RAJEEV MEHROTRA Vs. UNION OF INDIA AND ORS.

JUDGEMENT

(1.) Heard Sri W.H. Khan, learned Senior Advocate assisted by Sri Manish Tandon and Sri Arvind Srivastava, Advocates on behalf of the petitioner and Sri Sanjay Kumar "Om", learned Additional Standing Counsel on behalf of Union of India.

(2.) This is a petition under Section 237 (a) (ii) of the Companies Act, 1956. Petitioner, who claims to be the Ex-Secretary of the Company registered in the name and style of 'Cawnpore Club Ltd., 33 Cantt., Kanpur, comes up with a prayer that the company has defrauded its creditors, members and other persons and is otherwise involved in fraudulent and unlawful acts.

(3.) On examining the present writ petition in detail, this Court finds that the entire writ petition is replete with allegation of elections of office bearers of the company being not held despite expiry of the term of the elected office bearers and that relevant records having not been made available to the petitioner. It is on these factual allegations only that the petitioner submits that the business of the company is being run unfairly with intent to defraud the creditors and members. Information asked for is not being provided to the members and therefore, action under Section 237 (2) (a) is prayed for. Petitioner submits that the Court may, by an order, declare that the affairs of the company ought to be investigated by inspection appointed by the Central Government.