HARMEET GAHI Vs. REGISTRAR OF COMPANIES

JUDGEMENT

(1.) THIS is a petition under Section 560(6) of the Companies Act, 1956 filed by the petitioners seeking restoration of M/s UG Leasing & Finance Ltd. (hereinafter referred to as the 'company ') in the Register of Companies with the Registrar of Companies (ROC). The company was incorporated with the ROC.

(2.) THE company was holding the substantial shareholding as promoters of M/s UG Hotels & Resorts Limited, a public limited company incorporated under the provisions of the Companies act. The said UG Hotels had obtained loans/financial facilities from M/s ICICI, IFCI and TFCI and the share held by the promoters of UG Hotels were pledged with the said financial institutions; thereafter the U.G. Hotels defaulted in repayment of the said loan; accordingly the aforenoted financial institutions had obtained a decree from Debt Recovery Tribunal; in the year 2001 onwards even the execution/recovery proceedings in respect of the assets of the UG Hotels as well as the shares held by the promoters of the UG Hotels was initiated by the aforesaid financial institutions; in view of these recovery proceedings the company had stopped its activities. During this period the Department of Company Affairs under the then Ministry of Finance & Company Affairs had come out with the General Circular No.13/2003 dated 25.3.2003 giving the Simplified Procedure for removal of the name of the defunct companies which enabled the ROC to strike off the names of the defunct companies exercising, suo moto.

(3.) IN the year 2007 M/s U.G. Hotels and Resorts and its directors and promoters had entered into some financial arrangements and agreed to sell their stake in the UG Hotels and repaid the entire loan amount and accordingly the pledged shares of the promoters were released in favour of the respective promoters.