No show in Court by Touchwood CEO

Friday, 1 August 2014 00:30 - - {{hitsCtrl.values.hits}}

The case for the winding-up of Touchwood Investments PLC was called in the Commercial High Court of Colombo yesterday, on an application made by the Liquidator to summon CEO Lanka Wijendra Kiwlegedara to Court. Such notice had to be served on the present CEO, as the company and its officers had not fulfilled their obligations under the Companies Act to handover the assets, properties, documents, etc. that belong to the company to the Liquidator appointed by Court. Notice was served on the registered address of the company through Court and as they were returned, steps were taken to serve notice on the personal address of the CEO on 25 July by registered post. Despite notice being served, the CEO was not present in Court yesterday. Attorney-at-Law appearing for the company and the CEO of the company, Sanath Wijewardene submitted that the CEO was overseas and therefore could not be present in Court yesterday. Counsel for the Petitioner Avindra Rodrigo stated that the Attorney-at-Law for the company could not represent or make submissions on behalf of the company as the company and its businesses were now vested in the Liquidator. However, the Attorney-at-Law for the company stated that he was also representing the CEO of the company and further stated that the CEO would be back in Sri Lanka on 5 August. The case is therefore to be called on 7 August and the CEO of the company is to be present in Court to produce and hand over all of the company’s documents, assets, etc. to the liquidator on the said date. Counsel for the Liquidator stated that they have received over 1,000 claims from the creditors of the company and continue to receive more claims and therefore the need to extend the deadline for accepting claims had arisen. The deadline to submit claims was initially set for 31 July and Court has permitted the liquidator to extend the deadline to a further date as and when appropriate. The company has only given notice to Court that they will appeal against the Order given to wind-up the company but have not yet filed the Petition of Appeal in Court. It is apparent that the company is once again adopting delaying tactics to delay the transition of the company assets and other documents to the liquidator appointed by Court despite the legal obligation to hand over the company and its business to the liquidator immediately after the winding-up and the appointment of the liquidator. At present all responsible officers of the company including its founding members cum Directors, Roscoe and Swarna Maloney, and its present CEO Lanka W. Kiwlegedara are all on the run and deliberately evading Court proceedings.