Extension & Salary Increase for Company Secretaries in Official Liquidator's Office

The Court granted permission for the extension of the term of engagement of qualified Company Secretaries for up to three years, approved an increase in their salary from Rs. 25,000 to Rs. 30,000 per month for those with three or more years of experience, and amended Clause VIII of the Scheme to reflect the salary adjustment. The decision, delivered by Honourable Mr. Justice A.J. Desai, aimed to ensure continuity in the Official Liquidator's office and provide fair compensation to experienced Company Secretaries in light of economic conditions.

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Issues:
1. Extension of term of engagement of qualified Company Secretaries
2. Increase in the salary of Company Secretaries
3. Amendment of Clause VIII of the Scheme for Company Secretaries

Extension of term of engagement of qualified Company Secretaries:
The Official Liquidator sought permission to extend the term of engagement of two Company Secretaries for a year, with the possibility of further extension up to three years. The background revealed that the Court had previously approved the appointment of Company Secretaries and Trainee Company Secretaries. Due to resignations and increasing workload, the Official Liquidator requested the extension. The Court, considering the circumstances and the need for continuity, permitted the extension as requested.

Increase in the salary of Company Secretaries:
The Official Liquidator also requested an increase in the salary of Company Secretaries due to the rising cost of living and inflation. The proposal was to raise the salary from Rs. 25,000 to Rs. 30,000 per month for Company Secretaries with three or more years of experience. The Court, after considering the submission and the need to align with current economic conditions, approved the salary increase as requested.

Amendment of Clause VIII of the Scheme for Company Secretaries:
The Official Liquidator proposed an amendment to Clause VIII of the Scheme regarding the salary payable to Company Secretaries. The suggestion was to allow Company Secretaries with three or more years of experience to receive Rs. 30,000 per month. The Court, acknowledging the need for the amendment and the rationale behind it, approved the proposed amendment to Clause VIII of the Scheme. This decision was made to ensure fair compensation for experienced Company Secretaries.

The judgment, delivered by Honourable Mr. Justice A.J. Desai, addressed the issues raised by the Official Liquidator regarding the extension of the term of engagement of Company Secretaries, an increase in their salary, and the amendment of Clause VIII of the Scheme. The Court granted permission for the extension of the term, approved the salary increase, and amended the Scheme accordingly. The decision aimed to facilitate the smooth functioning of the Official Liquidator's office and ensure fair compensation for the Company Secretaries based on their experience and the prevailing economic conditions.

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