IN RE Vs. ARJUN ASSOCIATES PRIVATE LIMITED

JUDGEMENT

(1.) Per Shri V.P. Singh, Member (Judicial) This is a petition filed under section 66 of the Companies Act, 2013 read with the National Company Law Tribunal (Procedure for reduction of share capital of company) Rules, 2016. The petitioner company seeks approval of this Tribunal qua the special resolution passed at the Extra Ordinary General Meeting (EOGM) of the members of the company held on 12th April,2017 wherein it was resolved that pursuant to the request of one of the major shareholders of the company consequent to the directives of the Income Tax Settlement Commission vide order under section 245D(4) of the Income Tax Act, 1961 dated 30.03.2017 served to the said shareholder and pursuant to the applicable provisions of the Companies Act, 2013 (including any statutory modification or re-enactment thereof) , Memorandum and Articles of Association of the Company, and subject to confirmation by the Hon'ble National Company Law Tribunal and such other approvals, consents, permissions and sanctions as may be necessary to be obtained from appropriate Governmental authorities, departments, offices, institutions, bodies, agencies and third parties and such conditions as may be prescribed while granting such approvals, consents, permissions and sanction, which may be agreed by the Board of Directors, the approval of the members of the company be and is hereby accorded towards cancellation of 19810 equity shares of Rs. 100/- each, by reducing the paid-up share capital of the company which shall be effected by way of:-

(2.) Section 66 of the Companies Act, 2013 came into force w.e.f. 15.12.2016 which corresponds to erstwhile section 100-104 of the Companies Act, 1956.

(3.) The broad facts in the background of the present petition are that the above named company, the petitioner herein ( 'the company') was registered on the 17th day of January, 1967 under the provisions of the Companies Act, 1956 as a company limited by shares with a share capital. The capital of the company is Rs. 1,00,00,000/-(Rupees One Crore only) divided into 50,000 (Fifty Thousand) equity shares of Rs.100/-(Rupees Hundred only) each and 50,000 (Fifty Thounsand) unclassified shares of Rs.100/- (Rupees Hundred only) each of which 39623 (Thirty Nine Thousand Six Hundred Twenty Three) equity shares have been issued and have been fully paid-up.