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TMI Blog2010 (8) TMI 181X X X X Extracts X X X X X X X X Extracts X X X X ..... s secured creditors in accordance with section 529A of the Companies Act. Therefore, there is no inconsistency in the Companies Act and the Debt Recovery Tribunal Act insofar as it relates to distribution of sale realisation by the Official Liquidator in accordance with section 529A of the Act. In the instant case, the respondent without complying the mandatory requirement under section 529A passed the impugned order denying the claim of the applicant-Bank. On this ground also the impugned order is liable to be quashed. Appeal allowed. - C.A. NO. 338 OF 2010 - - - Dated:- 25-8-2010 - H.N. NAGAMOHAN DAS, J. U. Abdul Khader for the Applicant. K.S. Mahadevan and V. Jayaram for the Respondent. ORDER 1. In this appli ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r of winding up the applicant is entitled for interest on the principal amount as per the contractual rate. Subsequent to the order of winding up the payment of interest to the applicant is governed by rule 179 of the Company (Court) Rules, 1959 and the same reads as under : "179. Payment of subsequent interest - In the event of there being a surplus after payment in full of all the claims admitted to proof, creditors whose proofs have been admitted shall be paid interest from the date of the winding up order or of the resolution as the case may be up to the date of the declaration of the final dividend, at a rate not exceeding 4 per cent per annum, on the admitted amount of the claim, after adjusting against the said amount the dividen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Court under section 442 read with section 537 or under section 446 of the Companies Act, 1956. In respect of the monies realised under the RDB Act, the question of priorities among the Banks and Financial Institutions and other creditors can be decided only by the Tribunal under the RDB Act and in accordance with section 19(19) read with section 529A of the Companies Act and in no other manner. The provisions of the RDB Act, 1993 are to the above extent inconsistent with the provisions of the Companies Act, 1956 and the latter Act has to yield to the provisions of the former. This position holds good during the pendency of the winding up petition against the debtor-company and also after a winding up order is passed. No leave of the Compan ..... X X X X Extracts X X X X X X X X Extracts X X X X
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