VOLUNTARY LIQUIDATOR BHARAT TRADERS LTD Vs. RATTAN SINGH

JUDGEMENT

(1.) THIS is a letters patent appeal against the judgment of a learned single judge, dated November 1, 1973, in Civil Original No. 91 of 1972, by which the application of the appellant under Section 518 read with Section 468 of the Companies Act, 1956 (hereinafter called " the Act "), was dismissed.

(2.) THE appellant-company, namely, the Bharat Traders Ltd. , Sirsa, was wound up by voluntary liquidation by means of a resolution dated March 26, 1959. The respondent was an agent of the appellant-company from October 1, 1950, to December 31, 1951, entrusted with the work of sale of shares and supply of articles to the customers. In the

(3.) THE learned single judge non-suited the appellant-company and dismissed the petition on the ground that the claim of the appellant-company was time-barred and that from the evidence on the record, the liability of the respondent was not established. It was held that under Article 89 of the, Indian Limitation Act, 1908 (hereinafter called the " old Act"), the claim against the respondent became barred by time on the expiry of three years from the refusal to pay after the demand had been made. The claim was also held to be time-barred under Section 543 of the Act, after the lapse of five years from the date of its winding up. On merits, it was held that the accounts produced by the appellant-company were not sufficient to make out the case against the respondent under Section 34 of the Indian Evidence Act. The present appeal is directed against that judgment of the learned single judge.