K BALASUBRAMANIAN Vs. P PADMA RAJENDRAN

JUDGEMENT

(1.) DEFENDANTS 6, 8 and 9 have filed Sub Application Nos.183 to 186 of 2011 for the reliefs:-

(2.) DISPUTE over the control and management of 1st Plaintiff-M/s.Citrex Products Limited has been the subject matter of dispute between the parties. 1st Plaintiff-M/s.Citrex Products Limited was incorporated in the year 1992. 1st Plaintiff-M/s.Citrex Products Limited purchased properties in S.F.No.157/1 - 11.50 acres in Thatchur village; S.F.No.124/12 - 14.50 acres in Peravallur village; S.F.No.124/4B - 2.00 acres in Peravallaur village and S.F.No.124/11 - 2.80 acres in Peravallur village in the public auction conducted by M/s.Tamil Nadu Industrial Investment Corporation Limited [TIIC] under registered sale deed dated 28.07.1993. The total outstanding to TIIC was Rs.120 lakhs and 1st Plaintiff-M/s.Citrex Products Limited borrowed money of Rs.1,18,17,677.15 from Defendants Group of Companies for the purpose of discharging the mortgage loan due to the consortium of the Banks consisting of Indian Overseas Bank, Canara Bank and TIIC and to redeem the suit schedule property. 1st Defendant-M/s.Vishwapriya Financial Services and Securities Limited agreed to give financial assistance to an extent of Rs.125 lakhs and 1st Plaintiff-M/s.Citrex Products Limited and 6th Plaintiff-V.Rajendran received total loan of Rs.1,18,17,677.15. Case of Plaintiffs is that as a security for the said loan, 1st Plaintiff-M/s.Citrex Products Limited executed various documents and signed in several blank papers and also opened accounts with Times Bank with whom the Defendants Group of Companies had a tie-up. Plaintiffs are said to have executed various documents as security viz., (i) Power of Attorney dated 07.04.1999 registered as Doc.No.362 of 1999 on the file of Sub Registrar Office, Adyar; (ii) Agreements of sale dated 02.06.1997 and 25.08.1995; (iii) Mortgage deed dated 02.06.1997 for Rs.2,50,000/- and (iv) Pledge of 900 shares belonging to Plaintiffs 2,3,5 to 11 [R.Padma, R.Ganesh Raj, R.Sathish Raj, V.Rajendran, Usha Selvarathinam, P.Selvarathinam, M.Jeya, K.Mahalingaswamy, N.Ayyamperumal].

(3.) ALONG with C.S.No.51 of 2005, Plaintiffs have filed O.A.No.58 of 2005 for grant of interim injunction restraining the Defendants from in any manner interfering with the control and management of the 1st Plaintiff-M/s.Citrex Products Limited. By an order dated 30.08.2005, Justice D.Murugesan held that Plaintiffs have not made out a prima facie case and dismissed O.A.No.58 of 2005 and vacated the interim injunction. In the said order, learned single Judge held as under:-