https://www.taxtmi.com/caselaws?id=103839 A secured creditor exercising power under section 29 of the State Financial Corporations Act, 1951 must act consistently with the pari passu rights created for workmen by sections 529 and 529A of the Companies Act, 1956 once winding up has commenced. In that setting, the creditor cannot unilaterally sell the company's assets without leave of the court and without associating the official liquidator. A sale completed after the winding-up order, and without such leave, is void under section 537(1)(b), even if possession had earlier been taken by the creditor. The sale was therefore not approved, and resale in association with the official liquidator was required, subject to court confirmation. en-us Fri, 21 Mar 1997 00:00:00 +0530 Fri, 24 Feb 2012 17:33:15 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=103839 A secured creditor exercising power under section 29 of the State Financial Corporations Act, 1951 must act consistently with the pari passu rights created for workmen by sections 529 and 529A of the Companies Act, 1956 once winding up has commenced. In that setting, the creditor cannot unilaterally sell the company's assets without leave of the court and without associating the official liquidator. A sale completed after the winding-up order, and without such leave, is void under section 537(1)(b), even if possession had earlier been taken by the creditor. The sale was therefore not approved, and resale in association with the official liquidator was required, subject to court confirmation. Case-Laws Companies Law Fri, 21 Mar 1997 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=103839