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(4) The grounds prepared by the company did not inspire confidence for following reasons ;
(a) The balance sheets exhibits E-5 to E-14 were prepared by a Internal auditor, other than the statutory auditors of the company.
(b) The depreciation was not claimed on the properties of Universal Tyres and was not added back to the profits.
(c) Jay Shree Tea and Industries Ltd. is, owner of Jay Shree Tyres and Rubber products and that it could not have charged interest on its own money and therefore, all the interest amount shown should be added back to the profits ; and

18. Sri K.P. Agarwal, senior counsel, appearing for the workmen, on the other hand, submitted that the application for closure was not bona fide. The period of leave and licence was coming to an end and that the company took a decision with mala fide intention to close down the unit. The industrial relation between workers and employer were cordial and that apart from statutory bonus the workmen were paid ex-gratia payments, increments and were awarded appreciation letters. The production and quality of tyres and tubes was appreciated by the employers. He submits that stand taken by the employers about the financial viability was mala fide, illegal and invalid. Every company especially those managed by the leading industrial house and prepared true and correct accounts and closely monitor the financial position of every unit. It is difficult to believe that the accounts were not prepared unit-wise. The employers failed to prove that they were running into losses and in fact the whole stand was tainted with falsehood. No one was produced from the head office to prove that the loans were taken from the banks or financial institutions and that the head office was paying interest on such advances given to the units. According to Sri Agarwal, accounts of the unit were cooked up and were not prepared by the statutory auditors of the company and that the entire statement of losses was prepared and signed by an internal auditor on a single day only to support the application for closure. Sri K. P. Agarwal submits that the findings recorded by the Industrial Tribunal after taking evidence are findings of the fact. The Tribunal was required to decide the matter within 30 days and that the dates were fixed with the agreement of the parties. The employers wanted to delay the matter and took adjournments only to frustrate the attempt of the Tribunal to decide the matter within statutory period. The application was rightly rejected and that the Tribunal did not commit any error on record to call for interference from this Court.

20. The unit was taken by the company on leave and licence basis, for a period of 12 years beginning from 1.2.1977. It has admitted to the employers that the financial position of the company was not disclosed either to the workmen or to the State Government in its successive applications for lay off made on 9.6.1986, 22.6.1986 and 3.9.1986. The profit and loss accounts and the balance sheet of the unit were not prepared separately for the unit upto the date the decision was taken to close the unit. No material was produced or evidenced led to show that the company had considered the financial position of the unit in any of the preceding years. The company did not produce any officer or any documentary evidence from the head office to show that at any stage before deciding to close the unit, the financial position of the unit was assessed by the company. The Directors of the company gave encouraging picture in the balance sheet of the years 1983-84 and 1984-85. The reports of the company did not show that the unit was in any financial trouble. No evidence was led by the employer to establish that the loans taken from the bank and financial institutions and any interest was paid by the company on these loans to the banks and financial institutions. It is hard to believe that financial institutions will give loans to the company to defray in any manner whatsoever and especially to a unit which is alleged to be running into losses. The depreciation was not provided. The entire statement of investment made by the company in the unit from 1976-77 to 1985-86 and adding the figures of interest were prepared on a single day by a internal auditor. All along the years from 1976-77 to 1985-86 the workmen were given ex-gratia payments, beyond the statutory bonus and were given increments and appreciation letters. The company was satisfied with the production and the quality of its products. No efforts whatsoever was made with regard to improving the viability of the company. About 389 workmen were employed in the unit and taking into account the staff more than 400 employees were to be loose their jobs on closure.

21. The Tribunal discussed the evidence and has considered each and every document filed in detail. Adequate opportunity was given to both the parties to lead their evidences. The counsel for petitioner, inspite of repeated opportunities was not able to demonstrate any statutory rules or any practice adopted by the auditors of the company in which accounts of the unit are not prepared separately and are not audited by the statutory auditors of the company. He has not been able to assail the finding that the balance sheet of Jay Shree Tyres and Tubes was not audited and that the accounts showing losses were prepared on single day by an internal auditor of the company. There was no evidence on record led by the employer to show that any effort whatsoever was made to improve the viability of the company. They did not lead evidence to show that there was recession in the tyre market and that there was no possibility of financial revival in future. The genuineness and the adequacy of the reasons stated by the employer were thus not proved on record. It was also not in the public interest to close down an industrial undertakings which was meeting the targets of the production and quality and was employing more than 400 employees. The Tribunal as such did not commit any error of law or Jurisdiction to interfere in the matter.