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Issues: Whether the official liquidator was entitled to an ex parte decree for the amount claimed and interest under sections 446 and 477 of the Companies Act, 1956.
Analysis: The application was filed by the official liquidator seeking to summon the respondent and examine him on oath for fixing liability in respect of the outstanding amount, or alternatively for a decree for the amount claimed. The respondent, despite service, did not appear and the averments in the application remained uncontroverted. In these circumstances, the claim was held entitled to be granted.
Conclusion: The application was allowed and a decree for Rs. 10,518 was passed against the respondent, with pendente lite and future interest at 9% per annum on the principal amount of Rs. 7,000 from 27-9-1999.