Appeal Dismissed: Appellants Must File Claims with Official Liquidator; Preferential Payment Denied, Stand with Creditors.

The exemption application was allowed, and the delay in filing the appeal was condoned. The appellants' appeal against the rejection of the release of deposited amounts was dismissed, directing them to file claims with the Official Liquidator. The company was wound up, and the court denied preferential payment to the appellants, requiring them to stand alongside other creditors. The winding-up petition became infructuous, and the application for withdrawal of deposited amounts was deemed non-maintainable. The appellants were instructed to submit their claims to the Official Liquidator for the admitted amounts, with disbursements made per the Companies Act.

---

---

Issues:
1. Exemption application (CM APPL. 65644/2024)
2. Delay in filing appeal (CM APPL. 65645/2024)
3. Appeal against rejection of release of deposited amounts
4. Company petition for winding up
5. Entitlement to preferential payment
6. Withdrawal of winding up petition
7. Maintainability of application for withdrawal of deposited amount
8. Rights of appellants in the winding up process

Exemption Application (CM APPL. 65644/2024):
The exemption application was allowed subject to all just exceptions, and the application was disposed of.

Delay in Filing Appeal (CM APPL. 65645/2024):
The delay of 52 days in filing the appeal was condoned based on the reasons stated in the application, and the application was disposed of.

Appeal Against Rejection of Release of Deposited Amounts:
The appellants appealed against the rejection of their application for release of amounts deposited by the respondent company-in-liquidation. The appellants had deposited an amount for the purchase of a commercial unit but were not paid the entitled amount by the company. The company deposited the amount in court during winding-up proceedings, and the appellants were directed to file their claim with the Official Liquidator for the admitted amount due to them.

Company Petition for Winding Up:
The appellants filed a company petition for winding up the company due to non-payment of debts. Subsequently, the company was wound up, and the Official Liquidator was appointed. The appellants, along with other creditors, were directed to approach the Official Liquidator with their claims.

Entitlement to Preferential Payment:
The court held that once the winding-up process had commenced, the appellants were not entitled to preferential payment over other creditors. The appellants were required to stand with other creditors for recovering their dividends in accordance with the law.

Withdrawal of Winding Up Petition:
The appellants did not withdraw their winding-up petition, but the court found that even if it had remained pending, it would serve little purpose as no funds could have been disbursed to them during the winding-up process. The winding-up petition filed by the appellants became infructuous once the company was wound up.

Maintainability of Application for Withdrawal of Deposited Amount:
The court found that the application filed by the appellants seeking withdrawal of the deposited amount in a disposed of company petition was not maintainable. The appellants were directed to file their claim with the Official Liquidator for the due amount.

Rights of Appellants in the Winding Up Process:
The court held that the appellants were not entitled to any other relief and directed them to file their claim with the Official Liquidator for the admitted amount due to them. The Official Liquidator was directed to proceed with admitting the claim and making disbursements according to the relevant sections of the Companies Act.

---