M/S.Mamatha Chit Funds (P) Limited.(In Prov. Liqn.) vs. No Respondent
Facts
The Official Liquidator, attached to the High Court of Telangana, filed a Company Application (No. 99 of 2024) under Section 462 of the Companies Act, 1956, read with Rules 298 and 306 of the Companies (Court) Rules, 1959. The application sought to take on record the half-yearly accounts of M/s. Mamatha Chit Funds (P) Limited (in provisional liquidation) for the period from 01.04.2022 to 30.09.2022, along with the Auditor's Report dated 17.06.2024 submitted by M/s. KBS and Associates. The Official Liquidator also sought permission to make the payment of audit fee of Rs. 500/- plus GST to the auditors and to meet the cost of the application from the company's funds or the Estate and Establishment Fund. The application was supported by an affidavit and heard by the High Court.
Held
The Court held that the half-yearly accounts of M/s. Mamatha Chit Funds (P) Limited (in provisional liquidation) for the period from 01.04.2022 to 30.09.2022, along with the Auditor's Report submitted by M/s. KBS and Associates, should be taken on record. The Court perused the Auditor's Reports with the assistance of the learned counsel for the Official Liquidator and found the prayer to be acceptable. The Court accepted the application and ordered accordingly. The operative direction was to take the accounts and reports on file. No specific decision was made regarding the payment of audit fees or costs, as the primary focus was on recording the accounts and reports.
Key Issues
1. Whether the half-yearly accounts of the company in liquidation, along with the auditor's report, should be taken on record by the Court? (Question of procedure turning on Section 462 of the Companies Act, 1956 and Rules 298 and 306 of the Companies (Court) Rules, 1959). The petitioner, the Official Liquidator, argued that the application was filed in compliance with the relevant provisions of the Companies Act and Rules, seeking the Court's approval to record the financial statements and pay the auditor's fees. The revenue or State did not file any response or present any arguments in this matter, as recorded by the judgment.
Sections Cited
Section 462, Rule 298, Rule 306
AI-generated summary — verify with the full judgment below
[ 3405 ] IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD TUE AY, THE TWELFTH DAY OF NOVEMBER TWO THOUSAND AND TWENW FOUR PRESENT THE HONOURABLE JUSTICE MOUSHUMI BHATTACHARYA COMPANY APPLICATION No. 99 of 2024 IN COMPANY PET|TI6N No: l3 of 2oo2 . ln the matter of the Companies Act, 1956 And ln the matter M/s. Mamatha Chit Funds (P) Limited.(ln Prov. Liqn.), Between: The Official Liquidator, attached to the Honourable High Court of Telangana, and Andhra Pradesh, 1st floor, Corporate Bhawan, Bandlaguda, Nagole,tlyder?-b-ad - 500068 ..APPLICANT Under Section 462 of the Companies Act, 1956 read with Rule 298 and Rule 306 of the Companies (Court) Rules, 1959) praying that this Hon'ble Court may be pleased to: (i) take the half-yearly accounts of the subject company (in liquidation) for the period from O1lO4t2O22 lo 3010912O22, along with Auditors Report dated ( ii) 17106t2024 submitted on 20.06.2024 by M/s. KBS and Associates., Chartered Accountants on record and permission may be accorded to make the payment of audit fee of Rs.500/- plus GST to said auditor. cost of this application (Court fee Stamps and Notary Charges etc.,) may be permitted to be met out by the Official
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