* Petitioner to drop provisional liquidator motion
* All investors reserve right to file suit against the company
* The case will be called again on 27 January 2014
Touchwood Investments PLC sought leave from Court yesterday to pay the investors of Agarwood plantation in Thailand whose Harvest Agreement Certificates have been issued by the company being wound-up (Touchwood Investments PLC) according to the proposed settlement plan.
The case filed by K.A.D.L.P. Nanayakkara came up before Colombo Commercial Court yesterday.
Counsel for Touchwood said the settlement of Agarwood investors would be in accordance with the payment scheme stated in the Statement of Objections filed by the Company on 14 October 2013.
The payment scheme comprises 25% of the full payment within three months from 14 October, 25% of the full payment within five months from 14 October and 50% of the full payment within eight months from 14 October.
The Agarwood investors who have been made party to the winding-up case had no objections to the afore stated payment scheme and were agreeable to accept the proposal made by the company, disregarding the discrepancy in the amount stated in the payment plan (BHT 6000) and the return promised at the time of entering into the contract (US$ 250).
Leave was also obtained from Court to settle the Petitioner of the winding-up case according to the following payment plan, taking into consideration the cost of suit borne by the Petitioner and trouble taken to initiate action from which all investors are now benefitting.
Accordingly, the Petitioner would be granted 50% of the full payment within three months from 14 October and 50% of the full payment within five months from 14 October.
It was submitted that the Petitioner does not wish to proceed with the application made to appoint the provisional liquidator at this juncture, reserving the right to do so if the need arises. However, there was no withdrawal of the winding-up Petition and therefore the Petitioner reserved his right to proceed with the winding-up petition in the event the company defaults.
The company is to file in Court a list of all investors whose payments are due with the respective contract numbers and full amounts owed to them by the company on or before 9 January 2014.
All investors of the company reserve the right to file action against any other entity connected to the company being wound-up [such as Touchwood Ltd., Touchwood (Private) Ltd., Touchwood Forestry Co. Ltd., etc.] and/or the company being wound-up (Touchwood Investments PLC) if the need arises and claim their dues against the company responsible.
The first instalment according to the payment plan is to be paid to all the investors on or before 14 January 2014.
The case will be called again on 27 January 2014.
Attorneys Avindra Rodrigo with Rozali Fernando appeared as Counsel for the Petitioner while Harsha Amarasekera President’s Counsel appeared for Touchwood Investments.