Court vacates stay on Dunlop liquidation

Kolkata, Feb 18 (IANS) The Calcutta High Court Monday vacated the interim stay on the winding up order of tyre manufacturer Dunlop India and asked the official liquidator to take possession of the company's assets.

The order was passed by a division bench of Justices A.K. Banerjee and S.K. Sinha.

The court had ordered winding up of the ailing company Jan 31, but an interim relief was later granted on the order till Feb 18.

Dunlop counsel Atanu Roychowdhury said the court directed the official liquidator to take possession of the company's assets.

Although the official liquidator will have possession of assets, he will not have the right to sell them.

Earlier, a division bench of Justices Girish Gupta and Tarun Kumar Das had asked the management to deposit Rs.10 crore to show its intention to fulfill its obligations and their plea to be heard.

The creditors of the company had moved a winding up petition before the high court seeking liquidation of the company in 2008 over non-payment of dues.

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