Application seeking punishment for Ex-Directors for delayed filing of Statement of Affairs. Court directed cooperation but deferred punishment, ordering reopening of application if respondents fail to provide information.
Directed to provide information and cooperate; upon failure, Official Liquidator may reopen application for sentence.
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Comp.A.No.999 of 2016 in C.P.No.3 of 2010
Krishnan Ramasamy, J.,
This Company Application is filed seeking the following prayers:
“i) To take the report on record
ii) To permit the Official Liquidator to modify the
name of the company in liquidation as prayed in Para 1 of the report;
iii) To take cognizance of the offence committed by
the accused under Section 454(5A) of the Companies
Act, 1956 for non-filing of the Statement of Affairs
with the Official Liquidator and punish them in accordance with law.
iv) To dispense with appearance of the Complainant
before this Court on each hearing.
v) To direct the accused to file forthwith the Statement of Affairs with the Official Liquidator.
vi) To direct the cost of the complaint do come out of
the funds of the company in liquidation
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2. Ms.B.Ambili, Deputy Official Liquidator submitted that the winding up order has been passed by this Court on 28.11.2012. Since the ExDirectors of the company in liquidation have filed their Statement of Affairs only on 26.06.2023, the present application came to be filed to punish them in accordance with law. Therefore, she requested this Court to pass appropriate orders.
3. It is clear that the Statement of Affairs has to be filed as per the provisions of Section 454(1) to (3) of the Companies Act, 1956 before the Official Liquidator within a prescribed period. However, in the present case, the Ex-Directors of the Company in liquidation have failed to file their Statement of affairs within a prescribed period under the Act. Therefore, they are liable to be punished and the same may be awarded by this Court.
4. The learned counsel for the respondents would submit that they
would cooperate with the Official Liquidator and supply appropriate information and materials, whatever the Official Liquidator requires.
5. Considering the submission made by the learned counsel for the
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respondents, this Court directs the respondents to provide required information and shall co-operate with the Official Liquidator for the purpose of smooth conclusion of the proceedings. In the event, if there is a failure on the part of the respondents to cooperate with the Official Liquidator and to provide information and other details, the Official Liquidator is at liberty to re-open this application and, thereafter, this Court will consider the imposition of sentence.
6. With the above, the Company Application is closed.
14.06.2024
jd
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Krishnan Ramasamy, J., jd
Comp.A.No.999 of 2016 in C.P.No.3 of 2010
14.06.2024
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3 issues framed by the court
Whether Ex-Directors for filing late Statement of Affairs are liable to be punished.
Whether the Official Liquidator can reopen prosecution upon failure to cooperate.
Whether appearance of Complainant is necessary for each hearing.
2 provisions across 1 enactments
Ex-Directors of the Company in Liquidation
Krishnan Ramasamy
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
