ORDER :

PRAYER IN C.A.No.205 of 2022: This Application is filed under Order XIV rule 8 of O.S. rules r/w section 460(6) of the Companies Act r/w rules 9, 11(b), 19 of the Companies (Court) Rules, 1959 praying to grant an order of injunction restraining the 1st respondent, their officials, agents or servants or any one claiming through from in any way proceeding with the auction sale of the properties set forth in the schedule in the Judges summons, pending disposal of the Company Application No.165 of 2022 and to pass such further or other orders as this Hon'ble Court may deem fit and proper in the circumstances of the case.

This company application is presented by persons claiming title to lands ad-measuring 53 acres 82 cents at various survey numbers in Keezhakadavetti village, Nanguneri Taluk, Tirunelveli District. They seek an injunction restraining the 1st respondent from proceeding with the auction sale pursuant to auction sale notice dated 05.05.2022 (the Sale Notice).

2. In the affidavit in support of the application, the applicants claim title under three sale deeds dated 26.09.2006, registered in the office of the Sub-Registrar, Nanguneri, by which the lands were conveyed to them by the alleged original owners, Mr. Paramasivan Reddiar, Mr. Alwar Reddiar, Mr. Muthusamy Reddiar and Mr. Thothu @ Perumal Reddiar (the Reddiar family), who claim that they had inherited the property as ancestral property. It was further stated therein that, by judgment and decree dated 24.02.2006 in O.S.No.502 of 2006, the Principal District Court in Nanguneri declared that the Reddiar family were the joint and absolute owners of the property.

3. Learned counsel for the applicant, Mr. K.V. Babu, elaborated on the title claim of the applicants through the sale deeds executed by the Reddiar family. He stated that the Reddiar family executed the following sale deeds on 26.09.2006: (i) sale deed in favour of the 2nd applicant under Document No.3056/2006 for an extent of 47.22 acres of land in S.No.50 and 51/1; (ii) sale deed in favour of the 1st applicant under Document No.3057/2006 for an extent of 27.56 acres of land in S.Nos. 53/1, 52/10, 40/4, 42/2, 43/3, 42/1, 42/4; and (iii) sale deed in favour of the brother of 1st applicant, I.Jesuraja, under Document No.3058/2006 for an extent of 45.88 acres of land in S.No.40/2, 45/6, 48, 54, 55/2 and 56/4. It was also submitted that the 1st applicant's brother gifted the lands acquired by him under Document No.3058/2006, by settlement deed dated 22.02.2008, Document No.1255/2008, to the 1st applicant. Learned counsel submitted further that all the sale deeds are registered in book I in the office of the Sub-Registrar, Nanguneri, and the total extent of land owned by the applicants is 75.98 acres. He also relied upon the joint pattas bearing nos. 1132, 720, 1174, 1175 and 717 in respect of the lands of the extent of 75.98 acres and contended that the company in liquidation (the Company) does not have any right over the lands. As regards the sale deeds in favour of Mr. Sreevalsan Nair and his wife, learned counsel submitted that the properties are in Keezhakaduvetti village in Tamil Nadu but the sale deeds were executed at Parassala, Kerala. According to him, this underscores the dubious nature of the transactions.

4. In response to these submissions, learned Administrator filed a common counter on behalf of the Official Liquidator. In the said counter, it was asserted that the Company acquired about 127.519 acres in Keezhakaduvetti and Kallikulam villages under 11 registered general powers of attorney (GPAs) in favour of G. Saravanakumar, an employee of the Company. Pursuant thereto, the Company took possession of the entire extent of land, conducted a survey and plotted the land in the form of 1 acre, 1/2 acre and 1/4 acre plots. The Company also registered sale deeds in favour of 106 customers and entered into maintenance agreements for orchard development with 111 customers.

5. Mr. H. Karthik Seshadri, l