Tuesday 10 November 2015

Winding Up Petition 143/2015 - Hearing Update (6/11/2015)


The matter was heard on Friday (6/11/2015) by the Madras High Court.

As directed by the Supreme Court, Helios and Matheson Information Technology Ltd. was supposed to deposit Rs. 10 crore before the Madras High Court by 29th October 2015 as security in good faith pending the hearing before Supreme Court. Helios and Matheson Information Technology Ltd. had not complied with the order.

On Friday Helios and Matheson Information Technology Ltd. appeared with a demand draft of Rs. 5.5 crores. The Madras High Court was displeased that the same was not Rs. 10 crores. The judge directed Helios and Matheson Information Technology Ltd. to deposit the same and the balance Rs. 4.5 crores by 13th November 2015 failing which the judge would admit the winding up petition and take necessary steps to wind up the company.

Previously, the judge had asked Helios and Matheson Information Technology Ltd. to submit a comprehensive list of FDs maturity date wise. Helios and Matheson Information Technology Ltd. submitted the same list as previously submitted, only that this time it was sorted maturity wise, instead of by way of pincode. The judge rejected the list stating that the full list of FDs was to be submitted, whether matured or not, date wise. Helios and Matheson Information Technology Ltd. was ordered to submit the same in the next hearing.

The judge seems to be putting some pressure on Helios and Matheson Information Technology Ltd. but as we have seen in the past, it may or may not result in positive movement for us.

Also please note that the amount deposited in Madras High Court cannot be used for repayment unless the Madras High Court winds up Helios and Matheson Information Technology Ltd. or approves a scheme for repayment and if the Supreme Court permits the money to be used for such repayment.

Next hearing is on 13/11/2015.