1. While C.A.No.1038 of 2006 is an application filed by a secured creditor of the company in liquidation, seeking a direction to the Official Liquidator to jointly advertise for the sale of the assets of the company, C.A.No.2486 of 2006 is by a company which supplied boiler to the company in liquidation, seeking to exclude the same from the list of properties sought to be sold by the secured creditor. The other two applications O.A.Nos.253 and 254 of 2005 are under Section 9 of the Arbitration and Conciliation Act, 1996, seeking interim measures pending initiation of arbitration proceedings by an unsecured creditor.

2. I have heard Mr.Jose John, learned counsel for the applicant, Mr.C.Harikrishnan, learned Senior Counsel appearing for the company in liquidation and its promoters-shareholders (respondents 5 to 8), Mr.T.K.Seshadri, learned Senior Counsel appearing for the ninth respondent (New Horizon Sugar Mills Ltd.), Mr.S.Vasudevan, learned counsel appearing for one of the secured creditors, Mr.Krishna Srinivas, learned counsel appearing for the applicant in C.A.No.2486 of 2006, Dr.Anita Sumanth, learned counsel appearing for Bharat Heavy Electricals Ltd. (applicant in O.A.Nos.253 and 254 of 2005) and Mr.Sundar Narayan, learned counsel appearing for the association of depositors of a Nidhi Company, promoted by the same persons who promoted the company in liquidation.

3. The applicant herein granted financial assistance to the total tune of Rs.49,35,28,000/- to the company in liquidation (Arunachalam Sugar Mills Ltd.), under the loan agreements dated 10.9.1998, 29.10.1999 and 06.12.1999, (i) for setting up a 14 MW Bagasse based Co-generation Captive Power Plant (ii) for the enhancement of its capacity to 19 MW and (iii) for the purchase of energy efficient equipment. The applicant also granted financial assistance to the ninth respondent, viz., New Horizon Sugar Mills Ltd., to the total extent of Rs.15,54,10,000/- under separate loan agreements dated 21.7.1999 and 03.12.1999, for the purchase of energy efficient equipment, to be installed in juice extraction and juice concentration sections at the factory of the company in liquidation. New Horizon Sugar Mills Ltd., in turn, gave these equipment on lease to the company in liquidation and they were also installed in the factory of the company in liquidation. The company in liquidation also hired certain equipment from Sundaram Finance Ltd., which is the second respondent herein. The company in liquidation also had facilities with Vijaya Bank and City Union Bank.

4. The factory of the company in liquidation is situate in agricultural lands measuring an extent of about 33.98 acres out of a total extent of 125 acres in Malapampadi and Palliampattu Villages of Thiruvannamalai District. It is claimed that in the remaining land, sugarcane and paddy are being cultivated. The factory commenced commercial production on 19.02.2001.

5. Within a few months of commencement of production, the company started losing altitude, leading to their failure to service the credit facilities availed by them. Therefore, the applicant herein (referred to in brief as IREDA) filed three applications in O.A.Nos.112, 113 and 114 of 2004 before the Debts Recovery Tribunal, New Delhi, claiming recovery of a total amount of more than Rs.72.00 crores. While the first O.A. was against New Horizon Sugar Mills Ltd., the other two were against the company in liquidation.

6. In the meantime, one of the creditors of the company in liquidation filed the above C.P.No.229 of 2004 for winding up. It was filed on 12.7.2004, along with an application in C.A.No.1393 of 2004, for the appointment of the Official Liquidator as the Provisional Liquidator to take over the assets and management of the company in liquidation. That application was allowed by D.Murugesan,J, by an order dated 22.7.2005, appointing the Official Liquidator as the Provisional Liquidator to take charge of all the properties and effects of the c