Alok Sharma, J.

1. The matter comes up on an application on behalf of M/s. S.S. Promoters Private Limited under Rule 9 of the Companies (Court) Rules, 1959 (hereinafter 'the Rules of 1959') praying that the offer of one M/s. Orient Cable India Private Limited in a sum of Rs. 8,67,11,000/- for the purchase of the immovable property of the company in liquidation, Karnav Leather Chemicals Limited of which it is a first charge holder along with Canara Bank be allowed to be accepted by the Official Liquidator without resort to public auction.

2. The facts of the case are that one Karnav Leather Chemicals Limited was wound by this Court on 14.11.2014 in S.B. Company Petition No. 29/2003. Prior thereto on 23.01.2004 the provisional liquidator was appointed by this Court on an application under Section 450 of the Companies Act, 1956. He thereupon under authorization from the Court, took possession of the properties of M/s. Karnav Leather Chemicals Limited on 17.02.2004 including plot No. A-145-J, RIICO Industrial Area, Bhiwadi Distt. Alwar admeasuring 11,207 sq mtrs (in short 'the immovable property'). Following the Court's vide order dated 21.11.2014 passed in S.B. Company Application No. 45/2014, the Official Liquidator got valuation of the immovable property done. It was valued at Rs. 4,10,10,000 as on 16.11.2016. Pursuant to order dated 19.12.2014 in S.B. Company Application No. 50/2014 auction notice for the sale of the immovable property of the company in liquidation was published in the Economic Times (English) all India Edition, except Saturday and Sunday, the Business Standard (English) all India Editions and the Dainik Bhaskar (Hindi) in Rajasthan Edition of vide edition dated 31.12.2014. No bid was received by the Official Liquidator in respect of the property put to auction upto 27.01.2015, last date of receipt of sealed tenders. In the circumstances, the Official Liquidator called a meeting of the secured creditors of the company in liquidation on 20.03.2015. In the said meeting the Director of M/s. S.S. Promoters Private Limited S.K. Singhal as assignee of IDBI, IFCI and Kotak Mahindra Bank as also Shri D.K. Sharma, Manager of Canara Bank participated and the consensus was to defer the sale of the property for six months for reasons of economic recession in the market and the non-availability of the buyer as per the market value of the property. It was also decided that the secured creditors shall also seek to identify a buyer for purchase of the property.

3. Then one Karmic Alloys Kreations Private Limited vide its letter dated 15.07.2016, wrote to O.L. offering to purchase the immovable property of the company in liquidation under Rs. 8 crores, simultaneously forwarding a sum of Rs. 10 lakhs and cheque of Rs. 30 lakhs being 5% of the EMD on the offered amount of Rs. 8 crores.

4. A meeting of the secured creditors was again held on 10.08.2016 to discuss the matter and they took a decision to invite fresh bid by an issue of advertisement in the Navbharat Times (Hindi) Jaipur Edition and Alwar Edition and Times of India (English) Delhi Edition and Alwar Edition to discover if any purchaser was ready to make a bid higher then to the offer of a sum of Rs. 8 crores made by Karmic Alloys Kreations Private Limited. Auction notice was thus again published by the Official Liquidator on 22.09.2016 in Navbharat Times (Hindi) Jaipur Edition and Alwar Edition and Times of India (English) Delhi Edition and Alwar Edition. The last date for the receipt of sealed tenders was up to 03.10.2016. No tender/bid was again received by the Official Liquidator.

5. The Official Liquidator has since received an offer for purchase of the immovable property of the company in liquidation for Rs. 8,67,11,000/- along with a Demand Draft of Rs. 2,17,00,000/- dated 08.11.2016 from one Orient Cables India Private Limited, Bhiwadi.

6. The case of the applicant M/s. S.S. Promoters in the circumstances is that despite the two auction notices on which over R