SAPNA GUPTA Vs. JAGRAN PUBLICATIONS PVT. LTD.

JUDGEMENT

(1.) THIS is a petition filed under Section 250 read with Section 111 of the Companies Act, 1956 (the Act) seeking for rectification of the register of members of M/S Jagran Publications Private Ltd. (the company) by striking out the name of the 2^nd respondent from the register.

(2.) THE facts of the case are that the company was incorporated on 16.9.2005. It had two groups of shareholders, namely, UP group consisting of lineal descendents of late P.C. Gupta and M.P. Group constituting the lineal descendents of G.D. Gupta. The petitioners represent MP group and they collectively hold 30% of the paid up capital of the company. The rest of their group holds further 30%. This 60% shares constitute 50% voting rights in the company. The balance 40% of shares is held by the 2^nd respondent representing UP group, however, with 50% voting rights in the company. Thus both the groups hold 50% voting rights in the company.

(3.) BEFORE dealing with the merits of the case, I consider it appropriate to extract the provisions of certain Articles of the Articles of Association of the company as the same would have bearing on the merits of this case.