THE HON’BLE SRI JUSTICE V.V.S.RAO CIVIL REVISION PETITION No.5230 OF 2010 Dated:19.11.2010 Between: K.P.Suneel .. Petitioner And K.M.Bala Prasad Rao .. Respondent THE HON’BLE SRI JUSTICE V.V.S.RAO CIVIL REVISION PETITION No.5230 OF 2010 ORDER: The petitioner filed O.S.No.21 of 2009 on the file of the Court of the III Additional District Judge, Tirupati, for recovery of money. He filed I.A.No.165 of 2009 for attachment before judgment of a semi constructed RCC roofed building in Plot No.199 (Survey No.968/2C), Municipal Ward No.1, Indiranagar (Singirigunta), Tirupati Urban Mandal. The suit was decreed on 19.08.2009. He then filed O.E.P.No.38 of 2009 under Order XXI Rules 64 and 66 of the Code of Civil Procedure, 1908 (CPC) for sale of the schedule property, for realization of the decretal amount. The respondent/judgment debtor filed counter inter alia stating that he filed Insolvency Petition being I.P.No.42 of 2009 on the file of the Court of the Additional Senior Civil Judge, Tirupati, wherein the petitioner herein was arrayed as respondent No.4. In view of the Insolvency Petition filed by the respondent/judgment debtor, the Court below by the impugned order dated 27.09.2010 recorded that the execution proceedings cannot be proceeded with for sale of the property and adjourned the matter. The counsel for the petitioner submits that the impugned order suffers from error apparent on the face of the record and that the Court below failed to see that when the property was already attached before judgment, pendency of the insolvency proceedings does not bar the execution petition. The submission of the counsel is misconceived. When a person files Insolvency Petition against the creditors, the property of the insolvent petitioner remains custodia legis and even a Court decree cannot be executed. The insolvent Court or the official receiver appointed by the Court can only deal and dispose of the property in an equitable manner. As rightly observed by the Court below, the petitioner has to participate in the insolvency proceedings and recover the amount through the official receiver. Therefore, the Civil Revision Petition is dismissed. There shall be no order as to costs. ________________ (V.V.S. RAO, J) 19.11.2010 KH