Allowed

Nikhil Malhotra v. J.Senthil Kumar

Madras HC3 Oct 2018IP/16/2018

Case brief

AI extract

What is this about?

This court adjudged the debtors as insolvents under the Presidency Towns Insolvency Act, III of 1909. The estate was vested in the Official Assignee, and the insolvents were directed to file a schedule of affairs and apply for discharge within 18 months.

What did the court decide?

The debtors were adjudicated as insolvents; their estate vested in the Official Assignee; direction to appear and file schedule of affairs by 31.10.2018.

Nikhil Malhotra Vs J.Senthil Kumar — Insolvency and Bankruptcy | Madras HC (2018)

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IN THE HIGH COURT OF JUDICATURE AT MADRAS

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(IN INSOLVENCY)

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WEDNESDAY, THE 3RD DAY OF OCTOBER 2018

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THE HON'BLE DR. JUSTICE ANITA SUMANTH

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INSOLVENCY PETITION NO.16 of 2018

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In the matter of Presidency Towns Insolvency Act, III of 1909 and In the matter of Mr.J.Senthil Kumar and another ... Debtors

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Nikhil Malhotra, 150/96, Montieth Road, Cisons Complex, Pantheon Road, Egmore, Chennai 600 008.

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... Petitioning Creditor

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-Versus-

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1.J.Senthil Kumar, Carrying on business under the name and style of Sree Enterprises, No.118/283, Paper Mills Road, Peravallur, Chennai 600 082.

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2.J.Rukmani, No.118/283, Paper Mills Road, Peravallur, Chennai 600 082. ... Debtors

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Insolvency Petition praying that this Hon'ble court be pleased to (a) adjudicate the debtors as Insolvents (b) direct that the estate of the debtors be vested in the Official Assignee of Madras, for the benefit of the general body of Creditors of the Debtors. (c) order that the costs of this petition be paid by the Official Assignee of Madras, from and out of the estate of the debtors to the petitioning creditor.

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The Insolvency Petition coming on this day before this Court for hearing in the presence of Mr.T.Srikanth, advocate for the petitioning creditor and Mr.T.Arul,

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advocate for the debtors herein; and upon reading the petition and affidavit of Nikhil Malhotra, filed herein,

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It is ordered as follows:

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That 1.J.Senthil kumar, Carrying on business under the name and style of Sree Enterprises, No.118/283, Paper Mills Road, Peravallur, Chennai 600 082, 2.J.Rukmani, No.118/283, Paper Mills Road, Peravallur, Chennai 600 082 be and are hereby adjudicated as Insolvents.

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That the said insolvents do appear before the Official Assignee of this Court on 31.10.2018 and they shall file their schedule of affairs together with a copy thereof on or before 31.10.2018.

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That the said insolvents shall apply for their discharge within a period of 18 months from this date if they so desire.

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That the estate of the debtors shall vest with the Official Assignee of the High Court at Chennai, for the benefit of the general body of creditors of the debtors.

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WITNESS, THE HON'BLE SHRIMATI, VIJAYA KAMLESH TAHILRAMANI, CHIEF JUSTICE, HIGH COURT AT MADRAS, AFORESAID THIS THE 3^rd DAY OF OCTOBER 2018.

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//CERTIFIED TO BE TRUE COPY// DATED THIS THE DAY OF 2018

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MANAGER

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INSOLVENCY OFFICE

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From 25^th Day of September 2008 the Registry is issuing certified copies of the Orders/Judgments/Decrees in this format.

cns – 19.11.2018

HIGH COURT, MADRAS

I.P. No.16 of 2018

ADJUDICATION DECREETAL

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ORDER DATED : 03.10.2018

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THE HON'BLE DR. JUSTICE

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ANITA SUMANTH

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FOR APPROVAL : 24/12/2018 APPROVED ON : 26/12/2018

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Copy to :

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The Official Assignee High Court, Madras.

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IN THE HIGH COURT OF JUDICATURE AT MADRAS

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(IN INSOLVENCY)

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WEDNESDAY, THE 3RD DAY OF OCTOBER 2018

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THE HON'BLE DR. JUSTICE ANITA SUMANTH

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INSOLVENCY PETITION NO.16 of 2018

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In the matter of Presidency Towns Insolvency Act, III of 1909 and In the matter of Mr.J.Senthil Kumar and another ... Debtors

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Nikhil Malhotra, 150/96, Montieth Road, Cisons Complex, Pantheon Road, Egmore, Chennai 600 008.

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... Petitioning Creditor

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-Versus-

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1.J.Senthil kumar, Carrying on business under the name and style of Sree Enterprises, No.118/283, Paper Mills Road, Peravallur, Chennai 600 082.

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2.J.Rukmani, No.118/283, Paper Mills Road, Peravallur, Chennai 600 082. ... Debtors

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The Insolvency Petition coming on this day before this

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Court for hearing in the presence of Mr.T.Srikanth, advocate for the petitioning creditor and Mr.T.Arul, advocate for the debtors herein; and upon reading the petition and affidavit of Nikhil Malhotra, filed herein and

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THE COURT MADE THE FOLLOWING ORDER :

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This Insolvency Petition has been filed at the instance of the Petitioning Creditor seeking an order of adjudication of the debtors as insolvents and a direction that the estate of the debtors vest in the Official Assignee to the benefit of the general body of their creditors.

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The debtors are stated to have effected borrowals from the petitioning creditor. Since the amounts were not repaid, O.S.No.3947 of 2014 was filed before the City Civil Court and the same came to be decreed on 15.09.2014. The amount remained unpaid even thereafter.

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An application thus came to be filed in I.N.No.17 of 2017 and this Court directed issuance of notice to all debtors. The insolvency notices, sent by RPAD, were duly served on the debtors on 05.12.2017, despite which the debtors have failed to comply with the decrees that they have suffered.

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No application to set aside the insolvency notices has been filed by the debtors within the period stipulated under the Statute.

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The debtors have thus committed acts of insolvency within the meaning of Section 9(2) of the Presidency Towns Insolvency Act, III of 1909.

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According to the petitioning creditor the amounts due and payable as per the insolvency notice is a sum of Rs.6,22,102/- and as on date of the petition, i.e., 17.03.2018, amounted in total to a sum of Rs.6,55,102/-. The amount is entirely unsecured.

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Notice has been served upon the debtors and Mr.T.Arul, learned counsel has entered appearance for the debtors. The learned counsel for the debtors states that the debtors are awaiting a sanction of a loan from the Repco Finance which is delayed on account of the original documents of a property to be offered as security being in the possession of the Petitioning Creditor. This is stoutly denied by the Petitioning Creditor and no material has been produced by the learned counsel for the debtors to establish the veracity of his allegation. I am thus constrained to reject his defence.

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Despite sufficient opportunity, the debtors are not forthcoming to settle the outstanding due. In the aforesaid circumstances, the debtors are adjudicated as insolvent. All the assets and effects of the insolvents shall vest in the Official Assignee and the same shall be administered as per law. The insolvents are directed to appear before the Official Assignee on 31.10.2018. They shall file their schedule of affairs on or before

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31.10.2018. The insolvents are granted 18 months from the

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date of this order to apply for discharge, if they so desire.

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WITNESS, THE HON'BLE SHRIMATI, VIJAYA KAMLESH

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TAHILRAMANI, CHIEF JUSTICE, HIGH COURT AT MADRAS, AFORESAID THIS THE 3^rd DAY OF OCTOBER 2018.

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ASSISTANT REGISTRAR Original Side – I

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//CERTIFIED TO BE TRUE COPY//

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DATED THIS THE DAY OF 2018

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MANAGER

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INSOLVENCY OFFICE

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From 25^th Day of September 2008 the Registry is issuing certified copies of the Orders/Judgments/Decrees in this format.

cns – 19.11.2018

HIGH COURT, MADRAS

I.P. No.16 of 2018

ADJUDICATION ORDER

DATED : 03.10.2018

THE HON'BLE DR. JUSTICE ANITA SUMANTH

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FOR APPROVAL : 24/12/2018 APPROVED ON : 26/12/2018 Copy to :

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The Official Assignee High Court, Madras.

Nikhil Malhotra v. J.Senthil Kumar

Case brief

What is this about?

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Nikhil Malhotra v. J.Senthil Kumar

Case brief

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