Bimal Chandra Basak, J. - (1.) This appeal is directed against the order dated August, 1989, passed by the learned trial Judge in C.P. No.141 of in Re: Textile Processing Corporation of India Ltd., (hereinafter Ted to as the said petitioner). This appeal is preferred by the Industrial Reconstruction Bank of India (hereinafter referred to as the I.R.B.I.) facts of this case are as follows. In the winding up petition by the petitioning creditor, the appellant herein, an order of the Board for Industrial and Financial Reconstruction (hereinafter referred to as the Board) instituted under the Sick Industrial Companies (Special Provisions) Act, 1985 (hereinafter referred in as the 1985 Act) was placed before the Court. It is stated in their petition as follows : "2. On diverse dates the appellant had granted various amounts of loan to the respondent No.1 and as on 30th June, 1989, the respondent No. 1 was liable to pay to the appellant the sum of Rs. 4,28,65,000 as principal and the sum of Rs. 2,55,41,039.33 Paisa as the interest as on 30th June, 1989 the total being Rs. 6,84,06,039.33 Paise. Further interest, is accruing from day to day. All the assets of the respondent No.1 are mortgaged and/or hypothecated with the appellant for due repayment of the loan granted by the appellant to the respondent No.1 along with interest and other charge. 4. For a number of years, the respondent No.1 has not been running well and has been incurring huge losses every year. It has become a Sick Industrial Company within the meaning of Sick Industrial Companies (Special Provisions) Act, 1985 inasmuch as its accumulated losses are far in excess of its net worth. In view of the fact that the respondent No.1 became a Sick Industrial Company, a reference was made by it to the Board for Industrial and Financial Reconstruction under section 15 of the Sick Industrial Companies (Special Provisions) Act, 1985 for determination of the measures which should be adopted with respect to the company. The said reference was registered as Case No.35 of 1987 by the Board for Industrial and Financial Reconstruction. 5. The Board for Industrial and Financial Reconstruction held the hearings of the case of the respondent No.1 on 4th April, 1988, 30th November, 1988, 17th May, 1989 and 12th June, 1989. Copies of the minutes of the proceedings held on 17th May, 1989 of the final order passed on 12th June, 1989, are annexed hereto and collectively marked as Annexure "A". 6. From the proceedings of the hearing held on 17th May, 1989 and the final order passed on 12th June, 1989 by the Board for Industrial and Financial Reconstruction, it is clear that the said Board explored the possibility of making the respondent No.1 viable. The Board gave opportunities to the Government of West Bengal and the Workers to submit their proposals for rehabilitation of the respondent No.1. The representative of the Workers' Union submitted before the Board that formation of Workers Co-operative to take over the respondent No.1 is not feasible. The representative of the Government of West Bengal also submitted before the Board that the efforts of the said Government to revive the Unit had not been successful. Efforts of the Board to' locate entrepreneurs willing to take over the respondent No.1 also proved unsuccessful. The Board found that the respondent No.1 had become non-viable with huge accumulated losses of about Rs. 18 crores as on 30th June, 1989 without any prospect for revival. In the circumstances mentioned above, the Board reached the conclusion that it is just and equitable that the respondent No. 1 should be wound up. The final order of the Board containing its opinion that the respondent No.1 should be wound up has been forwarded to this Hon'ble Court."
(2.) These facts are not disputed. Having regard to the importance of this case we set out hereinbelow the minutes of the proceedings held on 17th May, 1989 and the order dated 12th June, 1989. JUDGEMENT_152_CALLT1_1990Html1.htm
(3.) Shri Pratap Kr. Chakraborty, Vice- President. (i) Shri T. C. Kheria 4. -Individual-;