The High Court held that an applicant lacks locus standi to seek transfer of liquidated company properties when no sale has occurred, dismissing the application but granting liberty to participate in future sales.
Application dismissed; liberty given to participate in future sale proceedings.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
IN THE HIGH COURT FOR THE STATE OF TELANGANA
AT HYDERABAD
THURSDAY ,THE TWENTY SECOND DAY OF APRIL TWO THOUSAND AND TWENTY ONE
PRESENT
THE HONOURABLE SRI JUSTICE CHALLA KOOANDA RAM
COMPANY APPLICATION NO. 1O OF 2021
IN THE MATTER OF COMPANIES ACT, 19S9
AND
NTHEM TTE oF M/S. IRSILK LIMITED IN LI UIDATION
Between:
K. Venugopal, S/o. Venkata Swamy, Rlo.2-4-410, Pochamma Basti, Kagaz Nagar, Kumarambheem, Asifabad, Telangana.
...APPLICANT
AND
Ms. Sirsilk Limited (ln liquidation) Official Liquidator, High Court of Telangana, Hyderabad.
..RESPONDENT
Company Application Under Ruleg of the Companies ( Court ) Rules,'1 959 praying that this Hon'ble Court may be pleased to pass an order directing the Official Liquidator to take the necessary steps to transfer the land along with buildings and structures) along with scrap lying therein) situated in Lot No.4 (Ac. 43.43 in Sy. Nos. 228,229,230,231 ,235,236,237,246 and 247 at Kothapet Village, Sipur, Kagaznagar, Adilabad District, Telangana in favour of the Applicant herein for consideration of Rs. 4,36,44,000/- and ll.
This Application coming on for orders upon reading the Judge's Summons and the affidavit dated 18-03-2021 and filed by Sri K. Venugopal, Applicant in support of the Company Application and upon hearing the arguments of Sri R.S.Associates, Advocate for the Applicant and Sri J. Sreenadh Reddy Counsel for the Official Liquidator for the Respondent.
The Court made the following: ORDER
THE HON'BLESRI JUSTICECHALLA KOI)ANDA RAM
COMP. A. \o. l0of 2021
ORDER:
Admittedly,as of date, there is no sale conductedwith respect to theproperties of the Company-in-Liquidation and the Applicantwas not grantedany right' ln thc circumstances'the Applicant hasno locus ar,cl this Applicatior.r itself is not maintainable.However,liberty .is given to the Applicantto participate in thesale procee{ings as and when theyare conducted. I
Subject tothe above, this Company Application is closed'
No costs.
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DATED: 2210412021
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ORDER
COMPANYAPPLICATION No.10 of 2021 IN
COMPANYPETITION NO,57OF 1999
CLOSING THECOMPANY APPLICATION.
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2 issues framed by the court
Whether the applicant has locus standi to seek transfer of company properties in a liquidation where no sale has been conducted.
Whether the applicant can be permitted to participate in future sale proceedings of the company.
K. Venugopal
M/s. IRSILK Limited (In liquidation) Official Liquidator
Challa Koodanda Ram
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
