V.P. SINGHAL, OFFICIAL LIQUIDATOR Vs. CHATRABHUJDAS CHIMANLAL

JUDGEMENT

(1.) THE complainant is the official liquidator who had filed Company Petition No. 28 of 1987, in which Bharat Suryodaya Mills Company Ltd. ('the company' for short) was ordered to be wound up by an order of this court passed on March 14, 1989. The liquidator was appointed as provisional liquidator. Subsequently, by an order of this court passed on May 5, 1989, the said provisional liquidator was appointed as official liquidator of the company.

(2.) BY virtue of the provisions of section 441(2) of the Companies Act, 1956 ('the Act' for short), the winding up of the company is deemed to have commenced at the time of presentation of the petition for winding up which, as such, was presented on February 12, 1987.

(3.) THUS , it is stated in the complaint that, at the material time, accused Nos. 1 and 2 were the directors of the company and, as such, they were under statutory obligation to furnish to the complainant liquidator, a statement of affairs as contemplated by the provisions of section 454 of the Act. The complainant, by his registered notice dated March 29, 1989, addressed to both the accused instructed them to prepare and submit a statement of affairs as required under the provisions of the Act. The accused persons did not comply with the request made in the said registered notice. Thus, they did not file the statement of affairs. With the result, the complainant sent first a reminder on December 6, 1989, for the purpose of filing the statement of affairs and also requested them to seek extension of time from this court as the official liquidator had no power to extend the time for filing the statement of affairs. Copies of the said notices and the reminder sent by the official liquidator are already placed on record which are not in controversy. Both the accused persons had received the notice and the reminder sent by the complainant. The accused persons in their written statement before the official liquidator under rule 130 of the Companies (Court) Rules, 1959, confirmed having received the above notice and promised to prepare and submit the said statement of affairs.