Recovery of admitted debit balance upheld on ledger evidence, ex parte non-response, and limitation within time

An admitted debit balance reflected in the statement of affairs and company ledger was treated as sufficient proof that the sum was due and payable in proceedings under the Companies Act, 1956. The respondent's failure to appear or contest the claim, despite service and an ex parte course, left the documentary evidence unchallenged, and the demand notice from the Official Liquidator also went unanswered. The Court found no defence to the claim, accepted that the demand was within limitation, and directed payment of the admitted amount with interest at 6% per annum until realisation.

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Issues: Whether the applicant was entitled to recover the admitted debit balance of Rs. 37,870 from the respondent with interest in proceedings under the Companies Act, 1956.

Analysis: The application was founded on the statement of affairs filed by the ex-directors and the company's ledger account, both of which showed a debit balance against the respondent. The respondent did not appear or contest the claim, despite service, and was proceeded ex parte. The demand notice issued by the Official Liquidator also remained unanswered. The Court accepted the evidence as proving that the amount was due and payable and found no defence to the claim. It further accepted the plea that the claim was within limitation.

Conclusion: The respondent was directed to pay Rs. 37,870 to the applicant together with interest at 6% per annum from the date of the application until realisation.

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