Madras High Court
The Recovery Officer vs The Official Liquidator on 2 September, 2021
W.A. No.1574 of 2013
IN THE HIGH COURT OF JUDICIATURE AT MADRAS
DATED : 02.09.2021
CORAM :
THE HONOURABLE MR.JUSTICE T.RAJA
and
THE HONOURABLE MRS.JUSTICE T.V.THAMILSELVI
W.A.No.1574 of 2013
and M.P. No.1 of 2013
The Recovery Officer,
Office of the Regional PF Commissioner,
Bhavishyanidhi Bhavan,
Employees' Provident Fund Organisation,
Regional Office,
Dr.Balasundaram Road,
Coimbatore – 641 018. ... Appellant
versus
1.The Official Liquidator,
Corporate Bhawan,
2nd Floor,
Ministry of Company Affairs,
No.29, Rajaji Salai,
Chennai – 600 104.
2.Board for Industrial and Finance Reconstruction,
Jawahar Vyapar Bhawan,
1, Tolstoy Marg, Janapath,
New Delhi – 110 001.
1/6
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W.A. No.1574 of 2013
3.The Chief Manager,
Punjab National Bank,
N.S.C.Bose Road,
15 & 16, Rattan Bazaar,
Chennai – 600 003.
4.M/s.Tan India Ltd.,
No.21, Gandhipuram Main Road,
Kumarapalayam – 638 183. ... Respondents
Prayer: Appeal filed under Clause 15 of the Letters Patent against the order
dated 28.02.2013 passed by the learned Single Judge in W.P. No.26110 of
2012.
For Appellant : Ms.R.Meenakshi
For Respondents : Mr.Kiran Manokaran for
Official Liquidator for R1
R2 to 4 no appearance
JUDGMENT
(Judgment of this Court was delivered by T.RAJA,J.)
This writ appeal has been brought by the Recovery Officer, Office of
the Regional PF Commissioner, challenging the impugned order dated
28.02.2013 passed in W.P. No.26110 of 2012, wherein the learned Single
Judge, holding that the prayer seeking for a direction to the Official
Liquidator to pay legal dues from and out of the accounts held by him
cannot be granted, has dismissed the above writ petition.
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W.A. No.1574 of 2013
2.Ms.Meenakshi, learned counsel appearing for the appellant, while
briefly stating the justification to claim the money from the first respondent,
with a leave of the Court, learned counsel for the Official Liquidator, first
respondent herein, drawing our notice to a Status Report of the Official
Liquidator dated 10.08.2021, submitted that the Official Liquidator has
received two claims from EPFO. namely, EPFO., Coimbatore and EPFO.,
Salem and based on the documentary evidence submitted by the EPFO.,
Coimbatore, the Official Liquidator has adjudicated the claim and allowed a
sum of Rs.40,82,566/- and rejected a sum of Rs.37,18,618/-, out of the total
claimed amount of Rs.78,01,184/-.
3.A perusal of the Status Report dated 10.08.2021 filed by the
Official Liquidator shows that this Court, by order dated 25.06.2001 made
in C.P. No.243 of 1997, has ordered the Company, viz., M/s.Tan India
Limited to be wound up and the Official Liquidator to take over the
company. Since the company in liquidation is having its assets in four
divisions, i.e. land and building and plant and machinery, situated at
different places in Tamil Nadu, subsequent to the winding up order, an
application was filed by the Ex-Directors of the Company in liquidation in
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W.A. No.1574 of 2013
C.A. No.927 of 2001 seeking direction to set aside the order of winding up
on the ground that a reference was made to the Board for Industrial and
Financial Reconstruction under the provisions of the Sick Industrial
Companies (Special Provisions) Act, 1985 and pursuant to the provisions of
Section 22 of the Sick Industrial Companies (Special Provisions) Act, 1985,
this Court granted an order of stay of further proceedings in the winding up
action till the disposal of the reference pending before BIFR. The above
Status report further reveals that while passing the order, this Court also
made it clear that the order of winding up was not liable to be set aside and
that the vesting of the companies property and the consequences under
Section 456 (1) and (2) of the Companies Act, 1956 would continue to be
operative and that the reference was dismissed by BIFR on 05.08.2002 and
on appeal, the Appellate Authority for Industrial and Financial
Reconstruction passed an order on 07.11.2005 remitting the matter back to
the BIFR. It further states that when the Official Liquidator has taken
possession of four divisions, this Court, by order dated 07.02.2006 made in
C.A. Nos.1185 of 2003 and 105 and 106 of 2006, has appointed Justice
K.P.Sivasubramanian (Retd.) as the Administrator of the Company in
liquidation to take possession and charge of the assets of the company and
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W.A. No.1574 of 2013
to take inventory, manage/supervise and administer the assets and affairs of
the company and on receipt of two claims from EPFO., Coimbatore and
EPFO., Salem, based on the proof/documentary evidences submitted by the
EPFO., Coimbatore, the Official Liquidator has adjudicated the claim and
allowed a sum of Rs.40,82,566/- and rejected a sum of Rs.37,18,618/-, out
of the total claimed amount of Rs.78,01,184/- and the Official Liquidator
has also adjudicated the claim of EPFO., Salem and admitted a sum of
Rs.7,95,504.11 and rejected a sum of Rs.27,03,415.07 out of the total
claimed amount of Rs.34,98,919.18.
4.Learned counsel appearing for the Official Liquidator submitted
that since the Official Liquidator exercising his power under Rule 163 of the
Companies (Court) Rules, has passed the order, if the appellant is
aggrieved, the remedy lies before the Company Court under Section 164 of
the Companies (Court) Rules.
5.Learned counsel appearing for the appellant fairly submitted that
the matter may be closed giving liberty to the appellant to proceed in
accordance with law.
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W.A. No.1574 of 2013
T.RAJA,J.
and
T.V.THAMILSELVI,J.
vga
6.Taking note of the status report filed by the Official Liquidator and
the submissions made by both the learned counsel, this Court is inclined to
grant liberty to the appellant to proceed further in the manner known to law,
while dismissing this appeal.
7.Accordingly, this appeal stands dismissed granting liberty to the
appellant to pursue the matter in the manner known to law.
[T.R.,J] [T.V.T.S.,J]
02.09.2021
vga
W.A.No.1574 of 2013
and M.P. No.1 of 2013
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