THE HON'BLE SRI JUSTICE B.SESHASAYANA REDDY Company Application No.1879 of 2011 in Company Petition No.39 of 2000 15th December, 2011 Between :- The Midwest India Industries Limited (In Prov.Liqn.) Rep.by the Official Liquidator, High Court of Andhra Pradesh, Hyderabad .. Applicant THE HON'BLE SRI JUSTICE B.SESHASAYANA REDDY Company Application No.1879 of 2011 in Company Petition No.39 of 2000 ORDER:- This application has been taken out under Section 460(4) of the Companies Act, 1956 read with Rules 275, 276, 290 and 555 of the Companies (Court) Rules, 1959, by the Official Liquidator representing M/s.Midwest India Industries Limited (In Prov.Liqn.) to declare a dividend at 100% in a rupee to the only workman totaling to a sum of Rs.21,275-06 P.S. and to dispense with the publication of notice of dividend in newspapers and other allied reliefs. This Court by an order dated 11-10-2000 made in C.P.No.39 of 2000 appointed the Official Liquidator attached this Court as Provisional Liquidator of M/s.Midwest India Industries Limited. The Official Liquidator had taken possession of the assets of the Company (In Prov.Liqn.) situated at Madhapur and Khajaguda and realized an amount of Rs.2.83 crores. The Official Liquidator received the claims against the Company (In Prov.Liqn.) and thereupon adjudicated the claims of the depositors. This Court by an order dated 13-7-2004 made in Company Application No.1359 of 2004 in Company Application No.81 of 2004 in C.P.No.39 of 2000 permitted the Official Liquidator to declare a first interim dividend at 100 P.S., per Rupee to those F.D.Holders whose F.D. face value is less or equal to Rs.5,000/- and @ 35 P.S., per rupee to those F.D. Holders whose fixed deposit face value is more than Rs.5,000/-. Accordingly, dividends were paid to the deposit holders. Thereafter, this Court by an order dated 2-12- 2009 passed in C.A.No.1947 of 2009 and an order dated 11-11-2009 passed in C.A.No.1903 of 2009 directed the Official Liquidator to declare the first interim dividend to deposit holders who have failed to claim their dividend within the stipulated time. Accordingly, the Official Liquidator paid the dividend to the deposit holder and disbursed an amount of Rs.2,47,62,063-65 P.S. The Official Liquidator invited claims from the creditors against the Company by publishing a notice in Form No.63 in daily newspapers – Andhra Bhoomi, Indian Express and Lokmatha on 3-11-2007 fixing the last date for receipt of the claims on 23-11-2007. The Official Liquidator received claims from six secured creditors and one workman. The claims of the secured creditors and the workman came to be adjudicated by the Official Liquidator by issuing notice in Form No.69/70. This Court permitted the Official Liquidator by order dated 23-3-2011 passed in C.A.No.322 of 2011 for payment of interim dividend to six secured creditors. The dividend is to be declared in respect of only individual workman viz., K.L.Shankar. Hence, this application to declare dividend at 100% in a rupee to the only workman totaling to a sum of Rs.21,275-06 P.S. and to dispense with the publication of notice of dividend in newspapers and other allied reliefs. Heard learned Counsel appearing for the Official Liquidator representing the applicant Company and perused the material brought on record. As could be seen from the material brought on record, the only workman who lodged claim with the Official Liquidator is K.L.Shankar. He claimed an amount of Rs.1,94,726/-. The Official Liquidator after duly verifying the records, admitted the claim to a tune of Rs.21,275-06 P.S., while rejecting the claim to a tune of Rs.1,73,450.94 P.S. Since the funds are available with the Official Liquidator to meet the admitted claim of the sole workman, there is no impediment in declaring a dividend at 100% in rupee to the sole workman viz., K.L.Shankar. Accordingly, the application is ordered declaring a dividend at 100% in rupee to the only workman viz., K.L.Shankar, totaling to a sum of Rs.21,275-06 P.S. Publication of Notice of Dividend in newspapers is dispensed with. The Official Liquidator is authorized to send individual notice of dividend in Form No.138 along with proforma of receipt to the workman. The Official Liquidator is permitted to open a separate Dividend Account and keep it in force for a period of six months. _________________________ B.Seshasayana Reddy, J 15th December, 2011 smr