Delhi High Court issues notices to Blue Precision and Blue Engineering on winding up petitions filed by EMR
Based on petitions filed by European Metal Recycling Limited (EMR) in the Delhi High Court (HC), Blue Precision Ltd. and Blue Engineering Private Ltd., are facing winding-up proceedings. The HC has ordered that notices be issued to both Blue Precision Ltd. and Blue Engineering Private Ltd. to appear before the HC.
Tweet-- Based on petitions filed by European Metal Recycling Limited (EMR) in the Delhi High Court (HC), Blue Precision Ltd. and Blue Engineering Private Ltd., are facing winding-up proceedings. The HC has ordered that notices be issued to both Blue Precision Ltd. and Blue Engineering Private Ltd. to appear before the HC.
EMR, a U.K. based metal recycling company moved the Delhi HC in April 2009 against Blue Precision Ltd. and Blue Engineering Pvt. Ltd., alleging that the companies have failed to pay dues amounting to approximately USD One Hundred Forty Thousand and USD Four Hundred Seventy Thousand respectively.
EMR had entered into several contracts with Blue Precision and Blue Engineering for the sale and purchase of non-ferrous scrap in 2008. Pursuant to the said agreements, EMR shipped the goods to India. Both Blue Precision and Blue Engineering however failed to take delivery of the shipped goods and make payments for the consignments.
In spite of repeated reminders by EMR, Blue Precision and Blue Engineering refused to take delivery. Faced with the increase in demurrage and warehousing charges, EMR sold the shipped goods to new buyers and is claiming from Blue Precision and Blue Engineering the differential price being the contractual price less the price at which the goods have been sold to new buyers. Both Blue Precision and Blue Engineering even on receiving a demand legal notice under Section 434 of the Companies Act, 1956 have failed to make good their debts. It is in light of
this background that EMR has filed the Winding up Petitions under Section 433(e) of the Companies Act claiming that both Blue Precision and Blue Engineering are unable to pay the debts and that they be wound up.
Notes to Editor
About European Metal Recycling Limited (www.emrltd.com)
EMR, www.emrltd.com, is one of the largest metal recyclers in the world. With head office is based in Warrington, United Kingdom, the company handles more than 10 million tons per year of scrap materials, operating from more than 100 locations worldwide.