JAGJIVAN HIRALAL DOSHI Vs. REGISTRAR OF COMPANIES

JUDGEMENT

(1.) The directors of Amar Dye-Chem. Ltd. (in liquidation) have filed these petitions for an order that they be relieved from any criminal proceedings that might be brought against them for default, negligence, misfeasance, etc., in compliance with the provisions of section 58A of the Companies Act and the Companies (Acceptance of Deposits) Rules, 1975. The applications are made under section 633 of the Companies Act. The Companies Act, 1956, and the Companies (Acceptance of Deposits) Rules, 1975, are hereinafter referred to as "the Act" and "the Rules", respectively.

(2.) J H Doshi and H J Doshi, who are, respectively, the petitioners in Company Petitions Nos. 502 of 1984 and 506 of 1984 were, at the relevant time, full time directors of the company. The former was the chairman of the company. The petitioners in Company Petitions Nos. 528 of 1984, 529 of 1984 and 530 of 1984, were appointed as directors of the company on January 11, 1984. They were not directors of the company on the date on which the winding up order was made. The petitioners in Company Petitions Nos. 526 of 1984 and 527 of 1984 were directors in their capacity as professional men and were not full-time directors of the company. Company Applications Nos. 322 of 1984 (in Company Petition No 502 of 1984), 323 of 1984 (in Company Petition No 506 of 1984), Company Application No 33 of 1984 (in Company Petition No 528 of 1984), Company Application No 334 of 1984 (in Company Petition No 529 of 1984), Company Application No 335 of 1984 (in Company Petition No 530 of 1984), Company Application No 332 of 1984 (in Company Petition No 527 of 1984), and Company Application No 331 of 1984 (in Company Petition No 526 of 1984), are for interim orders to the effect that the applicants be relieved from any criminal proceedings arising out of their default in compliance with section 58A of the Rules of 1975.

(3.) The admitted facts are as under :