KARNAL DISTILLERY CO. LTD. Vs. L.P. JASWAL

JUDGEMENT

(1.) TO appreciate the point arising in this case the facts must be set out in some detail.

(2.) ON 18 -12 -1946, Mr. Ladli Parshad Jaiswal instituted Civil Suit No. 374 of 1946 for declaration to the effect that the meeting and the proceedings of the Board of Directors of the Karnal Distillery Co. Ltd. Karnal held on 3 -3 -1946, and the extraordinary general meeting held on 28 -3 -1946, and all meetings of directors held after 28 -3 -1946, were ultra vires, illegal, ineffective and a fraud an the company and that the unanimous resolutions of the extraordinary general meeting dated 16 -10 -1945, continue to be in force and for a permanent injunction restraining the Defendants from acting upon or carrying into effect the resolutions passed in the meeting of the Board of Directors held on 3 -3 -1946, in the extraordinary general meeting held on 28 -3 -1946, and in other meetings of the Board of Directors held after 28 -3 -1948. In that suit the trial Court fixed the following issues:

(3.) IN Civil Suit No. 99 of 1947, the trial Court fixed the following preliminary issues: