OFFICIAL LIQUIDATOR OF SOUTHERN GREEN FIELDS LTD. (IN LIQN) Vs. SRI V. SREEDHARAN, A.V. MOHAN DAS AND SRI R.S. TATA

JUDGEMENT

(1.) THE Official Liquidator has filed this application under Section 543(1) of the Companies Act against the Respondents to declare that Respondents are jointly and severally liable to pay in all a sum of Rs. . 441.54 lakhs with interest.

(2.) RESPONDENTS are the Directors of the Company in liquidation. On 27.8.1999 this Court passed an order of winding up of the company in liquidation in Co. P. 107/1999. Subsequently, the Respondents filed statement of affairs. The Chartered Accountants examined the statement of affairs filed by the Respondents with reference to the books of accounts of the company and submitted a report on 17.8.2004 as per Ex.P1. In this report it is stated that as per the investigation carried out, the Respondent - Directors are accountable to the extent of Rs. . 441.54 lakhs under the following heads: <FRM>JUDGEMENT_1659_TLKAR0_2010.htm</FRM>

(3.) RESPONDENTS have entered appearance and filed statement of objections interalia contending that they are not liable to pay the amounts specified in the application. It is contended that the Respondent - Directors conducted the affairs of the company in liquidation to its greatest advantage and intentionally they have not defrauded the company and further they have not made any personal gain for themselves. After completion of pleadings, the Official Liquidator examined the Chartered Accountant as PW.1 and got marked Exs.P1 to P5. The Respondent examined one witness as RW.1 and got marked Ex.R1 to R4.