PUSHPA BUILDERS LIMITED Vs. N K VERMA

JUDGEMENT

(1.) This appeal is directed against order dated 22nd April, 1994 passed by the learned Company Judge in Company Petition No.116/1992 holding that the appellant had neglected to pay its debts in respect of the of goods supplied on 23rd August, 1991. It was held that the amount due by the appellant company to the respondent for the supplies already made was Rs.3,69,000/-. The learned Company Judge admitted the Company Petition and also directed publication of the citation after one month from the date of the judgment. While doing so, it was also directed that if payment is made within a month, there shall be no publication of the citation.

(2.) Aggrieved by the aforesaid order passed by the learned Company Judge, the present appeal was filed. On 15th March, 1995, while admitting the Company Appeal, this Court passed an order that on appellant paying of Rs.1,30,000/- to the respondent, there shall be stay of the impugned judgment and order passed by the learned Company Judge. Pursuant to the order, the said amount of Rs.1,30,000/- was paid.

(3.) The total bill amount of the respondent was Rs.4,19,000/-. The said fact is supported by invoice No.2/01 dated 3rd July, 1991. In the said bill it is also mentioned that after deducting Rs.83,800/- paid as advance, the balance amount payable is Rs.3,35,200/-. It is also established from the records that before filing of the Company Petition another amount of Rs.50,000/- was paid by the appellant, which is also an admitted position. Rs.1,30,000/- now stands paid by the appellant to the respondent under order dated 15th March, 1995 passed by this Court. This leaves a balance amount of Rs.1,55,200/-, which is payable by the appellant. The stand taken by the appellant in the Company Petition was that the supplies made by the respondent to the appellant were not according to the specifications and standard prescribed and, therefore, they were not liable to pay the amount of Rs.1,55,200/- to the respondent. An amount of Rs.2 lacs is stated to have been deposited by the appellant with the respondent and out of which Rs.83,800/- is shown to be adjusted in the invoice dated 3rd July, 1991. According to the appellant, the balance amount has been illegally withheld by the respondent. This statement was made on the ground that no further supply has also been made by them.