M/S.Lakshman Paper Mills (P) Limited (In Liqn.) vs. No Name
Facts
The Official Liquidator, attached to the High Court of Telangana and Andhra Pradesh, filed a Company Application seeking permission to take on record the half-yearly accounts of M/s. Lakshman Paper Mills (P) Limited (in liquidation) for the period from 01.04.2022 to 30.09.2022. The application also sought permission to make payment of audit fees of Rs. 5001 plus GST, and to meet the cost of the application and miscellaneous expenses 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 prayer made by the Official Liquidator is accepted. The half-yearly accounts and the auditor's reports for the period 01.04.2022 to 30.09.2022 were taken on record. The Company Application was ordered accordingly. The Court's reasoning was based on the perusal of the auditor's reports with the assistance of the learned counsel for the Official Liquidator, indicating satisfaction with the submitted documents and the application's request. The ratio decidendi is that when an Official Liquidator properly submits accounts and auditor's reports for a company in liquidation, and seeks formal acceptance and permission for associated expenses, the High Court will grant such permission upon review. The operative direction was to accept the application and take the accounts and reports on file.
Key Issues
1. Whether the Court should take on record the half-yearly accounts and auditor's report of the company in liquidation for the period 01.04.2022 to 30.09.2022, as submitted by the Official Liquidator. This issue turns on the procedural requirements for winding up companies and the role of the Official Liquidator under the Companies Act, 1956 and the Companies (Court) Rules, 1959. Petitioner's Argument: The Official Liquidator, representing the applicant, argued for the acceptance of the application to formally record the company's accounts and allow for the payment of audit fees and incidental expenses, as per the statutory duties and powers of the Official Liquidator. Revenue/State's Argument: No specific argument was recorded for the revenue or state in the provided judgment.
Sections Cited
Section 462, Companies (Court) Rules 1959 Rule 298, Companies (Court) Rules 1959 Rule 306
AI-generated summary — verify with the full judgment below
IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD THUR AY, THE TWENTY FOURTH DAY OF OCTOBER TWO THOUSAND AND TWENTY FOUR PRESENT THE HONOURABLE JUSTICE MOUSHUMI BHATTACHARYA COMPANY APPLICATION No. 60 of2024 IN COMPANY PETITION NO: 187 of 2012 In the Matter of the Companies Act, 1956 AND ln the Matter of M/s. Lakshman Paper Mills (P) Limited (in liqn.)
Between: The Official Liquidator, attached to the Honorable High Court of Telangana, and Andhra Pradesh, 1st floor, Corporate Bhawan, Bandlaguda, Nagole, Hyderabad - 500068 ...APPL|CANT Under Section 462 of the Companies Act, 1956 read with Rule 298 and Rule 306 of the Companies (Court) Ruies, 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 01 .04.2022 to 30.09.2022, along with Auditor Report dated 12.06.2024 submitted on 18.06.2024 by M/s.Padmanabha Rao and Co., Chartered Accountants on record and permission may be accorded to make the payment of audit fee of Rs.500l plus GST. ii) cost of this application and any miscellaneous expenses may be permitted to be met out by the Official Liquidator from the available funds of
The judgment continues below.
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