Madras High Court
M/S. Hindusthan National Glass And ... vs The Additional Commissioner on 17 April, 2025
W.P.No.3991 of 2020
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 17.04.2025
PRESENT:
THE HONOURABLE DR. JUSTICE A.D.MARIA CLETE
W.P.No.3991 of 2020
and
W.M.P.Nos.4731 to 4734 of 2020
M/s. Hindusthan National Glass and Industries Ltd.
Formerly M/s. ACE Glass Containers Ltd.
Duly Rep. by its General Manager K.Saravanan
Thondamanatham Village, Villianur,
Sedarapet Main Road,
Puducherry – 605 502. ...Petitioner
Vs.
1 The Additional Commissioner
for Workmen's Compensation, Labour
Department Complex II Floor Vazhudavur
Road Gandhi Nagar Puducherry 605009.
2 Tahsildar
Villianur Taluk Office Villianur
Government of Puducherry 605110.
3 Employees State Insurance Corporation,
Duly Rep. by its Regional director
178 100 Feet Road Opp. Regional
Transport Office Ozhandai Keerapalaiyam
Mudaliarpet Puducherry.
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W.P.No.3991 of 2020
4 A.Sudha Alias Anusuya
D/o.Arunagiri No.1 Kaman Koil Street G.N.
Palayam Puducherry.
5 T.Jayanthi
D/o.Thillaikannu 2nd Main Road G.N.Palayam
Arumparthapuram Puducherry.
6 M.Vennila
D/o.Manikkam No.6 Kamam Koil Street G.N.
Palayam Arumparthapuram Puducherry.
7 P.Priya
W/o.Prakash No.1 Mariamman Koil Street G.N.
Palayam Arumparthapuram Puducherry.
8 R.Sumathi (Died)
D/o.Ramasamy No.30 Pillaiayar Koil Street
G.N.Palayam Arumparthapuram Puducherry.
9 M.Valli
W/o.Murugavel No.34 Pillaiyar Koil Street
G.N.Palayam Arumparthapuram Puducherry.
10 Bavani
W/o.Srinivasan No.17 Mariamman Koil Street
G.N.Palayam Puducherry.
11 N.Jayalakshmi
W/o.Nandagopal No.28 Pudu Nagar
Pillaiayrkuppam Villianur Communue
Puducherry.
12 Kamalam (Died)
W/o.Boopathy No.7 Pudunagar
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W.P.No.3991 of 2020
Pillaiyarkuppam Puducherry.
13 Dhanalakshmi (Died)
W/o.Mahalingam No.157 Mariamman Koil
Street Pillaiyarkuppam Puducherry.
14 Kanagam
W/o.Rajaram No.170 Mariamman Koil Street
Pillaiyarkuppam Puducherry.
15 Saroja
W/o.Jaidev Biswas No.163 Mariamman Koil
Street Pillaiyarkuppam Puducherry.
16 Gnanambal
W/o.Sinnathambi No.74 Meenachiamman Koil
Street Pillaiayarkuppam Puducherry.
17 R.Kumudavallu
W/o.Ramakrishnan No.17 Meenachiamman Koil
Street Thondamanatham Puducherry.
18 J.Krishnaveni
W/o.Janakiraman No.48 Nadutheru
Pillaiyarkuppam Puducherry.
19 K.Vijaya (Died)
W/o.Kalivarathan No.30 Mariamman Koil
Street Pillaiyarkuppam Puducherry.
20 P.Kalvikarasi
W/o. Perianna No.159 Mariamman Koil Street
Pillaiyarkuppam Puducherry.
21 Porkalai
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W.P.No.3991 of 2020
W/o.Kannayan No.16 Mariamman Koil Street
Pillaiyarkuppam Puducherry.
(R4 TO R21 impleaded vide order dated 30.09.2020
MADE IN WMP.8131/2020 AND 17178 of 2020) ...Respondents
Prayer in W.P.:
To pass a writ or order or direction in the nature of writ of certiorari Calling
for the records of the Impugned Order dated 03.05.2019 issued by the 1st
Respondent and quash the same and consequently quash the order No. 3989-
II/ AIL/ G/ 2019/ 860 dated 14.08.2019 directing the Petitioner to deposit
Rs. 88 22 673/- and consequently quash the order No. 367/ TOV/ RR/ Act/
2020 dated 29.01.2020 issued by the 2nd Respondent directing the Petitioner
to pay a sum of Rs. 88 22 673/- as the same are illegaland pass such other or
further orders as this Court may deem fit and proper in the circumstances of
the case.
Prayer in WMP.No.4731 of 2020
To dispense with the production of the original impugned order dated
03.05.2019 issued by the first respondent and pass such other or further
orders as this Court may deem fit and proper in the circumstances of the
case.
Prayer in WMP.No.4732 of 2020
To stay the operation of the impugned order No. 367/ TOV/ RR/ Act/ 2020
dated 29.01.2020 issued by the 2nd Respondent directing the Petitioner to
pay a sum of Rs. 88 22 673/- pending disposal of the present Writ petition
and pass such other or further orders as this Court may deem fit and proper
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W.P.No.3991 of 2020
in the circumstances of the case.
Prayer in WMP.No.4733 of 2020
To stay the operation of the impugned order dated 03.05.2019 issued by the
first respondent pending disposal of the present Writ petition and pass such
other or further orders as this Court may deem fit and proper in the
circumstances of the case.
Prayer in WMP.No.4734 of 2020
To stay the operation of the impugned order No. 3989-II/ AIL/ G/ 2019/ 860
dated 14.08.2019 directing the Petitioner to deposit Rs. 88 22 673/- failing
which action for recovery under Pondicherry Revenue Recovery Act, 1923
would be taken pending disposal of the present Writ petition and pass such
other or further orders as this Court may deem fit and proper in the
circumstances of the case.
Appearance of Parties:
For Petitioner : Mr. D. Ferdinand.
For Respondent : Mr.Ramasamy Maiyappan, Additional
Government Pleader for R1 & R2.
Mr. D. Simon, CGSC for R3.
Mr. Sathyanarayanan for R4.
Mr. S. Deenadayalan for R5 to R9.
Ms. Ramapriya for R10 to R21.
JUDGMENT
This writ petition has been filed by the petitioner, M/s. Hindustan
National Glass & Industries Ltd., to quash the impugned order dated
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03.05.2019 passed by the first respondent, the Additional Commissioner for
Workmen Compensation, Puducherry, directing the petitioner company to
deposit a sum of Rs. 88,22,673/- for payment to 18 workmen. The petitioner
has also sought to quash the notice dated issued by the second respondent,
the Tahsildar, under the provisions of the Pondicherry Revenue Recovery
Act, 1970.
2. The writ petition was filed on 17.02.2020. By an interim order dated
19.02.2020 passed in W.M.P. No. 4732 of 2020, this Court directed the
respondents not to take any coercive steps to recover the said amount.
Pending the writ petition, Employees State Insurance Corporation impleaded
as 3rd Respondent and the 18 workmen were impleaded as Respondents 4 to
21 by order dated 30.09.2020, passed in W.M.P. Nos. 8131 and 17178 of
2020.
3. When the matter came up for hearing before me, arguments were put
forth by the petitioner side and on the workmen side on the merits of the
case. Later, learned counsel for the first respondent Puducherry Government
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brought to the notice of this Court and orally submitted that the company
had undergone liquidation and that the liquidation proceedings had also
concluded and sought time to file relevant typeset. However on the
petitioner's side, an additional typed set of papers was filed on 02.04.2025.
From the said documents, it came to light that the petitioner company was
adjudicated as insolvent on 22.10.2021 in C.P. (I.B.) No. 369/KB/2020 by
the National Company Law Tribunal (NCLT), Kolkata, on a petition filed by
DBS Bank Limited under Section 7 of the Insolvency and Bankruptcy Code,
2016 (IBC). Pursuant to the said order, corporate insolvency resolution
proceedings were initiated, and Mr. Girish Sriram Juneja was appointed as
the Interim Resolution Professional and subsequently as the Resolution
Professional.
4. A resolution plan submitted by AGI Greenpac Ltd. was approved by
the Committee of Creditors, and the Resolution Professional filed I.A. No.
1401 of 2022 seeking approval before the NCLT, Kolkata. In the meantime,
Independent Sugar Corporation Ltd., whose plan had been rejected, along
with others, filed an appeal before the National Company Law Appellate
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Tribunal (NCLAT), New Delhi. By a common order dated 18.09.2023 in
Company Appeal (AT)(Insolvency) No. 807 of 2023 and I.A. No. 2271 of
2023, along with connected appeals, the NCLAT permitted the Adjudicating
Authority to consider I.A. No. 1401 of 2022 for approval of the resolution
plan submitted by the Resolution Professional. A civil appeal filed against
the said NCLAT order before the Hon’ble Supreme Court of India, was also
disposed of.
5. A regrettable aspect of this case is that even though the petitioner
company was adjudicated as insolvent by order dated 22.10.2021, this fact
was not brought to the notice of this Court by the petitioner promptly and the
proceedings were allowed to continue. As per Section 14 of the IBC, once an
adjudication order is passed, a moratorium operates, prohibiting all
proceedings against the company. As far as proceedings initiated by the
company are concerned, Section 25(2)(b) of the IBC mandates that the
Resolution Professional shall represent the company.
6. In the present case, the Resolution Professional did not appear to
represent the company after the adjudication order was passed—likely due
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to the fact that he was unaware of this writ proceeding. It was the bounden
duty of the erstwhile management of the company—particularly the General
Manager, who had filed this writ petition—to inform the Resolution
Professional.
7. When the matter was taken up today, the learned counsel for the
petitioner submitted that the period of the Resolution Professional viz., Mr.
Girish Sriram Juneja who was earlier appointed by the NCLT, has been
extended on 17.03.2025 by the NCLT, Kolkata vide order dated 17.03.2025
in I.A.No.269/KB/2025. However, the copy of the said order has not been
produced before this Court. From the above submission, it is seen that the
Insolvency Resolution Proceedings are under progress.
8. Hence, once an adjudication order is passed by the NCLT, all claims
against the company must be presented before the Resolution Professional
and any party aggrieved by a decision of the Resolution Professional, has a
right of appeal before the NCLT. In the present case, the respondents have
also not approached the NCLT.
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9. In view of the above circumstances this writ petition is disposed of
with the liberty to the respondents to approach the NCLT for appropriate
relief, if any, available to them at this stage. However, there shall be no
order as to costs. Consequently, connected miscellaneous petitions are
closed.
17.04.2025
ay
NCC : Yes / No
Index : Yes / No
Internet : Yes / No
DR. A.D.MARIA CLETE, J
ay
To
1 The Additional Commissioner
for Workmen's Compensation, Labour
Department Complex II Floor Vazhudavur
Road Gandhi Nagar Puducherry 605009.
2 Tahsildar
Villianur Taluk Office Villianur
Government of Puducherry 605110.
3 Employees State Insurance Corporation,
Duly Rep. by its Regional director
178 100 Feet Road Opp. Regional
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Transport Office Ozhandai Keerapalaiyam
Mudaliarpet Puducherry.
and
W.M.P.Nos.4731 to 4734 of 2020
17.04.2025
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