Official Loquidator Vs NA (Gujarat High Court)
The report before the Gujarat High Court sought multiple directions regarding the sale of assets of a company in liquidation. It recorded that, following advertisements issued on 09.09.2025, the Official Liquidator did not receive any offer from intending purchasers. The Liquidator requested permission to fix the upset price and earnest money deposit (EMD) as recommended by secured creditors, to issue fresh advertisements in specified editions of “Gujarat Samachar” and “Times of India,” to conduct an e-auction through RailTel Corporation of India Ltd., and to pay advertisement expenses from available company funds. The report further recorded that the Court had earlier, by order dated 25.08.2025, permitted the sale of the company’s assets and properties at Kalol, District Gandhinagar, on an “as is where is and whatever there is” basis as a composite lot. The property consisted of freehold industrial land along with residential quarters and chawls, some portions of which were occupied by Sanrhea Technical Textiles Ltd. The earlier upset price was fixed at Rs. 175 crores with an EMD of Rs. 17.5 crores.
Pursuant to the earlier directions, the Liquidator published sale notices, and although thirteen tender forms were purchased, no offers were received. An Asset Sale Committee meeting was held on 14.10.2025 to review the outcome and decide the next course of action. The Committee considered valuation reports of two valuers, the substantial Government dues exceeding Rs. 70 crores, encumbrances and encroachments on the property, Town Planning deductions, conversion charges, and the fact that the sale would not assure vacant possession or clear title. The Committee also noted that a previous sale attempt in 2014 at a lower upset price had similarly not attracted bidders.
