PERERA v. JONES et al.
NLR41V193
1940 Present:
Howard C.J. and Soertsz J.
PERERA v. JONES et al.
110-D. C. Colombo, 48,598.
Mortgage decree-Sale of property by
auction-Application for commission- Notice to judgment-debtor-Execution against
other property-Application for writ-Civil Procedure Code, s. 347-Mortgage
Ordinance, s. 12 (Cap. 74).
Where a decree is entered in a hypothecary action under section 12
of the Mortgage Ordinance directing that the property mortgaged be sold by
auction, and where the judgment-creditor applies for a commission for the sale
of the property by an auctioneer, it is not necessary to give notice as
required by section 347 of the Civil Procedure Code.
Where, in such a case, it is proposed to levy execution on
property other than the mortgaged property the Court would require an application
for execution under sections 223 and 224 of the Civil Procedure Code.
Muttu Roman Chetty v. Mohamedu (21 N. L. R.
97) distinguished.
THIS was an action
on a secondary mortgage brought by the plaintiff against the first defendant.
Under the decree entered in the action the property mortgaged was ordered to be
sold by an auctioneer freed from the interests of the second defendant, who had
purchased the property from first defendant after the mortgage. When the
plaintiff's proctor moved for a commission to be issued to a licensed
auctioneer to sell the mortgaged property in terms of the decree, he submitted
an application for execution framed in terms of section 224 of the Civil
Procedure Code and the District Judge ordered notice on the first defendant.
After notice was served the defendant was absent and the commission to sell was
issued.
Before execution of the transfer, the second defendant made
an application to set aside the sale on the ground that he had no notice of the
issue of the commission and the sale, as he claimed he was entitled to have
under section 347, Civil Procedure Code.
The District Judge refused the application.
N. Nadarajah (with him H. A.
Wijemanne), for second defendant, appellant.-The question for consideration
is whether section 347 of the Civil Procedure Code is applicable in execution
proceedings in a hypothecary action. When section 201 of the Code was in force
it was held in Walker v. Mohideen [1 (1924) 26 N. L. R. 310 at p. 315.] that the
"General Provisions" of the Code, viz., sections 336 to 354 were
applicable to sales in execution of mortgage decrees. See also Peiris et al.
v. Somasunderam Chetty [2 (1924) 2 Times of Ceylon 189.]. The position is the same even
after section 201 of the Code has been superseded by section 12 of the
Mortgages Ordinance of 1927 (Cap. 74) - Annamalay Chetty v. Sidambaram
Chetty [3 (1931) 33 N. L. R. 277.]. It is true that the sale in the present case is not by
the Fiscal. But the " General Provisions " of the Civil Procedure
Code would be applicable even to an auctioneer's sale.
[SOERTSZ
J.-Why
were sections 255 to 288 and 290 to 297 expressly mentioned in section 12 (2)
of Cap. 74 unless it was to exclude the other sections of the Civil Procedure
Code ?]
The other sections we
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