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2026 Supreme(Online)(Tel) 17204
IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
T. Madhavi Devi, J
J. SOMESHWAR – Appellant
Versus
SirsiLk Limited. (in liquidation) – Respondent
COMPANY APPLICATION NOS.2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 17, 18, 19, 20, 21, 22, 23, 25, 26, 27, 28, 29, 30, 31, 32, 33 OF 2020; 458, 469, 474, 475, 478, 479, 483, 484, 485, 488, 493, 494, 509, 511, 512, 513, 514, 515, 516, 517, 518, 519, 521, 522, 523, 525, 526, 527, 584, 585 OF 2021; 110, 111, 119, 120, 122, 127, 128, 129, 130, 132 OF 2022; 69, 71, 72, 73, 74, 75, 211 OF 2023; 149, 150, 151, 154, 155, 156 OF 2024; 320, 321, 322, 323 OF 2025 | COMPANY APPLICATION NOS.16, 24 OF 2020; 456, 457, 467, 468, 472, 476, 480, 481, 482, 486, 487, 489, 490, 492, 500, 502, 504, 505, 506, 507, 508, 510, 586 OF 2021; 117, 121, 123, 125, 126 OF 2022; 56, 57, 60, 70, 76, 77, 79 OF 2023; 157 OF 2024 | COMPANY PETITION NO.57 OF 1999
For the Appellants/Petitioners: S. Ravi, V. Vykuntha Rao
For the Respondents: Counsel for the Official Liquidator
Mandal Revenue Officers are not competent authorities to issue legal heir or succession certificates; such certificates must be obtained from a competent Civil Court for the purpose of property registration.
Headnote:The applicants, being ex-workmen or their legal heirs of a company in liquidation, sought directions for the registration of quarters in their favor. The Official Liquidator categorized the applicants into two groups: those with prior court orders for registration (Category-1) and those who were occupants but not formal allottees (Category-2). The court noted that registration for deceased workmen was pending due to the lack of valid succession certificates. The primary issue was whether certificates issued by the Mandal Revenue Officer (MRO) are sufficient for the registration of property. The court reasoned that, based on established precedents, the Mandal Revenue Officer is not the competent authority to issue legal heir or succession certificates; only a competent Civil Court possesses such authority. In the result, the applications were disposed of with directions that the Official Liquidator register the properties upon the production of succession certificates from a competent Civil Court, indemnity bonds, 'no objection' affidavits from other heirs, and full payment of the determined consideration.
| Table of Content |
|---|
| 1. request for registration of quarters by ex-workmen and their heirs in liquidation proceedings. (Para 1 , 2) |
| 2. only civil courts, not mandal revenue officers, are competent to issue succession certificates. (Para 3 , 4 , 5) |
| 3. conditions for property registration including succession certificates, indemnity bonds, and full payment. (Para 6 , 7 , 8 , 9) |
Company Application No.2 of 2020:
Between:
J. Someshwar
... Applicant
AND
Sirsilk Limited (in liquidation) represented by the Official Liquidator, High Court of Telangana, Hyderabad.
... Respondent
COMMON ORDER
In these Company Applications, the applicants are the ex-workmen of the respondent company in liquidation or are their legal heirs and are seeking a direction to the respondent Official Liquidator to register the vacant land in respect of the quarters allotted/in occupation of the workmen as per the earlier orders of this Court.
2. The Official Liquidator has filed a report dated 13th April, 2026 dividing the applicants in all of these Applications into three (3) Categories. Category-1 consisting of 87 applicants, wherein this Court has passed orders for registering the quarters in favour of ex-workmen of the company in liquidation in various orders as detailed in Annexure-C of the report, in favour of each of the applicants, but registration of certain quarters is pending due to death of ex-workmen of the company in liquidation. It is submitted that this Court, on the basis of the valuation report dated 20.02.2009, has directed the respondent Official Liquidator to consider the cases of such of the workmen/applicants and obtain dues in full and require the workmen/applicants to submit proof of allotment/occupancy and in case of such of the persons who are dead, their legal heirs shall be required to submit the succession certificates and also proof of complete payment of consideration for the quarter value; and an indemnity bond to indemnify the Official Liquidator if there is any claim by any other party in respect of the subject quarter and to direct the Official Liquidator to register the documents in favour of such persons.
3. Sri S. Ravi, learned Senior Counsel representing Sri V. Vykuntha Rao, learned counsel for the applicants submitted that most of the workmen have since died and the valuation report dated 20.02.2009 was submitted after verification of the workmen who were allotted or were in occupation of the quarters and therefore, the same can form the basis and after verification of the succession certificates issued by the concerned Mandal Revenue Officer produced by the legal heirs and upon verification of the indemnity bonds and after verification that the entire payment has already been made, the Official Liquidator may be directed to register the documents.
4. Learned counsel for the Official Liquidator, however, submitted that the certificates of the Mandal Revenue Officer in respect of succession certificates are not valid in view of the decisions of this Court in the case of K. Rukka Reddy vs. The Joint Collector, Hyderabad and others , W.P.No.22686 of 2006 dated 17.11.2006 and in the case of G. Vijaya Bhaskar and others vs. The Mandal Revenue Officer, Manopod Mandal, Mahaboobnagar District and others , W.P.No.7430 of 2000 dated 01.02.2001. He submitted that it is the respective parties who have to approach the competent Civil Court to get succession certificates and upon furnishing of such legal heir certificates/succession certificates only, the Official Liquidator would register the documents in favour of such legal heirs.
5. Upon considering the rival contentions, this Court observes that as held by this Court in the cases cited supra, Mandal Revenue Officer is not an authority to issue legal heir/succession certificates and it is only the competent Civil Court which can issue such certificates. Therefore, the legal heirs of the deceased workmen are entitled to get their property/quarter registered in their names upon their obtaining
