Punjab-Haryana High Court
The Plantation Investors Protection ... vs M/S Golden Projects Ltd on 15 December, 2010
Author: Hemant Gupta
Bench: Hemant Gupta
IN THE HIGH COURT OF PUNJAB AND HARYANA AT
CHANDIGARH
Date of Decision : 15.12.2010
C.A.No.430 of 2010
In C.P.No.115 of 2002
IN THE MATTER OF
The Plantation Investors Protection Society (Regd.)
...Petitioner
Versus
M/s Golden Projects Ltd.
...Respondent
And
Committee - Golden Forests (India) Limited
...Applicant/Respondent
CORAM: HON'BLE MR. JUSTICE HEMANT GUPTA
Present: Mr. Abhimanyu Sharma, Advocate,
for the applicant.
Mr. Y.S.Turka, Advocate,
for the respondent-Company.
HEMANT GUPTA, J. (ORAL)
The present application is by a Committee constituted by the Hon'ble Supreme Court in respect of sale of the properties of Golden Forest (India) Limited and its group Companies vide order dated 19.08.2004. Subsequently, on 05.09.2006, the Hon'ble Supreme Court has issued comprehensive directions in respect of conduct of proceedings by the said Committee in respect of assets of the Golden Forest (India) Limited.
Golden Projects Limited is said to be an independent Company of the group Companies of Golden Forest (India) Limited. It is so stated on the basis of list of Companies filed before the Hon'ble Supreme Court in 2 C.A.No.430 of 2010 In C.P.No.115 of 2002 which the Companies mentioned at Sr.Nos.91 to 104 were said to be not part of group Companies of Golden Forest (India) Limited.
This Court on 27.05.2010 constituted the sale Committee consisting of the Official Liquidator and two Lawyers to be appointed by this Court in respect of sale of assets of Golden Projects Limited, who shall also associate a representative of the respondent-Company with them. The said order reads as under:
"Having heard learned counsel for the parties for some time, it appears that the interim directions earlier issued needs to be modified to the extent that the respondent-Company may be permitted to dispose of a part of the lands owned by it to discharge its debt liability, subject to the condition that the entire sale process is supervised by a Committee consisting of the Official Liquidator and two Lawyers to be appointed by this Court, who shall also associate a representative of the respondent company with them.
List on 13.08.2010 to enable the learned counsel for the respondent Company to furnish details as to which parcel of land the Company wants to be disposed of first."
The present application has been filed by the Committee constituted in terms of the Hon'ble Supreme Court order for modification of the aforesaid order. It has been asserted that the said Committee has taken a number of steps in realizing all the assets of the group Companies of the Golden Forest (India) Limited and that the Committee has invited claims from the investors/creditors of Golden Forests (India) Limited in the year 2004 and over 17 lac claims have been received. The Committee has already advertised the properties owned by the Golden Projects Limited and its group Companies as well and invited claims from the investors and more than one lac claims have been received. Therefore, the said sale Committee 3 C.A.No.430 of 2010 In C.P.No.115 of 2002 should be permitted to continue with the sale of the assets of the Golden Projects Limited as well.
The management of the Company through its counsel Mr. Turka has produced on record an application allegedly filed by the Provisional Liquidator in C.P.No.60 of 2001, which proceedings led to an order passed by the Hon'ble Supreme Court constituting Sale Committee. From the said application, it transpires that M/s Golden Projects Limited has about 11 subsidiary companies and that the Golden Forests (India) Limited, Golden Projects Limited and their subsidiary companies are controlled and managed by one family known as "Syals" through A.L.Syal, R.K.Syal, his wife Neena Syal, his sister Pamila Syal, brother-in-law H.K.Sinha and another brother.
This Court constituted Sale Committee consisting of the Official Liquidator and two lawyers to be appointed by this Court, who shall associate a representative of the respondent-Company with them, to dispose of the assets of M/s Golden Projects Limited and its associate companies.
Whether the order dated 05.09.2006 of Hon'ble Supreme Court in respect of assets of Golden Forests (India) Limited and its associate companies is inclusive of the Golden Projects Limited is not free from doubt. But the fact remains that M/s Golden Projects Limited and its associate Companies are also managed and controlled by the same family. The nature of investments and the issues arising therefrom are common to that of Golden Forests (India) Limited and Golden Projects Limited.
Therefore, to avoid contradictory and conflicting proceedings and keeping in view the fact that the Sale Committee constituted by the Hon'ble Supreme Court has proceeded ahead in respect of sale of the assets of the Golden Projects Limited and has also invited claims from the 4 C.A.No.430 of 2010 In C.P.No.115 of 2002 investors, I deem it appropriate to constitute the said Sale Committee for the purposes of sale of assets of M/s Golden Projects Limited and its associate Companies as well.
The Provisional Liquidator appointed by the Hon'ble Supreme Court is a former Judge of High Court and the other members are two former District Judges. The conduct of sale by such distinguished personalities shall invite more confidence of the effected parties than the Sale Committee to be constituted by this Court on 27.05.2010. Therefore, in modification of the order dated 27.05.2010, the Sale Committee constituted by the Hon'ble Supreme Court vide order dated 19.08.2004 in respect of sale of the assets of the Golden Forest (India) Limited shall be the Sale Committee for the sale of the assets of Golden Projects Limited and its associate Companies as well.
Such Sale Committee may take assistance from the representative of the Company, as it may consider appropriate, so that the sale process of the assets of the Company is completed expeditiously and obtain maximum price. The sale conducted by the Sale Committee shall be subject to confirmation by this Court.
Disposed of accordingly.
15.12.2010 (HEMANT GUPTA) Vimal JUDGE