OPERATIVE PART OF THE ORDER PASSED IN CITY LIMOUZINES (INDIA) LTD LATEST

City limouzines (India) Ltd and City Realcom Limited, vide its Liquidation order dated 03-12-2010 and 09-03-2012 in CP No. 234 of 2010 & 326 of 2010 and further order dated 9^th June 2017 By Hon’ble High Court of Bombay in OL Report 126 of 2013 in C.A.No. 630 of 2015 in Company Petition No. 182 of 2012 with OL Report No. 252 of 2015 in Company Petition No. 278 of 2015

ORDER DATED : 9th JUNE 2017

Hon’ble High Court of Bombay passed an order on 9^th June 2017 in Company petition no. 234 / 2010 & 326 /2010 , in which order was passed by Hon’ble Court to transfer unadjudicated claims to MPID Court, Greater Mumbai for speedy adjudication, , operative part  of the order is stated below:

“ Para 135. For the reasons recorded aforesaid, following order was passed by Hon’ble Court :-

(a) OLR No.252 of 2015 is made absolute in terms of prayer clause (a). The properties and the monies standing in the name of the said company shall be handed over by the Police Inspector, State Crime Investigation Department, Mumbai or the competent authority appointed by the State Government who is in possession of the said properties to the Official Liquidator within two weeks from the date of communication of this order.

(c) Insofar as moveable and immoveable assets of the company i.e. M/s.City Limouzines (India) Ltd. (in liquidation) are concerned, the said Special MPID Court of Session, Greater Bombay or the competent authority whomsoever is in possession thereof are concerned, the same shall be handed over by them to the Official Liquidator within two weeks from the date of communication of this order.

(d) OLR No. 126 of 2013 is also made absolute in terms of prayer clauses (a) to (d). It is however made clear that the Economic Offence Wing, Mumbai will be entitled to keep the photocopies of the records/books of accounts of M/s.City Limouzines (India) Ltd. (in liquidation). The possession of the records/books of accounts as directed aforesaid shall be handed over within four weeks from the date of communication of this order. The possession of the properties of M/s.City Limouzines (India) Ltd. and M/s.City Realcom Ltd. (in liquidation) shall be handed over by the Enforcement Directorate and Economic Offence Wing, Mumbai or whomsoever is found in possession thereof to the Official Liquidator along with the details of the bank account of those companies to the Official Liquidator and the amounts lying in those accounts along with interest accrued if any, within two weeks from the date of the communication of this order.

(f) The Official Liquidator shall take possession of the four properties disclosed by Mr.Sayyed Masood vide letter dated 8^th February,2017 pursuant to the order dated 14^th September, 2016 passed by the Supreme Court in Special Leave to Appeal (Cri) No.1912 of 2015 and shall take steps to sell those properties in accordance with the provisions of the Companies Act, 1956 expeditiously and not later than six months from the date of this order. The expenses if any, incurred on effecting sale of those properties can be recovered by the Official Liquidator from the sale proceeds of those four properties. The Official Liquidator shall thereafter handover the balance sale proceeds to the MPID Court for distribution of balance sale proceeds amongst the investors as contemplated in order dated 14th September,2016 passed by the Supreme Court.

(g) The MPID Court/the competent authority shall thereafter distribute the said amount amongst the investors whose claims are adjudicated upon on pro-rata basis. If the claims of all the investors/depositors whose claims are adjudicated upon are not fully satisfied, those claims can be conveyed to the Official Liquidator. The Official Liquidator shall submit a report for declaration of dividend to all the creditors in respect of the payment proposed to be made including the unpaid amount to investors/depositors in accordance with the provisions of the Companies Act, 1956. The priority of the claims shall be considered by the Official Liquidator as per provisions of sections 529, 529A and 530 of the Companies Act, 1956 and in accordance with the views expressed in this judgment. The MPID Court/competent authority would be at liberty to convey the balance claims of the investors/depositors left outstanding after distributing the amounts realized from sale of the four properties of the ex-directors pursuant to the order of the Supreme Court and the other properties of the ex-directors and the agents which are attached so far and may be attached in future. The Official Liquidator shall consider those balance claims while distributing dividend in accordance with provisions of law and as directed in this judgment.

(i) The Official Liquidator shall forward the order of adjudication passed on various claims of investors/depositors made so far in respect of the companies in liquidation which are subject matters of this proceedings before the MPID Court to MPID Court / competent authority. He shall also forward the balance claims which are yet to be adjudicated upon by the Official Liquidator to the MPID Court/competent authority for the purpose of adjudication. The claims which are already adjudicated upon by the Official Liquidator shall be treated as the adjudication of the claims by the MPID Court/competent authority and shall not be adjudicated upon again by the MPID Court for the purposes of making payment. The claims which would be received, in future from the investors/depositors by the Official Liquidator shall be forwarded to the MPID Court/competent authority within two weeks from the date of receipt of such claims. The MPID Court/competent authority shall adjudicate upon those claims expeditiously. If the Official Liquidator has to recover any amounts incurred on adjudication of the claims of the investors/depositors, the same can be recovered by the Official Liquidator from the sale proceeds of those four properties standing in the name of Mr.Sayyed Masood.