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Jeri poten   04 September 2016

Insolvency Petition

Ladies and Gentlemen, I had applied for a few personal loans and a car loan when I was working at a good MNC. But when I lost my job I got into debt. I tried to pay from my savings but soon exhausted all my savings. So I filed an Insolvency Petition in the principal district judge court chengalpattu, Chennai. None of the creditors attended any of the hearings. As a result after 7 years, the Court declared the verdict as case dismissed - uncontested - dismissed for default. My questions are 1. Technically this should be considered In my favor right? I mean the creditors didn't contest the petition. So it should be conceded that I am insolvent. Correct? 2. If any of the creditors or their agents try to harrass me or my family, is there something I can do. I didn't get any written update from the court. Is there something I should do? To get a court statement that I am insolvent or something to that effect. An order that creditors are not to harrass me or my family. How do I go about this. What needs to be done. Whom should I contact. 3. Any other inputs about how I can avoid confrontation with the creditors or their agents would be much appreciated. Thanks. JP


 4 Replies

adv.bharat @ PUNE (Lawyer)     04 September 2016

No it does not mean that .

If court is satisfied then only it will give judgement that u will be declared insolvent.

If u like my suggestion then give THANK on my profile.

Jeri poten   04 September 2016

Then what should the verdict be interpreted as? I can only file for insolvency. I cannot make the creditors attend the hearing or contest. Bharat. I dont mind giving a "thanks" on your profile. But You haven't really suggested anything. Anybody please suggest actions instead of just commenting. Thanks.

Ms.Usha Kapoor (CEO)     08 September 2016

Dear Client,

              If they don't file a set aside  Ip verdeict or file an appeal from verdict of Pauper Suit the Pauper suit proceedings would become final  AND  THEY WOULD BE DEBARRED FROM FILING AN INSOLVENCY PETITION ONCE AGAIN. THEY KNOW THAT ONCE YOU ARE DECLARED  A  PAUPER IN YOUR SUIT THE  COURT AFTER DUE INQUIRY INTO YOUR ASSETS ANSD LIABILITIES WOULD PREPARE AN INVENTORY OF YOUR ASSETS AND IF YOUR LIABILITIES EXCEEDS ASSETS  YOUR CREDITORS KNOW THAT THEY WOULDN'T BE REALIZING THEIR FULL DEBTS. YOU ARE INSOLVENT NOW BE IT TECHNICALOR OTHERWISE.THEIR DEBTS ALSO MAY GET TIME BARRED  IN COURSE OF TIME AND  RIGHT   TO APPEAL ALSO WOULD BE BARRED BY RESJUDICATA..IF YOU APPRECIATE THIS REPLY PLEASE CLICKTHE THANK YOU BUTTON ON MY PROFILE..

Jeri poten   08 September 2016

Ms. Usha, Could you please interpret what you just typed. The legal jargon is beyond my understanding Could you please explain what all of that means and what I am required to do now. My case has been marked as dismissed for default. Uncontested. So what are the implications. What are the ramifications. I just don't want the creditors to approach me at my residence once the case has been dismissed. Please explain your response.

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