MOREPEN LABORATORIES LTD. Vs. UNION OF INDIA

JUDGEMENT

(1.) BY this judgment we are disposing of two Company appeals as they are both directed against the same order passed by the Company Law Board (CLB) dated 16/6/2005.

(2.) M /s.Morepen Laboratories Ltd., (hereinafter referred to as the Company) was incorporated in the year 1984 as a Private Limited company. It was re-constituted as a Public Limited Company on 16th March, 1992. The Company is engaged in the pharmaceutical business. To meet its capital requirement the Company had invited deposits from the public in the year 1993. The Company was unable to re-pay the matured deposits and various complaints were made by the depositors to the CLB. The CLB on 8/8/2003 came to the conclusion that the Company had defaulted in the payment of the deposits from October, 2002. In its order dated 8/8/2003 the CLB recorded that the outstanding position of the fixed deposits as on 31/3/2003 was Rs.16183.76 lakhs and this amount was owned by the Company to 85921 depositors.

(3.) CERTAIN guidelines were also issued to the Company and Shri Sushil Suri, Director of the Company was directed to file an affidavit undertaking therein that the above scheme would be implemented without fail.