BALLARPUR INDS. vs STATE OF ORISSA

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 the Appellant's liability under the MOU dated 20th April 1991 and the BIFR-sanctioned Scheme. The Court clarified that the Appellant, having taken over the liabilities of the 3rd Respondent Corporation, cannot evade payment to the 4th Respondent. The judgment reinforces the principle that contractual obligations must be honored despite changes in ownership or management.