THE HON'BLE SRI JUSTICE B.SESHASAYANA REDDY Company Application No.563 of 2011 6th June, 2011 Between :- M/s.Satya Sai Polymers Limited (in Liqn) Rep.by the Official Liquidator, High Court of Andhra Pradesh, Hyderabad .. Applicant THE HON'BLE SRI JUSTICE B.SESHASAYANA REDDY Company Application No.563 of 2011 ORDER:- This application has been taken out by the Official Liquidator representing M/s.Satya Sai Polymers Limited (in Liqn) under Section 460 of the Companies Act, 1956 read with Rules, 9,11,275 and 290 of the Companies (Court) Rules, 1959, seeking permission of the Court to declare a dividend @ 100% amounting to Rs.3,49,501/- to the workmen of the Company in liquidation towards their admitted secured debt as detailed in the statement marked as Annexure-B and authorize him to open a separate dividend account in Punjab National Bank and to pay the dividend to the workmen out of the said amount in terms of Rule 290 of the Companies (Court) Rules, 1959, etc. By an order dated 3-7-1997 made in R.C.C.No.1/1997, M/s.Satya Sai Polymers Limited was ordered to be wound up and the Official Liquidator was appointed as its Liquidator. APSFC filed an application under Section 446 of the Companies Act seeking permission to remain outside the winding up proceedings. The said application came to be allowed by order dated 7-12-1999 vide C.A.No.102 of 1999 subject to certain conditions mentioned thereto. Accordingly, APSFC sold the assets of the Company for a total consideration of Rs.1,57,00,000/-. The Official Liquidator invited claims from the creditors of the Company and adjudicated the claims by issuing individual notices to the claimants as contemplated under Rule 159 of the Companies (Court) Rules, 1959. In terms of the condition imposed by this Court in C.A.No.889/2009 in C.A.No.102/99, APSFC & APIDC deposited a sum of Rs.12,92,683/- on 5-2-2010. As per Annexure-A, the total amount admitted towards workmen is Rs.3,49,501/-. Hence, this application by the Official Liquidator seeking sanction to declare and disburse a dividend @ 100% aggregating to a sum of Rs.3,49,501/- to the workmen of the Company (in Liqn). Heard the learned Counsel appearing for the Official Liquidator and perused the affidavit filed in support of the application. The claims admitted by the Official Liquidator relatable to workmen dues is Rs.3,49,501/- vide Annexure-A to the application. The amount available with the Official Liquidator is Rs.12,92,683/- as on 5-2-2010. Therefore there cannot be any impediment in directing the Official Liquidator to declare a dividend @ 100% amounting to Rs.3,49,501/- to the workmen of the Company. Accordingly, the application is ordered declaring the dividend at 100% amounting to Rs.3,49,501/- to the workmen of the Company (in Liqn) towards their admitted secured debt as detailed in the statement marked as Annexure-B. The Official Liquidator is authorized to open a separate dividend account in Punjab National Bank. Publication of notice of dividend in newspapers is dispensed with. In case of any of the workmen is no more, the Official Liquidator is permitted to disburse the same to his/her legal representative on production of Family Member Certificate or such other Certificate issued by the Revenue Authorities. ________________________ B.Seshasayana Reddy, J 6th June, 2011 smr