MAHABIR PRASAD AGARWALLA Vs. ASHKARAN CHATTARSINGH

JUDGEMENT

(1.) THIS is an application under section 466 of the Companies Act, 1956, by four contributories being Mahavir prasad Agarwalla, Basu Deo Prasad Agarwalla both of 41, Iron side Road, Calcutta, and Anand Kumar Agarwalla and Rajendra kumar Agarwalla both of 40, Iron Side road, Calcutta alleged to be holding 121920 shares in the Sonajuli Tea and Industries Ltd. (now in liquidation) and also alleged that they constitute more than 80% of the total shareholding of the said company. It is alleged that their application is supported by the other contributories who hold balance 20 % share-holdings. '

(2.) THE matter was exhaustively argued on behalf of the petitioners and by the creditors opposing the application particularly the creditor, Prem chand Jute Mills Ltd. , the lessor, whose Jute Mill the said Sonajuli Tea and Industries Limited took on lease for a period of 30 years with an option to renew for a further period of 20 years on the terms and conditions contained in a,lease deed dated the 14th of July, 1971.

(3.) NOW, in order to appreciate the facts of this case as to whether the court should exercise its discretion for stay, it is necessary to set out the relevant facts which will clearly show the conduct, intention and motive of the petitioners who are not only the contributories as aforesaid of the Sonajuli Tea and Industries Limited but are also the guarantors of the loans granted by the Punjab National Bank Ltd. to Sonajuli Tea and industries Limited for which a suit for the recovery of about Rs. 21,00,000/- has already been filed in this Court and leave of the court under section 466 of the Companies Act, 1956, has been obtained by the punjab National Bank Ltd. and the Official Liquidator has been appointed Receiver over the securities of the Punjab national Bank Ltd.