M/S. Archean Granites Ltd vs M/S. Rps Benefit Fund Ltd. & Ors

The Supreme Court held that the sale of property by M/S. RPS Benefit Fund Ltd. to M/S. Archean Granites Ltd. was void under Section 531A of the Companies Act, 1956, as it occurred during the pendency of winding-up proceedings without proper validation. The Court emphasized that bona fide purchasers must ensure that transactions do not undermine the interests of creditors, particularly when liquidation is imminent. The appeal was dismissed, affirming the lower court's ruling that the sale was not valid due to lack of bona fide intent and failure to discharge liabilities.