Ol Of M/S The Commercial Ahmedabad Mills LTD. (In Liqn) vs. Na

Held

The Court accepted the Official Liquidator's Report No. 22 of 2020 in terms of paragraph 6(a). The Court directed that the amount of Rs. 97,704/-, which includes GST, be paid to the Chartered Accountant towards their professional fees. This payment is to be made via RTGS, subject to proper verification. The Court's reasoning was based on considering the verification of claim forms of the workmen, the work undertaken by the Chartered Accountant, and the funds available with the company in liquidation. The Official Liquidator's Report was disposed of in light of this direction. No specific issue was left undecided.

Facts

This matter concerns the Official Liquidator's Report (OLR) No. 22 of 2020, filed before the Gujarat High Court. The Official Liquidator of M/s. The Commercial Ahmedabad Mills Ltd. (in liquidation) sought directions regarding the payment of professional fees to a Chartered Accountant. The report detailed the verification of claim forms submitted by the workmen of the company in liquidation, as carried out by the Chartered Accountant. The available funds with the company were also considered. The Official Liquidator sought acceptance of the report in terms of paragraph 6(a). The disputed amount, including GST, was Rs. 97,704/-, payable to the Chartered Accountant for their professional services.

Key Issues

1. Whether the Official Liquidator's Report No. 22 of 2020, concerning the payment of professional fees to the Chartered Accountant, should be accepted. This issue turns on the Court's discretion to approve such payments based on the verification of claims and available funds. Petitioner's Contention (Official Liquidator): The Official Liquidator, represented by Ms. P.J. Davawala, argued for the acceptance of the report, highlighting the verification of workmen's claims and the available funds. The report sought approval for the payment of Rs. 97,704/- (including GST) to the Chartered Accountant for professional fees. Revenue/State's Contention: No specific arguments were recorded from the revenue or state in this matter.