STATE OF RAJASTHAN Vs. I.K. MERCHANTS

JUDGEMENT

(1.) The judgment and decree of the division bench of this court in this appeal made on 28/4/2021 was challenged before the Supreme Court by the appellants on inter alia the ground that the valuation of the shares of the predecessor-in-interest of the appellant No.2, Bikaner Gypsums Ltd., as on 31/3/1973 as assessed by the court was flawed and ought to have been much lower. The respondents accepted the judgment and decree except the grant of interest @ 6% simple interest per annum on the decretal sum. They wanted interest at a higher rate.

(2.) The Supreme Court by its judgment and order dtd. 1/10/2021 set aside the judgment and decree of the division bench. It remanded the issue of valuation of shares of the said company to this court. It was to be made afresh according to the report of M/s. Ray and Ray, Chartered Accountants (the valuer). The court also remarked that "the cross-objection of the respondents as a natural corollary would have to be dealt with on merits" which simply meant that if the respondents were held to be entitled to a decree on the basis of the valuation of the shares, the question of award of interest on the decretal sum would also have to be gone into by the court.

(3.) We may recount that the appellants during the pendency of the appeal before the division bench had taken out an application (GA 6 of 2020) taking exception to the report of the valuer. After the Supreme Court order they proposed to file a supplementary affidavit, which this court allowed them to do, to augment their case challenging the report. The respondents were also given an opportunity to file their response to the supplementary affidavit.