Insolvency Petition.
allurisivajiraju
(Querist) 11 October 2009
This query is : Resolved
Respected Seniors,
One Mr. X filed a Debtor Insolvency petition. There in Mr. X stated that one of his creditor Mr. Y approached him and stated that If you (Mr. X ) transfers all of your properties in my name then i will clear all the debts. Mr. X relied upon the words of Mr. Y and that all of his properties transfered in the name of Mr. Y by way of agreement to sale cum General power of Attoprney. By taking advantage Mr. Y trasfers the said properties in name of his friends and relatives by way oif sale deeds. Hence Mr. X filed the said Petition and prayed the Hon'ble Court that punish Mr. Y according to law and cancel the documents executed by Mr. Y in favour of his friends and relatives and also daclare him as an insolvent. The said Petition was filed by Mr. X with in the 90 days from the date of documents which were executed by Mr. Y.
In the above circumstances what is the legal remedy available to Mr. X.
Thanking you sir in advance.
Raj Kumar Makkad
(Expert) 11 October 2009
As X had duly issued an agreement to sale and general power of attorney in favour of Y and Y using his powers under GPA transferred the property in question in favour of his friend, is a legal transaction and has no scope of its quashing. So far as fradulant act of Y is concerned, it is to be proved by way of strong documentary evidence supported with oral witnesses but in the circumstances mentioned by you, it seems that you have nothing more than to orally say that a fraud has been played upon you. Better defend case vigorously and prove this major and only point. Once you become successful, both civil and criminal consequences shall have to be borne by Y.
adv. rajeev ( rajoo )
(Expert) 12 October 2009
No defenses to X. But he can do one thing if he has got sons they can file a suit for partition and sepertate possession against the X and Y and they can pray that the sale is not binding on them. At least X's wife and sons share will be saved.
Adv Archana Deshmukh
(Expert) 12 October 2009
Though I agree with shri makkad but according to me X should also file a criminal complaint u/s.406,420 IPC against Y
