STATE OF BIHAR vs BIHAR STATE WORKSHOP SUPTS.FED.

The Supreme Court held that the U.P. State Electricity Board is liable to pay the liquidators of Banaras Electric Light & Power Co. Ltd. the amount of Rs.68,29,636.87 collected for electricity supplied prior to the takeover, along with interest. The Court interpreted Sections 468 and 518 of the Companies Act, 1956, establishing that the Board acted as an agent and trustee for the company in collecting these dues. The judgment of the Calcutta High Court was upheld, confirming the Board's obligation to remit the collected amounts to the liquidators.