Provable debt claims under insolvency law may be lodged without a decree; pending proceedings only delay final quantification.

A creditor need not first obtain a decree or final adjudication order before lodging a provable claim with the official assignee under the Presidency-Towns Insolvency Act, 1909. The Act's inclusive definitions and claim procedure allow debts to be proved by schedule and rules, including where civil proceedings are already pending; the creditor may lodge the claim and notify the assignee of the pending matter. The official assignee must independently examine, admit or reject the claim with reasons, but cannot try complex disputes reserved for another competent forum. Final quantification for dividend or settlement must await the outcome of the pending proceedings, and rejection carries appellate remedy.

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Issues: Whether a creditor must hold a decree or final adjudication order before lodging a claim with the official assignee under the Presidency-Towns Insolvency Act, 1909, and how such claims are to be treated where civil or other proceedings are already pending on the date of adjudication.

Analysis: The statutory scheme uses inclusive definitions of creditor and debt, permits creditors to prove debts through the prescribed schedule and rules, and does not make a decree a universal pre-condition for lodging a claim. The Act contemplates claims by creditors who have not initiated proceedings as well as creditors whose proceedings are pending, while preserving the jurisdiction of the forum seized of those pending matters. The official assignee is required to independently examine the proof, admit or reject it for reasons, and cannot function as a trial court for complex disputes pending before another competent forum. For claims based on pending proceedings, the creditor may lodge the claim and inform the official assignee of the pending matter, but final quantification for dividend distribution must await the outcome of the competent forum. Where a claim is rejected, the Act provides appellate recourse.

Conclusion: A decree or final adjudication order is not mandatory at the stage of making a claim before the official assignee. A creditor may lodge a claim on the basis of a provable debt, whether or not proceedings were previously initiated, and in pending matters the final adjudication order is required only for distribution of dividend or settlement of the claim at the appropriate stage.

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