SYNDICATE BANK Vs. SOUTHERN OILS AND EXTRACTIONS LIMITED

JUDGEMENT

(1.) This petition is under ss. 433(e) and 434 of the Companies Act, 1956, by the Syndicate Bank, a body corporate constituted under the Banking Companies (Acquisition and Transfer of Under takings) Act, 1979, praying for an order of the court winding up the first respondent company. Respondents Nos. 2 to 12 are said to be its directors.

(2.) Respondents Nos. 1, 2, 4, 6, 8, 10, and 11 are served represented while the others, through served have remained absent and unrepresented and this orders made against those respondents ex parte.

(3.) The petitioner has alleged that a total sum of Rs. 45,82,566.84 was advanced to the first respondent company. The aforementioned amount claimed is said to be the balance shown in the books of the company under various accounts held by the first respondent company with the bank. It is also asserted that the amounts claimed by the petitioner-bank is also reflected in the balance-sheet of the first respondent company for the year ended December 31, 1980, and also in the balance-sheet for the year ended December 31, 1981, wherein the liability has been admitted. It is further alleged that from the very inception of its business, the respondent company became a defaulter, inter alia, in respect of the above mentioned loans sanctioned and disbursed by the bank. It is also stated that several original suits for various sums ranging from Rs. 57,340.51 to Rs. 2,49,070 have been filed in the Civil Court at Raichur in the year 1982, and that the said suits are pending. Despite the several demands made by the bank and the statutory notice issued, the first respondent company has failed to pay the aforementioned sum against its loan accounts with the petitioner-bank. The statutory notice is produced at annexure B and annexure C is the postal acknowledgment for having served the statutory notice. Under these circumstances, a prayer is made for an order winding up the first respondent company.