1951 (4) TMI 14

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.... JUDGMENT Rajamannar, CJ. - It is very unfortunate that the learned Judge should have embarked on considerations which, in our opinion, are not germane to the disposal of the application made by the Official Liquidator under section 179 (1) of the Indian Companies Act for leave to file a suit. We agree with the learned Judge that the said provision in the Indian Companies Act was intended to ....

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....ed a plaint and thereafter filed an application for sanction to institute the suit. While we agree with him that leave of the court under section 179 is not a mere formality, we cannot see anything improper in the Official Liquidator, if he bona fide believed that there was a fair claim which he could put forward on behalf of the company, making every preparation for the institution of the suit. W....

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....e given an opportunity to oppose an application by the Official Liquidator to institute the suit. We have no hesitation in holding that sanction should be accorded to the Official Liquidator to institute the proposed suit. We do not understand what the learned Judge meant when he said that he would not allow the suit to be filed solely on the basis of section 55 of the Transfer of Property Act.....