https://www.taxtmi.com/caselaws?id=459481 Karnataka HC dismissed Official Liquidator's application against ex-directors under Section 543 of Companies Act, 1956 for Rs. 5.86 crore liability. Court held application was incomplete and inconsistent, based solely on truncated 1993-94 annual report without subsequent accounts. Official Liquidator failed to establish specific acts of misfeasance by each respondent or prove how losses occurred. Since respondents ceased being directors before winding up and company stopped functioning after factory fire destroying assets and records, with remaining assets taken by KSFC and Income Tax Department, Official Liquidator required better particulars to substantiate penal consequences against respondents. en-us Thu, 16 Jan 2014 00:00:00 +0530 Mon, 16 Dec 2024 18:31:29 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=459481 Karnataka HC dismissed Official Liquidator's application against ex-directors under Section 543 of Companies Act, 1956 for Rs. 5.86 crore liability. Court held application was incomplete and inconsistent, based solely on truncated 1993-94 annual report without subsequent accounts. Official Liquidator failed to establish specific acts of misfeasance by each respondent or prove how losses occurred. Since respondents ceased being directors before winding up and company stopped functioning after factory fire destroying assets and records, with remaining assets taken by KSFC and Income Tax Department, Official Liquidator required better particulars to substantiate penal consequences against respondents. Case-Laws Companies Law Thu, 16 Jan 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=459481