Gujarat High Court
Official vs Deputy on 2 February, 2010
Gujarat High Court Case Information System
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OLR/157/2009 7/ 9 ORDER
IN
THE HIGH COURT OF GUJARAT AT AHMEDABAD
OFFICIAL
LIQUDATOR REPORT No. 157 of 2009
In
COMPANY
PETITION No. 205 of 1996
In
COMPANY PETITION No. 205 of
1996
=========================================================
OFFICIAL
LIQUIDATOR OF M/S AHMEDABAD COTTON MILL-UNIT OF - Applicant(s)
Versus
DEPUTY
SECRETARY INDUSTRIES & MINES DEPT. & 4 - Respondent(s)
=========================================================
Appearance :
OFFICIAL
LIQUIDATOR for
Applicant(s) : 1,MR JS YADAV for Applicant(s) : 1,
MR MG NAGARKAR
for Respondent(s) : 1 - 2.
MR DS VASAVADA for Respondent(s) :
3,
MR CB DASTOOR for Respondent(s) : 4,
MR MR PRAJAPATI for
Respondent(s) :
5,
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CORAM
:
HONOURABLE
MR.JUSTICE D.A.MEHTA
Date
: 02/02/2010
ORAL
ORDER
1. This report has been filed praying for following reliefs :
a) That, in view of the submission made hereinabove; this Hon'ble Court may be pleased to ratify the action taken by the Official Liquidator for retaining the EMD Demand Drafts of the highest bidder and also of the Second highest bidder of the Lot No.1 at the time of auction held in the office of the Official Liquidator on 20.11.2009.
b) Whether this Hon'ble Court would be pleased to accept the offer of Shri Yusuf N. Malik being the Respondent No.4 herein for purchase of Lot No.1 i.e. Building Structure and movable assets (except records, land, compound wall and trees) of factory premises situated at Nr. Sarangpur Bridge, Gomtipur, Ahmedabad of M/s. Ahmedabad Cotton Mill Unit of GSTC Ltd.
(In Liqn.) for Rs. 3.51 Lacs on Terms and Condition of sale as per Tender Form at Annexure-C to this Report or on such other and further Terms and Conditions as this Hon'ble Court may consider just and appropriate or otherwise.
c) That, in view of the facts and circumstances stated hereinabove, whether this Hon'ble Court would be pleased to permit the Official Liquidator to refund the EMD of second highest bidder, in case, the sale is confirmed in favour of highest bidder or some other bidder or as the case may be.
d) That, this Hon'ble Court may be pleased permit the Official Liquidator to pay the bill of M/s. Shree Giriraj Advertising & Marketing of Rs.30,847/- (inclusive of Service Tax) towards advertisement charges against their bill dated 09.11.2009 at Annexure B .
e) That, successful bidder of the assets of the Company may be directed to pay 25% of the purchase consideration (excluding EMD) within one month or such time as the Hon'ble Court may stipulate from the date of final acceptance of the particular offer. The balance amount of purchase consideration will have to be paid within three months thereafter by the purchaser or within such time as may be fixed by the Hon'ble Court.
f) Such other and further orders and directions as may be considered just and appropriate by this Hon'ble Court may also be passed .
2. The liquidator of M/s. Ahmedabad Cotton Mill, Unit of GSTC Ltd. (in liquidation) has filed this report seeking confirmation of sale of building and movable assets of Timekeeper's office and Accounts Office except compound wall, records, trees and land in favour of Shri Yusuf N. Malik on the basis of Minutes of the Meeting of the Sale Committee held on 20.11.2009. The facts are that out of 16 offers received by the Sale Committee highest offer of Rs.2,81,111/-(Rupees Two lacs Eightyone thousand One hundred Eleven only) was received from M/s. Vijay Textile (respondent No.5 herein) against upset price of Rs.2,14,000/- (Rupees Two lacs Fourteen thousand only). In the inter se bidding in presence of the Sale Committee Shri Yusuf N. Malik emerged as the successful bidder at Rs.3,51,000/- (Rupees Three lacs Fiftyone thousand only). The Sale Committee has therefore recorded that the highest offer received along with offer of the second highest bidder be placed before the Court and Earnest Money Deposit made by both the bidders be retained while returning the Earnest Money Deposit of other bidders.
3. At the time of hearing, both the highest bidders viz. respondent No.4 and the second highest bidder i.e. respondent No.5, are present. However, learned Advocate for respondent No.5 stated, under instructions, that respondent No.5 is not willing to raise the offer beyond the offered sum, i.e. Rs.2,81,111/- (Rupees Two lacs Eightyone thousand One hundred Eleven only). Accordingly, the Sale is confirmed in favour of Shri Yusuf N. Malik of Ahmedabad, for a sum of Rs.3,51,000/- (Rupees Three lacs Fiftyone thousand only), subject to the following terms and conditions.
4. The Sale shall be on the same terms and conditions as published along with the tender with further addition/modification in the conditions as follows, and in case of any conflict between the two, the terms and conditions stated hereinafter shall prevail.
(a) The sale is on AS IS WHERE IS and WHATEVER THERE IS BASIS .
(b) Purchaser Shri Yusuf N. Malik shall pay the entire amount of consideration of Rs. 3,51,000/- (Rupees Three Lacs Fifty one Thousand only), after adjusting the Earnest Money Deposit of Rs.22,000/- (Rupees Twenty two Thousand only) within a period of one week commencing from 04.02.2010;
(c) The successful bidder is entitled to possession of the properties under sale only after full payment of consideration;
(d) It will be open to the purchaser to make only one Nomination, but the purchaser shall be responsible for complying with all the Terms and Conditions of sale and liable qua all the liabilities in respect of the properties sold under this auction;
(e) In case of any default in payment on the aforesaid terms, or in case of non observance of any of the terms of the sale, the amount of Earnest Money Deposit shall be forfeited;
(f) All costs, charges and incidental expenses in relation to this sale, including costs and expenses connected with the sale, inclusive of labour charges and transportation charges, and tax if any, shall be borne by the purchaser;
(g) The purchaser is liable to pay all statutory dues, taxes, cess, fees, etc. whether past or current, which is outstanding as on the date of sale;
(h) The security deployed by liquidator shall continue to occupy the premises until full payment of the sale price is realised;
(i) It will be open to the purchaser to place his own security outside the premises of the Company in liquidation upon possession being handed over by the liquidator for the purpose of removal of all the movable assets,and the debris of the building, but upon completion of the removal of the said items, purchaser shall be liable to hand over vacant and peaceful possession of the land to the Official Liquidator;
(j) The purchaser shall remove all the movable assets and the debris (except compound wall, records, trees and land), within a period of two months from the date of possession being handed over by the Official Liquidator;
(k) In case, any extension of time is sought for the aforesaid purpose, i.e. removal of the movable assets and the debris, the purchaser shall make an Application in writing to the Official Liquidator accompanied by Banker's cheque/Pay Order for a sum of Rs.5,000/- (Rupees Five Thousand only), and such application shall be made at least one week before expiry of the period of two months; upon receipt of such application the liquidator may extend the period by a fortnight and not more. It is made clear that no further extension shall be granted thereafter;
(l) The purchaser shall not dig the land and shall not remove any part of the soil including the Coal ash which may be forming part of the soil (earth).
5. Time period stipulated in conditions (b) and (j) has been stipulated on the basis of statement made by learned Advocate appearing on behalf of Shri Yusuf N. Malik, respondent No.4, who is personally present in the Court Room.
6. In the result, the sale of all the movable assets and the building, other than the compound wall, records of the company in liquidation, trees and land, is hereby confirmed for a sum of Rs.3,51,000/- (Rupees Three Lacs Fiftyone thousand only), in favour of Shri Yusuf N. Malik on the terms and conditions specified hereinbefore.
7. In light of what is stated hereinbefore, prayers (A) & (B) stand disposed of. The Official Liquidator is directed to refund the Earnest Money Deposit of second highest bidder i.e. respondent No.5 herein by Account Payee Cheque within a period of one week commencing from 03.02.2010.
8. The Official Liquidator is permitted to pay the bill of M/s. Shree Giriraj Advertising & Marketing of Rs.30,847/- (Rupees Thirty Thousand Eight Hundred Forty seven only), (inclusive of Service Tax) towards advertisement charges, viz. bill dated 09.11.2009.
9. The Report, accordingly, stands disposed of in the aforesaid terms.
Sd/-
(D.A. Mehta, J.) M.M.BHATT Top