M/S.Genius Financial Services Limited (In Liqn.) vs. No Respondent
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The Official Liquidator, attached to the High Court of Telangana and Andhra Pradesh, filed a Company Application No. 33 of 2026. The application sought permission to take on record the half-yearly accounts of M/s. Genius Financial Services Limited (in liquidation) for the period from April 1, 2024, to September 30, 2024, along with the Independent Auditors' Report dated January 12, 2026. Additionally, the Official Liquidator requested permission to pay an audit fee of Rs. 500/- plus GST to the auditors, M/s. KBS and Associates, Chartered Accountants. The application also prayed for permission to meet the costs of the application from the company's funds or the Estate and Establishment Fund, subject to reimbursement upon realization of assets.
Held
The Court held that the application was to be allowed. Specifically, it was decided that the half-yearly accounts of M/s. Genius Financial Services Limited (in liquidation) for the period from April 1, 2024, to September 30, 2024, along with the Independent Auditors' Report dated January 12, 2026, submitted on January 22, 2026, by M/s. KBS & Associates, Chartered Accountants, would be taken on record. Furthermore, permission was granted to the Official Liquidator to pay an audit fee of Rs. 500/- plus GST to the auditor. The Court also permitted the Official Liquidator to make this payment from the available funds of the company in liquidation, or from the Estate and Establishment Fund if no company funds were available, with the condition of reimbursement from the company's funds upon realization of its assets. The operative direction was to allow the application with these specific permissions.
Key Issues
1. Whether the half-yearly accounts of the company in liquidation for the period from 01.04.2024 to 30.09.2024, along with the Independent Auditors' Report dated 12.01.2026, should be taken on record? The Official Liquidator contended that these documents were duly filed and supported by an affidavit. 2. Whether permission should be granted to pay an audit fee of Rs. 500/- plus GST to the auditors? The Official Liquidator argued for this payment, citing the necessity of audit services for companies in liquidation. 3. Whether the costs of the application should be permitted to be met from the available funds of the company in liquidation or the Estate and Establishment Fund, subject to reimbursement? The Official Liquidator sought this provision to ensure the smooth functioning of the liquidation process. The revenue or State did not appear to have made any specific arguments as the matter was an application by the Official Liquidator before the High Court.
Sections Cited
Section 462, Companies Act, 1956, Rule 298, Companies (Court) Rules, 1959, Rule 306, Companies (Court) Rules, 1959
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Cause title — parties, addresses and appearances
The Court made the following: ORDER
IN THE HTGTI COURT FORTHE STATE OF TELANGANA AT HYDERABAD THE HON'BLE SMT.JUSTICE T. MADHAVIDEVI COMPANY APPLICATION No.33 of2O26 IN COMPANY PETITION Nos.85 of 1997 &l 08 of 1998 DATE: 17.03.2026 Between: The Olficial Liquidator, Attached to the Hon'ble High Court of Telangana and Andhra Pradesh, i; rrol"r, Corporate Bharvan, Bandlaguda' Nagole' Hyderabad - 500068. .Applicant ORDER This application is tlted under Section 462 of Companies Act, 1956, read with Rules 298 and 306 of the Companies (Court) Rules, 1959, seeking the fotlowing reliefs: i.Totakethehatf--yeartyaccountsofthesubjectcompany(in liquidation) lor the period from 01'04'2024 to 30'09'2024' along with Independent Auditors' Report dated 12'01'2026 submitted on 22'0l'2026 by tWs' KBS & Associates' CharteredAccountantsonrecordandpermissionmaybe \ COMPA_3] 2026 in ('P 85 1997& toE t998 accorded to make the payment of audit fee of Rs.500/_ plus GST to the said auditor. ii. Cost of this application (Court fee Stamps & Norary Charges etc.,) may be permitted to be met oul b). the Official Liquidator from the available funds o[ the company (in liquidation) or Estate and Establishrnent Fund account if no fund is available in the company's account; subject to reimbursement of the sarne fiorn the lunds ,rl.company (in liqn) upon realizarion of assers ol the Conrpany (in liqn) whenever so happened and To pass such other order or orders as this I lon'ble ( ourt mav deerr fit and proper in this regard.
Heard Sri J. Sreenadh Reddl,, learned counsel appearing for the Official Liquidator and perused the affidavit filed in support of this application.
Having regard to the reasons stated in the accompanying affidavit and upon considering the half_yearly accounts filed by the leamed Official Liquidator, rhis application is allowed with the following:- COMPA_33 2026 in cP t5 t997& loE l99E The half-yearly accounts of the subject company, which is ln liquidation for the period from 01.04.2024 to S - M. RAMANA KRISHN JOINT REG //// CTION OFFICER 3 a 30.09.2024, along with Independent Auditors' Report dated 12.01.2026 subrr.ritted on 22.01.2026 by M/s. KBS & Associates, Chartered Accountants are taken on record b. Permission is accorded to the leamed Official Liquidator to pay an audit fee of Rs.500/- plus GST to the auditor. Permission is also accorded to tlte learned Official Liquidator to make the said payment from the available funds of the Company (in tiquidation), or from the Estate and Establishment Fund account if no fund is available in the Company's account, subject , to reimbursement from the funds of Company (in liquidation) upon realization of its assets. \ To,
The Official Liquidator, M/s. Genius Financial S\ices Limited (ln Liqn') office at 1st floor, Corporate Bhawan, Bandlaguda, Nago\ Hyderabad -500068. 2. The Registrar of Companies, Ministry of Corporat6 Affairs, Government of lndia 2nd floor, Corporate Bhawan, Nagole, Bandlaguda, Thattiannaram Village Hayathnagar Mandal, Ranga Reddy District, Telangana State Pin Code 500 680. 3. The Regional Director, South Eastern Region, Ministry of Corporate Affairs, 3d floor Corporate Bhawan, Nagole, Bandlaguda, Thattiannaram Village Hayathnagar Mandal, Ranga Reddy District Telangana State, Pin Code 500 680. 4. The Section Officer, O.S. Section, High Court at Hyderabad, for the State of Telangana.
One CC to Sri J. Sreenadh Reddy, Counsel for Official Liquidator, High Court at Hyderabad k" A Trrrn f'Fl Cnniac O/l{--5/
HIGH COURT DATED: 1710312026 ORDER COMPA.No.33 of 2026 IN CP Nos. 85 of 1997 & 108 of 1998 ALLOWING THE COMPANY APPLTCATION l-xs r lt l"e .1 .-- rl., ( )-) ,, --rr t- \ ( ?l npRzffi of.s PATCH EO I i ll t t E
Reproduced from the public record of the Telangana High Court. Verify against the court's own copy before relying on it. Income tax judgments are on bharattax.net.