HARYANA FINANCIAL CORPORATION Vs. OFFICIAL LIQUIDATOR

JUDGEMENT

(1.) THE Haryana Financial Corporation (hereinafter referred to us 'the Corporation'), a secured creditor, has filed this appeal under Rule 164 of the Companies (Court) Rules, 1959, against the order dated 20.2.2006 (Annexure A -4) passed by the Official Liquidator, respondent No. 1 herein, adjudicating the claim of the appellant as secured creditor, while holding that put of the sale proceeds of the assets of the company in liquidation, the appellant Corporation is entitled to Rs. 7,47,622/ - and another secured creditor i.e. State Bank of India is entitled to Rs. 70,52,897/ - and the remaining amount of the sale proceeds i.e. Rs. 4,44,032/ - will be distributed to other claimants as per the provisions of Section 530 of the Companies Act, 1956 (hereinafter referred to as 'the Act').

(2.) THE brief facts of the case are that vide order dated 2.11.1995 passed by this Court in C.P. No. 9 of 1994, M/s Malook Chand Agro Oils Limited, Sirsa was ordered to be wound up by this Court on account of non -payment of debts by it. The assets of the company in liquidation were sold by the Official Liquidator for Rs. 1,03,54,149/ - to Parkash Aggarwal, Ex. Director, respondent No. 4 herein. The said sale was confirmed by the this Court vide order dated 17.12.2004, passed in C.A. No. 719 of 2004.

(3.) AS per the records of the Register of Companies, the appellant Corporation is first charge holder on land/building and plant/machinery, but second charge holder on current assets. The another secured creditor i.e. State Bank of India is the first charge holder on the current assets and the second charge holder on fixed assets of the Company in liquidation.