Law:

Section:

Provincial Insolvency Act (V of 1920), S. 77 Scope Court to which request is made for selling a particular property Has no jurisdiction to decide whether property is liable to be sold at all Court acting in aid of original Court gets no more jurisdic-tion than the original Court intends to transfer to it. Under section 77 of the Provincial Insolvency Act, 1920, Insolvency Courts are to act in aid of each other. Whenever an Insolvency Court finds it inconvenient to take action is the matter itself, it makes a request to another Court and then that Court has the same power to act in the matter' as the Court which made the request. But this section certainly does not mean that .the Court, to which a request is made, could overrule or sit in appeal over an order passed by the original Court. It can act only in aid of that Court. If that Court had directed that a particular, property is to be sold, the Court, to which a request is made for selling the property, does not become invested with any jurisdiction to decide whether the property is liable to be sold at all. That is a matter for the decision of the Court which issued the order. The second Court will not be acting in aid of the original Court if when asked to sell a house it says the house cannot be sold at all. The object of the section is that when a Court wants to do a thing and cannot do it conveniently itself, it should ask some other Court to do it on its behalf. But the second Court gets no more jurisdiction than the original Court intends to transfer to it. If the original Court has already decided that a particular action is to be taken, the only function of the second Court is to assist the original Court in taking that action. The second Court cannot say that that action cannot be taken at all, provided, of course, the matter is within section 77, for if it is beyond section 77, the Court can refuse to act on the ground that it is not within the purview of section 77 at all. Raman Ghettiar v Muthupalaniappa Chettiar A I R 1941 Mad. 580 distinguished. (b) Presidency Towns Insolvency Act (III of 1909), S. 17 Vests whole of the property of debtor In official receiver without any exception Civil…

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