SATYADEV CHEMICALS PVT LTD Vs. STATE

JUDGEMENT

(1.) Company Petition No. 11 of 2001 was registered on the basis of the opinion forwarded by the Board for Industrial and Financial Reconstruction (BIFR for short) to this Court under Section 20 (1) of Sick Industrial Companies (Special Provisions) Act, 1985 (SICA for short) on 17.01.2001 alongwith the order passed by BIFR on 14.12.2000 and other orders. The BIFR in its order dated 14.12.2000 has held that the Company, namely, M/s. Satyadev Chemicals Pvt. Ltd. had been with the BIFR since 1989 and after failure of the package under Section 17 (2) of SICA, no viable and fully tied up proposal was forthcoming from the Company. The Company was not supplying the desired information and the latest financial status of the Company to the MA, and therefore, any effort for change of management would also not be fruitful. After all these considerations and having no objection from the side of the Secured Creditors and the Government of Gujarat, the BIFR came to the conclusion that it would not be possible for the promoters to revive the Company within a reasonable period of time while meeting with all its financial obligations and, therefore, confirmed their primafacie opinion for winding up of the Company.

(2.) After the above petition was registered, one more Company Petition No.117 of 2001 was filed by the workers of the respondent Company and prohibitory order was passed whereby the Company was restrained from disposing of its assets. On 25.04.2003, Mr. V.K. Bhatt, learned advocate appearing for the Company has made a statement to the effect that pursuant to the order dated 07.11.2001 passed by this Court, the respondent Company has paid dues of some of the workmen. However, some of the workmen could not be paid on account of non-availability of their addresses and whereabouts. The Court has also recorded the statement of Mr. Bhatt that as and when the workmen approaches the Company giving 96 hours' notice, the dues of the concerned workmen would be paid. The Court has further observed that the learned advocate appearing for the Petitioning Creditors (workmen in Company Petition No.117 of 2001) has not appeared for last quite sometime. In view of the aforesaid statement made and the assurances given, Company Petition No.117 of 2001 was disposed of on 25.04.2003.

(3.) The Court has passed further order on 10.11.2003 in Company Petition No.11 of 2001 recording the statement of Mr. Bhatt and also considering the affidavit filed on behalf of the Company to the effect that according to Mr. Bhatt, the only Secured Creditor i.e. Bank of India has been paid fully and none of the Unsecured Creditors has approached this Court for their dues. The workers were undisputedly paid and, therefore, there was no scope to pass an order of winding up though the Board has so opined.