MADHU TEXTILES AHMEDABAD LTD Vs. OFFICIAL LIQUIDATOR

JUDGEMENT

(1.) The petitioner, namely, Madhu Textiles Ahmedabad Limited has filed this petition under Sections 391 to 394 of the Companies Act, 1956 praying for the compromise and arrangement as per the Scheme proposed by the Company produced at Annexure B to the petition for sanction of this Court so as to make it binding on its Members and Secured Creditors with Banks and Financial Institutions.

(2.) . The Court has admitted the petition on 03.02.2003 and notice was issued to the Central Government. The Court has also passed necessary order with regard to the advertisement to be published in "Indian Express" and "Sandesh" - both Ahmedabad Edition. Subsequently, the Secured Creditors were joined as parties vide order dated 30.09.2004 and accordingly, IDBI, ICICI, IFCI, IRBI, SBI and SBS as well as Majoor Mahajan Sangh, Kadi and the Official Liquidator were joined as parties - respondents. Subsequently, since ICICI Bank has assigned its rights in respect of its debts in favour of Kotak Mahindra Bank Ltd., notice was issued to the said party and appearance was filed on behalf of Kotak Mahindra Bank Ltd.

(3.) Heard Mr. V.K. Bhatt, learned advocate appearing for the petitioner, Mr. R.M. Desai, learned advocate appearing for State Bank of India, Mr. D.S. Vasavada, learned advocate appearing for Majoor Mahajan Sangh, Kadi, Mr. H.M. Bhagat, learned advocate appearing for Kotak Mahindra Bank Ltd. and Mr. Indravadan Parmar, learned advocate appearing for IDBI and Mr. Sandeep N. Bhatt, learned advocate appearing for State Bank of Saurashtra.