2022 (3) TMI 1590 - HC - Indian Laws

condonation of delay in filing application for substitution - Substitution of Official Liquidator appointed by the learned National Company Law Tribunal to prosecute the writ petition in view of winding up of the Petitioner-Company - HELD THAT - The delay in filing the application for substitution is condoned and the Official Liquidator is permitted to represent the Petitioner-Company being under liquidation. Application allowed.

Summary

Issues:
1. Substitution of Official Liquidator in a writ petition due to winding up of the Petitioner-Company.
2. Condonation of delay in filing the application for substitution.
3. Challenging an order related to exemption of an area for dumping of slag under the Odisha Land Reforms Act, 1960.
4. Determination and payment of the amount payable by the Government in respect of surplus land under Section 47 of the Act.

Analysis:

Issue 1: Substitution of Official Liquidator
The High Court considered Interlocutory Applications filed for the substitution of the Official Liquidator appointed by the National Company Law Tribunal to prosecute the writ petition due to the winding up of the Petitioner-Company. The Court, after considering the grounds and submissions of the parties, condoned the delay in filing the application for substitution. Consequently, the Official Liquidator was permitted to represent the Petitioner-Company during the liquidation process.

Issue 2: Condonation of Delay
The Court addressed the delay in filing the application for substitution and decided to condone the delay, allowing the Official Liquidator to proceed with representing the Petitioner-Company despite the delay in filing the necessary application.

Issue 3: Challenging Order Related to Exemption of Area for Dumping of Slag
The writ petition sought to challenge an order related to the exemption of an area for dumping of slag under the Odisha Land Reforms Act, 1960. The Court noted the dispute regarding the adequacy of the area allocated for dumping slag and the closure of the Petitioner-Company. Considering the circumstances, the Court declined to interfere with the determination of the area required for dumping slag, which was specified as Ac.15.000 decimal.

Issue 4: Determination and Payment of Amount for Surplus Land
The Petitioner-Company claimed entitlement to the amount payable by the Government for surplus land under Section 47 of the Act. The Court acknowledged this claim and directed the authorities to determine the amount in respect of ceiling surplus land and make the payment expeditiously. The Court emphasized the need for prompt action in computing the amount and directed the payment to be made within a specified period, preferably within six months, to facilitate the liquidation proceedings.

This comprehensive analysis of the judgment highlights the key issues addressed by the High Court, including the substitution of the Official Liquidator, condonation of delay, challenges related to land allocation, and the determination and payment of amounts for surplus land under the Odisha Land Reforms Act, 1960.