MYSORE SPUN SILK MILLS LTD Vs. STATE

JUDGEMENT

(1.) Coming now to the second point on which directions are sought, viz., the procedure for making payments, no occasion for asking for such direction could arise because the Companies (Court) Rules themselves prescribes the procedure and the forms therefor-vide rules 276 and 277 and Forms Nos. 138 and 139. At the earlier stages of the hearing of this application, suggestions were made to me that because the majority of workers to whom retrenchment compensation is payable are working in the mills now run under the directions of the State Government, it might be convenient if payments could be arranged to be made at the premises of the mills. Taking the view that the suggestions might work out satisfactorily and enable the liquidator to complete the disbursement expeditiously, I directed him to collect opinion from the persons associated with or interested in the workers and also call before me some of the former officers of the company to enquire whether they would be willing to assist the liquidator in the matter of identifying the workers and in other incidental matters. I found, however, that the position instead of getting clarified appeared to become more complicated and to assume the character of an unseemly competition between rival claimants to leadership of labour. I have, therefore, dropped further enquiry into this aspect of the matter, being clearly of the opinion that the company court cannot be permitted to be made use of in this way.

(2.) I therefore, direct the official liquidator to proceed in accordance with rule 276 and 277 and the particulars set out in Forms Nos. 138 and 139 of the Companies (Court) Rules, with the following further directions :

(3.) As no further directions are required in this matter, this application will stand closed.