BONANZA BIOTECH LTD Vs. UNION OF INDIA

JUDGEMENT

(1.) THE decision rendered in this writ shall also govern disposal of W. P. No. 673 of 2004 as both these writs involve identical points.

(2.) BY filing this writ under Article 226/227 of the Constitution of India, the petitioner seeks to challenge the issuance of show cause notice dated November 18, 2003 (annexure P3), issued by the Investigating Officer under Section 11c (1) (6), read with Section 15a and Section 24 of the Securities and Exchange Board of India Act, 1992.

(3.) THE impugned show cause notice (annexure P3) is challenged by the petitioner only on the ground that firstly, there is no order in writing passed by the Board appointing any person as contemplated under Section 11 (1) of the Act to investigate the affairs of the petitioner-company and secondly, even if there exists any order as contemplated under Section 11c (1) ibid then it is the legal obligation on the part of the issuing authority (respondent) to give its copy to the petitioner before giving effect to the impugned show cause notice for carrying out the investigation into the affairs of the company. This, in substance, is the grievance of the petitioner which is reiterated in the submission by learned counsel for the petitioner. In reply, the stand of the respondent is that firstly, no show cause notice can be questioned at this stage and hence, the petition is premature. Secondly, there is a compliance with the requirement of Section 11c (1) and thirdly, it is not necessary to supply copy of the order as prayed for by the petitioner and lastly, the petitioner is not co-operating in the inquiry and is avoiding to participate.