Report No. 54
40.1. Order 40, dealing with receivers, corresponds to section 503 of the old Code, of which the portions relating to a receiver's remuneration and his duties are now to be found in rules 2 and 3. Under section 505 of the previous Code, a receiver could be appointed only by High Courts and District Courts, but under the present Code, all Courts can appoint a receiver. The test is 'just and convenient', which has been substituted for "necessary for the realisation, preservation or better custody or management of any property, movable or immovable, the subject of a suit or under attachment", thus enlarging the power of a Court1.
No changes are needed in this Order.
1. See Alagappa v. Krishnaswami, AIR 1921 Mad 119 (120).