Touchwood defaults again; Petitioner files fresh plea for wind-up

Wednesday, 22 January 2014 00:02 -     - {{hitsCtrl.values.hits}}

With Touchwood Investments PLC failing to meet the settlement in paying the debts as recorded in Court, the aggrieved Petitioner moved that the Court of Appeal should make order to wind-up the company. Petitioner K.A.D.L. Priyanka Nanayakkara filed a motion in the Commercial High Court of Colombo seeking to call up the matter on 27 January. In his motion, he states that the Petition to wind-up Touchwood Investments PLC was filed by him on 24 January 2013 and supported on 29 January 2013. The application for the appointment of the provisional liquidator was filed by him in September 2013. Under the circumstances, Touchwood Investments PLC filed objections to the appointment of the provisional liquidator and proposed a scheme of settlement on 14 October 2013. A settlement was recorded in Court by Touchwood Investments PLC, the Petitioner and the intervening creditors of Touchwood Investments PLC on 31 October 2013. Touchwood Investments PLC agreed to file a list of investors/creditors to whom payments were to be made in accordance with the settlement entered into in Court but it had failed to file the said list of investors in Court during the stipulated time period and has to date filed the said list in Court, the Petitioner claimed. Touchwood Investments PLC agreed to settle his dues in two instalments; the first instalment being 50% of the total outstanding dues, amounting to Rs. 10,540,000 was to be paid to him by 14 January 2014 but it failed to make such payment, he bemoans. Touchwood Investments PLC also agreed to pay all its creditors in three instalments and the first instalment was to be paid by 14 January 2014, but it has failed to make such payments too, he states. He brings to the cognisance of the Court that Touchwood Investments PLC has failed to act in accordance with the terms of settlement proposed by it which was subsequently recorded in Court and contends that therefore it is proved to the satisfaction of the Court that Touchwood Investments PLC is unable to pay its debts and it is deemed unable to pay its debts. Attorneys-at-Law Avindra Rodrigo with Rozali Fernando appeared for the Petitioner while President’s Counsel Harsha Amarasekera appeared for Touchwood Investments.