IN THE SUPREME COURT OF INDIA

CIVIL APPELLATE JURISDICTION

CIVIL APPEAL NO.5043   OF 2008        [Arising out of SLP(C)No.2909 of 2006]

KANCHAN DEVI                                   Appellant(s)

                     VERSUS

SHREE VISHNU R.F.&OIL MILLS(P)LTD.&ORS.       Respondent(s)   

O R D E R   

Leave granted.

This appeal is directed against the order passed by the High Court in  

Company Appeal No.5 of 2005, whereby the order passed by the learned Company  

Judge  rejecting  the  appellant's  appeal  for  release  of  the  two  shop  rooms  in  

question, has been upheld.

On behalf of the appellant, it is submitted that the two shop rooms in  

question did not form part of the assets of the company in liquidation, and that in  

any  event,  the  same had been purchased  by  the  appellant  from the   erstwhile  

landlord  before the final winding up order  

came to be passed on 2nd May, 2003.  We may indicate that the said two shop rooms  

were said to have been purchased by the appellant on 8th June, 2001 and 4th March,  

2003 respectively.

-2-

Having  heard  learned  counsel   for  the  appellant  as  well  as  the  Official  

Liquidator, we are of the view that while a final decision is to be taken on the  

appellant's application pending before the Company Judge, the appellant may be  

allowed to use the two shop rooms for her own use till a final decision is arrived at  

regarding the ownership of the same.

Accordingly, we allow the appeal and direct that necessary directions  

be given by the learned Company Judge to the Official Liquidator to  allow the  

appellant  to  use  the  two  shop  rooms  till  a  final  decision  is  arrived  at  in  the  

application filed by the appellant before the Learned Company Judge regarding  

the ownership of the shops in question.  Such directions must be given within a  

month from the date of communication of this order subject to the appellant filing  

an undertaking  that  she  will  not  transfer  or  encumber the  said  shop  –  rooms  

during the pendency of Company Appeal No.5 of 2005.

      ....................J.     (ALTAMAS KABIR)

   ....................J.     (MARKANDEY KATJU)

NEW DELHI; August 13,   2008.