Official Liquidator control over sale proceeds, binding settlement minutes, and liquidation claim processing directed in company winding-up administration.

IFCI was directed to deposit the entire sale proceeds, together with interest earned, with the Official Liquidator, as disbursement of company funds fell within the Official Liquidator's functions under Company Court supervision rather than IFCI's control. The settlement recorded in the signed minutes between IFCI and Zullu Security (India) Pvt. Ltd. was treated as binding on IFCI, requiring payment of the agreed amount within one week. Claims of SASF and Alcatel Lucent India Ltd. were to be processed in the liquidation proceedings, with further payment steps subject to receipt of funds and further orders of the Court.

---

---

Issues: (i) Whether IFCI could retain the sale proceeds until it satisfied itself about verification of claims made by unsecured creditors, or whether the entire sale proceeds with interest were to be deposited with the Official Liquidator; (ii) Whether the settlement recorded between Zullu Security (India) Pvt. Ltd. and IFCI required immediate payment in terms of the minutes; (iii) Whether the claims reported by SASF and Alcatel Lucent India Ltd. required processing in the course of administration of the liquidation proceedings.

Issue (i): Whether IFCI could retain the sale proceeds until it satisfied itself about verification of claims made by unsecured creditors, or whether the entire sale proceeds with interest were to be deposited with the Official Liquidator.

Analysis: The arrangement under the earlier order was treated as temporary. Since the Official Liquidator had been appointed by the Court and was in charge of the company's properties and funds, the disbursement of sale proceeds was held to fall within the Official Liquidator's functions under the supervision of the Company Court, and not under IFCI's supervision.

Conclusion: IFCI was directed to deposit the entire sale proceeds with the interest earned thereon with the Official Liquidator within one week.

Issue (ii): Whether the settlement recorded between Zullu Security (India) Pvt. Ltd. and IFCI required immediate payment in terms of the minutes.

Analysis: The settlement arrived at in the meeting held in the Official Liquidator's office was reduced into written minutes signed by officers of both sides, recording IFCI's liability to pay the agreed amount immediately.

Conclusion: IFCI was directed to pay the settled amount in terms of the minutes without further delay and in any event within one week.

Issue (iii): Whether the claims reported by SASF and Alcatel Lucent India Ltd. required processing in the course of administration of the liquidation proceedings.

Analysis: The report recorded that SASF's claim had been lodged and could be processed upon receipt of a copy, and that Alcatel Lucent India Ltd.'s claim had already been scrutinised and would be paid pari passu after receipt of funds and further orders of the Court.

Conclusion: The claims were directed to be processed in accordance with the liquidation proceedings and further steps were left to the Official Liquidator and the Court.

Final Conclusion: The applications and report were disposed of with directions for transfer of sale proceeds to the Official Liquidator, payment of the settled amount to Zullu Security (India) Pvt. Ltd., and administrative processing of remaining claims, while the company petition remained listed for further hearing.

---