1998 (7) TMI 498

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..... d in Company Petition No. 319 of 1992, this court had appointed a Sales Committee for disposal of the property of the respondent-company for payment of the dues of the secured creditors, workers and also the unsecured creditors. That Sales Commi- ttee has filed Company Application No. 923 of 1996. According to the Sales Committee, excluding the property of the respondent-company at Shirur which is .....

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..... ld not sell the Shirur property. Though there is no explanation in that affidavit as to why movables remained unsold, it is obvious that the movables have remained unsold. Considering that the only unsecured creditors who has come forward is the New India Assurance Co. In my opinion, following order can be passed to deal with the situation. 2. The New India Assurance Co., applicant in Company Ap .....

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..... d to be payable by the Court, the New India Assurance Co. Ltd. shall undertake to deposit either the entire amount withdrawn by it or so much out of that amount to satisfy those claims. It is clarified that the undertak- ing and indemnity given by the New India Assurance Co. Ltd. shall become invocable only after disposal of the unsold property and the movables and only in case the proceeds receiv .....

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