LEVY BROTHERS AND KNOWLES LTD Vs. SUBODH KUMAR DAY

JUDGEMENT

(1.) This is an appeal in connexion with the voluntary winding-up of a company called Bhagat Brothers, Limited, and the appellants are Liverpool merchants called Levy Brothers and Knowles, Limited, and the main controversy is between the appellants and Mr. Ram Kumar Bhagat who was the managing director of the company in liquidation.

(2.) It appears that the appellant company acted in connexion with certain consignments of jute shipped from Calcutta to England, It would appear that certain consignees had refused to accept the goods or meet the drafts, and that the appellants endeavoured to sell some of the jute which was thu3 rejected, and made certain advances to the company which is now in liquidation in that connexion. At all events, by April 1921, the appellants were claiming that in the end Bhagat Brothers, Limited, owed them some nine or ten thousand pounds upon that transaction.

(3.) On the 6 of June 1921, a resolution for voluntary liquidation was duly passed. A Mr. S.K. Day was nominated liquidator at that meeting. It appears that at a meeting of the creditors a Mr. Platt Allen was suggested as a joint liquidator with Mr. Day, but as no proper steps had been taken to appoint him joint liquidator he in fact never became a liquidator and the only liquidator of the company was Mr. S.K. Day.