<3SP:.No.33.2OCV?
IN “ma HIGH comm 01:’ KARNATAKA AT BANGALORE
DATED THIS THE 1 1TH DAY OF ~
PRESENT m_ 1 ” s
TI-IE HONBLE Mnausfritig’ A’
THE HON’BLE MRS;J§§a*r1cfii B.32*.1NAvr3A–§§ A*1*HiuA
V ~.Q.S.A’.’NRE_.»w–._
V % % ‘ …APPELLAN’I’
(By S21;’::.,mi”cHAN§:§:AsHEKAR, ADV.)
i’ “””_”v:)1:’i?i(f:1AL LIQUIDATOR mi’ TI-IE MYSORE
. KERLOSKAR LTD., ATTACHED T0 HIGH COURT
“OF KARNATAKA, ‘D’ WING, 4TH FLOOR
3 KENDRIYA SADAN, KORAMANAGALA
BANGALORE — 560034.
‘ 2 M/SINDUSWIAL DEVELOPMENT
BANK OF INDIA
NGL58, MISSIGN ROAD
BANGALORE.
3 M] S I F’ C I LTD
CUBBONPET MAIN ROAD BANGALORE
4 M/S ICIC§ BANK
ICICI BANK TOWER
OSZLNQ. 33.2007
NO. 1, COMMISSARIAY RROAD
BANGALORE ~ 560025
5 BANK op’ BARODA
INDUSTRIAL FINANCE BRANCH 1 ~
BOMBAY SAMACHAR MARG :
FORT, ‘ ~ ”
MUMBAI–400023
6 BANKOFINBIA _ ,
CORPORATE BANKING. “RANCH I
70—80,M.G.RoAD ”
MUMBAI»400023é_
7 SMALL INDUSTRIES DEVELQPMENT BANK OF INDIA
NARIMAN BI~IAvAI\I; I
NO.2_?.’3′,_V_’ K SHAII MA-R.Gv ,_
NAR1MA§’J'”I?UINT V V
M¥JMEAI544f)G{)2«1’j’– _ . ”
3 ‘I STATE BAIIII OF}-NDIA””””
oVE’RsEI5s«.BR.AN.r;II. ;
“r_NEP DEVEISQNI I’ I.
ALMAS {1EF-I’FER,–._I\r’E.”G.ROAD
BANVGALORE’._v I
‘mm I?-Iéeislraatixrr
MYSORE KIRLOSKAR KARMIKAR
HITARAKHANA SANGHA
– ._’fo_Iv? PQ_S’I’ OFFICE HARIHARA.
‘ M I%I1RLosI<AR OIL ENGINES LTD
REG 'OF'F'ICE:LAXMAN RAG KRLOSKAR ROAD
" __§uNE~4110o3
' . M/S KIRLOSKAR INSTITUTE OF ADVANCED
MANAGEMENT STUDIES
REG OFFICE AT YANTRAPUR
HARIHAR-5776028
12 V R MUZUMDAR S/O LATE R K MUZUMDAR
SINCE DEAD BY HIS LRS
12(A) sm' PREMA MAJUMADR
w/0. LATE V R MAJUMDARE AGED ABOUT
53 YERS
16
17
I8
19
OSELNO. 33.2007
A S JAMIHAL
S/O LATE SRINIVAS RAD H, JAMIHAL
R/O J–13, M.K.OF’F’1CERS COLONY
YANTRAPUR
HARIHAR 577 602
M N GURUNATH RAD
S/O M.N.AMBAJI RAG . ~ *
R/() .}–6, M.K.OFFICERS COLONY
YANTRAPUR * .
HARIHAR 577602
S PADMANABHAN *
S/O LATE S S’HETH’UMg§Dl?EA’JAf2.g#.O
R /0 3- 1 1/1, M.K;_0:r«’1a*zCI3:RS. CGLGNY
YANTRAPUR
HARIHAR’-~57’Z602
M’MANJUfi_ATE~i;-«.._ §
sic} i’i?.IU.KAI\k NAPRA… ”
—- %1R;,0~V,3–5’Es;.; M.K,0FFzC:3Rs’5coLoNY
YANTLR-.APU.R .
I*’iARVIHARV-5.’f?V” ‘
20
in VARAVDA:f€;3JA::_”.E?AO
s/0 RAGHAVTENDRA RAO
‘V “R/O J+39,,’M.;;.oFFIcERs COLONY
‘ ~.YA1S{TRAPUR
‘HARE’-EAR-577 502
Sziv. M ~T:§x§1N1vAs
V. S/”Q ‘LATE I{.P.KANARAN
A Rje J–36
M.K.OFFICERS COLONY
” YANTRAPUR
22
23
HARIHAR 577 602
S [-3 SHAMBANNA
S/G S.B.PU’I’TAPPA
R/O J–56/ 1 11
M.K.OF’F’ICERS COLONY
YANTRAPUR’
HARIHAR 577 602
S M KRISHNAMURFHY
S] O LATE S MADHAVA RAG
24
25
26
R] O J~8
M.K.OFFICERS COLONY
YANTRAPUR
HARIHAR 577 602
M N GURUNATH RAO _
S/O M.N.AMBAJI RAG ‘ ”
R] 0 we
M.K.OF’F’ICERS COLONY
YANTRAPUR *
HARIHAR 577 602
M N MAJATHESH ,
S/0 M.N.AMB&J_I:’RA()
OSANO. 33.2007
12/ O SUSHILAMBAO_NIV.5§3l”
A BLCECK _
VIDYANAQAR .
HAR_IVIjIAl{L5’Z?.65)2X_’ ”
GE}::rI~:’A 1§A0.:h}ii,’z~{
–W,1 of ‘M.NI’ii3;EJ RU NAT-H MO
V,M.’–K.OFFfC-ERS OQLONY
¥ANTRAs?URy.
HA§1’r1AR’57-z_5o2.OV
M N MOHAN .
‘ 2,3/O..M.N.AMBAJ1RAO
_ R10’ J~–,S1
‘M.’2:.’OOFF£OERs COLONY
H %*:<ANTRAPUR
23 ~
29
:;1AR;j:iAR 577 502
l3:.R.(SM’I’) G C SHILAJAKSHI
‘w/O DR. MALLIKARJUN
R/O 49
AYYAPPA COLONY
YANTRAPUR
HARIHAR 577 602
DR MALLMARJUNA
S/O S NAGAPPA
R/O No.49
AYYAPPA COLONY
HARIHAR 577 602
30
31
32
33
34
OSELNO. 33.2007
R V BHAKTHVATHSALA
3/0 H VENKOBA SHE’??? ; ‘
R/O BALAJI RICE INDUSTRIES compougm n
SHIVAMOGA ROAB * ‘ 2 %
HARIHAR ‘
HARIHAR 577 502
R V KRISHNAMURTHY
s/0 R VENKOBA SHETTY . V :
R/O BALAJI RICE INDEI “‘£RIES”‘COMPOUND”
SHIMOGA ROAD ” .. ~
HARIHAR 577 692
B U RAJSHEKAR’-$5/O ‘B €’. UMAfFfA’1’HY
SINCE DEAD BY HISVFATHER-.._
B C U»am:.aTHY,si’o..:;AT:?,_:?_ S CSHANNABASAPPA
NO. 1 19,’52~.PA~NDaN1?. Mice. A BLOCK,
DAVA.N(3EE?’Ew_5?’f am ‘
B c’cHA§e’}{)RA3Héi{AEAPP1′ \} V
~S]”G;~Lfi;’:l’E B?-IS CAIYINABPASAPPA
19002 ‘:~a:)…;9s9;«.Mcc ABLOCK,
BAVANGERE.-.5?76Q4,_.
B SH1vA1{ti1»1Ai2:.«’%’
‘ “SI ‘BS C-ANNABASAPPA
REAR WA’I’ER._TANK, MCC A BLOCK
3?’
GERE 577604.
NAT!-i
‘ S] 9;; is M SIDDAIAH BASAPPA
BUSINESSMAN, NO.446/ 1,8TH MAIN
CROSS, P J EXTENSION,
” .;:,éxvANGERE 577604.
* U L VANISHREE
DI O.U LOKAMURTY
DAVANAGERE ROAD,
JAGALUR, DAVANGERE (DIST)
B C UMAPATHY
S] O.LATE P S CANNABASAPPA
190.1991, SPANDANA,
MCC A BLOCK, DAVANGERE 577602.
38
39
41
42
OSA.No.33.200′?
B U CHANDRASHEKAR
S/0.8 C UMAPATHY
140.1991, SPANDANA, MCC A BLOCK,
DAVANGERE 577604.
B U PRAWN s/0 B (3 UMAPATHY ,
SINCE DEAD BY ms FAT1a;~:i*.R~–sR1 ”
B C UMAPATHY s/0. LATE P CHA-NNABASAPPA.
NO. 1991, SPANDANA, MCCA :3L’0cK* » _ . ”
DAVANGERE – 5775c4_.’_ A.
U L RAJESWARI
D/cw LOKAMURTY ‘
DAVANAGEREFIOAQ’; ,_ ,
JAGALUR, DAVANGERE{.DIS’F}.f ‘
P R KADE-R . ”
s/o.1?:ANgAPPA 1 A
J-45»; “M Qr.FFICEF?–S CWONY
YAiN’FR;iiPUR’-.POS3′,A * V’ ‘–
V”fiAR£H}’xi?.:§?T§02. ‘ ‘-
SI O.LA.T1e:« .’sANNA—‘rH..Ih}1MA1AH
J~._28, M K O’FFICEs1RS COLONY
YANTRAPU.R ‘;?O’.~;«..- ‘,
” HARIHAR’5’??602.
.sREEr§’ii?AsA RAO
CEJEATE VITTOBA mo
.VNQ’;9.1’9/ 2A~15,
45
OLB P'()S”I’ DFFICE ROAD,
K B§’.Ex*rENsI0N,
” QAVANGERE 577002.
VI’I”1’AL TULUJARAMSA
s/ O.LA’I’E TULUJARAMSA
110.301, IST MAIN, 9’I’I-i CROSS,
H s EXTENSION,
HARIHAR 577601.
A G NARASAPUR
S] 0.(3~UNDURAO
J-48, KIRLOKAR COLONY,
YNTRAPUR POST,
HAREHAR 577602.
OSA.N0. 33.2007
46 A P DIXIT
S/OPANBURANGA S DIXIT
NCL49, 4TH MAJN
3RD COSS, SHANKARNAGAR,
MAHALAKSHMI LAYOUT,
BANGALORE-96.
(By Sri: DEEPAK FOR _ (31,, Co. for
R12,13,15, 17,18,2o,21,26 Adv.
for R19,22,23, an 25, s;1i,K».Raghaven:1xsa, Ran, Adv.for
R29,30,36,42,32,33,34,35,3’7 as-$9, ‘3;-i.Ma11e’s1i, Adv. for R9
& 10, sri.G.K.v.M’m5:hy’«\ &;{_’ v,P.”E;Um:;sh, Adv. for R5,
Sri. K.B.Na.tayanasWamy-T. Adv; “fair _.M.’CL.’N81_.asimhan, Adv. flair
R40,41,44 av. 45, S1iF3.’B..()nn’t1fa:;torV Agiih ” for R8, Sri.Pmkash
Salmani, Advgfqr Rll 1(1)”; ti) E)”a1L’ivS1i.K.Sub1’axnanya, Adv.
for ofl’ene1f)V ..
“Cc1z;1}§.*ei AppL”.U.E:li”1f has filed the above appeal
under Sccficn. é§83Vof.fl1c:__Co1r31panics (Court) Act, against the
Orcler (fated 14.,”V07.:2Q06’p:q.ssed in (3.2% No.’763/2005 in (.30.?
No. 16612301 and ‘scf=aSisie the older of the learned single
judge passed ix; {>r,L.R!’No.736/2006 dated 16.11.2007’ in
Can? No.1€v6,_lf20€)1 and etc.,
on for _ORDERS on this day,
A ; ‘MAN5JUNA_Tii___J, delivered the following» .
JUDGKEHT
‘ ~. Thbugh the matter is posted for admission, by consent
‘ 1*» ‘gimme pariah 3 the matter is beam on merits.
The appellant is chalkzngng the legality afld
correctness of the order passed by the Learned Company
Judge on 14.7.2006 in COP.No.166/:«’;O01 and on
16.1 1.2007 in ()LR.No.’?36/2006 in CO1′-‘.No. 166/2001.
6%/.
C}SA.N-:>. 33.2007
3. We have heard the learned counsel for the appellant
and Sri.Deepak for (LL.
4. The facts leading tn the this’. veixz Hasu’
under:
C.A.No.763]2005 was bgémev A
under Section 457(9)’ of the Act; – 1.95.6; lead with
Rake of the Companies requesting the
Company Jiidge the highest bid
ofiereati to. of land and
building, assets, furniture and
fixt1ii’e_s and the building wherein
Bank ofihflahara. , at Hanh ara.
» ._:’l”he. herein offered 70 crozes to purchase the
r the company in liquidation M15 Mysoie
Harihara. Learned Company Judge
it ” ennsiiiefing the application of the O.L noticed that the ofier
V by the appellant for 70 crates was the highest and that
the apyeliant herein in teams of his ofier, pursuant to the
order of the 0.1., did not deposit 25% of the bid amount
within ‘Ir’ days from the date of xeceipt of the infimation on
the ground that there were certain. litigation pending in
(V.
OSELNO. 33.2007
-19..
respect of the quarters in occupation of the empIo3*ee3 of the
company in liquidation. Considering the iéiiepnte
about the title of the company in respect (Sf
machinery and the land and btfilsii;x1g AV
suits are pending for specific the
the bid was not
application filed by.» the “-re3’ected”‘by5§the learned
company Judge. submittw by
the 0.1. in }f;ei’n1ission of the court
to sell liquidation. Learned
by eeifitefaerv 15.1 1.2007 considering
the permitted the 0.L to notify the
assets sale under two lots: (21) plaint and
vmigehinexy, ____ buiidings, furniture and fixtures,
»’ flvehieles one lot and (b) the enfixe landed property
._ company except the quarters in respect of
are pending in one lot.
‘E4’: Mr. S.M.Chand1ashekar, learned counsel for the
appellant contends that the learned company Judge has
committed an error in rejecting the applicafion of the CLL
and according to him Company Judge further committed an
error in dixecting to sell the properties unzier two kam as per
W
“”‘;-
OSA.No.33.2007
$12..
/occupants of the quartoxs of the company. Thoxflréfom, he
brought to the notice of all the concerned “in
nespect of the concerned pflxtion of the
subject to the final outcome §5f”Mthc« 7. AV
appiications. it was also nfzhc of
concerned that M/s Kirlosks-a:f’~Qfl Eogioosi
letter dated 28.4.2OQ5..Vadd;esoo§i– is informed
that that six machinos ‘Erase to the Mysore
Kirloskar Limigd, .V}iqi;..#t’i’ai:ion. The list of
on lease by M/s
were mentioned in the
that the sale proceedings in
respectVVV’ofVVV2€)»i1t3;<:¥;iuding the KEAMS Buildings (which
}_:1£:1¢i§:gV_is a Iitta!iy..Exc1udcd from the sale and the adjacent
' be subject to the orders of the company
H * by M/s. Kirloskar Institute of Advanced
Studies.
From the above clarifies’ tion, it is clear that the parts” s
have parficipatcd in the salt accepting the terms and
conditions of the sale notification, as published in the paper
and also knowing the dispute as mentioned fin the
clanfication dated 10.5.2005. in other Words it is clear that
69
……….,…@m.mw
C)SA.No.. 33 . 2007
-14..
bringing to the nofioc of the company oourt non-
deposit of the amount by the highest bidder. b ‘ V
11. The learned Company
has rejected the appficafioo of :’O_.zL V offer
made by the appellant be noted
at this stage by us””tb{at hebzein not made
an application before requesting the
vf;o”v§«’§icposit R-3.70 crores
subject; V_’t;t§ie:;’.§iis;)utes pending before the
t employees. when the
by the appellant, accotding
to us,’:.z;e challenge the oniers passed by
qgggge in rejecting the application of the 0.1..
‘A : zgpwllant has failed to deposit 25%, he has no
. to file this appeal. Similarly, he cannot
the order passed by the Company Judge in OLR
* When the sale has not been accepted or
by the Company Court, it is for the Company
Court to dizect the ().L how the property of the company has
to be sold in public auction in View of the pendency of the
dispute between the employees of the company in liquidation
and the Company Judge has rightly directed the (LL to sell
<§'/
g3ng$ iuV:
OSA.N0.33.2007
“15-
the assets of the company in two lots. to avo’gd ..
iitigation. if the Company Court using its
further litigation has brought the pmper1.y_.cf
liquidation for sale, in rcspectlpf :1,1xA1{3.isput:-;d._ 1.:rs:»;_:c1:tit:és_. .,g._g_ _j
-…\._cs€.-V \..!:&'{-E.’~(R-€='( Q ‘\;~& :13-‘:~
According to us, this appeal is ij>Ii*tiit:
pmceedings. In the result cosf
of Rs.25,0{)O/–.
sdH,..
Iu<1'9'°
Sd/*
Tudge