SOUJANYA HOTELS PRIVATE LTD Vs. NALLA SATYANARAYANA MURTHY

JUDGEMENT

(1.) THIS original side appeal has been preferred by the respondent in Company Petition No. 44 of 1994, challenging the order of the learned single judge dated August 11, 1994, admitting the company petition and directing to cause publication of the filing of the company petition in two dailies, one in the vernacular and the other in English. The respondents in this appeal are petitioners in the company petition.

(2.) FOR convenience sake, we will refer to the parties in these proceedings as the "company" and "creditors". To appreciate the point in issue, it is necessary to refer to the facts which are relevant for the purpose of this appeal.

(3.) THE creditors filed Company Petition No. 44 of 1994 under Section 433{e) read with Section 439 (1) (b) of the Companies Act, 1956 (for short "the Act"), for compulsory winding up of the company and for the appointment of the official liquidator, as the provisional liquidator to take charge of the affairs of the company, on the ground that the company failed and neglected and was also unable to pay the debt due to the creditors.