Shahid Mohamed Sangani v. Commissioner General of Labour – CA [WRIT] NO: 506/2011-2011

In the case between Shahid Mohamed Sangani, Roshini Sangani (Petitioners), and the Commissioner General of Labour, K.D Manoj Priyantha, appointed liquidators, the wound-up company, and former employees (Respondents), the court addressed whether orders (P11 and P12) requiring payment of compensation to former employees under the Termination of Employment of Workmen (Special Provisions) Act were unlawful and subject to writ of Certiorari, and whether the Department of Labour’s inquiry during ongoing winding-up proceedings contravened Section 279 of the Companies Act, which restricts proceedings against a company in liquidation without court leave. The court held that such inquiries by the Department of Labour do not constitute “proceedings or actions” under Section 279, and that the orders w