GULABRAI KALIDAS NAIK Vs. LAXMIDAS LALLUBHAI PATEL

JUDGEMENT

(1.) A question touching the jurisdiction of this Court is raised at this stage by way of preliminary objection in this petition. The petition is filed under sec. 155 of the Companies Act 1956 praying for rectification of the Resister and for reliefs under secs. 397 and 398. After the notices were issued to the company and other respondents calling upon them to show cause why petition should not be admitted respondents who were then on record appeared and raised contentions that a composite petition for reliefs under sec. 155 and secs. 397 and 398 of the Companies Act would not lie because the reliefs under secs. 397 and 398 is only available to a member of a company whose membership is not in dispute and as the petitioners in this petition also seek a relief by way of rectification of register their membership being in dispute such a composite petition cannot be entertained by the Court.

(2.) The contention was overruled as per decision dated 26th June 1975 (vide Gulabrai Kalidas Naik v. Laxmidas 1977 Comp. Case 151: XVIII G L. R. 42) admitting the petition for relief under sec. 155 and keeping the prayer for relief under secs. 397 and 398 in abeyance till relief under sec. 155 is determined. Directions were given for filing affidavit in reply and date was fixed for admission of documents. Thereafter the Court after taking into consideration rival contentions framed the issues that arise for determination in the present petition in the presence of the parties. Issues Nos. II and III are as under:

(3.) At the hearing Mr. A. H. Mehta learned Counsel representing on of the respondents framed his preliminary objection as under: