LALITA JALAN Vs. BOMBAY GAS COMPANY LIMITED

JUDGEMENT

(1.) This matter involves interpretation as to the scope of Section 630 of the Companies Act, 1956 (hereinafter referred to as 'the Act'). This Court in Abilash Vinodkumar Jain (Smt.) v. Cox and Kings (India) Ltd. and others, 1995 (3) SCC 732 has explained that the expression 'officer or employee' used in Section 630 of the Act should be given a broad meaning in the light of the decision of this Court in Baldev Krishna Sahi v. Shipping Corporation of India Ltd. 1987 (4) SCC 361 and Amrit Lal Chum v. Devoprasad Dutta, 1988 (2) SCR 78[3] The object of the said provision was explained to be not strictly penal in nature but quasi criminal, the main object being to provide speedy relief to the company where its property is wrongfully obtained or wrongfully withheld by an employed or ex-employee or anyone claiming under them. Indeed this Court explained the position as follows :

(2.) When the matter came up before another bench of this Court in J.K. Bombay Ltd. v. Bharti Matha Mishra (Mrs.) and others, 2001 (2) SCC 700, it was held that though the expression 'officer or employee of a company' would include past officer or employee of the company or his legal heirs or representatives but does not include other members of his family and further stated that the provision cannot be liberally construed so as to rope in family members, other than the legal heirs or representatives of such past officer or employee.

(3.) Prima facie, we find that there is an apparent conflict between the two decisions of this Court-one in Abhilash Vinod-kumar Jain's case, (supra) and the other in J. K. Bombay Ltd.'s case (supra), on the interpretation of Section 630 of the Act. Hence we think it appropriate to refer the matter to a larger bench.