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Issues:
Granting inspection of documents in the custody of the official liquidator in regard to proceedings under section 549(1) of the Companies Act, 1956. Detailed Analysis: The petition was filed under rule 9 of the Companies (Court) Rules, 1959, read with rule 14A of the Companies (Central Govt.'s) General Rules and Forms, 1956, and O. 11, rule 15 of the CPC. The prayer sought inspection of documents held by the official liquidator concerning proceedings under section 549(1) of the Companies Act, 1956. The application was made by respondents in the misfeasance proceedings. The official liquidator resisted the prayer, arguing that specific documents were not mentioned in the judge's summons for inspection. However, the court found that rule 14A of the Companies (Central Govt.'s) General Rules and Forms allows for inspection by creditors or contributories after a winding-up order is made, even if the winding-up is under court supervision. The court addressed the argument that O. 11, rule 15, CPC, allows inspection of documents mentioned in pleadings. The official liquidator had relied on a report forming part of the pleadings, which listed books and papers inspected by the auditor and included in Appendix I of the report. The court held that the official liquidator must allow inspection of documents listed in Appendix I, which are part of the pleadings. In proceedings under section 549 of the Companies Act, the respondents are akin to the accused and should be afforded a liberal view in their defense. The court directed the official liquidator to permit inspection of books and records listed in the auditors' report during office hours in the presence of authorized agents of the applicants. The court emphasized that if the documents in Appendix I were insufficient, the applicants could specify additional books and records for summoning to the court at a later stage. The official liquidator was ordered to provide inspection as directed. The court scheduled a follow-up hearing for Company Application No. 245 of 1983 and allowed for an extension of time if needed for the respondents to prepare their written statement.
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