TaxTMI 
TaxTMI 
2011 (2) TMI 1260
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....x-director of the company-in-liquidation. After hearing the learned counsel for applicant as well as learned counsel for Official Liquidator, this Court recalled the sale proclamation upon certain conditions. The order dated 27-5-2008 is reproduced hereineblow :- "I have heard learned counsel for the applicant/ex-management and Mr. Luthra on behalf of the O.L. It is submitted by learned counsel for the applicant that the order dated 13-3-2008 had been passed in chambers without notice or information to the ex-management. By that order sale proclamation had been issued for 29-5-2008. The applicant came to know of the same upon noticing the proclamation as published in the newspapers. Mr. Rawal, learned senior counsel argues that till date the liability of the company qua the secured creditors is not ascertained, inasmuch as, the proceedings filed by Punjab and Sind Bank before the DRT are still pending. There is no ascertained debt of the said bank. So far as the claim of the workmen is concerned, it is the case of the ex-management that a memorandum of settlement has already been arrived at with them. Mr. Rawal further submits that the property proposed to be auctioned is extrem....
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....ecalled subject to Mr. Vinod Kumar Jain depositing not only Rs. 2 lakhs towards expenses incurred in publication but also depositing an amount of Rs. 1.5 crores within two months. Admittedly, since the deposit of Rs. 1.5 crores has not been made within the stipulated time and as Mr. Vinod Kumar Jain has already filed an application that he is unable to deposit the said amount, I am of the considered opinion that the order dated 27-5-2008 needs to be recalled forthwith. Accordingly, it is so ordered. 9. Mr. Pallav Saxena, learned counsel for Punjab and Sind Bank states that though the Bank is outside the process of winding up yet the Bank is willing to render all co-operation for sale of Ghaziabad property as well as fixed assets of the company in liquidation. 10. Consequently, with the consent of the Official Liquidator, M/s. ITCOT Consultancy and Services Ltd. is appointed as Valuer for properties bearing Nos. A1, A3 & A3/1, Industrial Area, Meerut Road, Ghaziabad, U.P. as well as plant and machinery installed in the said premises.The Official Liquidator is directed to prepare a sale proclamation in consultation with the officials of Punjab and Sind Bank. The said sales proc....
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....h have been reproduced hereinabove. In fact, from the said averments as well as from the submissions recorded by this Court on 27-5-2008, an impression was conveyed to this Court that neither any ascertained claim leave alone any determined amount is due or payable by the respondent company to Punjab and Sind Bank. 17. I am of the prima facie opinion that Mr. Vinod Kumar Jain by making false, misleading and mischievous statements and submissions before this Court has interfered with and/or attempted to interfere with the administration of justice and has also prejudiced the due course of judicial proceedings. 18. The falsity of the averments and submissions that neither any ascertained amount had been claimed nor any ascertained amount was due or payable by respondent to Punjab and Sind Bank would be apparent from the following facts :- (A) The annual returns of the respondent company in liquidation pertaining to financial years 1998-99, 2000-01, 2001-02, 2002-03 and 2003-04 admit the claims of Punjab and Sind Bank :- (i)Financial year 1998-99 :- Unsecured loans As at 31-3-1999 (Rs.) As at 31-3-1998 (Rs.) u Punjab & Sind Bank, ....
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....s were ready and willing to put the Industrial Unit into production merely on the rigid attitude by the Punjab & Sind Bank and that too when the petitioner company was ready and willing to pay the suit amount, the order passed by AAIFR and BIFR are contrary to the essence and spirit of the aim and object which have been sought to be achieved enacting Sick Industrial Act, 1985." [Emphasis supplied] (C) Mr. Vinod Kumar Jain admitted indebtness of company in liquidation towards Punjab and Sind Bank for the suit amount of Rs. 12.68 crores in para 7 of the additional objections dated 17-1-2010 filed in the present Company Petition No. 115/1991. The said paragraph 7 is reproduced hereinbelow :- "7. In 1991 liability of the company towards the PSB was Rs. 262 lakhs and in 1986 the liability of PSB alone was Rs. 12.68 crores and for which suit was filed by PSB (including interest thereon)." [Emphasis supplied] (D) In the settlement proposal dated 11th October, 2000 submitted by Mr. Vinod Kumar Jain, a similar admission was made. The relevant portion of said proposal is reproduced hereinbelow :- "17. After the hearing dated 17-7-1989 before the BIFR, the Management of the compan....
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.... judicial proceedings amounts to the commission of criminal contempt. The swearing of false affidavits in judicial proceedings not only has the tendency of causing obstruction in the due course of judicial proceedings but has also the tendency to impede, obstruct and interfere with the administration of justice. The filing of false affidavits in judicial proceedings in any court of law exposes the intention of the concerned party in perverting the course of justice. The due process of law cannot be permitted to be slighted nor the majesty of law be made a mockery by such acts or conduct on the part of the parties to the litigation or even while appearing as witnesses. Anyone who makes an attempt to impede or undermine or obstruct the free flow of the unsoiled stream of justice by resorting to the filing of false evidence, commits criminal contempt of the court and renders himself liable to be dealt with in accordance with the Act. Filing of false affidavits or making false statement on oath in Courts aims at striking a blow at the Rule of Law and no court can ignore such conduct which has the tendency to shake public confidence in the judicial institutions because the very structur....
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....ccepts notice on behalf of Mr. Vinod Kumar Jain. He prays for and is granted eight weeks' time to file a reply affidavit. 26. Since the contempt proceedings have been initiated consequent to the facts brought on record by the Punjab and Sind Bank, the said Bank is granted liberty to file a rejoinder-affidavit, if any, before the next date of hearing. 27. A copy of Company Application No. 562/2008 as well as a copy of the present application along with all annexures shall be placed in the new file. 28. Registry is directed to list the matter before appropriate Bench according to the roster on 23-8-2011. 29. With the aforesaid observations, the present application stands disposed of. CO. APPL. 1462/2008 30. The present application has been filed with the following prayer :- "(a)for the detailed reasons, as above said, applicant be relieved from deposit of money in terms of initial order dated 27-5-2008 and time was extended from time to time. (b)This Hon'ble Court be pleased to direct for refund of the amount of Rs. 25 lakhs with interest thereupon as the same was directed to be deposited in FDR. (c)pass any other/appropriate orders as this Hon'ble Court ma....