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The Management of M/s. Heritage Paper Mills Ltd., (Now known as Sri Vishnu Annamalaiyar Paper Mills Limited)Represented by its Managing Director, Vediyankudi Village, Puduvaya, Karaikudi v/s P. Sakthivel & Others

    W.P. (MD) No. 9651 of 2014 & M.P. (MD) Nos. 1 & 2 of 2014

    Decided On, 09 July 2021

    At, Before the Madurai Bench of Madras High Court


    For the Petitioner: M. Aravind Subramaniam, Advocate. For the Respondents: R1 to R6, V. Kannan, Advocate.

Judgment Text

(Prayer:Writ Petition filed under Article 226 of the Constitution of India, to issue a writ of Certiorarified Mandamus, calling for the records culminating in the order dated 29.01.2014 passed in C.P. No. 106 of 2009 by Labour Court, Madurai, and quash the same.)

(through Video Conference)

Heard Mr. M.Aravind Subramaniam, Learned Counsel appearing for the Petitioner and Mr. V.Kannan, Learned Counsel appearing for the First to Sixth Respondents and perused the materials placed on record, apart from the pleadings of the parties.

2. Learned Counsel for the Petitioner has filed a Memo dated 09.07.2021 in which it has been stated as follows:

“1. The petitioner is a Public Limited Company incorporated on 27.06.1990 on 27.06.1990 and carrying on business at (Sri Vishnu Annamalaiyar Paper Mills Ltd., Vediyangudi (Village) Puduvayal Karaikudi (TK) Tamil Nadu 630 106.

2. The petitioner states that one of creditor of Vishnu Mills ie., P.Jeevanantham, proprietor of Sree Meenakshi Paper Agencies filed application bearing No.IBA/760/2019 under Section 7 of the Insolvency and Bankruptcy Code (IBC Code) against Vishnu Mills with the Hon'ble National Company Law Tribunal, Chennai (NCLT Chennai). The Hon'ble NCLT Chennai, vide order dated 11.10.2019 admitted the said application and moratorium was declared under Section 14 of the IBC Code with effect from 10.10.2019 Vishnu Mills is under going Corporate Insolvency Resolution Process (CRIP) Mr.NagalingamMuthiah was appointed as the Interim Resolution Professional (IRP) a copy of the Order dated 11.10.2019 in IBA/760/2019 passed by the Hon'ble NCLT Chennai initiating the CIRP and declaring moratorium.

3. It is pertinent to note that Mr.NagalingamMuthiah was subsequently replaced by Mrs. J.Karthiga who was appointed as the Resolution Professional.

4. Thus, the petitioner who was earlier a Managing Director became the suspended directed of Vishnu Mills pursuant to limitation of CIRP process.

5. The public announcement of initiation of CIRP under Section 13 of the IBC Code was carried but on 15.10.2019 in Chennai edition of Business Standard newspaper.

6. The petitioner states that petitioner Company is under liquidation and respondents can file their claims before the liquidator.”

The copy of the order dated 11.10.2019 in IBA/760/2019 passed by the National Company Law Tribunal Division Bench, Chennai, has also been produced. In view of the aforesaid subsequent events, Mr.K.RA.G.Srinivasan, the Managing Director, the Company of the Petitioner, at the time of filing of the Writ Petition, cannot prosecute the matter on its behalf. No purpose would be served in keeping the Writ Petition pending without any further steps having been taken in that regard to proceed further. However, this would not preclude the concerned person authorized to represent the Petitioner from applying for reviving the Writ Petition in accordance with law. It is needless to add here that the First to Sixth Respondents are entitled to workout their righ

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ts for recovering the amount from the petitioner under the impugned order dated 29.01.2014 in C.P. No. 106 of 2009 passed by the Labour Court following the procedure prescribed by law. In the result, the Writ Petition is dismissed with the aforesaid clarifications. Consequently, connected miscellaneous petitions are closed. No costs.