M/S.Vini-Metaspin Steels Limited (In Liqn.) vs. No Respondent
Held
The Court allowed the Company Application. Specifically, it held that the half-yearly accounts of the subject company in liquidation for the period from 01.04.2024 to 30.09.2024, along with the Independent Auditors' Report dated 27.01.2026, should be taken on record. Permission was granted to the Official Liquidator to pay an audit fee of Rs. 500/- plus GST to the auditor. Furthermore, the Court permitted the Official Liquidator to make this 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 company's funds upon realization of its assets. The operative directions were to take the accounts on record, accord permission for the audit fee payment, and allow the use of funds for costs as specified.
Facts
The Official Liquidator, attached to the High Court for the State of Telangana and Andhra Pradesh, filed a Company Application seeking to take on record the half-yearly accounts of M/s Vini-Metaspin Steels Limited (in liquidation) for the period from 01.04.2024 to 30.09.2024. The application also sought permission to make payment of an audit fee of Rs. 500/- plus GST to the auditors, M/s Padmanabha Rao & Co., Chartered Accountants, and to meet the costs of the application from the company's funds or the Estate and Establishment Fund, subject to reimbursement. The application was supported by an affidavit and heard by the High Court.
Key Issues
1. Whether the Court should take on record the half-yearly accounts of the company in liquidation for the period 01.04.2024 to 30.09.2024, along with the Independent Auditors' Report dated 27.01.2026. 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 the Official Liquidator should be permitted to meet the costs of the application from the available funds of the company or the Estate and Establishment Fund, subject to reimbursement. Petitioner's Arguments: The Official Liquidator, representing the company in liquidation, argued for the approval of the accounts, the payment of audit fees, and the utilization of funds for application costs, as detailed in the accompanying affidavit. The petitioner relied on the Companies Act, 1956, and the Companies (Court) Rules, 1959. Revenue/State's Arguments: No arguments were recorded for the revenue or state in this matter.
Sections Cited
Section 462, Rule 298, Rule 306
AI-generated summary — verify with the full judgment below
IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD WEDNESDAY,THE SIXTH DAY OF MAY TWO THOUSAND AND TWENTY SIX PRESENT THE HONOURABLE SMT JUSTICE T.MADHAVI DEVI coMPANY APPLICATION No.78 of 2026 IN C.P.No.2O--9 of 1998 ln the mafter of the Companies Act, 1956 AND ln the matter of M/s Vini-Metaspin Steels Limited (ln Liqn)
The Official Liquidator, attached to the Hon'ble High Court of Telangana, and An^d hra Pradesh, 1st flbor, Corporate Bhawan, Bandlaguda, Nagole' Hyderabad -500068 ...APPLICANT Application Under Section 462 of 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 : take the half-yearly accounts of the subject company (in liquidation) for the period from O'l .04.2024 to 30.09.2024, along with lndependent Auditors'
Report dated 27.01 .2026 submitted on 30.01.2026 by M/s Padmanabha Rao & Co., Chartered Accountants on record and permission may be accorded to make the payment of audit fee of Rs.500/- plus GST to the said auditor. cost of this application (Court fee Stamps and Notary Charges etc.,) may be permitted to be met out by the Official Liquidator from the available funds of
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