9911796707
TMI Blog1970 (4) TMI 80X X X X Extracts X X X X X X X X Extracts X X X X ..... to the prayer in the earlier application for a direction to the lessees to pay up the rent due, the official liquidator has asked for a further direction to be issued to them to hand over possession of the properties forthwith, in view of the fact that the lease has expired on November 30, 1968. By the lease dated November 30, 1961, the Northern India Oil Industries Limited let out to Bhagwat Saran Garg and Mukat Saran Garg the whole of its movable and immovable properties, consisting of an oil mill with its building, the land on which the building stood and the land appurtenant thereto, various ancillary departments (such as paint factory, ice factory, linseed oil plant and soap plant) and all machinery, machine parts and accessories. The lease was to remain in force for a period of five years and the lessees were to pay a sum of Rs. 50,000 annually as rent. The deed further recited that the lessees were entitled to enjoy all the rights that had been enjoyed by the lessor company itself in all these properties, and that with effect from the date of execution of the deed the lessees had been put in possession of all the leased properties. After the winding up order had been pas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... peacefully pay to the official liquidator rent mentioned above reserved in the lease deed for the period 1st December, 1964, to 30th of November, 1966, by the time stipulated therein and the official liquidator is not obliged to bring legal action for the recovery of the same then only the period of the lease will be extended by another two years commencing from 1st December, 1966, under clause ( ii ) above; this clause of payment will operate in favour of the official liquidator only. (4)That the lessor will not be liable for the annual repairs and white washing of the premises. It will be the duty of the lessees to carry out the same at their own expenses. (5)That this corrigendum will take effect from 1st of December, 1961." This compromise, it may be noted, squared up the amount for the rent due from the lessees up to November 30, 1964, and extended the lease, in a slightly modified form, until November 30, 1968. But up to January 30, 1968, when the first of the applications with which we are dealing was presented by the official liquidator, the lessees had paid nothing towards the rent due from December 1, 1964, in spite of repeated demands. On the issue of notice by t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e liquidator has to approach the court under section 45-B for relief in respect of matters legitimately falling within the scope thereof, elaborate proceedings by way of a suit involving time and expense, to the detriment of the ultimate interests of the company under liquidation, were not contemplated." That was a case where the liquidator had served notice on a tenant, terminating his tenancy and calling upon him to vacate the land and hand over possession ; and it was held that on the failure of the tenant to comply, the liquidator was entitled to apply to the High Court for relief under section 45-B and the High Court could thereupon pass a decree for the tenant's ejectment in exercise of the powers conferred by that section. In the present instance, there is ample justification for the summary disposal of the matters at issue, without resort to the protracted procedure of a regular suit. The lease under which the lessees were holding the company's property has undeniably come to an end and they have not the least semblance of right to continue in possession. I would have had no hesitation, therefore, in passing orders against them under the provisions of section 446(2), re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... icial liquidator the lessees will remain in possession of the demised property for the remaining period of the lease and pay from December 1, 1964, and onward the rent of Rs. 50,000 reserved in the lease at the time stipulated therein." It is significant that under this compromise the official liquidator has undertaken to remove from the premises only the seals and locks which were affixed by himself or by the Commissioner appointed by the court in the course of the winding up proceedings. There is absolutely no mention of any removal of locks fixed by the Allahabad Bank and no stipulation that any portion of the premises that might be in the possession of the bank should also be handed over to the lessees. It is further to be noted that the lessees have undertaken by this compromise to pay the official liquidator the entire rent reserved in the original lease deed, on the sole condition that he will remove his seals and locks and those of the Commissioner. It is clear from these terms that the lessees entered into the compromise on the clear understanding that they would be given actual possession of only those premises which had been locked and sealed by the official liquidator ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... m you that according to the terms of the compromise which had already been approved by hon'ble the company judge you have agreed to pay the rent of Rs. 50,000 from the period beginning 1st of December, 1964. At the time of the aforesaid agreement you were fully aware that a part of the accommodation was in possession of the Allahabad Bank Ltd. The fact that you will pay the full lease rent in the aforementioned circumstances for the period beginning 1st of December, 1964, was one of the considerations for entering into that compromise. Therefore, your contentions to the contrary cannot be accepted." Thereafter the lessees seem to have chosen not to pursue the matter and executed the corrigendum on September 8, 1965, without making any attempt to seek a clarification of the terms of the compromise from this court. There can be no doubt that when the compromise was arrived at and possession of the premises was delivered to the lessees in September, 1964, they were fully satisfied with what they got and the objection which they put forward in August, 1965, was nothing but a dishonest afterthought, not seriously pressed at that time but designed to serve as the basis for further move ..... X X X X Extracts X X X X X X X X Extracts X X X X
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