IN RE: COMTEC COMPONENTS LTD. Vs. STATE

JUDGEMENT

(1.) This petition is filed under section 101(1) of the Companies Act, 1956, read with rules 46 and 47 of the Companies (Court) Rules, 1959, for confirming the reduction of share capital account by approving the minute to the effect that:

(2.) On October 21, 2013, the board of directors of the petitioner-company convened the extraordinary general body meeting of the petitioner-company for the purpose of considering and passing a special resolution reduction of the equity capital. The certified copy of the board resolution is marked as annexure C. Accordingly extraordinary general body meeting was held on October 21, 2013, wherein the shareholders unanimously passed the special resolution approving the reduction of capital. The resolution passed is marked as annexure D, which reads as follows:

(3.) The resolution passed in the minutes of the said meeting are also enclosed to this petition. It is also stated by the petitioner that as the reduction of capital does not involve any cash outflow, the same will not affect the normal operations of the company or its ability to honour its commitments in the ordinary course of business. Further, the company has also no secured or unsecured creditor and therefore, there is no question of interests of the company's creditors to be adversely affected. In the light of the resolution passed unanimously approving the reduction of capital, this petition is filed before this court for approval of the share capital as per the resolution. The petitioner also seeks liberty of this court for dispensing with the words "and reduced" as contemplated in section 102(3) of the Act.