The official liquidator must adjudicate and prioritize claims from workers and creditors according to statutory provisions, ensuring that dues to workers are paramount over other claims, aligning with the EPF Act.

ORDER :

N. SENTHILKUMAR, J.

Comp.A.No.750 of 2015 has been filed by the State Bank of India, to direct the Official Liquidator to release the sum of Rs.7.20 crores to the applicant bank representing the respective share in respect of the sale of the mortgaged property namely land and factory building together with plant and machinery situate at N.Paraipatti Kulathur Village, Vedasanthur Taluk, Dindigul District, comprised in S.No.966, 967 and 971 admeasuring an extent of 8.30 acres forthwith.

2.Comp.A.No.508 of 2017 has been filed by National Textile Worker's Union, to direct the Official Liquidator not to disburse the amounts to the workers of the M/s.Aruna Textiles and Exports Limited, the first respondent in the above C.P.No.117 of 2004 alone till the claim of the workers of M/s.Selvamani Doubling Unit (i.e., Joint Unit of M/s.Aruna Textiles and Exports Limited) is considered and paid along with the workers of the said M/s.Aruna Textiles and Exports Limited, the first respondent in the above C.P.No.117 of 2004.

3.Comp.A.No.509 of 2017 has been filed by National Textile Worker's Union, to direct the Official Liquidator to entertain and declare the dividend due to the workers of M/s.Selvamani Doubling Unit (ie., Joint Unit of M/s.Aruna Textiles and Exports Limited) from and out of the funds of the said M/s.Aruna Textiles and Exports Limited, the first respondent in the above C.P.No.117 of 2004 within a time to be stipulated by this Court.

4.Comp.A.No.395 of 2022 has been filed by National Textile Worker's Union, to issue subpoena to (1)the Provident Fund Officer, No.16A, R.S.Road, Bava Lodge, Building, Nagal Nagar, Dindigul-624 003, (2)The Assistant Director Handloom and Textile, Dindigul, (3)The Inspector of Factories, Dindigul; and (4)The Deputy General Manager, REPCO Bank, Repco Towers, No.33, North Usman Road, T.Nagar, Chennai – 600 017.

5.Comp.A.No.400 of 2023 has been filed by the Recovery Officer, Employees' Provident Fund Organization, District Office, Dindigul to set aside the order passed by the Official Liquidator in Claim No.439/117/2004/EPF claims, dated 05.03.2019.

6.Comp.A.No.401 of 2023 has been filed by the Recovery Officer, Employees' Provident Fund Organization, District Office, Dindigul, to direct the respondent to pay the balance PF dues to the tune of Rs.2,04,54,924/- on priority over all other dues to the applicant herein forthwith.

7.Comp.A.No.199 of 2025 has been filed by National Textile Worker's Union, to vacate the order of stay passed by this Court, dated 04.10.2017 vide its Comp.Appln.No.508 of 2017 in C.P.No.117 of 2004 and permit the workers of M/s.Aruna Textiles and Exports Limited to claim the amount.

8.Comp.A.No.200 of 2025 has been filed by National Textile Worker's Union, to vacate the order of stay passed by this Court, dated 04.10.2017 vide its Comp.Appln.No.509 of 2017 in C.P.No.117 of 2004 and permit the workers of M/s.Aruna Textiles and Exports Limited to claim the amount.

9.With the consent of all the parties, all these applications are taken up for hearing and considered by way of this common order.

10.The facts in nutshell, which led to the filing of these applications, are as follows:-

(1) M/s.Aruna Textiles and Exports Limited was a registered Company involving in the business of mixing raw cotton materials, guarding, drawing, spinning and producing as thread. The said Company had 321 workers and 6 staffs and the said textile unit was shut down on 28.02.1998, pursuant to the order passed by this Court, dated 05.01.2007 in C.P.No.117 of 2004. The said Company, namely, M/s.Aruna Textiles and Exports Limited (herein