APHC010316572025 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI iiAB ;a. #-;? TUESDAY, THE FIFTEENTH DAY OF JULY TWO THOUSAND AND TWENTY FIVE i * 4:x<? PRESENT HONOURABLE SRI JUSTICE CHALLA GUNARANJAN COMPANY APPLICATION No.6 of in COMPANY PETITION Nn.34 of iQ«i; In the matter of the Companies Act, 1956 AND In the matter of M/s.A.P.Carbides Limited & Various Companies (In Liqn.) Between: The Official Liquidator, attached to the Hon'ble High Court of Telangana and Andhra Pradesh, 1®' Floor, Corporate Bhawan Nagole, Hyderabad -500068. Bandlaguda ...Applicant AND NIL ...Respondent Petition under Sections 457 and 462 of the Companies with Rules 298, 300, 302, 304, 306 & 309 and further Companies (Court) Rules, 1959 praying the High Court to: Act, 1956, read read with Rule 9 of the i) take this affidavit and facts stated herein above on record, approve the allocation of 22 Companies (in liqn) as per Annexure-A to 3 Chartered Accountants viz., 1). M/s. Murthy & Kanth, Chartered Accountant, Hyderabad 2). M/s. Padmanabha Rao & Co., Chartered Accountant, Hyderabad 3). M/s. K.B.S. Associates, Chartered Accountant, Hyderabad proportionately (i.e.,7 companies each to two auditors at SI.No.1 & Si.No.2 and 8 companies to one auditor at SI.No.3). ii) This Company Application coming on for orders, upon reading the Company Application and the affidavit dated 26/06/2025 filed by Sri Uttam Kumar Sahoo, Official Liquidator in support of the Company Application and upon hearing the arguments of Sri T V P Sai Vihari, Standing Counsel for the Official Liquidator. The Court made the following; APHC010316572025 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3506] • I*: TUESDAY, THE FIFTEENTH DAY OF JULY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE CHALLA GUNARANJAN COMPANY APPLICATION NO: 6/2025 Between: 1.THE OFFICIAL LIQUIDATOR, ATTACHED TO THE HONBLE HIGH COURT OF TELANGANA, AND ANDHRA PRADESH, 1ST FLOOR. CORPORATE BHAWAN, BANDLAGUDA, NAGOLE, HYDERABAD -500068 ...APPELLANT AND 1. NIL, a ...RESPONDENT Let all the parties concerned attend the Judges sitting in the Court/Chambers day of June, 2025 on the hearing of an application filed by the applicant above named for an order to on take this affidavit and facts stated herein above on record, approve the allocation of 22 Companies (in liqn) as per Annexure-A to 3 Chartered Accountants viz., 1). M/s. Murthy Kanth, Chartered Accountant, Hyderabad 2). M/s. Padmanabha Rao Co., Chartered Accountant, Hyderabad 3). M/s. K.B.S. Associates, Chartered Accountant, Hyderabad proportionately (i.e.,7 companies each to two auditors at SI.No.1 SI.No.2 and 8 companies to one auditor at SI.No.3) or pass Counsel for the Appellant: 1 .T V P SAI VIHARI(SC FOR OFFICIAL LIQUIDATOR) Counsel for the Respondent: 1. i 2 HCGRJ Comp.A.No.6 of 202S The Court made the following Order: The present application is filed seeking the following relief/s: “....(i) take this affidavit and facts stated herein above on record. (ii) approve the allocation of 22 Companies (in liqn) as per Annexure-A to 3 Chartered Accountants viz., 1). M/s. Murthy & Kanth, Chartered Accountant, Hyderabad 2). M/s. Padmanabha Rao & Co., Chartered Accountant, Hyderabad 3). M/s. K.B.S. Associates, Chartered Accountant, Hyderabad proportionately (i.e.,7 companies each to two auditors at SI.No.1 & SI.No.2 and 8 companies to one auditor at SI.No.3) or pass such other order as this Hon’ble Court may deem fit and proper for the audit of Half Yearly Accounts of such companies (In liquidation) for the period from 01.10.2024 to 31.03.2025. (iii) permit the Official Liquidator to file the Audit Report of the Half yearly accounts for the period from 01.10.2024 to 31.03.2025 in respect of 22 Companies (in liquidation) before this Hon’ble Court within 60 days from the date of receipt of the same from the Chartered Accountants, so allotted, (iv) dispense with the filing of half yearly accounts and audit thereof in respect of 25 companies (in liquidation) as thre are no transactions of ‘receipts and payments’ for the period 01.10.2024 to 31.03.2025 (as stated at Para No.4) permit the Official Liquidator to pay the audit fee of Rs.500/- plus GST per company (in liquidation) to the said Chartered Accountants in accordance with the order of this Hon’ble Court dated 08.04.2022 made in C.A.No.8/2022 in RCC.No.2/1995. (V) (vi) permit the Official Liquidator to make payment of fee to the said Auditors out of the funds of the respective Companies in liquidation and in case of Companies where sufficient funds are not available, it may be permitted to pay the fee from the funds of the Estate and Establishment Fund Account of the Official Liquidator, subject to reimbursement of the same from the funds of 3 HCGR.J Comp.A.No.6 of 2025 such Companies upon realization of assets of those Companies, if any. (vii) order that the cost of this application (court fee stamps and notary charges) do come out of the funds of the Company in liquidation; and Pass such further or other order or orders as this Hon’ble Court may deem fit and proper in the circumstances of the case ” Learned counsel for the Official Liquidator submits that as 2. twenty two companies under liquidation as per Annexure-A, have certain transactions for the period 01.10.2024 to 31.03.2025, the same needs to be audited by engaging appropriate Chartered Accountants and that three names have been proposed for undertaking audit of aforesaid companies as referred to in paragraph No.3 of the affidavit. He further submits that the High Court of Telangana by an order dated 08.04.2022 in Company Application No.8 of 2022 in R.C.C.No.2 of 1995 already fixed auditor fee as Rs.500/- plus G.S.T. to audit the half yearly accounts. Therefore, the same fee may be extended for the proposed three auditors. He also submits that there are yet twenty five companies in liquidation, which does not have any receipts or payments during the said half yearly period, therefore, by this application, it is sought to dispense with filing of half yearly accounts and audits in terms of Rule 300 of Companies (Court) Rules, 1959. 4 HCGRJ Comp.A.No.6 of 2025 This Court has gone through the list of companies as mentioned in Annexure-A and also Official Liquidator statement of account. As conducting of audit is mandatory, and that three names of Chartered Accountants firms have been recommended by the Official Liquidator, proposing to allocate the assignment, as specifically stated in paragraph No.3 and considering the mandatory requirement, this Court is inclined to allow this application. 3. 4. Accordingly, the Company Application stands disposed of in following terms: The Official Liquidator is permitted to engage Chartered Accountants as proposed in the application, in particular, paragraph No.3 of the affidavit and get the audit executed through them by paying each auditor fee of Rs.500/- plus G.S.T. for company and submit audited accounts to this Court for further approval. (i) (ii) The Official Liquidator is further permitted to make paymentof aforesaid fee out of funds of respective companies in liquidationand in case sufficient funds are not available, he is permitted to pay the fee out of funds of Estate and Establishment Fund Account of liquidator, which shall be subject to reimbursement of the same from the funds of such companies, upon realization of assets in future. (iii) However, as there are no receipts or payments with respect to twenty five companies, as mentioned in Annexure-B, filing of half 5 HCGRJ Comp.A.No.6 of 2025 yearly accounts thereof, is hereby dispensed with for those companies. Sd/- S.V.S.R.MURTHY JOINT.REGISTRAR //TRUE COPY// SECTION OFFICER To 1. The Official Liquidator M/s. A. P.Carbides Limited & Various Companies (in liqn), Office at 1®* Floor, Corporate Bhawan, Nagole, Bandlaguda, Thattiannaram Village, Hayathnagar Mandal, Ranga Reddy District, Telangana State Pin Code-500 680. 2. The Registrar of Companies, Ministry of Corporate Affairs, Government of India, 2"'' Floor, Corporate Bhawan Bandlaguda, Thattiannaram Village, Hayathnagar Mandal, Ranga Reddy District, Telangana State Pin Code-500 680 Nagole, 3. The Regional Director, South Eastern Region, Ministry of Corporate Affairs, 3^'' -Eloor, Corporate Bhawan, NOagole, Bandlaguda, Thattiannaram Village, Hayathnagar Mandal, Ranga Reddy District, Telangana State Pin Code-500 680. 4. One CC to Sri T V P Sai Vihari (Standing Counsel for Official Liquidator) Advocate [OPUC] 5. Two CD Copies TK sree HIGH COURT DATED:15/07/2025 ORDER COMPA No.6 of 2025 3IJUL 2025 K wailSeclio Co DISPOSING OF THE COMPANY APPLICATION