1 ca214-11.doc IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION COMPANY PETITION NO.510 OF 1989 WITH COMPANY APPLICATION NO.214 OF 2011 Rajendra Vinayak Shirgaokar .. Petitioner Versus Official Liquidator, High Court, .. Respondent Mr.Uday Bobde i/b. J.G.Gaikwad for applicant/petitioner Dr.T.Pandian, O.L. present CORAM : S.C.DHARMADHIKARI, J. 18th August 2011. P.C.: 1] This is an application by Ex-Director of the respondent company praying that the company in liquidation be permitted to be revived. 2] He, therefore, prays that the order dated 26th February 1998 passed in the subject company petition winding up the respondent company be set aside. 3] Mr.Bobde, learned Counsel appearing in support of this 2 ca214-11.doc application has invited my attention to an order passed in Company Petition No.27 of 2011, whereunder the applicant has deposited the disputed amount with Official Liquidator. He submits that the revival scheme has also been presented. The dues of secured creditors have been paid in full and further even the worker's dues in pursuance of this order have been deposited with the OL. He submits that the OL has not received any other claims. In these circumstances, with a view to enable the applicant and others to revive the original respondent Shakti Alloy Steels Ltd., this Court should pass appropriate orders. 4] He has invited my attention to the affidavit in reply that has been filed on behalf of OL wherein it is stated that the moveables have been sold for 2.04 Crores. Thereafter, an amount of Rs.1.35 Crores out of sale proceeds of Rs.2.04 Crores were sought to be released and during the pendency of that application, the OL was directed to examine the claims of the workmen and creditors and file a reply. The total claims that have been received are to the tune of Rs.1.18 Crores and the amount available to the credit of company is Rs.68,35,685/-. 3 ca214-11.doc The OL has paid to the applicants in Company Application No. 1136 of 2009 a sum of Rs.1.35 Crores. Thereafter, the residual sum of Rs.69 lakhs was also sought to be released and the applicants filed Company Application No.1137 of 2009 for the said purpose. There also, an order was passed directing OL to invite claims. The claims have thus been invited and adjudicated by him. One security agency had raised a bill of Rs.1,26,626.64 and thereafter the outstanding security charges of Rs.1,24,093/- for a period from February 2010 to March 2011 has also been paid. 5] Now, it is stated that a sum of Rs.42,73,177/- towards balance amount required for payment to workers has been received. An amount of Rs.90 lakhs is invested in Fixed Deposits and the same will be maturing in September 2011. After, the said sum is taken into account, the total amount that would be available to the credit company would be approximately Rs.1.17 Crores which will be sufficient to pay 100% dues to the workers and creditors. In these circumstances, the OL prays that since the company is being revived on the basis of immovable 4 ca214-11.doc property, the applicant – Ex-director may be directed to pay off the workers' dues in terms of Rule 179 of Companies Court Rules, including interest at 4% as permitted thereunder from the date of winding up order. Further, Mr.Bobde invites my attention to the statement made in the affidavit that Rs.1 lakh as against costs and expenses of OL for looking after the affairs of the company for past more than 13 years is claimed and requested to be paid. 6] Mr.Bobde submits that the Liquidator cannot now inflate the claim of the workers as they have not demanded any interest. The claim that has been determined and adjudicated is now crystalised and that sum is made available at the disposal of the OL. Therefore, the OL be directed to release that sum to the workers without any interest and as far as the sum claimed as costs and expenses incurred by OL, this Court may pass suitable orders. 7] After having heard Mr.Bobde and with his assistance perusing the affidavits that have been placed on record, I am of 5 ca214-11.doc the opinion that the request made by the applicants deserves to be granted. The applicant has cleared dues of all secured creditors and workers and there is no denial of that fact. Further, the applicant has deposited the deficit/ disputed amount towards the claim of workers. The OL has issued necessary advertisement and beyond the claim of workers, he has not received any other claim from any third party. In these circumstances and when the liquidator states that the workers would be paid their sums as adjudicated and determined by him and to the extent of 100% from 14th September 2011 onwards, it is directed that on payment of the sum to the workers in full, the order winding up respondent shall stand set aside. It would be open for the applicant to then take steps to revive the company in liquidation. The applicant is also directed to pay the sum of Rs.1 lakh as costs, charges and expenses of OL, which shall be accepted by OL in full and final settlement of all claims as far as this winding up proceedings are concerned. The company application is made absolute in these terms. 8] After the claims of the workers are fully paid off by the OL 6 ca214-11.doc which shall be done within eight weeks from today, the immovable property, more particularly described in the application be handed over to the applicant. (S.C.DHARMADHIKARI, J)