VLS FINANCE LTD Vs. SUNAIR HOTELS LTD

JUDGEMENT

(1.) This appeal under Section 10 of the Companies Act, 1956 (hereinafter referred to as the Act) challenges the order dated 13th June, 2001 passed by the Company Law Board (hereinafter referred to as the CLB), Bench at Delhi dismissing the Company Petition No. 45/1998 filed by the appeal VLS Finance Limited under Sections 250, 397 and 398 of the Act. The appeal arises from a dispute in respect of a company called Sunair Hotels Limited (respondent No. 1) which is at the moment running the Metropolitan Nicol Hotel in New Delhi. Sunaero Limited, respondent No. 2 is the wholly owned subsidiary company of respondent No.1. Respondents No. 3 to 5 are the promoter Directors of respondent No.1 and respondents 6 to 27 are the shareholders of respondent No. 1 company. The facts of the case as per the appellant briefly stated as follows:-

(2.) Before I deal with the merits of the matter, it is necessary to record the unsuccessful efforts towards settlement made by the CLB as reflected eloquently in paragraph 18 of the impugned order of the CLB, which reads as under:-

(3.) The CLB on merits recorded the following findings: