WINGS WEAR WORKERS Vs. WINGS WEAR PVT. LTD.

JUDGEMENT

(1.) Co. APPL. NOS. 337/2019, 475/2019 and 674/2019

(2.) On 11th January, 2019, one bidder on behalf of M/s Lloyd Global Trade Private Ltd. had appeared in Court and had offered to buy the property at the reserve price of Rs. 5 crores. He was carrying a draft of Rs. 50 lakhs towards the earnest money. This Court had accepted the bid keeping in view the fact that when the earlier sale notice was published, no bids had been received. In this background, the Court had, after accepting the bid of M/s Lloyd Global Trade Private Ltd., directed them to make the balance payment towards the purchase price. A period of 90 days was granted to make the balance payment and the matter was listed for directions on 4th April, 2019.

(3.) Thereafter, an application was filed being Co. Appl. No. 337/2019 by M/s Conchem Construction Private Ltd. seeking recall of the order dated 11th January, 2019 on the ground that the offer of the sole bidder had been accepted at a knock down price and without fresh publication of the sale notice, which has caused prejudice to the interest of the Company, its employees, creditors including the applicant, who was the secured creditor. The applicant stated that he had a claim of Rs. 3,40,90,548.00 plus interest pending with the Official Liquidator and had acquired the financial assets/debt of the Company in Liquidation from Canara Bank, the erstwhile creditor. It was stated that the plot was situated at one of the prime industrial areas of the capital city and could fetch a much higher market value. Even going by the circle rates fixed by the MCD, the valuation would be Rs. 1,27,680/- per square meter i.e. the valuation would be at least four times the bid price of Rs. 5 crores. A direction was sought to recall the order dated 11th January, 2019 and direct the Official Liquidator to make fresh publication after cancelling the bid of M/s Lloyd Global Trade Private Ltd.