In the last hearing the Honorable Judge had stated that she would pass orders if no agreement was reached by 08.01.2016 between the Fixed Deposit / Promissory Note / Bill Discounting holders and Helios and Matheson Information Technology Ltd. with respect to a scheme of repayment.
Helios and Matheson Information Technology Ltd. through its lawyers gave a scheme which is reproduced on this link. (Click Here)
However this was served to the lawyers for the petitioners only on 07/01/2016 with intent to delay the legal proceedings further. Also the scheme once again does not mention Promissory Note / Bill Discounting holders, does not include many Fixed Deposit holders, does not contain details of sources of funds, does not contain any details as to interest payable, does not contain penalties if not complied with, etc.
The matter did not come up before the Madras HC on 08/01/2016 as the lawyers for Helios and Matheson Information Technology Ltd. did not move the matter or submit an affidavit with the above scheme. Therefore no details are being published relating to the hearing.
It is now likely that the Honorable Judge may:
a) Admit the winding up petition and appoint a provisional liquidator to make a report on the available assets and receivables.
While the assets of Helios and Matheson Information Technology Ltd. are insufficient, the liquidator can also go after the subsidiary companies and their assets. Further, all unsecured creditors will get their money after the secured creditors are satisfied (Allegedly most of the banks who have lent money to Helios and Matheson are unsecured creditors and therefore in a position similar to the investors).
or
b) Lift the interim order protecting Helios and Matheson Information Technology Ltd. key officials from arrest.
This is important because now only the threat of jail seems to be worth pursuing for Fixed Deposit / Promissory Note / Bill Discounting holders to recover their money.
or
c) Both (a) and (b)
or
d) Any other order the judge deems fit
We can expect orders to be published within a month or so. However we cannot rule out a possible move by Helios and Matheson Information Technology Ltd. to protract the matter by moving it again immediately before orders are passed under some pretext or the other.
