IN THE PRINCIPAL SESSIONS AND DISTRICT COURT OF

JUDICATURE AT COIMBATORE
(INSOLVENCY JURISDICTION)

I.P.NO. of 2023

In the matter of Presidency Town Insolvency Act, 1909

AND
In the matter of S. Dhanalakshmi - Debtor

Ms.S. Dhanalakshmi,

..Petitioner/Debtor

PETITION UNDER SECTION 10 OF THE PRESIDENCY TOWNS

INSOLVENCY ACT 1920 READ WITH ORDER III OF THE
INSOLVENCY RULES 1958

The above-named petitioner states as follows:

The Petitioner is S. Dhanalakshmi, D/o.*, Hindu aged about *

years, working and residing at the address at No. 196, Anna
Nagar, 1st Street, Amman Kulam, Puliakulam Post, Coimbatore-
641 045.

The address for service of all notices and processes of the

petitioner is that of her counsel M/S. Nishanth, at No.6/11, 1st
Floor, Francis Joseph Street, Parrys, Chennai.
1. The Petitioner was a full-time homemaker and was additionally
supporting her husband Mr. Jaganathan on his business until his
sudden demise on 21.11.2018. Her husband was a businessman
who used to take small contracts from the government for House
Keeping in Indian Oil Corporation and other Private Contracts
from other people for income and to take care of his livelihood
that was his only source of income and had a pristine character in
his work and no allegation or complaints was made against him in
his years of work. Further, for his official works, he got a loan from
Mr Baskar of a sum of Rs. 6,60,060/- (Rupees Six Lakhs Sixty
Thousand Sixty Only) for interest and has paid as interest alone to
Mr Baskar without diminishment in principal amount to a massive
of Rs. 7,00,000/-(Rupees Seven Lakhs Only) when the Petitioner’s
husband was alive. Furthermore, during this period the
Petitioner’s husband was not able to acquire any contract/work
and was struggling to take care even his daily needs himself and
his family. Subsequently, he was not able to pay the interest to Mr
Baskar and provided two blank cheques as security to Mr Baskar
for the loan acquired where an excess sum of Rs. 7,00,000/-
(Rupees Seven Lakhs Only) was already paid as an interest.
Further, due to pressure from the Creditors and no work, the
health of the Petitioner deteriorated which led to the Petitioner’s
husband's sudden demise on 21.11.2018. The Creditor i.e., Mr
Baskar herein even after receiving more than the Principal
amount which he lent had filed a Cheque Dishonour Case using
the cheque leaves which were given only as security with unclean
hands and by abusing the process of law, under The Negotiable
Instruments Act before the Hon’ble Judicial Magistrate, Fast Track
Court- II, Coimbatore, and the case got registered as CC.No. 890
of 2019 and CC.No. 930 of 2019 where the Petitioner has no role
to play. Furthermore, after the sudden demise of the Petitioner’s
husband the Petitioner had no way but to work on daily wages as
a Tailor for the sustainment of her living and to take care of her
two girl children where even taking care of the daily needs of the
Petitioner is an hard struggle. The Petitioner is somehow
managing the daily needs of her and her two girl children and
their education with her daily wages and with the help of some of
her friends and relatives with extreme struggle and surviving with
hard work.

2. The Petitioner submits that for the development of her tailoring

profession to increase the number of customers and to provide
better services to them had availed loans from the small finance
entity. Subsequently, had invested all the loans availed from the
finance entities for the development of her business, and for other
supplementary products to better the services and to increase the
business. But to their dismay, the Tailoring business incurred
heavy losses due to non-payment of money by some wholesale
purchasers who shifted their business to an unknown place. And
payment of interest at a high rate added to her misery. The
petitioner was forced by the private financier and banks to sign in
blank papers. Due to the harshness caused by the financiers, the
petitioner could not run the tailor shop properly and subsequently
closed the shop since she could not mobilize the money to give
rent and salary to the labourers. The petitioner further states that
by taking advantage of this, the creditors are now threatening the
petitioner and sending rowdy elements to the petitioner's house
and she is being tortured, and surviving with a sense of fear all
the time. Now the Petitioner work as a labourer in Vasantham
Tailors and leads a life with a meagre salary, also doing additional
tailoring work to take care of the education of the girl children.
Since earnings itself so meager and not enough to even take care
of her and her family she could not make any payment to the
creditors herein. Hence the financiers are torturing the Petitioner
to repay the loan amount daily. Now the petitioner's life is in
danger as the constant pressure from the Creditors has taken a
heavy toll on the Petitioner’s health and the Petitioner’s necessity
to work harder to sustain. This shows that unless and until this
application is allowed, the Petitioner will be put in great hardship
in the hands of the creditors.

3. The Petitioner’s one of her Children due to her hard work had
got a seat in Electrical and Electronic Engineering (E.E.E) in Dr.
NGP Institute of Technology on merit, where the Petitioner is still
struggling to pay even the fees of her elder child, the other child
is doing her schooling in Government Higher Secondary School,
Ramanathapuram.

4. The Petitioner submits that due to heavy loss in the business

and due to family problems and the loss of her husband and the
father of her children who was the sole breadwinner until he was
alive, she is in a lot of scuffle to even pay the interest for the
loans. The petitioner submitted that when she was running the
business, to some extent, she was very prompt in paying the
interest to the creditors. Now she admits that he failed in her
business and suffered huge losses and is approaching this Hon’ble
court for being declared as insolvent.
5. The Petitioner is now residing in the above address but she has
no business due to loss in business. The reason is that the
Petitioner believed the dealers delivered the goods/final products
after grinding without receipt of money. Due to the pressurization,
the Petitioner gave signed blank papers, blank pronotes and blank
Cheques to the creditors and they filled up the blank instruments
of their choice. Some dealers who got contracts from the
Petitioner are absconded. The persons who lent money for
business to secure interest did not cooperate with the Petitioner
and acted high-handedly and behaved in a malafide and crooked
manner, resorting to a number of false complaints to the police
causing mental agony to the Petitioner.

6. The Petitioner has incurred heavy losses and his creditors in

general some of them known for their prohibitory interest
business are repeatedly threatening the Petitioner with dire
consequences if he does not pay the debt due. They have been
threatening the petitioner’s life and the lives of her children will
be in danger if the amounts are not paid, that somehow they will
bring the arrest warrant and get her arrested, and many other,
threats are being given. The petitioner does not have the strength
any more to work hard doing business or to fight the high-
handedness. Some of the creditors are attempting to dispose of
the petitioner at No. 196, Anna Nagar, 1st Street, Amman Kulam,
Pulliakulam Post, Coimbatore – 641 045, by unlawful means and it
is just and necessary that the creditors are restrained by an
interim order from dispossessing the petitioner from his
residential properties by unlawful means.
7. The Petitioner submits that he has always been residing at
Coimbatore within the Ordinary Civil Jurisdiction of this Hon’ble
Court. This petition is therefore presented before this Hon’ble
Court, which has the jurisdiction to adjudicate.

8. The cause of action arose within the jurisdiction of this Hon’ble

Court where the petitioner ordinarily resides and works.

9. The Petitioner submits that she has not filed any Insolvency
Petition before this Hon’ble Court or in any other Court and this is
the first time that she is filing this petition.

10. The Petitioner submits that his debts are more than Rs.500/-
and this Hon’ble court alone has the jurisdiction to entertain this
petition.

11. It is therefore prayed that this Hon’ble Court may be pleased

to pass an order:

a. adjudicating the petitioner as an insolvent;

b. Directing that his estate be administrated by the Official

assignee, Coimbatore regularly.

c. Pass such further or other orders as this Hon’ble Court may

deem fit and proper in the circumstances of the case and thus
render justice.
 Dated at Chennai on this the 23rd day of January, 2024.

COUNSEL FOR
PETITIONER

VERIFICATION
I, S.Dhanalakshmi, D/o.*, the Petitioner herein, do hereby
declare that the facts stated above in paras 1 to 10 are true to
the best of my knowledge and belief and information.

Verified at Chennai on this the 23rd day of January 2024.

PETITIONE
R

LIST OF UN-SECURED CREDITORS – A

1. IIFL- SAMASTHA FINANCE LIMITED

Post Box No.4830,
No.766, Sakthi Towers,
Annasalai,
 Chennai-600 002.
Loan No.PEXMRK1484732 = Rs.1,00,000/-

2. SRI MURUGAN FINANCE- GANAPATHY

Mo.140, 1st Floor, R.H.Road,
Mylapore,
Chennai 600 004
Loan No. 4790668 = Rs.57,475/-

3. KARPAGAM FINANCE- GANDHIPURAM,

Old No.41, New No.116,
Nelson Manicam Road,
Amanjikarai chennai 600 029 = Rs.40,000/-

4. IDFC BANK,
52/60 Mahatma Gandhi Road, Post Bag 128,
Mumbai-400 001.
Account Number:042006130542 = Rs.43,524.64/-

5. BAJAJ FINANCE,
No.88, Dharma Tower,
Nelson Manickam Road,
Choolaimedu, Chennai-600 094.
Card Number:4132897569782008 = Rs.36,000/-

6. Mr. P. Baskar,
No.46, Gandhi Mandapam Road,
Kotturpuram, Chennai-600 085.
 Account Number: LICHE00009088410 = Rs.28,000/-

Total = 3,22,263.64/-

LIST OF SECURED CREDITORS – B

NIL
LIST OF DEBTORS - C
NIL
LIST OF ASSETS - D
1. Wooden Table Nos.1 - 2,000/-
2. Bed Sheet Nos.1 - 400/-
3. Dresses - 2,000/-
4. Plate & Tumbler -100/-
----------------------
Total 4,500/-
---------------------

BOOKS OF ACCOUNTS BOOK-E

NIL

VERIFICATION

I S. Dhanalakshmi, D/o.*, the Petitioner herein, do hereby

declare that the facts stated in the above list A to E are true to
the best of my knowledge and belief and information.
Verified at Chennai on this the 24th day of January, 2024

PETITIONER