Limitation for Official Liquidator claims in winding up runs from the winding-up order and cannot be revived by Section 458A.

In winding-up proceedings, a claim by the Official Liquidator under Section 446(2)(b) of the Companies Act, 1956 is governed by Article 137 of the Limitation Act, 1963, with the right to apply accruing on the date of the winding-up order. Section 458A excludes the period from commencement of winding up to the order and one year thereafter, but does not revive a barred or otherwise unenforceable claim. Read together, these provisions require filing within four years from the winding-up order. The commentary notes that claims filed beyond that period are time-barred and not maintainable in law.

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Issues: (i) Whether claims filed by the Official Liquidator under Section 446(2)(b) of the Companies Act, 1956 were barred by limitation. (ii) Whether the benefit of Section 458A of the Companies Act, 1956 extended the time for filing such claims beyond four years from the date of the winding up order.

Issue (i): Whether claims filed by the Official Liquidator under Section 446(2)(b) of the Companies Act, 1956 were barred by limitation.

Analysis: A claim by the Official Liquidator under Section 446(2)(b) is governed by Article 137 of the Limitation Act, 1963, and the right to apply accrues on the date of the winding up order. The Court applied the rule that only a legally enforceable claim can be pursued, and that the limitation period runs from the winding up order, subject to the statutory exclusion under Section 458A.

Conclusion: The claims were barred by limitation because they were filed beyond the permissible period.

Issue (ii): Whether the benefit of Section 458A of the Companies Act, 1956 extended the time for filing such claims beyond four years from the date of the winding up order.

Analysis: Section 458A excludes the period from commencement of winding up to the winding up order and a further one year thereafter. Read with Article 137, this gives the Official Liquidator four years from the winding up order to file a legally enforceable claim. The Court followed the Supreme Court's view that Section 458A does not revive a time-barred or unenforceable claim, and held that the earlier Full Bench view relied on by the Company Judge could no longer be treated as good law.

Conclusion: Section 458A did not save the claims, and the filing beyond four years remained time-barred.

Final Conclusion: The dismissal of the limitation objection by the Company Judge was unsustainable, and the claims were not maintainable in law.

Ratio Decidendi: In winding-up proceedings, a claim by the Official Liquidator under Section 446(2)(b) must be filed within four years from the winding up order when Article 137 of the Limitation Act, 1963 is read with Section 458A of the Companies Act, 1956, and Section 458A cannot revive a barred or unenforceable claim.

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