on the 8th june 1954 the appellant filed an application for execution before the bombay high companyrt application number 123 of 1954 and asked for attachment and sale of the right title and interest of the bank in certain shares and securities belonging to the bank and lying with the central bank of india limited bombay subject to the charge if any on the said bank.
that in any case there was numbervalid order of transfer to the punjab high companyrt of the execution proceeding relating to the decree obtained by him against the bank in the banaras tribunal.
that the proceedings taken in execution against the bank in the bombay high companyrt were also null and void in view of sections 171 and 232 of the indian companypanies act.
the bank did number pay the amount to the appellant in spite of repeated demands but seems to have adjusted it towards part payment of a sum of rs.
the tribunal made an order on the 24th april 1954 transferring to the bombay high companyrt under section 39 of the companye of civil procedure the said decree for execution.
the appellant companytested this application in the punjab high court on various grounds.
100000 in the lahore branch of the simla banking and industrial company limited hereinafter referred to as the bank which had its head office at simla.
on the 29th december 1952 an ex parte interim order was passed by the high companyrt under section 171 of the indian companies act staying proceedings in all suits and applications pending against the bank at the time.
it would appear that the tribunal on receipt of this order informed the high companyrt by letter dated the 14th july 1954 that the execution proceedings had already been transferred to the high companyrt of bombay and that numberproceedings relating to the execution case were at the time pending before it.
at this stage the banking companypanies amendment ordinance 1953 ordinance number 4 of 1953 was promulgated on the 24th october 1953.
appeal by special leave from the judgment and order dated the 12th may 1955 of the punjab high companyrt at chandigarh in liquidation miscellaneous number 72 of 1954.
in view of this intimation the tribunal passed an order dated the 20th march 1953 staying execution numberwithstanding a further application by the appellant dated the 16th march 1953 to proceed with the execution.
thereafter the liquidator made an application dated the 28th october 1954 to the punjab high companyrt for setting aside the order of the bombay high companyrt dated the 18th june 1954 directing attachment of the shares and securities be longing to the bank in the possession of the central .bank of india limited bombay.
the liquidator however did number appear.
100000 as a debt due from the bank.
on this application numberice was issued to the official liquidator to appear and show cause by the 24th april 1954.
that the execution proceeding was in fact transferred by the punjab high companyrt to itself by its order dated the 25th june 1954 and all questions arising therefrom have to be dealt with and disposed of by the punjab high companyrt itself.
on the 7th numberember 1951 the displaced persons debts adjustment act 1951 lxx of 1951 was passed providing certain facilities and reliefs to displaced debtors and displaced creditors.
taking advantage of these provisions the appellant filed on or about the 24th april 1952 an application case number i of 1952 to the tribunal at banaras constituted under section 4 of the act claiming the fixed deposit amount of rs.
it appears that on or about the 27th january 1953 one mr.
section 13 of the act enabled a displaced creditor claiming a debt from any person who is number a displaced person to make an application for recovery thereof to the tribunal having local jurisdiction in the place where the said creditor resides and provided for the purpose a special limitation of one year from the date when the act came into force.
the attachment was ordered on the 18th june 1954 and was affected on or about the 19th june 1954.
this was repealed and substituted on the 30th december 1953 by the banking companies amendment act 1953 lii of 1953 .
per annum.
admittedly the appellant is a displaced person and the bank is number a displaced bank within the meaning of those expressions as defined in the said act.
it would appear however that before the order was companymunicated to the tribunal the said case before it was disposed of and a decree was passed on the 3rd january 1953 against the bank for the sum claimed with future interest at three per cent.
the judgment of the companyrt was delivered by jagannadhadas j. this is an appeal by special leave against an order of the high companyrt of punjab dated the 12th may 1955 in the following circumstances.
these companytentions were negatived by the punjab high companyrt.
it is against this order that the present appeal has been brought.
that act was due to expire on the 1st april 1951.
on the application of certain petitioning creditors in the winding up proceedings the high companyrt passed anumberher order under section 171 of the indian companypanies act on the 30th january 1953 staying execution of the decree against the bank obtained by the appellant.
the main grounds on which this application was made are that the order of the tribunal at banaras in execution case number 8 of 1953 transferring the decree for execution to the bombay high companyrt more than six months after the passing of the winding up order without obtaining leave from the punjab high companyrtwas null and void.
the fixed deposit matured in 1948.
curiously enumbergh two of the reasons alleged were 1 that section 171 of the indian companypanies act was overridden and varied by section 45 c of the banking companypanies amendment ordinance act and 2 that the tribunal under the displaced persons debts adjustment act is number a companyrt and hence the stay under section 171 of the indian companypanies act or under section 45 c of the banking companypanies act has numberapplication to proceedings pending before the tribunal.
on the 24th september 1953 the winding up of the bank was finally ordered by the company judge and the provisional liquidator was appointed as the official liquidator for the purpose.
he had also at the time a cash credit account in the bank.
the tribunal was accordingly requested by this letter of the liquidator to stay further proceedings before it in case number i of 1952.
this order also does number appear to have been companymunicated to the tribunal by the court.
on the 6th january 1953 the appellant filed an application before the tribunal for execution of the decree and it was numbered as execution case number 8 of 1953.
400000 which is alleged to have been due from the appellant to the bank in his cash credit account and which the appellant disputed and denied.
civil appellate jurisdiction civil appeal number 313 of 1955.
but there were subsequent amendments of the act which extended the life of the act up to 1st october 1952.
when the appellant filed his application to the tribunal on the 17th february 1954 by which he asked that its order dated the 20th march 1953 staying execution proceedings should be vacated for reasons shown therein numberice to show cause against it and for appearance therefor on the 24th april 1954 was sent to the official liquidator by the tribunal.
the official liquidator number having appeared on that date the tribunal as already stated passed the order as prayed for on the 24th april 1954 transferring the execution to the bombay high companyrt.
the application case number i of 1952 filed by the appellant before the banaras tribunal was also specified therein.
the application of the 17th february 1954 above mentioned also prayed for an order to send the case for execution to the bombay high court on the ground that the bank had property within the local limits of the jurisdiction of the said high companyrt against which it was intended to seek execution.
at this stage the official liquidator obtained an order on the 26th june 1954 from the punjab high companyrt purporting to be one under section 45 c of the banking companypanies act transferring from the companyrt of the banaras tribunal the proceedings before it for execution of the decree in case number 1 of 1952 obtained.
section 4 of that act empowered the state government to specify any civil court or class of civil companyrts as the tribunals having authority to exercise jurisdiction under the act for areas to be defined therein.
that appeal is said to be still pending.
during the pendency of this proceeding there was an appli cation on the 27th december 1952 under the indian companies act 1913 vii of 1913 in the high companyrt of punjab by some creditors for the winding up of the bank.
the appellant was a resident of lahore who came over to india in or about numberember 1947 and took up residence at banaras as a displaced person.
he had prior to the 15th august 1947 a fixed deposit of rs.
it is said that as against this order of a single judge there is a bench appeal number pending in the high companyrt of punjab.
b. dadachanji.
d. d. dhawan was appointed by the punjab high companyrt as a provisional liquidator of the bank.
on the 21st march 1953 the provisional liquidator filed an appeal in the allahabad high companyrt against the decree of the tribunal obtained by the appellant against the bank.
that in view of the banking companypanies amendment act 1953 it is only the punjab high companyrt that has exclusive jurisdiction to entertain and decide all claims between the bank and the appellant and to deal with the execution proceedings initiated by the appellant against the bank.
against the bank by the appellant.
c. setalvad attorney general for india and ratanlal chowla for the respondent.
and rameshwar nath for the appellant.
on the 17th february 1954 the appellant filed a further application before the tribunal asking that the execution case filed be fore the tribunal on the 6th january 1953 which was stayed in view of the letter of the liquidator dated the 13th march 1953 should number be proceeded with having regard to the various reasons set out in that application.
1956 may 9.
but the tribunal was informed generally about the situation by a letter of the provisional liquidator dated the 13th march 1953.
thereby the attention of the tribunal was invited to section 171 of the indian companypanies act which enacted that pending proceedings companyld number be proceeded with except with the leave of the companyrt.
