- (1.)This appeal at the instance of the Ex-Director of a Company in Liquidation raises a moot question, that in spite of entertaining a doubt as to whether the Official Liquidator discharged his obligation of proving that the failure to submit the statement of affairs of the company in the statutory format was without reasonable excuse as provided under Sub-section (2) of Section 454 of the Companies Act, the Court was justified in punishing the accused.
The facts in nutshell

(2.)The Liquidator appointed by the Company Court for M/s. Indag Products Limited filed a complaint against the appellant and others alleging commission of offence under Sub-section (5) of Section 454 of the Companies Act on account of their failure to file the statement of affairs within the statutory period.
(3.)An order of winding up was passed by the Company Court on 25 February 1997 in C.P.No.101 of 1994 in respect of M/s.Indag Products Limited and the Official Liquidator attached to the High Court was appointed as the Provisional Liquidator. The appellant and the other Ex-Directors were expected to submit the statement of affairs in form No.57 of the Companies (Court) Rules, 1959 within twenty one days from the date of winding up or from the date of appointment of the Provisional Liquidator. However, the Ex-Directors failed to file the statement of affairs in spite of receipt of notice from the Official Liquidator on 19 April 1997. This made the Official Liquidator to file an application in A.No.1081 of 2004 in C.P.No.101 of 1994 along with a report under Section 454 of the Companies Act before the Company Court. The prayer in the application was to take the complaint on file and to punish the Ex-Directors for their failure to submit the statement of affairs within the statutory period.