2024 (6) TMI 964 - HC - Companies Law

Seeking dissolution of the company (in liquidation) - Section 481 of the Companies Act 1956 - HELD THAT - It would be expedient to place reliance on the decision in MEGHAL HOMES (P.) LTD. VERSUS SHREE NIWAS GIRNI KK. SAMITI 2007 (8) TMI 447 - SUPREME COURT whereby the Supreme Court inter alia held When the affairs of the Company have been completely wound up or the court finds that the Official Liquidator cannot proceed with the winding up of the Company for want of funds or for any other reason the court can make an order dissolving the Company from the date of that order. This puts an end to the winding up process . In view of the aforementioned decision of the Supreme Court in Meghal Homes and keeping in mind the import of Section 481 (1) of the Act as also the facts and circumstances of the present case these liquidation proceedings warrant to be brought to an end. Therefore the present application is allowed. The company (in liquidation) M/s. Ravindra Dyechem Ltd. stands dissolved and the Official Liquidator is hereby discharged as its Liquidator.

Summary

Issues involved: Application for dissolution of a company (in liquidation) u/s 481 of the Companies Act, 1956.

Summary:

Issue 1: Application for dissolution of the company (in liquidation) u/s 481 of the Companies Act, 1956.

1. The Official Liquidator filed an application u/s 481 seeking dissolution of the company (in liquidation) M/s. Ravindra Dyechem Pvt. Ltd. and discharge as its Liquidator.

2. The company was ordered to be wound up in 2002, and the Official Liquidator was appointed as its Liquidator to take charge of assets and records.

3. The Directors of the company were identified as Shri Vijay Narayan Saptarishi and Shri Narayan K. Saptarishi.

4. A criminal complaint was filed against the Ex-Directors, which was disposed of with the Ex-Directors filing the Statement of Affairs.

5. The registered office premises could not be taken over as it was being used for residential purposes by an Ex-Director.

6. Details of creditors were provided, with repayments made to the Secured Creditor and no claims received despite publication of advertisements.

7. The company had debtors, but recovery efforts were hindered by lack of supporting documents and unsuccessful Arbitration Proceedings.

8. The company was stated to have no assets for realization, and the funds position was negative.

9. Application for dissolution was made citing completion of liquidation proceedings and in accordance with Section 481 of the Act.

10. The decision in Meghal Homes (P) Ltd. v. Shree Niwas Girni K.K. Samiti & Ors. was referred to regarding dissolution of a company when winding up is complete.

11. The application for dissolution was allowed, and the company was dissolved with the Official Liquidator discharged.

12. The Judgment was to be communicated to the Registrar of Companies within 30 days.

Issue 2: Disposal of the company petition and pending applications.

13. The company petition and any pending applications were disposed of accordingly.