TaxTMI 
TaxTMI 
2019 (4) TMI 141
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.... All Eastern Medikit Employees Union under Rule 9 of the Company (Court) Rules, 1959 seeking to permit the applicant and its' members to clear the dues in terms of the application. 2. This court on 10.5.2013 had admitted the present petition and appointed the Official Liquidator as the Provisional Liquidator. 3. It is the claim of the applicant that the respondent was a solvent company and did not loose its substratum hence winding up order should not have been passed. It is pleaded that in the balance sheets of the company for the period ended on 31.3.2012 the company was sound and robust. As per balance sheets for the period ending on 31.3.2011 the company was having Reserves of Rs. 42 crores against paid up capital of Rs. 9.54 crores. 4. It is claimed that keeping in view the above, the applicant has thought it fit to revive the company. The application is supported by EML Workers Trade Union (Registered). 5. The application states various steps to be taken for the revival of the company. The first step spelt out is reduction of share capital and fresh issue of equity shares. It is stated that on coming into effect of this Scheme after reduction of capital of the EML the com....
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....lable. 7. Directions are also sought to the bankers of the respondent company to extend its co-operation for revival of the respondent company. 8. It is also stated that the respondent company has sufficient quantity of raw material to immediately restore its production. Authorisation is also sought from this court to recover various time barred debts which have been created by the previous management. This is the sum and substance of the revival scheme filed. 9. In CA 297/2018 it is stated that the respondent company had employed about 1,127 permanent workers at its 5 units located in Gurgaon. Certain disputes it is pleaded arose with the management which were referred to Conciliation. The Conciliation failed and the matter was referred to the Industrial Tribunal/Labour Court by order dated 1.8.2012. It is stated that subsequently the Labour Commissioner, Haryana has issued 3 different recovery certificates. It is claimed that an amount of Rs. 90,70,28,009/- including all recoveries till February 2018 is payable. It is hence prayed that the applicants are ready to pay the alleged dues of the petitioner but this court may withdraw the order dated 10.5.2013 while keeping the enti....
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....nancial position of the company and the latest audited report from the account of the company. In this context, reference may be had to the judgment of the Allahabad High Court in the case of Premier Motors (P.) Ltd. v. Ashok Tandon & Ors., (1971) 41 Comp. Cases 656, where the court held as follows: "50. Whatever may be the position under the English law or the law under our own Companies Act before the proviso to Section 391(2) of the Act was added in 1965, it is obvious that, as our law stands today, the initial duty of satisfying the court that all relevant materials, including the latest financial position of the company and the latest auditors' reports and accounts of the company concerned have been placed before the court, so as to enable it to judge where the interests of creditors lie, rests upon the supporters of a scheme. If the court cannot be satisfied that all relevant materials have been placed before the court, it could not be said that such material could be or was actually placed before the unsecured creditors on whose behalf decisions were taken by proxies. It is only after the initial duty laid down by the proviso to Section 391 has been discharged by person....
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....ed by Section 391 Sub-Section (2). 3. That the concerned meetings of the creditors or members or any class of them had the relevant material to enable the voters to arrive at an informed decision for approving the scheme in question. That the majority decision of the concerned class of voters is just and fair to the class as a whole so as to legitimately bind even the dissenting members of that class. 4. That all necessary material indicated by Section 393(1)(a) is placed before the voters at the concerned meetings as contemplated by Section 391 Sub-section (1). 5. That all the requisite material contemplated by the proviso of Sub-section (2) of Section 391 of the Act is placed before the Court by the concerned applicant seeking sanction for such a scheme and the Court gets satisfied about the same. 6. That the proposed scheme of compromise and arrangement is not found to be violative of any provision of law and is not contrary to public policy. For ascertaining the real purpose underlying the Scheme with a view to be satisfied on this aspect, the Court, if necessary, can pierce the veil of apparent corporate purpose underlying the scheme and can judiciously X-ray the same.....