M/S.Kohinoor Cements Limited (In Liqn) vs. No Respondent

Facts

The Official Liquidator of M/s. Kohinoor Cements Limited (in liquidation) filed a Company Application before the High Court of Telangana. The application sought permission to take on record the half-yearly accounts for the period 01.10.2023 to 31.03.2024, along with the Independent Auditors' Report dated 27.05.2025. Additionally, the Official Liquidator requested permission to pay an audit fee of Rs. 500/- plus GST to the auditors, M/s. Padmanabha Rao and Co., Chartered Accountants. The application also 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 application was supported by an affidavit and argued by the counsel for the Official Liquidator.

Held

The Court held that the application was to be ordered. Specifically, the half-yearly accounts of M/s. Kohinoor Cements Limited (in liquidation) for the period from 01.10.2023 to 31.03.2024, along with the Auditor's Report dated 27.05.2025 submitted by M/s. Padmanabha Rao & Co., Chartered Accountants, were taken on record. 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 the said payment from the available funds of the Company (in liquidation) or from the Estate and Establishment Fund account if no funds were available in the company's account, subject to reimbursement from the funds of the Company (in liquidation) upon realization of its assets. The Court was satisfied with the reasons mentioned in the supporting affidavit.

Key Issues

1. Whether the Court should take on record the half-yearly accounts of the company in liquidation for the period 01.10.2023 to 31.03.2024 and the accompanying Auditors' Report dated 27.05.2025. 2. Whether permission should be granted to the Official Liquidator to pay an audit fee of Rs. 500/- plus GST to the auditors. 3. Whether permission should be granted to the Official Liquidator to meet the costs of the application from the company's funds or the Estate and Establishment Fund, subject to reimbursement. Contentions: Petitioner (Official Liquidator): The Official Liquidator presented the half-yearly accounts and auditors' report for the specified period and sought the Court's approval for these filings. The Official Liquidator also requested permission to pay the audit fee and associated costs, explaining the necessity of these payments for the liquidation process. The supporting affidavit detailed the reasons for the application. Revenue/State: No specific arguments were recorded for the revenue or state in the judgment.