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2006 (8) TMI 311 - SC - Companies LawWhether the company judge was justified in setting aside his own order of confirmation of sale merely on account of inadequacy of price after the possession was handed over to the appellant auction purchaser, and if so, then under what circumstances ? Whether the workmen/employees of the company (in liquidation) have to be treated at par with secured creditors so as to be associated by the Official Liquidator in the process of sale of company ? Held that:- Appeal allowed. No doubt the learned company judge has made an endeavour commensurate with the object desired to be achieved, viz., to fetch the maximum price for the assets of the company in liquidation but there appears to be no concrete material for disturbing the sale already conformed. The net result is that the impugned order dated 30-3-2005, is hereby set aside and the earlier order dated 10-12-2004, which is further clarified on 13-1-2005, confirming the sale is restored. Vide order dated 28-1-2005, the Official Liquidator was restrained from taking any further action with regard to the sale, he may now proceed in completing all the requisite formalities in favour of the auction purchaser. A sum of Rs. 2 crores which was ordered to be deposited by respondent No. 10 with the Official Liquidator shall now be returned to it on an application to be moved in this regard. Any interest if accrued thereupon, shall also be paid to respondent No. 10 along with the aforesaid amount.
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