SUMAC INTERNATIONAL LTD Vs. PNB CAPITAL SERVICES LTD

JUDGEMENT

(1.) R. R. K. Trivedi, J. Aggrieved by the order dated 6-12-1996, passed by learned single Judge, in Company Petition No, 16 of 1996, the respondent therein has filed this appeal. By the impugned order objection of the appellant questioning the maintainability of the Company petition in this Court at Allahabad has been overruled.

(2.) THE facts, in short, giving rise to this appeal are that respondent Punjab National Bank filed a petition on 2-7-1996 for winding up of appellant Company under Sections 433, 434 and 439 of the Companies Act, 1956. THE winding up of the Company has been sought on the ground that it is unable to pay its debts and, therefore, it should be wound up by order of this Court. On 3-7-1996 this Court issued notice to the appellant Company to show cause why the petition may not be admitted and advertised- In response to this notice, the appellant Company appeared and filed objection questioning the maintainability of the Company Petition and prayed for dismissal of the same. After exchange of affidavit, the objection raised by the appellant was rejected on 6-12l996. Against the aforesaid order the present appeal was filed by the appellant on 28-3-1997.

(3.) WE have carefully considered the submissions of learned counsel for the parties. Before we consider rival submissions made on behalf of the parties, it would be appropriate if the relevant provisions of the Amalgamation Order of 1948 and the Notification issued thereunder are looked into. The Amalgamation Order has been subject matter of consideration before the Apex Court as well as before various full Benches and Division Benches of this Court. The historical background of the Amalgamation Order, 1948 has been mentioned in detail in the aforesaid Judgments and we need not repeat the same in this judgment. However, as the issue involved in the present appeal is about the interpretation of para 14 of Amalgamation Order and the Notification dated 26-7-1948 and 15-7l949, it shall be relevant to reproduce them here for convenience and better appreciation. "14. The new High Court, and the Judges and division courts thereof, shall sit at Allahabad or at such other places in the United Provinces as the Chief Justice may with the approval of the Governor of the United Provinces, appoint: Provided that unless the Governor of the United Provinces with the concurrence of the Chief Justice, otherwise directs, such judges of the new High Court, not less than two in number, as the Chief Justice, may, from time to time nominate, shall sit at Lucknow in order to exercise in respect of cases arising in such areas in Oudh, as the Chief Justice may direct, the jurisdiction and power for the time being vested in the new High Court. Provided further that the Chief Justice may, in his discretion, order that any case or class of cases arising in the said areas shall be heard at Allahabad. "