4. Enforcement of receiver’s duties.—Where a receiver—
(a) fails to submit his accounts at such periods and in such form as the Court directs, or
(b) fails to pay amount due from him as the Court directs, or
(c) occasions loss to the property by his wilful default or gross negligence, the Court may direct his property to be attached and may sell such property, and may apply the proceeds to make good any amount found to be due from him or any loss occasioned by him, and shall pay the balance (if any) to the receiver.
Text of the Code of Civil Procedure, 1908 (Act No. 5 of 1908), First Schedule, as amended, including the changes for commercial disputes made by the Commercial Courts Act, 2015. Source: India Code, Government of India.
If a receiver fails to submit accounts as directed, fails to pay an amount due from him as directed, or causes loss to the property by wilful default or gross negligence, the Court may direct attachment and sale of his property. The proceeds are applied to make good the amount due or the loss, and any balance is paid to the receiver.
