IN RE Vs. RELIGARE CAPITAL INDIA LTD

JUDGEMENT

(1.) This petition has been filed under Section 441 of the Companies Act, 2013 for compounding of offences committed under Sections 211(4B) (b) Part II of Schedule (VI) of the Companies Act, 1956 (for brevity the Act) . It is pertinent to mention that a show cause notice under Section 211(7) was issued by the Registrar of Companies for violation of Sections 211(4B) (b) Part II of Schedule (VI) of the Act with regard to remuneration of the Auditors.

(2.) The petitioner earlier filed CP No.16/252/2010, RT CP No.208/Chd/HP/2017 under Section 209(3) (b) and 211 read with Section 621A of the Companies Act, 1956. As one composite petition was filed against four show cause notices, the petitioner applied for withdrawal of the same to file separate petitions. Accordingly vide order dated 14.08.2017 opportunity was granted to file fresh petitions within a period of six weeks from the date of receipt of certified copy of the order, otherwise the Registrar of Companies was given liberty to launch prosecution for the offences against the petitioner.

(3.) We have heard learned counsel for the petitioner. It is admitted position that no reply to the notice dated 20.01.2010 to show cause has been entered by the petitioners as to why the prosecution was not to be launched. We are of the view that it is only after the reply to the show cause notice that the Registrar of Companies could have made up his mind to decide whether to launch prosecution or not to proceed further by accepting the explanation which was required. Without filing reply to the show cause notice the petitioner approached erstwhile Company Law Board and this Tribunal by filing application for compounding the offences under Section 441 of the Companies Act, 2013. Therefore, we find that the petition is wholly premature.