In The Matter Of M/S. Ge Godavari Engineering Limited (In Liqn) vs. No Respondent

Facts

The Official Liquidator, attached to the High Court of Telangana, filed Company Application No. 155 of 2025. The application sought permission to take on record the half-yearly accounts of M/s. GE Godavari Engineering Limited (in liquidation) for the period from October 1, 2023, to March 31, 2024. It also requested permission to pay an audit fee of Rs. 500/- plus GST to the independent auditors, M/s. Padmanabha Rao and Co., Chartered Accountants. The application further prayed for permission to meet the costs of the application from the company's available funds or the Estate and Establishment Fund, subject to reimbursement upon realization of assets. The Official Liquidator submitted the supporting affidavit and the auditor's report.

Held

The Court, having been satisfied with the reasons stated in the supporting affidavit and having considered the half-yearly accounts filed by the Official Liquidator, ordered the application. The Court took on record the half-yearly accounts of M/s. GE Godavari Engineering Limited (in liquidation) for the period from October 1, 2023, to March 31, 2024, along with the Auditor's Report dated May 21, 2025. Permission was accorded to the Official Liquidator to pay an audit fee of Rs. 500/- plus GST to the auditor. Furthermore, permission was granted to 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 funds were available in the company's account, subject to reimbursement from the company's funds upon realization of its assets. The Court did not expressly leave any issues undecided.

Key Issues

1. Whether the Court should take on record the half-yearly accounts of the company in liquidation for the period from October 1, 2023, to March 31, 2024, along with the Independent Auditors' Report dated May 27, 2025. 2. Whether permission should be granted to pay an audit fee of Rs. 500/- plus GST to the auditors. 3. Whether the Official Liquidator should be permitted to meet the costs of the application from the company's funds or the Estate and Establishment Fund, subject to reimbursement. Arguments for the Petitioner (Official Liquidator): The Official Liquidator, through his counsel, presented the half-yearly accounts and the auditor's report, seeking the Court's approval to take them on record. He also requested permission to pay the audit fee and meet the application costs, citing the necessity of these expenses for the liquidation process. The Official Liquidator was satisfied with the reasons provided in the supporting affidavit. Arguments for the Revenue/State: The judgment does not record any specific arguments made by the Revenue or State in this matter.