M/S. Ballarpur Industries Ltd vs State Of Orissa & Ors

The Supreme Court upheld the High Court's decision directing the Appellant to pay the 4th Respondent's arrears of salary from 15th December 1981 to 13th April 1992, emphasizing that the Appellant, having taken over liabilities under an MOU dated 20th April 1991, is responsible for the dues. The Court clarified that the BIFR-sanctioned scheme and subsequent correspondence indicated the Appellant's obligation to fulfill these financial responsibilities. The ruling reinforces the principle that liabilities transfer with the takeover of a business, ensuring employee rights are protected during such transitions.