The Official Liquidator, Vs re — Company and Corporate | Andhra Pradesh HC (2026)

The Official Liquidator, Vs re — Company and Corporate | Andhra Pradesh HC (2026)

What the court decided

AI extract

Outcome

Company Application allowed as prayed for: half-yearly accounts of the subject company (in liquidation) for 01.04.2024 to 30.09.2024, with the Independent Auditor's Report dated 12.02.2026 by M/s. Padmanabha Rao & Company, Chartered Accountants, taken on record; permission granted to pay audit fee of Rs.500/- plus GST to the auditor; costs of the application permitted to be met from available funds of the Company (in liquidation)/Estate and Establishment Fund account; no order as to costs.

Issue for consideration

Whether the half-yearly accounts of the subject company (in liquidation) for the period 01.04.2024 to 30.09.2024, along with the Independent Auditor's Report dated 12.02.2026 submitted on 18.02.2026, may be taken on record and permission accorded to pay the audit fee of Rs.500/- plus GST to the auditor. +1 more

Court's answer

On perusal of the Report there is no adverse comment on the Statement of Accounts of the company (in liquidation); accordingly, the Half Yearly Account and Auditor's Report of the subject company (in liquidation) are taken on record as required under the provisions of the Companies Act, 1956.

Ratio / Principle

The Company Application is allowed as prayed for, which takes the accounts and Auditor's Report on record and accords permission to make the payment of audit fee of Rs.500/- plus GST to the auditor; the Court makes no order as to costs.

Key takeaways

Since the application is allowed as prayed for, the cost of the application is permitted to be met out by the Official Liquidator from the available funds of the Company (in liquidation) or the Estate and Establishment Fund account, subject to reimbursement upon realisation of assets; the Court itself imposes no costs.ratio¶27

Detailed headnote1 paragraphs

High Court of Andhra Pradesh at Amaravati (Special Original Jurisdiction) — Company Application No. 95 of 2026, decided 10.04.2026 by Smt. Justice V. Sujatha. Filed by the Official Liquidator attached to the Hon'ble High Court of Telangana and Andhra Pradesh under Sections 462 and 551 of the Companies Act, 1956 read with Rules 306 and 298 of the Companies (Court) Rules, 1959, praying (i) that the half-yearly accounts of the subject company (in liquidation) for 01.04.2024 to 30.09.2024, together with the Independent Auditor's Report dated 12.02.2026 (submitted 18.02.2026) by M/s. Padmanabha Rao & Company, Chartered Accountants — prepared pursuant to the order dated 09.01.2025 in C.A.No. 50 of 2024 — be taken on record with permission to pay audit fee of Rs.500/- plus GST, and (ii) that application costs be met from available funds of the company (in liquidation) or the Estate and Establishment Fund account. The Court found no adverse comment on the Statement of Accounts, took the Half Yearly Account and Auditor's Report on record as required under the Companies Act, 1956, allowed the application as prayed for, and made no order as to costs.

[3333]

APHC010165782026

IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction)

FRIDAY,THE TENTH DAY OF APRIL TWO THOUSAND AND TWENTY SIX

PRESENT

THE HONOURABLE SMT JUSTICE V.SUJATHA COMPANY APPLICATION NO: 95 OF 2026

Between:

THE OFFICIAL LIQUIDATOR,, ATTACHED TO THE HONBLE HIGH COURT OF TELANGANA, AND ANDHRA PRADESH, 1ST FLOOR. CORPORATE BHAWAN, BANDLAGUDA, NAGOLE, HYDERABAD500 068

...APPELLANT

AND

Nil

...RESPONDENT

Counsel for the Appellant:

1.T V P SAI VIHARI(SC FOR OFFICIAL LIQUIDATOR)

Counsel for the Respondent:

The Court made the following:

THE HONOURABLE SMT JUSTICE V.SUJATHA COMPANY APPLICATION NO: 95 OF 2026

ORDER:-

This Company Application is filed under Section 462 and 551 of the Companies Act, 1956 read with Rule 306 read with Rule 298 of the Companies (Court) Rules, 1959 seeking the following relief:

“….i) take the half-yearly accounts of the subject company (in liquidation) for the period from 01.04.2024 to 30.09.2024, along with Independent Auditor's Report dated 12.02.2026 submitted on 18.02.2026 by M/s. Padmanabha Rao & Company, Chartered Accountants on record and permission may be accorded to make the payment of audit fee of Rs.500/- plus GST to the said auditor.

ii) Cost of this application (Court fee Stamps and Notary Charges etc.,) may be permitted to be met out by the Official Liquidator from the available funds of the Company (in liquidation) or Estate and Establishment Fund account if no fund is available in the company’s account subject to reimbursement of the same from the funds of Company (in liquidation) upon realization of assets of the Company (in liquidation), whenever so happened …”

Heard Mr. T.V.P.Sai Vihari, learned counsel for Official Liquidator/ Applicant.

Learned counsel for learned counsel for Official Liquidator/ Applicant would submit that in compliance of the provisions of Section 462 of the Companies Act, 1956 read with Rule 298 and Rule 306 of the Companies (Court) Rules, 1956, the Official Liquidator is enclosing the Half Yearly Accounts for the periods from 01.04.2024 to 30.09.2024, along with

independent Auditor’s Report dated 12.02.2026, which is submitted on 18.02.2026, duly audited by M/s. Padmanabha Rao & Company, Chartered Accountants, pursuant to the Order of this Court, dated 09.01.2025 in C.A.No. 50 of 2024.

On perusal of the Report, it can be observed that there is no adverse comment on the Statement of Accounts of the said company (in liquidation) and as such, the Half Yearly Account and Auditors Report of Subject Company (in liquidation) can be taken on record, as required under the provisions of the Companies Act, 1956.

For the above reasons, the Company Application is allowed as prayed for. There shall be no order as to costs.

___________________ JUSTICE V.SUJATHA

Date: 10.04.2026

KK