HEMRAJ SINGH Vs. NARAINGARH SUGAR MILLS LTD.

JUDGEMENT

(1.) IN this order I am considering two Company Applications Nos. 74 of 2008 and 670 of 2008 filed in Company Petition No. 125 of 2006 by the applicant/petitioner (Shri Hemraj Singh) against the respondents (M/s. Naraingarh Sugar Mills Ltd. and Others) seeking permission to place additional documents on record. The Company Petition No. 125 of 2006 was filed by Shri Hemraj Singh ("the petitioner") against M/s. Naraingarh Sugar Mills Ltd. and Others ("the respondents") under Section 237 read with Section 409 of the Companies Act, 1956 (hereinafter referred to as "the Act") seeking investigation into the affairs of respondent No. 1 company.

(2.) M /s. Naraingarh Sugar Mills Ltd. (respondent No. 1) was incorporated on August 1,1991, as a public limited company having its registered office at village Banondi, tehsil Naraingarh, Ambala, Haryana. The authorised share capital of the company was Rs. 30,00,00,000 (rupees thirty crores) divided into 2,10,00,000 equity shares of a face value of Rs. 10 each and 90,00,000 redeemable preference shares of a face value of Rs. 10 each. As per the thirteenth annual report of the company the subscribed and paid up capital of the company is Rs. 26,00,48,730.00 divided into 20,31,220 partly paid -up equity shares of Rs. 10 each and 21,77,251 12 per cent, redeemable non -cumulative preference shares of Rs. 10 each and 48,845,220 12.5 per cent, redeemable non -cumulative preference shares of Rs. 10 each.

(3.) DRAWING my attention to the documents it was pointed out that these comprised (a) copies of the letter sent to the respondents along with the reply denying the inspection of the records; (b) copies of cheques issued by the company in favour of the creditors for illegal cash transactions which were not disclosed in the accounts of the company ; (c) copies of list of sugar cane factories for the year 2004 -2005 and 2005 -2006 ; (d) copies of the Sugar Cane Control Board meeting and Cane Tax meeting dated November 16, 2004, November 23, 2004, March 17, 2003, March 29, 2004 and March 26, 2004 ; (e) copies of the resolution authorising the petitioner as an executive director to file legal cases on behalf of the company authorised by respondent No. 2; (f) copies of the newspaper showing the unpaid debts of the farmers by respondent No. 1 company ; and (g) copies of board resolution dated December 7, 2005.