M/S. Teleteck INDIA Limited(In Liqn) vs. No Respondent

Facts

The Official Liquidator of M/s Teleteck India Limited (in liquidation) filed a Company Application before the High Court of Telangana. The application sought to take on record the half-yearly accounts for the period April 1, 2023, to September 30, 2023, along with the Independent Auditors' Report dated May 31, 2025. The Official Liquidator also requested permission to pay an audit fee of Rs. 500/- plus GST to the auditors, M/s. KBS and Associates. Additionally, the application sought permission to meet the cost of the application from the company's funds or the Estate and Establishment Fund, subject to reimbursement upon realization of assets. The application was supported by an affidavit and heard by the Court.

Held

The Court held in favor of the Official Liquidator on all counts. Firstly, it was satisfied with the reasons presented in the affidavit and, upon considering the half-yearly accounts and the auditor's report, ordered that these documents be taken on record. Secondly, permission was granted to the Official Liquidator to pay the audit fee of Rs. 500/- plus GST to the auditors, M/s. KBS & Associates. Thirdly, the Court also accorded permission for the Official Liquidator to make the payment of the audit fee and the costs of the application from the available funds of the company in liquidation, or from the Estate and Establishment Fund if company funds were insufficient. This payment was made subject to reimbursement from the company's funds upon realization of its assets. The Court found the reasons stated in the affidavit to be satisfactory.

Key Issues

1. Whether the half-yearly accounts of the subject company (in liquidation) for the period from 01.04.2023 to 30.09.2023, along with the Independent Auditors' Report dated 31.05.2025, should be taken on record? 2. Whether permission should be granted to the Official Liquidator to make the payment of audit fee of Rs. 500/- plus GST to the auditors? 3. Whether permission should be accorded to meet the cost of the application from the available funds of the company (in liquidation) or the Estate and Establishment Fund, subject to reimbursement? Petitioner's Arguments: The Official Liquidator, as the applicant, presented the half-yearly accounts and auditor's report for consideration. The applicant sought permission to pay the audit fee and cover the application costs, providing reasons in the supporting affidavit. Revenue/State's Arguments: The judgment does not record any specific arguments from the revenue or state. The Court proceeded based on the application and the supporting affidavit.