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Search Results Judgments > Act:COMPANIES ACT, 1956 1956 Section 445

Oct 28 2013

Vishwanath Namdeo Patil and Others Vs. The Official Liquidator of M/s ...

  • Decided on : 28-Oct-2013

Court : Mumbai

... provision. The only section of the Companies Act, 1956 which provides for the discharge of an employee, which includes a workman, is section 445(3), and that too by a deeming fiction, as no actual order of discharge / termination has been passed. In respect of workmen, the only two provisions under the Companies Act, 1956, and Rules framed there-under are section 445(3) and Rule ... of the Industrial Disputes Act, 1947. (e) The services of a workmen cannot be discharged or terminated by implication but by a method known to industrial/ labour law, or by any specific statutory provision. The only section of the Companies Act, 1956 which provides for the discharge of an employee, which includes a workman, is section 445(3), and that too ... prior thereto, as per Section 445(3) of the Companies Act, 1956, which expressly provides that the winding up order shall be deemed to be the notice of discharge to the employees, except where the business is continued. Rule 154 of the Companies (Court) Rules, 1959 provides that the value of all debts and claims against the company shall, as far ... Companies Act, 1956, and Rules framed there-under are section 445(3) and Rule 154. (f) There is a difference between provisional winding up and final winding up. Though a Provisional Liquidator has wide powers, Provisional Liquidator ensures the protection of assets during the winding up process. Till the order of winding up the Company continues to exists and the Directors remain the Directors of the Company ...

Jan 07 2003

Maharashtra State Textile Corporation Limited Vs. Gopal Balu Saikar (s ...

  • Decided on : 07-Jan-2003

Court : Mumbai

Reported in : 2003(2)ALLMR47; 2003(4)BomCR836; [2003(97)FLR251]; (2003)IILLJ313Bom; 2003(3)MhLj531

... Section 445(3) of the Companies Act would result in termination of employment. He, however, submits that since under Sub-section (10) of Section 18FA of the Industries (Development and Regulation) Act the winding up order stands stayed, the termination, which is purely the result of Section 445(3) of the Companies Act can have no effect. 15. Section 18FA of the Industries (Development and Regulation) Act ... company is continued.'The learned Counsel for the Respondent does not dispute the fact that Section 445(3) of the Companies Act would result in termination of employment. He, however, submits that since under Sub-section (10) of Section 18FA of the Industries (Development and Regulation) Act the winding up order stands stayed, the termination, which is purely the result of Section 445(3) of the Companies Act ... company, except when the business of the company is continued.'The learned Counsel for the Respondent does not dispute the fact that Section 445(3) of the Companies Act would result in termination of employment. He, however, submits that since under Sub-section (10) of Section 18FA of the Industries (Development and Regulation) Act the winding up order stands stayed, the termination, which is purely the result of Section 445 ...

Dec 02 1993

S. Anthony Raj and another Vs. A. Shanmugam and others

  • Decided on : 02-Dec-1993

Court : Chennai

Reported in : [1994]80CompCas531(Mad); (1995)IILLJ1208Mad

... creditors under the contract; (ii) the cut-off date for arriving at the ratio at which the sale proceeds should be divided on a pari passu basis as per section 529 of the Companies Act, 1956, should be the date of the winding up order and not the date of sale; and (iii) the workmen are entitled to claim interest from the date of ... leading to the winding up, to say mechanically that a notice under section 445(3) of the Companies Act is a closure notice attracting the proviso under sub-section (1) of section 25FFF of the Act may not be proper. Such people who take bankruptcy or insolvency as a stigma do not commit themselves to acts which lead to the winding up and consequential closure of the undertaking ... were in fact the result of the company's usual trading activities and were not on account of unavoidable circumstances beyond the control of the companies. This interpretation in our view will uphold the primacy of section 25FFF of the Act over the law that only envisaged notice of closure to the employees under section 445(3) of the Companies Act. This view will also be in consonance ... the undertaking before the notice under section 445(3) of the Companies Act, it is unreasonable, in our opinion, for the employer to contend that the workmen should be paid less and only in accordance with the proviso to sub-section (1) of section 25FFF of the Act. We have heard learned counsel for the appellants also to find out whether the company under liquidation has got much ...

Apr 10 1987

Bombay Metropolitan Transport Corporation Ltd. Vs. Employees of BMTC ( ...

  • Decided on : 10-Apr-1987

Court : Mumbai

Reported in : [1990]69CompCas465(Bom)

... by the company itself on the grounds set out in section 433(a), (e) and (f) of the Companies Act, 1956, i.e., on the footing that a special resolution to that effect has been passed and also on the ground that the company is not able to carry on any business or any of its objects and it is just and equitable that the company ... Act and section 445 of the Companies Act, is unsustainable because in the case of winding-up by any of the other two modes, it would not result in a conflict. (10) In fact, there is no conflict between the provisions contained in section 445(3) of the Companies Act and section 25-O of the Industrial Disputes Act. (11) Section 25-O comes into play before closure can take place. Section 445 ... . Under section 530 of the Companies Act, workers are preferred creditors. (8) A provision similar to section 445(3), which is merely a procedural provision, is not found in any of the other modes or methods of winding-up. (9) The argument that by virtue of section 445(3), there is a clear conflict between section 25-O of the Industrial Disputes Act and section 445 of the Companies Act, is ... conflict between section 25-O of the Industrial Disputes Act and section 445 of the Companies Act, is unsustainable because in the case of winding-up by any of the other two modes, it would not result in a conflict. (10) In fact, there is no conflict between the provisions contained in section 445(3) of the Companies Act and section 25-O of the Industrial Disputes Act. (11) Section 25- ...

Jan 04 2005

Sushila Pulp and Papers Ltd. Vs. Official Liquidator and Ors.

  • Decided on : 04-Jan-2005

Court : Allahabad

Reported in : III(2005)BC168; [2005]124CompCas281(All); [2005]62SCL502(All)

... Section 445(3) of the Companies Act, 1956, all officers and directors ceased to act for and on behalf of the company. Further under Section 457(1)(a) of the Companies Act, 1956, only the official liquidator can initiate or take proceedings by or on behalf of companies under liquidation. Sections 445(3) and 457(1)(a) of the Companies Act, 1956, reads as under :'Section 445 ... Companies Act, 1956, only the official liquidator can initiate or take proceedings by or on behalf of companies under liquidation. Sections 445(3) and 457(1)(a) of the Companies Act, 1956, reads as under :'Section 445. Copy of winding up order to be filed with Registrar,-. . .(3) Such order shall be deemed to be notice of discharge to the officers and employees of the company, except when the business of the company ... Section 457(1)(a) of the Companies Act, 1956, only the official liquidator can initiate or take proceedings by or on behalf of companies under liquidation. Sections 445(3) and 457(1)(a) of the Companies Act, 1956, reads as under :'Section 445. Copy of winding up order to be filed with Registrar,-. . .(3) Such order shall be deemed to be notice of discharge to the officers and employees of the company ...

Jan 05 1965

Ram Hari De Vs. Official Liquidator, High Court

  • Decided on : 05-Jan-1965

Court : Kolkata

Reported in : AIR1965Cal552,69CWN317,(1965)IILLJ230Cal

... operation of Section 445(3) of the Companies Act, 1956. The principle to be observed has been laid down in Tait's case, (1871) 16 Solicitors' Journal 46. In that case, the terms of engagement of an officer by a company was that pounds 5000 would be paid to him if the company would discontinue ... operation of law. Section 445(3) of the Companies Act 1956 deals with the effect of the making of a winding-up order and runs as follows:'Such order shall be deemed to be a notice of discharge of the officers and employees of the company, except when the business of the company is continued.' ... of retrenchment as laid down in Section 2(oo), there must be the termination of services of workmen by the employer. It is nobody's case that the hank terminated the services of the appellants. They stood discharged by operation of Section 445(3) of the Companies Act, 1956. The principle to be ... Section 445(3) of the Companies Act, 1956 all this was altered and no option or choice remained with the bank. By operation of law, all workmen were deemed to have been dismissed. It was not the case of a voluntary closure of business or discharge of workmen by the employer as a result of any deliberate act ... the Supreme Court, or a number of English decisions cited in the court below, which do not turn on the special provisions of Section 445(3) of the Companies Act, 1956. Mr. Sen has argued that the tripartite agreement contemplated a gradual and phased reduction in the staff until the business was closed ...

Apr 21 1992

A. Shanmugham Vs. Official Liquidator, High Court, Madras and others

  • Decided on : 21-Apr-1992

Court : Chennai

Reported in : [1992]75CompCas181(Mad); (1992)IILLJ221Mad

... Section 529 of the Companies Act, 1956 workmen dues include the amount payable under the Industrial Disputes Act. One of the amounts payable under Industrial Disputes Act is closure compensation under Sec. 25FFF. The payment of compensation under Sec. 25FFF of Industrial Disputes Act arises due to the termination of the services of employees by operation of law under Sec. 445(3) of the Companies Act, 1956 ... Act. One of the amounts payable under Industrial Disputes Act is closure compensation under Sec. 25FFF. The payment of compensation under Sec. 25FFF of Industrial Disputes Act arises due to the termination of the services of employees by operation of law under Sec. 445(3) of the Companies Act, 1956 with effect from October, 27, 1978 being the date of winding up. The Industrial undertaking of the company ... Sec. 25FFF of Industrial Disputes Act arises due to the termination of the services of employees by operation of law under Sec. 445(3) of the Companies Act, 1956 with effect from October, 27, 1978 being the date of winding up. The Industrial undertaking of the company has been closed down due to the passage of winding up order. 6. Section 25 FFF of Industrial Disputes Act ...

Apr 10 1987

Bombay Metropolitan Transport Corporation Ltd. Vs. Employees of B.M.T. ...

  • Decided on : 10-Apr-1987

Court : Mumbai

Reported in : (1988)ILLJ281Bom

... Act and Section 445 of the Companies Act, is unsustainable because in the case of winding-up by any of the other two modes it would not result in a conflict. 10. In fact there is no conflict between the provision contained in Section 445(3) of the Companies Act and Section 25-0 of the Industrial Disputes Act. 11. Section 25-0 comes into play before closure can take place. Section 445 ... Section 530 of the Companies Act workers are preferred creditors. 8. A provision similar to Section 445(3), which is merely a procedural provision, is not found in any of the other modes or methods of winding-up. 9. The argument that by virtue of Section 445(3) there is a clear conflict between Section 25-0 of the Industrial Disputes Act and Section 445 of the Companies Act, ... between Section 25-0 of the Industrial Disputes Act and Section 445 of the Companies Act, is unsustainable because in the case of winding-up by any of the other two modes it would not result in a conflict. 10. In fact there is no conflict between the provision contained in Section 445(3) of the Companies Act and Section 25-0 of the Industrial Disputes Act. 11. Section ... of Section 445(3) there is a clear conflict between Section 25-0 of the Industrial Disputes Act and Section 445 of the Companies Act, is unsustainable because in the case of winding-up by any of the other two modes it would not result in a conflict. 10. In fact there is no conflict between the provision contained in Section 445(3) of the Companies Act and Section ...

Sep 30 2004

Textile Labour Association Vs. O.L. of Amruta Mills Ltd.

  • Decided on : 30-Sep-2004

Court : Gujarat

Reported in : [2005]126CompCas469(Guj); [2005]58SCL452(Guj)

... as the Company goes into liquidation, as per the Provisions contained in Section 445(3) of the Companies Act, 1956, that relationship has come to an end. Section 468 of the Companies Act, 1956 provides a summary procedure for enabling the liquidator to avoid expensive litigation in discharge of one of his primary duties, namely, collection of the assets of the Company. When the company is ... to occupy their respective Chawls once the company goes into liquidation. Since their occupation was based on the employer employee relationship and as soon as the Company goes into liquidation, as per the Provisions contained in Section 445(3) of the Companies Act, 1956, that relationship has come to an end. Section 468 of the Companies Act, 1956 provides a summary procedure for enabling the ... on the provisions contained in Section 445(3) of the Companies Act, 1956 which says that winding up order shall be deemed to be notice of discharge to the Officers and employees of the Company, except when the business of the Company is continued. He has further relied on the provisions contained in Section 477 of the Companies Act, 1956 which says that the Court may ... in Section 445(3), 446, 468, 477 and 630 of the Companies Act, 1956, the Court is of the view that the Court has ample power to issue directions for eviction of the occupants from the Chawls belonging to the company as retention of all these Chawls by them is amounting to illegally or unlawfully withholding the properties of the company ...

Jul 24 2002

In Re: Electronics Ltd. (In Liqn)

  • Decided on : 24-Jul-2002

Court : Delhi

Reported in : 2002(64)DRJ402

... Section 445(3) of the Companies Act, 1956 (hereinafter referred to as 'the Act') do not override the provisions of the I.D. Act since, had this been the intention, a non obstinate clause could easily have been employed in the said Section, which is a later enactment than the I.D. Act. Mr. Tiku has relied on Sections 25F, 25FFF, 25K, 25N and 25-O of the I.D. Act ... Act) or any other enactment or law. He has emphasised that Mr. Tiku's clients are regretfully protecting their interests even though they may substantially defeat the interests of the majority of workers.9. Mr. Tiku, learned counsel for the applicants has contended that the provisions of Section 445(3) of the Companies Act, 1956 (hereinafter referred to as 'the Act') ... Act, 1947 (hereinafter referred to as the I.D. Act) or any other enactment or law. He has emphasised that Mr. Tiku's clients are regretfully protecting their interests even though they may substantially defeat the interests of the majority of workers.9. Mr. Tiku, learned counsel for the applicants has contended that the provisions of Section 445(3) of the Companies Act, 1956 ... Section 445(3) of the Companies Act, upon the compulsory liquidation of a company, operates as an order of retrenchment. If it does, then the appellants would be entitled to amounts agreed upon between the parties under the so-called tripartite agreement. If not, they are not entitled to the same, although they may be entitled to payment under Section 25FFF of the Industrial Disputes Act ...

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