(1.) THIS is an application under Order 7 Rule 11 read with Section 151 of the Code of Civil Procedure 1908 ("CPC.") seeking rejection of the plaint. The case of the Plaintiff
(2.) THE Plaintiff H.B. Stockholdings Limited ("HBSL."), claims to hold 24.8% of expanded issued and paid-up capital of DCM Shriram Industries Limited ("DSIL."), Defendant No. 1 and thereby being its single largest shareholder. On 22nd September 2008, the Plaintiff received the Annual Report and audited accounts of DSIL for the year ending 31st March 2008, which had been approved by the Board of Directors of DSIL on 25th June 2008. According to the Plaintiff, the Annual Report and audited accounts revealed that they were "grossly inaccurate and/or lacking in several material particulars" and "do not reflect a true and fair view of the Company.s affairs, apart from being in violation of the provisions of the Companies Act, 1956 ("Act."), the provisions of the Listing Agreement with the Bombay Stock Exchange (BSE) and the Company's own Code of Business Conduct and Ethics." It is claimed that these constituted "unjust and unlawful acts of the Defendants" which were likely to "cause irreparable harm and injury not only to the Plaintiff but also to over one lakh other shareholders of the Defendant No. 1 company."
(3.) ACCORDING to the Plaintiff, the Annual Return of VTL dated 30th August 2007 filed with the Registrar of Companies ("ROC.") did not reflect the increase in the share capital or the issuance of preference shares to DSIL. The shareholding pattern in terms of the Annual Return showed that DSIL held 49.98% shares, and the three companies AIL, RSL and INL 16.67%, 16.67% and 16.68% shares respectively. The six individuals shown as the remaining shareholders of VTL were either DSIL's or VTL's employees. As already mentioned in the Annual Returns of the three companies i.e AIL, RSL and INL for the years ending 31st March 2006 and 31st March 2007, their investment in VTL was not shown. The Auditors. Report of VTL for the year ending 31st March 2007 showed that VTL had accumulated losses exceeding the company.s share capital, and yet it was investing Rs. 18.63 crores in DSIL.
ABOUT US "REGENT COMPUTRONICS PVT. LTD." is a Company incorporated in 1991 under the provisions of the Companies Act, 1956. Since its inception to 1995, the Company was busy in carrying out the activities related to various Banks' Job Work..
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