VELLAIAPPA CHETTY v. PITCHA MAULA.

VELLAIAPPA CHETTY v. PITCHA MAULA.

(Alim, Special Mortgagee; Velliappa Chetty and others,
Simple Creditor).

D. C, Kurunegala, I,625.

Special mortgage of movables-Preference to proceeds of sale-Effect of section 352 of Civil Procedure Code.

Bonser, C.J.-A special mortgagee of movables is entitled to be preferred to all other creditors of the debtor in respect of the proceeds of the sale of such movables.

Since the price of the property Bold in execution takes the place of the property itself, the Court is bound to hand over to the special mortgagee so much of the money as Would cover his claim.

Section 352 of the Civil Procedure Code has not the effect of repealing the Roman-Dutch Law as to the right of a special mortgagee of movables to preference in the proceeds of the sale of those movables.

Konamalai v. Sivakolunthu (9 S. C. C. 203), commented upon.

PLAINTIFF having sued out writ of execution against the  defendant, certain goods were seized and sold by the Fiscal as belonging to the defendant, and the Fiscal brought into Court the sum of Rs. 1,160, stating at the same time that the goods sold under plaintiff's writ were a

Click Here to Read the rest of this document