Revenue to Approach Liquidator First, Directors Second for Unrecovered Dues

Smt. K. Malathi  Vs State Tax Officer (Madras High Court) In a significant legal development, the Madras High Court recently delivered a crucial judgment in the case of Smt. K. Malathi versus the State Tax Officer, challenging the impugned orders related to the liquidation of M/s. Sri Karunambigai Spinning Mills Pvt. Ltd. (SKMPL). The court’s decision, dated 28.09.2020, has far-reaching implications for the recovery of outstanding dues from companies undergoing liquidation, particularly addressing the liability of directors in such scenarios. Background: The petitioner, Smt. K. Malathi...