* CEO fails to submit key documents; asks for more time
* Amidst protest and objections, parties agreed to get the case called again on 27 August
* Commercial High Court of Colombo Judge insists no more extensions
The case concerning the winding-up of troubled Touchwood Investments Plc came up yesterday and the Commercial High Court was told that the company’s bank balance had only a paltry Rs. 3,000.
This was revealed in the course of the proceedings where Touchwood CEO Lanka Kiwlegedara and the liquidator were present and legally represented.
On the last occasion when the case was called in Court Judge Amendra Seneviratne ordered the CEO of the company being wound-up CEO to be present in Court on 7 August and to handover all the documents pertaining to the assets of the company on or before the said date.
Even though the CEO of the company was present in Court on 7 August no documents had been submitted to the liquidator before then and no documents pertaining to the assets of the company were submitted or filed in Court on the said date.
Counsel appearing for the CEO and company Nihal Fernando P.C. submitted that the present CEO had only been appointed to the company after the winding-up petition was filed in Court and therefore he is not fully aware of certain assets and documents of the company.
Counsel further stated that the CEO would be willing to assist the liquidator in the process of liquidation and if necessary to travel to the Agarwood plantation in Thailand with the liquidator.
Counsel for the company further stated than at least one month more would be required to locate the documents, books and statement of affairs of the company and handover the same to the liquidator.
Counsel for the Petitioner Avindra Rodrigo objected to any more time being granted to handover the Statement of Affairs and other documents to the liquidator stating that the company already had two months since the date of the winding-up Order to locate and handover the documents and further time would only delay proceedings.
Counsel also stated that the CEO was absconding from the date of the Order and has failed to give any documents of the assets of the company to the liquidator. Counsel also stated that even though two months have lapsed since the Order not a single document has been handed over to the liquidator.
Upon inquiry from Court Counsel, for the liquidator and the liquidator himself confirmed this position. Liquidator addressed Court and further stated that up to date the company had only handed over the details of the local bank accounts of the company and further stated that the bank accounts of the company have a total of Rs. 3,000. It was further stated when the liquidator visited the company premises on 15 June the company and its CEO undertook to handover all the documents, assets, deeds, etc. of the company in two days from then.
As sufficient time had already been given to the company to handover the documents and assets of the company, Counsel for the Petitioner Rodrigo objected to the requests made by the Counsel for the company to grant further time.
Judge too questioned the need for further time as the winding-up has been significantly delayed due to Company’s failure to honour their statutory obligations. Court suggested to the Counsel of the company to list down the documents that will be handed over to the liquidator on 8 August to which the Counsel for the Petitioner could not agree due to difficulties in locating all the documents, etc.
Amidst protest and objections, parties agreed to get the case called on 27 August and Court ordered the company to handover all the documents pertaining to the assets of the company, books, title deeds to the liquidator on or before 5 p.m. on 25 August. Court further stated that no more extensions will be granted on 27 August for the company to handover all of its documents, books, title deeds, etc. to the liquidator.
www.ft.lk
* Amidst protest and objections, parties agreed to get the case called again on 27 August
* Commercial High Court of Colombo Judge insists no more extensions
The case concerning the winding-up of troubled Touchwood Investments Plc came up yesterday and the Commercial High Court was told that the company’s bank balance had only a paltry Rs. 3,000.
This was revealed in the course of the proceedings where Touchwood CEO Lanka Kiwlegedara and the liquidator were present and legally represented.
On the last occasion when the case was called in Court Judge Amendra Seneviratne ordered the CEO of the company being wound-up CEO to be present in Court on 7 August and to handover all the documents pertaining to the assets of the company on or before the said date.
Even though the CEO of the company was present in Court on 7 August no documents had been submitted to the liquidator before then and no documents pertaining to the assets of the company were submitted or filed in Court on the said date.
Counsel appearing for the CEO and company Nihal Fernando P.C. submitted that the present CEO had only been appointed to the company after the winding-up petition was filed in Court and therefore he is not fully aware of certain assets and documents of the company.
Counsel further stated that the CEO would be willing to assist the liquidator in the process of liquidation and if necessary to travel to the Agarwood plantation in Thailand with the liquidator.
Counsel for the company further stated than at least one month more would be required to locate the documents, books and statement of affairs of the company and handover the same to the liquidator.
Counsel for the Petitioner Avindra Rodrigo objected to any more time being granted to handover the Statement of Affairs and other documents to the liquidator stating that the company already had two months since the date of the winding-up Order to locate and handover the documents and further time would only delay proceedings.
Counsel also stated that the CEO was absconding from the date of the Order and has failed to give any documents of the assets of the company to the liquidator. Counsel also stated that even though two months have lapsed since the Order not a single document has been handed over to the liquidator.
Upon inquiry from Court Counsel, for the liquidator and the liquidator himself confirmed this position. Liquidator addressed Court and further stated that up to date the company had only handed over the details of the local bank accounts of the company and further stated that the bank accounts of the company have a total of Rs. 3,000. It was further stated when the liquidator visited the company premises on 15 June the company and its CEO undertook to handover all the documents, assets, deeds, etc. of the company in two days from then.
As sufficient time had already been given to the company to handover the documents and assets of the company, Counsel for the Petitioner Rodrigo objected to the requests made by the Counsel for the company to grant further time.
Judge too questioned the need for further time as the winding-up has been significantly delayed due to Company’s failure to honour their statutory obligations. Court suggested to the Counsel of the company to list down the documents that will be handed over to the liquidator on 8 August to which the Counsel for the Petitioner could not agree due to difficulties in locating all the documents, etc.
Amidst protest and objections, parties agreed to get the case called on 27 August and Court ordered the company to handover all the documents pertaining to the assets of the company, books, title deeds to the liquidator on or before 5 p.m. on 25 August. Court further stated that no more extensions will be granted on 27 August for the company to handover all of its documents, books, title deeds, etc. to the liquidator.
www.ft.lk
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