9911796707
|
Home
Issues: Recovery of debt by Official Liquidator, Defense of limitation period
Recovery of Debt by Official Liquidator: The Official Liquidator filed a petition on behalf of a company under liquidation to recover Rs. 7,37,965 with interest from a respondent. The respondent claimed that the supplies were made to a different entity, which underwent name changes. However, it was admitted that the company under liquidation supplied liquor to the respondent until 1998-99, with payments made until 2000. The respondent argued that the claim was barred by limitation, with no other defense raised. The Official Liquidator presented evidence of the debt owed, including accounts, ledger, and demand notice. The respondent did not cross-examine the Official Liquidator's witness. The court noted the respondent's admission of liability and ruled in favor of the company under liquidation, awarding the debt amount with interest. Defense of Limitation Period: The company under liquidation was wound up in 2005, with the recovery proceedings initiated in 2007. Section 458A of the Companies Act, 1956 allows for the exclusion of certain periods in computing the limitation period. The court excluded the time from the commencement of winding up to the passing of the winding up order, as well as an additional year following the order. Considering these exclusions, the claim made by the Official Liquidator fell within the limitation period. Despite the respondent's argument that the amount was written off in 2002, the court found in favor of the company under liquidation, granting a decree for the debt amount along with interest, payable by the respondent from the date of the petition filing. This judgment highlights the Official Liquidator's role in recovering debts on behalf of companies under liquidation and the application of legal provisions to determine the limitation period for such claims. The court's decision underscores the importance of maintaining accurate records and timely legal actions in debt recovery proceedings involving liquidated companies.
|
