Workman of Gauribidan Sahakara Sakkare Karkhane Ltd. Vs. M/s. Gauri Industries & Ors.
(From the judgment and order dated 23-10-86 of the High Court of Karnataka in W.A.No.11136/86)
(From the judgment and order dated 23-10-86 of the High Court of Karnataka in W.A.No.11136/86)
Mr. B.L. Iyengar, Senior Advocate, Mr. P.K. Ramasesh, Mr. C.A.Vaidyanathan, and Mr. Ashok Grover, Advocates for the Re-spondent.
Sale of factory by the liquidator – Condition for sale – Pur- chaser to employ all erstwhile workmen – Sale proceeds to be utilised first for payment of compensation due to workmen under section 25 of Industrial Disputes Act,1947 and for disbursal of arrears of wages due to them.
1. The sale of the factory by the liquidator will be conducted only with express stipulation included in the sale notification that the sale of the factory is as a going concern and the pur-chaser will have to employ all the erstwhile workmen. The sale proceeds in the first instance shall be utilised for payment of the compensation amount due to the workmen under section 25 of the Act and for disbursal of arrears of wage if any due to them.
2. The matter is adjourned till after Summer Vacations.