JER RUTTON KAVASMANECK Vs. GHARDA CHEMICALS LIMITED

JUDGEMENT

(1.) THE respondent No. 1, Gharda Chemicals Limited "company" for short) is a Company originally incorporated on March 6, 1967 as a Private Limited Company by shares. From August 17, 1988, it has become a deemed public company by shares by virtue of section 43-A of the Companies Act, 1956, hereinafter referred to as "the Act". The petitioners among themselves hold approximately 27 per cent of the shares. The remaining 73 per cent of the shares are held by respondent Nos. 2 to 13. The company petition has been filed under sections 397 and 398 for appropriate reliefs under sections 402 and 403 of the Act. Thereafter the petition has been amended under orders of this Court in Company Application No. 77 of 1991. Further amendments are also sought in Application Nos. 130 of 1993 and 658 of 1999. A number of other applications have also been filed for various other reliefs including declaration of dividend. An application has also been filed by respondent Nos. 1, 2 and 4 under section 402 of the Act seeking directions that one or the other groups ought to be directed to buy out the other group in view of the circumstances prevailing in the Company.

(2.) BY an order dated 23rd July, 1999, Radhakrishnan, J. , had directed that the main company petition be taken up peremptorily for hearing and final disposal on 19th August, 1999. In view of the above, the respondents did not press for any ad-interim relief. Since the assignment changed before company petition could be heard, it was directed that the respondents would be at liberty to move the Court for ad-interim order in Company Application No. 466 of 1999. The matter was directed to be placed before the Regular Judge taking Company matters on 26th August, 1999. It is in these circumstances the company petition along with the applications have come up for hearing before this Court.

(3.) IN Company Application No. 77 of 1991, Dhanuka, J. , by an order dated 13th March, 1992 allowed some of the proposed amendments and disallowed some. In pursuance of the aforesaid order, the amendments have been duly carried out.