IN RE: MODERN DENIM LTD. Vs. STATE

JUDGEMENT

(1.) THE applicant Modern Denim Ltd., filed this application under Section 391 of the Companies Act, 1956 ('the Act') for a direction of the Court as to the method of convening, holding and conducting the meeting of the secured creditors of the applicant company, as to the notices and advertisement to be issued, for the purpose of considering and, if thought fit, approving with or without modification, the scheme of compromise between Modern Denim Ltd., and its secured creditors.

(2.) THAT the applicant company was incorporated as Modern Suitings (P.) Ltd., in November 1977 as a part of Modern Group of Companies. As a part of an exercise to restructure its activity the Modern Suitings Ltd. spun off its suiting division to Modern Syntax (India) Ltd. in April 1993 under the scheme of arrangement approved by this Court. The name of Modern Suitings Ltd. thereafter was changed to the present name, i.e., Modern Denim Ltd.

(3.) THE main objects of the applicant company as set out in the object clause of its Memorandum of Association, have been detailed out in para No. 4 of the application. The copy of the latest audited annual accounts of the applicant company for the year ended on 31 -3 -2006 has been submitted as Annexure B to the application.