#Insolvency Act

The Supreme Court ruled that a recovery certificate issued by the Debt Recovery Tribunal under the RDB Act does not qualify as a 'decree or order' under Section 9(2) of the Presidency Towns Insolvency Act, 1909. This strict interpretation bars creditors from initiating insolvency proceedings based solely on recovery certificates, reinforcing the need for a formal decree or order for insolvency notices.

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.

Bombay High Court rules that a creditor of a deceased insolvent lacks caveatable interest to oppose probate, as probate proceedings are limited to verifying the will's validity and do not extend to adjudicating debt or title claims. The judgment reinforces the procedural boundaries of probate under the Indian Succession Act, impacting creditors and beneficiaries in estate disputes.

Bombay HC rules that the Covid-19 limitation extension applies to the time-bound condition precedent under Section 12(1)(c) of the Presidency Towns Insolvency Act, 1909. The judgment validates insolvency petitions filed during the pandemic, reinforcing the applicability of Supreme Court's limitation extensions to procedural timelines in insolvency proceedings.