2012 (12) TMI 276

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.... terms of the provisions of 33-C of the Madhya Pradesh General Sales Tax Act, 1958 and Section 53 of the M.P. Commercial Tax Act, 1994, any amount of tax/penalty/interest payable by a dealer or other person under this Act shall be first charge on the property of the dealer or such person and as such he be treated pari pasu with the secured creditors. 2 The claim of the appellant is in the sum of Rs. 1,40,60,422/-; they are sale tax, central tax and entry tax dues payable by the company (in liquidation) for its Morena Unit and Gwalior Unit. The appellant is aggrieved by the finding returned by the Official Liquidator that he be ranked as a preferential creditor and not a secured creditor. Attention has been drawn to Section 33-C of the Madh....

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....his Section reads herein as under:- "529A. Overriding preferential payment.-Notwithstanding anything contained in any other provision of this Act or any other law for the time being in force, in the winding up of a company- (a) workmen's dues; and (b) debts due to secured creditors to the extent such debts rank under clause(c) of the proviso to sub-section (1) of section 529 pari passu with such dues, shall be paid in priority to all other debts." 5 The statutory mandate contained in this provision is clear. It starts with a non-obstante clause. It clearly states that notwithstanding anything contained in any other provision of this Act or any other law for the time being in force, the dues of the workmen and debts due to the secured cr....