TMI Blog1973 (2) TMI 67X X X X Extracts X X X X X X X X Extracts X X X X ..... paid up or credited as paid up is Rs. 1,45,000. The objects for which the company was established are to run the business of manufacture of trunks, suitcases and enamel products as a pilot project for the development of small-scale industries and to do all such other things as are incidental thereto. It is alleged that the ex-managing director, Sri S.F. Haque, furnished fraudulent accounts to the board of directors and furnished a list of sundry debtors most of whom were found to be fictitious. Besides, he did not hand over the records and books of the company for which reason accounts could not be finalised, with the result that after submitting the profit and loss account of the company for the year ending 31st March, 1963, further bala ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... passed. In the rejoinder filed by Sri S.T.P.S. Jagannathacharyulu, who was authorised by the resolution dated 18th June, 1971, to file the present application, he refuted the allegations made by the managing director in his affidavit. It was asserted by him that due notice of the meeting held on June 18, 1971, was issued to the ex-managing director who after ceasing to be managing director still continued to be one of the directors of the company, but that he deliberately avoided to attend the meeting. It is asserted further in his rejoinder that the company is not in a position to revive its business due to the following reasons : ( a )that there are no existing assets of the company; ( b )that there are no funds available at present ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , that adequate funds are not available to run the business and that the State of Orissa which has contributed major shares is not prepared to advance further capital for the revival of the company are not denied. I, therefore, find that there was mismanagement of the affairs of the company and that there is no practical possibility of remedying it. It, therefore, appears to me also just and equitable that the company should be wound up apart from the fact that the directors have by special resolution resolved that it should be wound up. I would, accordingly, order that the company be wound up. The official liquidator of this court should act as liquidator of the company and forthwith take charge of the properties and effects of the compa ..... X X X X Extracts X X X X X X X X Extracts X X X X
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