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Sunday Dec 29, 2024
Friday, 26 May 2017 00:00 - - {{hitsCtrl.values.hits}}
The Commercial High Court yesterday ordered that publication be made in a gazette and in daily papers to liquidate Lanka Sugar Ltd. on an application filed by Gal-Oya Plantation Ltd.
Gal-Oya Plantation Ltd. had filed this action in the Commercial High Court of Colombo in terms of section 271 of the Companies Act.
Gal-Oya Plantation Ltd. stated in its petition that it is a creditor of Lanka Sugar Ltd. as it has provided Molasses worth Rs. 151,129,655.85 and had requested the same amount be paid on several instances. Thereafter it has demanded that said amount be paid and Lanka Sugar Ltd. has not acceded to this request. Thereafter, a statutory notice had been sent to Lanka Sugar Ltd. and the case had been filed thereafter that Lanka Sugar Ltd. be liquidated on the basis that it shall be deemed unable to pay off its debts.
Lanka Sugar Ltd. is the entity under which both the Pelawatte Sugar Company and Sevenagala Sugar Company come under.
It was submitted in court that the Chairman of Lanka Sugar Ltd, having accepted the liability in writing, had thereafter attempted to dispute the amount claimed on the footing that it was only a confirmation made for audit purposes.
The Court, being satisfied prima facie with the case of Gal-Oya Plantation Ltd, ordered that publication be made in a Gazette and the daily papers by 4 July 2017 notifying that an application had been made to Court to wind up Lanka Sugar Ltd.
