Citation : 2023 Latest Caselaw 3622 AP
Judgement Date : 21 July, 2023
THE HON'BLE DR. JUSTICE K. MANMADHA RAO
C.M.A.No.185 OF 2023
JUDGMENT:
The petitioner/ plaintiff before both the Courts below filed
the present Civil Miscellaneous Appeal before this Court.
2. Aggrieved by the order dated 19.04.2023 in I.A.No.537 of
2020 in A.S.No.74 of 2020 on the file of the Court of XII Additional
District Judge, Vijayawada, FAC/ VII Additional District Judge,
Vijayawada.
3. Initially Mr.Movva Venkata Sambasiva Rao i.e 3rd
respondent herein has filed I.P.No.67 of 2005 on the file of the
Court of the II Additional Senior Civil Judge, Vijayawada for
adjudicating the 1st respondent i.e Uppalapati Narasimha Rao i.e
2nd respondent herein as an insolvent and to appoint official
receiver for administration of the petition 'C' schedule property and
for distribution among the creditors of the 1st respondent.
Accordingly, the said Insolvency Petition allowed on 21.04.2006
and declared the 1st respondent therein as insolvency.
4. The 3rd respondent herein is doing business in various
types and also he is also a partner in M/s Navata Road Transport,
Vijayawada. The Managing Partner, Parvathaneni Venkata
Koteswara Rao representing M/s Navata Road Transport,
Vijayawada, filed an application in I.A.No. 897 of 2006 in I.P.No.67
of 2005 under Section 4 of Provincial Insolvency Act, 1920 to
declare that the alleged share of insolvent/ 1st respondent therein
in the movable and immovable properties of the firm shown as
petition 'C' schedule does not vest in the 1st respondent/ Official
Receiver therein. The said application was dismissed on merits on
19.03.2019 and the Official Receiver was directed to administer the
petition 'C' schedule property and to proceed with 5% share of
insolvent/ 2nd respondent therein under due process of law.
5. Assailing the same, M/s Navata Road Transport,
Vijayawada preferred an Appeal in A.S.No.40 of 2019, which is
renumbered as A.S.No.74 of 2020 on the file of the Court of the VII
Additional District Judge, Vijayawada, wherein an application in in
I.A.No.208 of 2019, which is renumbered as I.A.No. 537 of 2020
was filed seeking temporary injunction restraining the 1st
respondent/ Official Receiver from taking delivery of possession of
the alleged 5% share of the insolvent 2nd respondent therein in the
movable and immovable properties shown as 'C' schedule in the
I.P, pending disposal of the Appeal. The same was dismissed on
19.04.2023 on merits. Assailing the same, the present C.M.A came
to be filed.
6. Heard learned counsel for the appellants and learned
counsel for the respondents.
7. During hearing both the counsel submitted that without
touching the merits of the C.M.A, requested this Court to issue a
direction to the first appellate court to conclude the proceedings
and pronounce the Judgment on merits, as expeditiously as
possible, within time frame as fixed by this Court, till then both the
parties agrees to maintain status quo as on date.
8. Recording the submissions of learned counsel, this Court
is inclined to dispose of the C.M.A with a direction to the first
appellate court to dispose of the Appeal in A.S.No.74 of 2020 as
expeditiously as possible, preferably within a period of three (03)
months from the date of receipt of a copy of this Judgment, while
setting aside the impugned order passed in I.A.No.537 of 2020 in
A.S.No. 74 of 2020, with a direction to the first appellate court to
conduct fresh enquiry and dispose of the same along with main
Appeal. In the meanwhile, both the parties are directed to maintain
status quo as on date. Both the parties shall co-operate with the
first appellate court to conclude the proceedings in the appeal
within time frame.
9. With the above direction, the Civil Miscellaneous Appeal is
disposed of. There shall be no order as to costs.
As a sequel, miscellaneous applications pending, if any, shall
also stand closed.
___________________________ DR.K. MANMADHA RAO, J
Date:21.07.2023
KK
THE HON'BLE DR. JUSTICE K. MANMADHA RAO
C.M.A.No.185 OF 2023
Date: 21.07.2023
KK
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