Creditor.
CORAM : ABHAY S. OKA, J.
DATED : 16TH OCTOBER, 2007.
P.C.:
1. Heard learned Counsel appearing for the
parties. An insolvency notice which is the subject
matter of this petition has been taken out on the basis
of a recovery certificate issued under Section 101 of
the Maharashtra Co-operative Societies Act, 1960.
2. In view of the decision of this Court dated 4th
September, 2007 in Notice of Motion No.40 of 2007
(Re.Kishore K. Mehta) and other connected matters, an
insolvency notice under Section 9(2) of the Presidency
Towns Insolvency Act, 1909 could not have been taken
out on the basis of a recovery certificate issued under
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Section 101 of the said Act of 1960.
3. Therefore, even if the debtor fails to take
steps for setting aside the insolvency notice within
the time stipulated by law, no consequences will flow
from the insolvency notice. Therefore, insolvency
notice is hereby set aside. Notice of Motion is
accordingly made absolute.
[ABHAY S. OKA, J.]
1 issue framed by the court
Whether an insolvency notice based on a recovery certificate under Section 101 of the Maharashtra Co-operative Societies Act, 1960 is maintainable.
Colour shows how this judgement treated each authority
Notice of Motion No.40 of 2007 (Re.Kishore K. Mehta)Referred¶1
The Bharat Co-operative Bank Ltd.
Prasanna Govind Bhave
Abhay S. Oka
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court