ALLAMBAG TEA & TRADING CO. LTD Vs. UNITED BANK OF INDIA LTD
HIGH COURT OF GAUHATI
Allambag Tea And Trading Co. Ltd
UNITED BANK OF INDIA LTD
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THADANI, J. -
(1.) THIS is a first miscellaneous appeal from an order of the learned Additional Subordinate Judge, U. A. D., dated 18 -2.1950 by which he ordered the execution to proceed in the following circumstances.
(2.) ON 13 -9 -1948 the decree -holder in this case obtained a decree in the sum of Rs. 6,000 odd from the Court of the Subordinate Judge, U. A. D., at Silchar. After the passing of the decree an application was made to this Court in the exercise of its jurisdiction under the Companies Act, under Section 153, Companies Act. The Court, by its order, dated 1 -10 -1948 ordered that until the final disposal of the petition, the commencement and continuation of all suits and proceedings against the Company be stayed. The scheme was finally sanctioned by Ram Labhaya J., on 14 -7 -1949.
On 13 -11 -1948, the decree -holder started execution proceedings. On 7 -3 -1949, judgment -debtor 1 filed a petition praying for the stay of further proceedings for a period of six months on certain grounds. It would appear from the orders which the learned Subordinate Judge has passed from time to time that the proceedings in execution were adjourned to enable the judgment -debtor to obtain an order of stay from the High Court.
(3.) APPARENTLY the learned Subordinate Judge was not aware of the order of this Court dated 1 -10 -1948 by which all proceedings which had commenced or were being continued against the Company were stayed. It is contended by Mr. Gupta for the opposite party that there was no final order passed by Ram Labhaya J., under the provisions of Sub -section (5) of Section 153, Companies Act, when passing the final order sanctioning the scheme, and that in the absence of an order under Sub -section (5) of Section 153, Companies Act, the executing Court was not bound to stay the execution of the decree.;
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