High CourtsDivision Bench

Mayandi Venkatesa Mudali and Another vs Konne Desappa Mudali

Madras High Court · Decided on 22 July 1940 · Citation: AIR 1941 Mad 99(1) : (1940) 52 LW 479 : (1940) 2 MLJ 555

HON’BLE JUDGES
Wadsworth, J
ACTS & SECTIONS REFERRED
Provincial Insolvency Act, 1920 — Section 6(e)
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8 paragraphs · 193 words

Wadsworth, J.—The question is whether the sale of the appellant''s property for arrears of rent under the Madras Estates Land Act

operates as an act of insolvency u/s 6(e) of the Provincial Insolvency Act. It seems to me clear that the decree for rent is a decree for the payment

of money, notwithstanding the fact that the rent is charged on the holding. The decree in question was passed before the appointment of the ad-

interim receiver in the previous insolvency. At the time of the sale, the receiver was apparently not in possession though he had been appointed.

The property therefore not only vested in the debtor but was in his physical possession and there was nothing, except his poverty, to prevent him

from paying the rent. The property was certainly ""his property"" within the terms of Section 6(e) of the Provincial Insolvency Act. The case reported

in Lachmi Chand Jhawar Vs. Bipin Behari Ghose, has no application, for in that case, there had been an adjudication and the property no longer

vested in the debtor. The view taken by the Courts below is correct and the petition is dismissed with costs.