https://www.taxtmi.com/caselaws?id=104966 A secured creditor seeking to remain outside liquidation cannot bypass the Companies Act winding-up scheme to recover mortgaged property from the Official Liquidator. The secured creditor's rights under the State Financial Corporations Act, 1951 do not override the pari passu framework under section 529A, under which workmen's dues and secured creditors' claims rank together. A creditor retaining security must also bear its share of preservation expenses incurred for the asset. The Official Liquidator's custody and control over company assets after a winding-up order remains effective, and any delivery of possession must respect the competing claims of the workmen and other secured creditor. en-us Tue, 05 Oct 1999 00:00:00 +0530 Thu, 01 Mar 2012 18:46:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=104966 A secured creditor seeking to remain outside liquidation cannot bypass the Companies Act winding-up scheme to recover mortgaged property from the Official Liquidator. The secured creditor's rights under the State Financial Corporations Act, 1951 do not override the pari passu framework under section 529A, under which workmen's dues and secured creditors' claims rank together. A creditor retaining security must also bear its share of preservation expenses incurred for the asset. The Official Liquidator's custody and control over company assets after a winding-up order remains effective, and any delivery of possession must respect the competing claims of the workmen and other secured creditor. Case-Laws Companies Law Tue, 05 Oct 1999 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=104966