Sanjeev Prakash Sharma, J. - (1.) Instant company application has been preferred by the Official Liquidator (herein after referred as 'OL') under Section 543 of the Companies Act, 1956 (hereinafter referred as the 'Act of 1956') wherein he has alleged that the respondents-Directors of M/s Surya Power Ltd. (hereinafter referred as 'Company in liquidation') have committed misfeasance within meaning of Section 543 of the Act of 1956 and has prayed that the respondents be compelled to restore such money and properties of the Company in liquidation as this Court may deem fit and proper and also direct them to compensate for the act of misfeasance.
(2.) Brief facts of the case are that the Company in liquidation was referred to by BIFR in terms of Section 20 of the then SICA Act on 29/01/1993 and was declared sick. On 04/08/1995, on the recommendation of the BIFR, the Company in liquidation was directed to be wound up in Company Petition No.7/1993. On 30/06/1997, statement of affairs were filed by the respondent No.1-S.K. Bhargava. The possession of the factory and unit could not be taken by the OL as the same had already been taken over by the RIICO under Section 29 of the SFC Act on 17/03/1993. The inventory was prepared but the current stock was not included which related to raw material, consumables/stocks, finished/semifinished goods. On 26/02/1996, the RIICO sold the entire factory and unit excluding the current assets to M/s Havells (India) Ltd. A joint verification was conducted on 19/08/1996 by the RIICO, Central Bank of India and Havells (India) Ltd.. The RIICO deposited with the OL the balance sale consideration on 20/11/1997 of Rs.1,08,90,000/-. The RIICO sent a letter on 15/01/1998 that no record, current asset were found in the factory unit of the Company in liquidation. In the circumstances, Chartered Accountant was appointed who submitted his report under Section 543 of the Act of 1956 on 31/07/2000 on the basis whereof, the present company application under Section 543 of the Act of 1956 was filed by the OL with the aforesaid prayers.
(3.) On 11/11/2010 following issues were framed by this Court on the basis of pleadings on record:- "1. Whether the ex-directors of the company have misappropriated the money and properties of the company (in liquidation) namely M/s. Surya Power Limited? 2. Whether the ex-directors of the company have been negligent and are personally responsible for not recovering the money from the loanees and the persons to whom the advances had been granted? 3. Whether the ex-directors have not handed over the assets of the company and complete account books to the Official Liquidator and whether they are liable for restoring the properties, record and all the money of the company to the Official Liquidator? 4. Whether an amount of Rs. 20,64,331/- towards stock of raw-material, finished goods packing and other stores and spares stock in process and scrap is liable to be given to the Official Liquidator by the respondents? 5. Whether the respondents have not given the share certificates and S.B. Account No. and address of the post office to the applicant which resulted in nonrealization of any amount? 6. Whether the respondents are liable for the value of the amount towards debt for which no steps were taken for recovery within the limitation amounting to Rs. 12,14,826.00 and Rs.64,58,771.93 towards loans and advances and sundry debtors respectively?";