Judgement

Appeal (No. 44 of 1933) from a decree of the High Court (April 18, 1932) reversing an order made by Waller J. in the exercise of the insolvency jurisdiction of the Court.

By a notice of motion by the appellant in the insolvency of C. K. Narayana Ayyar & Sons, who were adjudged insolvents on February 11, 1929, the appellant claimed a declaration that the respondent Bank had no valid pledge of, or any right to, certain bags of groundnuts, or alternatively a declaration that the said groundnuts were in the possession, order or disposition of the insolvents at the commencement of the insolvency with the consent of the true owners within the meaning of s. 52, ; sub-s. 2 (c), of the Presidency-towns Insolvency Act, 1909 ; and an order directing payment to the appellant of the proceeds of the said groundnuts together with interest.

Pleadings having been directed, the respondents by their written statement stated that the railway receipts for the goods were indorsed and handed to them by the insolvents to secure advances made by them to the insolvents; they denied that the goods were in the possession, order or disposition of the insolvents.

The facts of the case, and the materia