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Judgment
Vide orders dated 26.03.2026, this Court had taken into consideration the fact that there is a sum of Rs.89 Crores with the official liquidator for disbursement amongst the creditors for third installment and after taking into consideration the contentions of the official liquidator that six creditors have been paid in excess as compared to the other creditors and therefore, interest thereon has to be recovered from them on account of such excessive payments, this Court had directed that such interest payment will have to be recovered only after issuing notices to such of the creditors, receiving their reply and quantifying the amounts due from them and while observing so, this Court had directed the official liquidator to disburse the third interim dividend to all the secured creditors in the same proportion according to their eligibility and the undisputed amount was directed to be credited to the accounts of the secured creditors on or before 30.04.2026.
The official liquidator has filed a report on 29.04.2026 in COMPA Nos. 117 and 118 of 2026 and when the same were being considered, during the course of hearing, the learned counsel for the respondent creditors had brought to the notice of this Court that the direction of this Court to disburse the third interim dividend without taking into consideration the excess payment or interest thereon i.e., undisputed amount to the creditors has not been complied with.
In view thereof, vide orders dated 20.07.2026, this Court directed the official liquidator to file the computation of the amounts payable to all the sixteen creditors in the same proportion i.e., @ 42% without taking into consideration the interest portion to be collected from any of the parties for the alleged excess payments, in compliance with the order of this Court in C.A.Nos. 1212 of 2014, 815 of 2017 and 73 of 2025, dated 26.03.2026. The official liquidator has filed a report dated 24.07.2026 giving the details of payments to be made to all the twenty three creditors @42%.
The learned counsel appearing for ARCIL i.e., the petitioner in COMPA No.815 of 2017 has objected to this report stating that the official liquidator is seeking payment in respect of only such of the secured creditors who have not received any amount till date, which is not the intention or purport of the order of this Court dated 26.03.2026. Therefore, he submitted that this application may not be allowed as it is.
The learned counsel appearing for Unit Trust of India (SUUTI) i.e., respondent No.3 in COMPA No.118 of 2026 submitted that the official liquidator has admitted its claim Rs.10 Crores and odd only and with regard to the balance amount, the company is in appeal before this Court and the same has not been taken into account while calculating the amounts to be paid and no provision has been made therefore in the statement.
The learned counsel appearing for SBI and SBH which are respondent No.6 in COMPA No.118 of 2026 submitted that both of these banks were creditors of the company in liquidation and subsequently SBH has merged into SBI and from the statement it is noticed that there is excess payment to the SBI whereas there is deficit payment to SBH and therefore, the inter-se adjustment can be made at the time of final settlement.
The learned counsel appearing for IFCI Limited and IDBI Bank Limited i.e., respondents No.4 and 5 in COMPA No.118 of 2026 submitted that the undisputed amounts may be directed to be paid immediately and any dispute with regard to any of the sums payable or disbursed can be decided at the time of final settlement of the amount and a suitable direction may be given for the same.
The learned standing counsel appearing for respondent No.2 i.e., LIC in COMPA No.118 of 2026 submits that payments have to be made, and with regard to the any disputed amounts, they may be directed to be decided at the time of final settlement.
Having regard to the above submissions of all the parties, this Court finds that the official liquidator is in possession of Rs.89 Crores and the same has to be disbursed to all the creditors whose claim petitions are pending with the official liquidator in equal proportion i.e., @ 42%. Therefore, the official liquidator is directed to disburse the third interim dividend to all the creditors whose claims are pending in the proportion @ 42% of their claims (irrespective of the interest portion receivable from the six creditors to whom the alleged excess payment has been made). The payments shall be made on or before 14.08.2026.
The creditors shall furnish the details of their bank accounts to which funds are to be transferred on or before 10.08.2026.
List these matters on 19.08.2026 for filing of compliance report.