IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION COMPANY APPLICATION NO.398 OF 2008 IN COMPANY PETITION NO.263 OF 1996 WITH CA/399/2008 IN CP/251/1996 CA/400/2008 IN CP/688/1996 CA/401/2008 IN CP/405/1996 CA/402/2008 IN CP/123/1996 CA/403/2008 IN CP/302/1996 CA/404/2008 IN CP/728/1996 Bharat Pipes & Fitting Ltd. ...Applicant V/s. Antifriction Bearing Corpn.Ltd. & Anr. ...Respondents ...... Ms.Datta Gada i/b Divyakant Mehta & Associates for Applicant. Mr.M.M.Vashi i/b M.P.Vashi & Associates for Respondents in CA/398/2008 & 402/2008. Mr.H.V.Chande for Respondents in CA/399/2008. Mr.C.D.Patel with Mr.Himanshu Pradhan i/b Crawford Bayley & Co. for Respondents in CA/401/2008. Mr.Vinod Rathod i/b Shah & Sanghavi for Respondents in CA/403/2008. Ms.Ranju Yadav i/b Dhru & Co. for Respondents in CA/404/2008. Mr.S.Ramakantha, Dy.Official Liquidator is present. ...... : 2 : CORAM: A.M.KHANWILKAR, J. CORAM: A.M.KHANWILKAR, J. CORAM: A.M.KHANWILKAR, J. MARCH 27, 2008. MARCH 27, 2008. MARCH 27, 2008. P.C. P.C. P.C. 1. Heard Counsel for the parties. 2. Having regard to the fact that proceedings have been instituted in BIFR in respect of Respondent Company and the same are pending, which position is now indisputable, it necessarily follows that this Court could not have proceeded to pass order dated 7th January 2008 finally disposing of the Company Petition. Indeed, Counsel for the Creditors submit that the new proceedings instituted before the BIFR are not bonafide proceedings. In addition, the representative of the Official Liquidator informs that although provisional liquidator has been appointed in respect of the Respondent Company, the D.R.T. has already disposed of all the assets of the Respondent Company. : 3 : 3. If it is so, the natural action to be taken in this situation would be to wind up the Respondent Company. However, that aspect will have to be considered in the first place by the BIFR where the proceedings are stated to be still pending. It will be open to the provisional Official Liquidator to immediately take out appropriate Application before the BIFR praying for appropriate directions including for recommendation of winding up of the Respondent Company. It will also be open to the Creditors to take out appropriate application before the BIFR to place on record that the recently instituted BIFR proceedings are not bonafide and to invite the BIFR to pass appropriate directions including to recommend winding up of the Respondent Company. If such application is taken out either by the provisional liquidator or by the creditor, it is expected that the BIFR will dispose of the said Application not later than six weeks from the date of its presentation. 4. Accordingly, for the present, this Application is allowed in terms of prayer clause : 4 : (a). 5. The restored Company Petitions shall now appear for directions along with the cognate matters on 1st August 2008 to enable the provisional liquidator as well as the creditors to report about the further development before the BIFR. A.M.KHANWILKAR, J.