DEE DEE ELECTRICALS Vs. ROAD MASTER FOODS LIMITED

JUDGEMENT

(1.) This petition has been filed by M/s. Dee Dee Electricals under Section 433 read with Section 439 of the Companies Act with a prayer that M/s. Road Master Foods Ltd. (hereinafter referred to as the respondent-company) be ordered to be wound up.

(2.) The petitioner, which is a sole proprietorship concern, entered into an agreement for electrical works at the factory premises of the respondent-company at Ghaziabad on May 6, 1993. A copy of the said agreement has been placed on record. According to the petitioner, it completed the entire work in terms of the agreement and even rendered electrical consultancy services to the respondent-company, as desired. A certificate dated February 1, 1995, was issued in favour of the petitioner by the respondent-company appreciating their work. For the entire work done, the petitioner raised 18 bills for a total value of Rs. 5,22,122. 68, out of which it is stated that a sum of Rs. 3,84,834 was actually paid and the income-tax at source was deducted for the years 1993-94 and 1994-95 leaving a net balance of Rs. 1,28,194. 68. In addition thereto, a sum of Rs. 75,800 was also claimed on account of electrical consultancy service rendered by the petitioner. However, in spite of reminders and personal visits, the respondent-company failed to make the payment of the dues. Under these compelling circumstances, the petitioner served a notice dated July 15, 1996, by registered acknowledgement due. Copy of the notice along with acknowledgment card has been placed on record.

(3.) Because of some error vide order dated September 11, 1997, Justice N. K. Sodhi was pleased to grant leave to the petitioner to amend the petition, which was filed. Notice to show cause why petition be not admitted was issued vide order dated January 9, 1998, returnable on February 12, 1998. Affidavit of service was filed on record. On March 20, 1998, learned counsel appearing for the respondent-company took four weeks time to file reply. Ultimately reply was filed. On April 24, 1998, Shri S. P. Goyal, Deputy General Manager of the respondent-company appeared in person and the following order was passed :