https://www.taxtmi.com/caselaws?id=440561 In company liquidation, secured debts carrying different ranks of charge could not be clubbed for pari passu distribution under Sections 529 and 529A of the Companies Act, 1956, because inter se priority among charge holders is preserved and workmen's statutory priority cannot be diluted by combining first- and second-charge claims. The Official Liquidator's computation was therefore upheld, and the second-charge objection failed. Workmen were also denied interest on unpaid wages at the claimed rate, as no contractual or statutory basis supported such a claim and equitable considerations alone were insufficient. Disbursement was directed to continue in accordance with the Official Liquidator's calculation, preserving the priority of first charge holders and workmen over the second-charge claim. en-us Wed, 19 Jul 2023 00:00:00 +0530 Thu, 20 Jul 2023 11:54:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=440561 In company liquidation, secured debts carrying different ranks of charge could not be clubbed for pari passu distribution under Sections 529 and 529A of the Companies Act, 1956, because inter se priority among charge holders is preserved and workmen's statutory priority cannot be diluted by combining first- and second-charge claims. The Official Liquidator's computation was therefore upheld, and the second-charge objection failed. Workmen were also denied interest on unpaid wages at the claimed rate, as no contractual or statutory basis supported such a claim and equitable considerations alone were insufficient. Disbursement was directed to continue in accordance with the Official Liquidator's calculation, preserving the priority of first charge holders and workmen over the second-charge claim. Case-Laws Companies Law Wed, 19 Jul 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=440561