KALYANI SEAMLESS TUBES LTD. IN RE Vs. ABC

JUDGEMENT

(1.) This is a petition filed under sections 433 and 434 of the Companies Act, 1956 seeking an order of winding up against the respondent-company. According to the petitioner, an amount of 1,43,157 sterling pounds was due from the respondent on account of consultancy charges. According to the petitioner, as the amount was not paid, statutory notice was issued to the respondent. The statutory notice was not replied. However, in the affidavit in reply filed in this petition, the respondent is disputing its liability to pay the amount. The respondents state that there were defects in the work of the petitioner and the petitioner could not carry on the work that was promised by the petitioner. However, after hearing both the sides, I find that Mr. Kalyani, Chairman of the respondent-company had agreed to pay by Dec. 1996 an amount of 1,65,000 sterling pounds. The respondent has disputed this document. After having heard the learned counsel for both the sides, I find that there is no correspondence placed on record by the respondent to show that the respondent had pointed out the defects in the work and had given this reason for withholding the payment. I further find that Mr. Kalyani had also agreed to pay an amount of 1,65,000 sterling pounds. Taking overall view in the matter, in my opinion, interest of justice would be served by directing the respondent to deposit an amount of Rs. 1 crore in this Court within a period of one month with due intimation to the petitioner. The petitioner may file a civil suit in the civil court for recovery of the amount within a period of eight weeks from the receipt of the intimation. The disposal of the amount deposited in this Court shall be governed by the orders that may be passed by the civil court in the civil suit to be filed by the petitioner. In case the amount is so deposited, this petition shall stand disposed of. In case the amount is not deposited, this petition shall stand admitted. In case the petitioner fails to file a civil suit within the aforesaid period, the amount deposited by the respondent be refunded to the respondent. In case the amount is deposited, the Prothonotary and Senior Master to invest that amount in a nationalised bank initially for a period of six months.