#Creditor Claim

The Bombay High Court has ruled that creditors need not obtain a court decree to file claims with the Official Assignee under the Presidency-Towns Insolvency Act, 1909. Proof of debt through sworn affidavit and supporting documents is sufficient, streamlining insolvency proceedings and empowering unsecured creditors who lack the resources for litigation. This clarifies a long-standing ambiguity and aligns procedural fairness with the Act’s rehabilitative intent.