Team Associates Vs Official Liquidator (Madras High Court)
Madras High Court held that, in case of disputed question of title over property sold during liquidation process, the official liquidator is directed to undertake and complete valuation of disputed property through ITCOT within 60 days so as to enable the applicants to make payment towards the same.
Facts- Sale notice dated 15.07.2012 was issued by the Official Liquidator for sale of six lots of property (Lot-A to Lot- F) of Pioneer Feeds & Poultry Products (P) Ltd., the company in provisional liquidation. Lot-E pertained inter alia to an extent of 4.79 acres of land in S.F.Nos.79/1, 79/2, 79/3 and 79/4 (corresponding to old Survey No.196 and Re-survey No.79) at Modachur Village, Gopi Taluk, Erode District, and forms the subject of these applications.
M/s.Vangili Feeds and M/s.Team Associates submitted a joint bid and were declared as the highest bidders for the Lot-E property. Consequently, the property was directed to be sold to the highest bidders for a total sale consideration of Rs.5.88 crore. Upon being put in possession, it was noted that the possession of some land remained with Provimi Products Pvt. Ltd. which was asserting a rival claim in respect thereof.
