Allowed

M/s Sri Raja Rajeswara Finance and Investments Ltd., v. -

Telangana HC11 Sept 2012COMPA/880/2012

Case brief

AI extract

What is this about?

This order took on record the highest offer of Rs.26.50 lakhs received from Sri B.Narayana in an auction of corporate assets, exceeding the fixed upset price. The court permitted the Official Liquidator to collect the balance consideration and return EMDs to unsuccessful bidders.

What did the court decide?

The highest offer of Rs.26.50 lakhs was taken on record; O.L. permitted to collect balance consideration from bidder and return EMDs to unsuccessful bidders.

M/s Sri Raja Rajeswara Finance and Investments Ltd… — Company and Corporate | Telangana HC (2012)

¶1

THE HON'BLE SRI JUSTICE RAMESH RANGANATHAN

¶2

COMPANY APPLICATION No.880 of 2012

¶3

In COMPANY APPLICATION No.584 of 2012

¶4

¶5

COMPANY PETITION No.100 of 2002

¶6

ORDER:

¶7

This Company Application is filed to take on record the highest offer of Rs.26,50,000/- received from

¶8

Sri B.Narayana, Korutla, Karimnagar District, in the auction conducted by the Official Liquidator on 01.08.2012, for purchase of land admeasuring Ac.82.57 sq. yards along with the building at H.No.1-1-1128, Camp Road, Korutla, Karimnagar District, as against the minimum upset price of Rs.15.14 lakhs fixed by this Court; to permit the Official Liquidator to collect the balance sale consideration from

¶9

Sri B.Narayana within 30 days from the order of this Court, as per the terms and conditions, in case the offer is accepted by this Court; and to permit the Official Liquidator to return the Earnest Money Deposits (EMDs) of the unsuccessful bidders.

¶10

It is necessary to note that this Court, by order in C.A.No.1733 of 2011 in C.A.No.680 of 2011 in C.P.No.100 of 2002 dated 29.11.2011, appointed Sri Pradeep Kaparthi, (registered valuer), to value the land aforementioned, and the building thereupon; and the said valuer had submitted his report opining that the value of the property was Rs.15.14 lakhs. Thereafter this Court, by order in

¶11

C.A.No.4 of 2012 in C.P.No.100 of 2012 dated 09.02.2012, permitted the Official Liquidator to file a separate report for the sale of the immovable properties. Subsequently this Court, by

¶12

order in C.A.No.584 of 2012 in C.P.No.100 of 2002 dated 08.06.2012, fixed the minimum upset price, as suggested by the Official Liquidator (and in terms of the valuation report furnished by the valuer), as Rs.15.14 lakhs; the EMD as Rs.3.00 lakhs; and the amount to be paid for procurement of tender form as Rs.1,000/-. This Court also approved the draft notice of the sealed tender, and the terms and conditions stipulated therein.

¶13

In the affidavit filed in support of this application, the Official Liquidator would state that he had permitted the prospective bidders to inspect the auctioned property on 26/27.07.2012; on the said date 13 parties had inspected the properties in question; 8 parties had purchased the tender forms; and, subsequently, five sealed tenders were received before the last date of submission of tenders

¶14

i.e. 31.07.2012. It is further stated that, on 01.08.2012, the Official Liquidator had conducted auction, wherein all the five sealed tenders were opened and verified in the presence of the intending purchasers; all the tenders were accompanied with the requisite EMD of Rs.3.00 lakhs; the highest offer received was Rs.26,00,999/- offered by

¶15

Sri G.Srinivas as against the minimum upset price of Rs.15.14 lakhs; keeping this as the minimum offer, inter se bidding was conducted among the offerers to get a better offer; in the inter se bidding, the highest offer of Rs.26.50 lakhs was made by Sri B.Narayana as against the minimum upset price of Rs.15.14 lakhs; and, in this regard, minutes were recorded. A copy of the minutes dated 01.08.2012, the attendance sheet, and the bid sheets have been enclosed to this application.

¶16

In the light of the fact that the highest bid received was Rs.26.50 lakhs, in a tender-cum-auction conducted pursuant to

¶17

the notice inviting bids, as against the minimum upset price of Rs.15.14 lakhs, I consider it appropriate to take on record the highest offer of Rs.26.50 lakhs of Sri B.Narayana, and to permit the Official Liquidator to collect the balance sale consideration from

¶18

Sri B.Narayana within thirty days from today. The Official Liquidator is permitted to file an application afresh, after receipt of the balance sale consideration from

¶19

Sri B.Narayana, for return of the EMDs to the unsuccessful bidders.

¶20

The Company Application is, accordingly, disposed of.

¶21

RAMESH RANGANATHAN,J

¶22

Date:11.09.2012 usd

M/s Sri Raja Rajeswara Finance and Investments Ltd., v. -

Case brief

What is this about?

What did the court decide?

M/s Sri Raja Rajeswara Finance and Investments Ltd., v. -

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Parties & counsel

Coram

Case details

Similar cases

V. Nagamuni Reddy Vs Sri Jhon Samson (Commissioner)

Ollala.Laxmi Vs The Tahsildar

Matli Kamala Vs Sri. Jhon SamSon

M/s Integreat Pmc India Private Limited, Vs M/s Omega Shelters Private Limited

Dr. B. Devadas S/o Late B. Narasaiah Vs The Chairman cum Managing Director

G.Jayakar Johnson Vs The State of a.P., rep. by its Secretary