Arun Kumar, J. - (1.) M/s. Punjab National Fertiliser and Chemical Limited (hereinafter referred to as "PNFC") is a Company limited by shares and is registered as a company under the Companies Act, 1956. This company was promoted by the Punjab State Industrial Development Corporation Limited (hereinafter referred to as "PSIDC") and the PSIDC held 46.13% shares in it. On recommendation of the BIFR (Board for Industrial and Financial Reconstruction) under the Sick Industrial Companies (Special Provisions) Act, 1985, the winding up order was passed qua the PNFC on 27th July, 2001.
(2.) In view of its financial difficulties the PNFC stopped paying the wages to its workers from September, 1999. The workers were therefore agitating for payment of their wages. It appears that they approached the Chief Minister of the State of Punjab in this behalf. On a proposal put forth by the concerned department, the Chief Minister on 25th August, 2001 made the following note : "It is not a question of legality or statutory obligation. It is an issue involving of a large number of employees who has going without salary. Even legally they are entitled for their pay and emoluments till the actual date of winding up. Considering that there is resource constraint within the PSIDC, the offer of Finance Department to permit PSIDC to raise resources by market borrowing with State guarantee should be pursued. Exercise may be done in a time bound manner so that disbursement of 6 months salary as requested by the Food and Supplies Minister, is not delayed. After the disbursement the matter be reported."
(3.) The workers" association, that is respondent No.1 filed an application before the Company Judge in the High Court of Punjab and Haryana under Rule 9 of the Companies (Court) Rules, 1959 seeking a direction to PNFC (represented by Official Liquidator) and PSIDC to pay six months salaries to the employees.;