An applicant company sought condonation of an 1853-day delay in filing a proof of debt in the winding-up of a respondent company. The court held the delay was not willful and allowed the claim.
Condonation of delay in filing the proof of debt and direction to the Official Liquidator to accept the same.
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THE HON’BLE Ms. JUSTICE G. ROHINI
COMPANY APPLICATION No.225 OF 2011 IN
R.C.C.No.1 OF 1993
Dated: 21.03.2011
Between :
Industrial Development Bank of India Limited
…… Applicant
And
M/s. Malwala Oils Limited
……. Respondent
The Court made the following :-
THE HON’BLE Ms. JUSTICE G. ROHINI
COMPANY APPLICATION No.225 OF 2011 IN
R.C.C.No.1 OF 1993
O R D E R :
M/s. Malwala Oils Limited- the respondent herein was directed to be wound up by this Court by order dated 06.09.1993 in R.C.C.No.1 of 1993 and the Official Liquidator attached to this Court was appointed as its Liquidator. Pursuant thereto, the Official Liquidator called for the claims/proof of debts fixing the last date for receipt of the claims as 20.11.1998.
The applicant herein, who is the secured creditor, states that in response to the said publication, the proof of debt could be filed only on 17.12.2003, since the publication in the newspapers could not be noticed by the applicant. While stating that the delay of 1853 days in
filing the claim is neither willful nor deliberate, the present Application has been filed to condone the delay in fling the claim and to accept and entertain the proof of debt filed by the applicant.
I have heard the learned counsel for the applicant as well as the learned counsel for the Official Liquidator and perused the material available on record.
Having regard to the facts and circumstances explained in the affidavit filed in support of the application, the delay is hereby condoned and the Application is allowed as prayed for. No costs.
__________ G. ROHINI, J
Date: 21.03.2011 Ivd
2 issues framed by the court
Whether the delay in filing the proof of debt as a secured creditor in a winding-up proceedings should be condoned.
Whether the Official Liquidator is empowered to accept a belated claim when the delay is not willful.
Industrial Development Bank of India Limited
M/s. Malwala Oils Limited
G. ROHINI
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
