ASHOK KUMAR CHATURVEDI Vs. UCO BANK & ORS

JUDGEMENT

(1.) The present Regular First Appeal is filed by the appellant aggrieved by the judgment of the learned Single Judge of this Court dismissing the suit of the appellant in limini without issue of notice to the respondents i.e. defendants to the Suit.

(2.) The appellant filed the present suit for recovery of Rs. 3,00,34,606/- (Rupees Three Crore Thirty Four thousand six hundred and six only)and for decree of declaration, permanent and mandatory injunction. Respondent No.1 is a public sector bank. Respondents 2 and 3 are companies under common management of respondents 4 to 6 i.e., Directors/persons in charge. Respondent No.3 is a Joint venture company where respondents 7 and 8 had 80% share capital and respondent No.2 had 20% share capital. Respondent No.3 had taken financial assistance from respondent No.1 whereby the appellant had given personal guarantee for the said financial facility. Pursuant to a sale and purchase agreement dated May 21, 2010 between respondent No.2, respondent No.3 and respondents 7 to 12, the said respondents 7 to 12 agreed to sell their entire shareholding in respondent No.3 to respondent No.2 in a phased manner. Respondent No.2 was to purchase the entire equity of respondents No.7 to 12 and replace all the personal and corporate guarantees of the appellant given for obtaining financial assistance by respondent No.3 from respondent No.1.

(3.) Pursuant to the above Agreement management and control of respondent No.3 was passed on to defendant No.2/its director i.e., respondents 4 to 6 on 26.08.2010.