TaxTMI Login
AI OCR ✕Convert scanned orders, printed notices, PDFs and images into clean, searchable, editable text within seconds. Starting at 2 Credits/page
Try Now →Just a moment...
AI OCR ✕Convert scanned orders, printed notices, PDFs and images into clean, searchable, editable text within seconds. Starting at 2 Credits/page
Try Now →
Press 'Enter' to add multiple search terms. Rules for Better Search
Use comma for multiple locations.
---------------- For section wise search only -----------------
Accuracy Level ~ 90%
of 
Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
of Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
All Case Laws
of Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
All Case Laws
Note
Bookmark
Share
Don't have an account? Register Here
of Press 'Enter' after typing page number.
Issues: Whether an employee whose termination had been set aside and whose salary claims for the period preceding winding up had been allowed by the labour court was entitled to arrears of salary at par with similarly situated workmen, notwithstanding the liquidation of the company and the priorities under the Companies Act, 1956.
Analysis: The termination had been held illegal by a competent forum and had attained finality. The employee's claim related to salary for a period before the winding up order, and his service position would have continued had the illegal termination not intervened. The computation proceedings under section 33C(2) of the Industrial Disputes Act, 1947 had already resulted in an allowance of the salary claim. In these circumstances, the claim did not stand on the footing of a post-winding up debt governed by the liquidation priorities under sections 529, 529A and 530 of the Companies Act, 1956. The employee was therefore entitled to be treated at par with other similarly situated workmen for the relevant period.
Conclusion: The claim for arrears of salary up to 31-10-1994 was maintainable and payable in favour of the appellant at par with other workmen.
Ratio Decidendi: Where an employee's termination has been finally set aside as illegal and the salary claim relates to a pre-winding up period, the claim is not defeated by liquidation priorities and must be paid on the same footing as similarly situated workmen.
TaxTMI 
TaxTMI 
