* IN THE HIGH COURT OF DELHI AT NEW DELHI
% Date of Judgment: 12th December, 2012
+ CO.PET. 71/1981
IN THE MATTER OF
M/S NAGRATH FIREBRICKS &
POTTERIES P.LTD. ..... Petitioner
Through Mr. Kanwal Chaudhary, Adv. for
the Official Liquidator.
Ms. Seema Gupta, Adv. for
Punjab & Sind Bank.
CORAM:
HON'BLE MS. JUSTICE INDERMEET KAUR
INDERMEET KAUR, J. (Oral)
Co. Appl. 2418/2012 1 This application has been filed under Section 481 of the Companies Act, 1956 seeking dissolution of the Company M/s. Nagrath Firebricks & Potteries Pvt. Ltd. The Company was provisionally wound up on 19.08.1981 and finally on 04.05.1984.
2 The registered office of the Company was located at 2, Tolstoy Marg, New Delhi which is not in possession of the Official Liquidator. C.P. 71/1981 Page 1 of 5 The factory premises of company was located Kalu Bathan, Nirsa Chatti Dhanbad which was sold to M/s Maruti (India) International auction purchaser for Rs. 6,00,000/- in terms of the order of this Court date 05.04.1991.
3 There were three directors of the Company; statement of affairs was filed by them; notices were issued to all debtors of whom mostly denied their liabilities on different grounds. 4 Official Liquidator had invited the claims by publication in the newspapers, namely, 'Hindustan Times' and 'Indian Express'; 96 ex- workers had filed their claims; claims of 61 workers have already been paid; the unclaimed amount of Rs. 1,84,462/- of remaining 35 workers has been transferred to Public Account of India in the Reserve Bank of India in a separate account as per the provisions of Section 555 of the Companies Act in terms of the order of this Court dated 30.08.2012. 5 Punjab & Sind Bank, the only secured creditor had filed its claim for an amount of Rs. 15,26,101/-; its claim for Rs. 14,66,022/- had been admitted by the Official Liquidator and an admission letter for the same had also been issued on 28.09.2012. A meeting with the representative C.P. 71/1981 Page 2 of 5 of Punjab & Sind Bank was held in the office of the Official Liquidator on 10.12.2012; representative of the Bank i.e. Mr. Amar Kumar Gupta, Sr. Manager had stated that the bank has created charge over the goods/plants and machinery of the Company; no charge has been created on land & building of the Company situated at Kalu Bathan, Nisra Chatti Dhanbad; in the meeting, it was decided that sum of Rs. 10,00,000/- be released in favour of Punjab & Sind Bank against full and final settlement of its claim. The Official Liquidator undertakes to release this amount to the Punjab and Sind Bank today itself. The Punjab and Sind Bank is also represented by counsel. No other claim has been received by the Official Liquidator 6 There are no other assets available for realization. In view of the aforenoted factual position, no useful purpose would be served in keeping the company alive. As per the books of account maintained by the office of Official Liquidator the fund position of the company as on date is Rs. 2,07,008/- (after payment of Rs.10 lacs to the Punjab and Sind Bank).
C.P. 71/1981 Page 3 of 5 7 In the case of Meghal Homes (P) Limited Vs. Shree Niwas Girni K.K. Samiti & ors. (2007)7 SCC 753, the Supreme Court, inter alia, in paragraph 31 thereof, held as under :-
"......when the affairs of the Company had been completely wound up or the Court finds that the Official Liquidator cannot proceed with the winding up of the Company for want of funds or for any other reason, the Court can make an order dissolving the Company from the date of that order. This puts an end to the winding-up process."
8 In view of the above decision of the Supreme Court and the facts and circumstances of this case, the liquidation proceedings deserve to be brought to an end. Consequently, M/s. Nagrath Firebricks & Potteries Pvt. Ltd is dissolved under Section 481 of the Companies Act. The Official Liquidator is permitted to transfer the balance fund i.e. Rs. 2,07,008/-available in the Company's account to the Reserve Bank of India after creating provision for payment of government fee, audit fee and other liquidation expenses. The Official Liquidator is permitted to close the books of account of the company. A copy of this order shall be communicated to the Registrar of Companies within 30 days by the C.P. 71/1981 Page 4 of 5 Official Liquidator. The C.A. No. 2418/2012 as also the Company Petition No. 71/1981 are disposed of and the Official Liquidator is discharged. The files and records of the company be consigned to record room.
INDERMEET KAUR, J DECEMBER 12, 2012 rb C.P. 71/1981 Page 5 of 5