1985 (4) TMI 235

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....p of the said company and the appointment of an official liquidator is maintainable. The facts that lead up to this petition are that the Kohinoor Mills Co. Ltd. came to be indebted to the petitioners. The petitioners thereupon served the usual statutory notice calling upon the company to pay up its dues. The requisitions in the notice not being complied with, the petitioners filed this petition in July, 1983. On September 28, 1983, consent terms were arrived at. These consent terms provided that the company would pay to the petitioners the amount by instalments (as provided in the consent terms), and in the event of default of payment of the instalments (as provided therein), the petition to stand admitted. A little later, on October 18....

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....company remains vested in the Central Government under this Act, notwithstanding anything contained in the Companies Act, 1956, or in the memorandum or articles of association of such company- (c)no proceeding for the winding up of the textile company or for the appointment of a liquidator or receiver in respect thereof shall lie in any court except with the consent of the Central Government". That the words "shall lie" in clause 8(1)(c) can only apply to such proceedings which came to be initiated after the ordinance and/or that the Act came into force, but it could never apply to proceedings which were initiated much prior to the Ordinance or the Act coming into force. Mr. Thacker urged that the word "lie" must be understood in comm....