BIFR Vs. SHAKTHI COMFORTS PVT. LTD.

JUDGEMENT

(1.) Heard the learned counsel for the parties.

(2.) The learned counsel for the respondent - Company has now filed additional statement recounting the sequence of events and seeking the rejection of the reference by the Board for Industrial and Financial Reconstruction (hereinafter referred to as 'the BIFR', for brevity).

(3.) The State Bank of Mysore assigned their debt in favour of ASREC (I) Ltd., Asset Reconstruction Company, as on 31.03.2003. The liability of Karnataka State Financial Corporation, another secured creditor was Rs.205.53 lakh as on 31.03.3003, and it had mounted to Rs.480 lakh as on the date of the order. The sales tax liability was Rs.74.82 lakhs, though there was a claim by the Department to Rs.1,11,69,588/-.