MAZBOOT PACKERS AND ENGINEERS Vs. HIMACHAL PRADESH HORTICULTURE

JUDGEMENT

(1.) THE present petition has been filed by Messrs Mazboot Packers and Engineers Company, hereinafter referred to as "the petitioner company", under Sections 433 and 434 read with Section 439 of the Companies Act, 1956 (for short, "the Act"), for the winding up of the respondent company, Messrs. Himachal Pradesh Horticulture Produce, Marketing and Processing Corporation Ltd.

(2.) THE averments made in the petition, briefly stated, are these. The petitioner company in response to the notice inviting tenders issued by the respondent company entered into an agreement for the supply of 4,60,000 telescopic cartons to the respondent company. The delivery was to be made during the period June 20, to September 30, 1990, as per the schedule fixed in the agreement. The entire supply was to be completed before September 30, 1990. At the time of the agreement a sum of Rs. 1,46,700 was deposited by the petitioner company with the respondent company as security.

(3.) THE petitioner company in seeking the winding up of the respondent company has averred that the respondent company is commercially insolvent and unable to discharge its debts and to pay the dues of the petitioner company. The financial position of the respondent company is wholly unsound. The accumulated losses up to March 31, 1989, as per the audited accounts of the respondent company are Rs. 14,52,80,536. Such accumulated losses up to the end of the financial year 1989 90 are to the tune of Rs. 15,63,54,000. It has further been averred that as against the fixed and current assets to the tune of Rs. 1,776.37 lakhs, the respondent company has a liability, in the form of borrowings and third party liabilities, to the extent of Rs. 2,580 lakhs.